OpenAI has recently announced a partnership that grants them access to real-time content from Reddit's data API. 

This exciting development allows OpenAI to incorporate discussions from the popular site into their ChatGPT and other upcoming products. 

Reddit Strikes Another Lucrative Deal, Similar to Google

This deal highlights Reddit's effort to expand its business beyond advertising. It also comes after its recent collaboration with Alphabet to provide its content for Google's AI training.

ChatGPT and other OpenAI products have announced a new partnership with Reddit, which will allow them to utilize Reddit's application programming interface (API) for content distribution, NY Post reported.

Redditors have expressed their opinions on how Reddit's executives handle the platform in the past, and it will be interesting to see their response to this announcement. 

In June 2023, a significant number of subreddits decided to go dark as a form of protest against Reddit's modifications to its API pricing.

In light of the recent collaboration between OpenAI and the programming messaging board Stack Overflow, individuals faced suspensions when attempting to remove their posts.

It's an agreement that bears resemblance to the one Reddit made with Google earlier this year, which was said to be valued at $60 million.

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Reddit's Partnership with OpenAI

The blog post announcing the arrangement did not disclose any financial terms, and both companies also did not mention any details about training data, The Verge reported.

In contrast to the Google deal, Reddit made it clear that it would provide Google with "more efficient ways to train models," which sets it apart from the last detail. 

It is worth noting that OpenAI CEO Sam Altman is also a shareholder in Reddit. However, the partnership between OpenAI and Reddit was led by OpenAI's COO and approved by its independent Board of Directors.

After the bell, Reddit's shares experienced a significant increase of 10.5%, reaching a price of $62.31. Since its market debut in March, the stock has seen a significant increase of almost 12% as of Wednesday's close.

The company has not always been receptive to companies scraping its data to train AI models. It posed a potential obstacle for Google web crawlers trying to access the site. 

According to reports, OpenAI informed the moderators of the subreddit r/ChatGPT that they had infringed OpenAI's copyright by using the ChatGPT logo as their display photo.

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