Reddit shares have jumped more than 10% after the company announced a partnership with AI start-up OpenAI. This deal allows OpenAI, the creator of ChatGPT, to access Reddit’s content and bring AI-powered features to the platform.
The move is part of Reddit’s strategy to diversify its revenue sources beyond advertising. The deal comes amid increasing legal challenges from copyright holders against AI companies using their material. For example, Sony, the world’s largest music publisher, has asked Google, Microsoft, and OpenAI if they used its songs for AI development.
Recently, OpenAI has partnered with publishers like the Associated Press and the Financial Times. Google also made a deal in February to use Reddit data for training its AI models.
There are ongoing legal debates in the EU and the US about whether training AI on copyrighted content is infringement or falls under fair use. The issue is being tested in US courts with cases involving notable figures like George RR Martin, Sarah Silverman, and the New York Times.
This week, OpenAI has introduced the latest version of ChatGPT technology, GPT-4o, which will be available to all users, including those who don’t subscribe. This version is faster, more conversational, and capable of reading and discussing images, translating languages, and recognizing emotions from visual cues. It also has memory to recall previous interactions.
