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Reddit’s Shares Increase After Collaboration With OpenAI

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Reddit’s stock has increased by over 10% since the company announced that it has partnered with artificial intelligence (AI) startup OpenAI.

The deal will provide the ChatGPT chatbot’s developer access to Reddit material and enable it to integrate AI-powered features into the social media network. The declaration emphasizes Reddit’s attempts to diversify its revenue streams outside of advertising.

The agreement is made at the same time that an increasing number of copyright holders file lawsuits against AI companies for using their content. The world’s biggest music publisher, Sony, demanded in writing to Google, Microsoft, and OpenAI on Thursday that they stop using its songs for AI system development.

There are concerns about whether using such content to train AI systems violates copyright in the US and the EU, or if fair use and “temporary copying” provisions apply. In multiple US court proceedings, the matter is being tested on behalf of individuals such as comedian Sarah Silverman, writer of Game of Thrones George R.R. Martin, and the New York Times.

In the meanwhile, Google and Reddit struck a partnership in February that gives the internet giant access to Reddit data for AI model training. Additionally, OpenAI has recently reached agreements with a number of media publishers, including the Financial Times and the Associated Press.

The most recent iteration of the ChatGPT-supporting technology was released this week by OpenAI. In reaction to cues, it responds more quickly than previous models and is designed to seem natural. The updated version has the ability to read and analyze photos, translate between languages, and deduce emotions from facial expressions. Additionally, memory allows it to remember earlier cues.

According to the company, GPT-4o will be made available to all ChatGPT users—even those who are not customers.

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