From Time Magazine: 2024-05-16 22:35:00

Reddit Inc. partners with OpenAI to bring Reddit content to ChatGPT and other products while enhancing AI features on the platform. Shares of Reddit jump 15% after the announcement. OpenAI will use Reddit data, with new AI tools for users and ads on Reddit. Financial terms not disclosed.

Reddit’s data is valuable for training AI models, attracting interest from developers. The company aims to increase revenue through licensing agreements. Reddit signed a $60 million deal with Google earlier this year to train large language models. CEO Huffman sees potential in Reddit’s data for moneymaking opportunities.

OpenAI is expanding partnerships with media companies, including Reddit, to train its AI systems and display real-time content on ChatGPT. The startup, backed by Microsoft, is a key player in AI development. OpenAI CEO Sam Altman, a Reddit shareholder and former interim CEO, has a history with the social media company.

The partnership between Reddit and OpenAI was led by OpenAI’s COO and approved by its independent directors. Reddit’s stock, which initially declined, soared after the partnership announcement. Shares have increased by 66% since the IPO. The collaboration aims to utilize Reddit data for AI advancements and content enhancement.



Read more at Time Magazine: Reddit Teams Up With OpenAI to Bring Content to ChatGPT