Reddit shares jumped to 11% on Thursday, May 16, after the social media company announced a partnership with OpenAI.
According to CNBC, the partnership will allow OpenAI to train its artificial intelligence models on Reddit content.
As per the release, OpenAI will get access to Reddit's data application programming interface (API), ‘which provides real-time, structured, and unique content from Reddit.’
In return, Reddit will offer certain artificial intelligence features to users and moderators powered by OpenAI, which is also becoming its advertising partner.
CEO Steve Huffman said in release, “Reddit has become one of the internet’s largest open archives of authentic, relevant, and always up to date human conversations about anything and everything.
Huffman further added, “Including it in ChatGPT upholds our belief in a connected internet, helps people find more or what they’re looking for, and helps new audiences find community on Reddit.”
OpenAI CEO Sam Altman, who is a former board member and a major stakeholder in Reddit, saw his share value increase to$750 million after Thursday’s surge.
Additionally, Google in February also announced a similar partnership with Reddit, allowing the company to train its AI models like Gemini, on Reddit content via access to the API of the platform.
