Reddit and OpenAI Deal

Mastering Presentation Skills in Law School

August 16, 2024

Why is Superdry Delisting?

August 18, 2024

Published by Shwetha Sivaraman at August 18, 2024

Article by Aaminah Khan

Open AI, the company behind the chatbot ChatGPT, has partnered with Reddit in a deal that allows Reddit to use its data to train AI models.

Having access to Reddit’s data will help train AI models from OpenAI to be even smarter, while Reddit will see improvements in how the site runs by having access to new AI tools. Shares in Reddit increased more than 10% after the deal was announced, highlighting the growing trend of technology and AI. This agreement is similar to the deal that Reddit signed earlier this year with Google, reportedly worth $60 million.

OpenAI gaining access to a wide range of conversational user data can improve the quality of its AI tools by allowing them to better understand how people communicate. This can result in these AI tools sounding a lot more natural and conversational rather than robotic.

Despite this seeming like a great way to help train AI models, there is also the consequence of some users not feeling comfortable with their data being used to train AI models. This can be quite a privacy concern for some people and can perhaps give rise to a range of data protection issues. It will be vital that users will be fully informed about how exactly their data will be used so that they are fully informed.

With Reddit and OpenAI, two very large-scale companies, coming together for this deal, it is likely that we will see similar deals in the future, especially as AI is starting to become embedded in our day-to-day lives. It will be vital to consider the potential legal impacts this may give rise to, such as regulatory concerns and handling data breaches.