OpenAI and Reddit deal that will bring Reddit’s content to ChatGPT.
Reddit and OpenAI are joining forces in a new partnership that will bring Reddit’s content to ChatGPT.
Reddit and OpenAI Collaboration
Key Points of the Deal
- Surge in Reddit’s Share Price: Reddit’s share price jumped over 10% before Friday’s market opening following the announcement of the collaboration.
- Access to Reddit’s Data API: OpenAI will gain access to Reddit’s data API, which provides real-time, structured, and unique content from the platform.
- Benefits for Reddit Users: Reddit users and moderators will receive new AI-powered features, enhancing their experience on the platform.
- Advertising Partnership: OpenAI will become a Reddit advertising partner as part of the deal.
- Statement from Reddit CEO: Reddit’s CEO, Steve Huffman, expressed excitement about including Reddit’s content in ChatGPT, emphasizing the platform’s role as a vast archive of authentic human conversations.
- Consistency with Reddit’s Policies: The deal aligns with Reddit’s existing content arrangements and does not alter its data API terms. Content accessed through Reddit’s data API remains subject to Reddit’s approval for commercial use. Non-commercial usage of the API remains free within specified limits.
OpenAI’s Excitement about the Partnership
Brad Lightcap, OpenAI’s chief operating officer, expressed excitement about the collaboration with Reddit, highlighting the opportunity to enhance ChatGPT with timely and relevant information while exploring AI-powered features to enrich the Reddit experience.
Reddit’s Growth and Community Influence
In March, Reddit made its debut on Wall Street, quickly gaining investor attention and reaching a valuation close to $9 billion upon trading on the New York Stock Exchange. The platform boasts a large and dedicated audience, who regularly engage in discussions spanning from humorous memes to deep existential concerns, and seek recommendations from like-minded individuals.
OpenAI CEO’s Stake in Reddit
Sam Altman, CEO of OpenAI, holds a significant stake in Reddit as an early investor, making him one of the company’s major shareholders.