Reddit Partners With OpenAI to Integrate Content Into ChatGPT
Reddit and OpenAI form a new partnership that brings the social network's content directly into ChatGPT while giving Reddit new AI features for its users. The deal adds to Reddit's growing strategy of licensing its valuable data to major AI developers.
Reddit and OpenAI forge a new partnership that brings Reddit content directly into ChatGPT and other OpenAI products. Under the agreement, OpenAI gains the ability to display Reddit discussions and train its AI systems on the social network's data. In return, Reddit builds new AI-powered features for its own platform using OpenAI's models.
The partnership causes Reddit's stock to jump 15% in late trading, reflecting investor optimism about the social network's revenue strategy. This deal follows a similar $60 million licensing agreement Reddit signed with Google earlier this year. Overall, Reddit holds $203 million in total data licensing contracts as it capitalizes on the high value of its user-generated content.
For OpenAI, this deal reflects a broader strategy of partnering with media companies to incorporate real-time information into its chatbot. The ChatGPT maker recently signs similar agreements with the Financial Times and Dotdash Meredith. The financial terms of the Reddit arrangement remain undisclosed, but both companies emphasize that the collaboration improves how AI understands and displays current online discussions.