Reddit’s $60M Deal: Unnamed AI Giant Gains Access to Train Models with User-Generated Content

Reddit AI Deal
Reddit's $60M deal with an undisclosed AI powerhouse has implications for user-generated content and the future of AI innovation.

From my perspective, the ability of many individuals to search through Google and find genuine content by appending “reddit” to their searches speaks volumes about the authenticity and user-driven nature of Reddit.

This practice has gained popularity, I believe, because Reddit offers a platform where content isn’t influenced by a blogger, a corporation, or an influencer receiving payments. Instead, the content is created by regular folks like you and me, providing a raw, unfiltered glimpse into various topics and opinions.

This unique aspect of Reddit hasn’t gone unnoticed by major companies that are pioneering AI technology, such as OpenAI, Google, and Microsoft. These corporations have historically trained their AI models using data scraped from the open web, often without explicit consent. This method, however, has started to raise legal eyebrows, pushing these tech giants to seek more legitimate ways to procure data for training purposes.

The latest buzz that caught my attention involves Reddit reportedly entering into a deal to allow its vast repository of user-generated content to train AI models. As the so-called “front page of the internetReddit’s decision to potentially license its data for AI training could significantly fuel the next wave of AI innovation. With a possible $5 billion IPO on the horizon, Bloomberg’s report of a $60 million agreement between Reddit and an unnamed but significant AI entity suggests a strategic move to showcase the platform’s lucrative potential in the realm of AI to investors.

Google Reddit Deal
Image created with DALL-E

While it remains a mystery which company clinched the deal with Reddit, I’m inclined to speculate that Google might be the partner.

In my opinion, such a partnership would represent a monumental shift in the AI landscape. However, this development could also spark further controversy among users concerning the ethical implications of utilizing public data, art, and other forms of human-generated content for AI training or even worse, the authenticity and credibility that an AI chatbot can achieve if it uses people’s comments or opinions as sources of truth.

Reddit TOS
Reddit User Agreement – https://www.redditinc.com/policies/user-agreement-september-25-2023

We’re navigating through a relatively new territory where legal frameworks lag behind technological advancements, leaving room for debate on whether selling user-generated data is acceptable or not despite Reddit’s Terms of Service clearly stating that you relinquish all your rights to anything you post on the platform.

Stay hungry,

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