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TLDR; OpenAI and Reddit have reached a deal enabling both companies to access each other’s proprietary technology. This deal comes shortly after Google signed a similar deal earlier this year. Reactions are yet to be seen, but Reddit users have historically disliked these types of advancements toward AI.

👉 The what and the why

Reddit and OpenAI has recently reached a deal giving the two tech platforms access to each other’s proprietary data and technology.

The deal will “enable Reddit to bring new AI-powered features to Redditors and mods” and gives OpenAI access to real-time data through it’s API. While no announcements has been made on what specific features these new accesses will result in, some speculations include:

• Reddit has for some time now spoken about bringing AI-powered news to its platform, something which OpenAI’s ChatGPT technology can massively help with.

• OpenAI continuously need more, better, and up-to-date training data to stay competitive. And with Reddit being one of, if not the largest, forum for up-to-date user-generated content the deal is a match made in heaven.

While the product features are exciting, Reddit users are less than happy about the deal. Users have historically expressed concern over how executives manage the platform and have previously attempted to delete their own posts in protest to Reddit’s licensing of user data.

While we’ve seen no major backlash in response to this most recent deal, time will tell if users agree to continue using the platform.

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👉 The implications for you

If you are an avid Reddit user, this could affect you by your favorite subreddit going dark, being removed, or the user base decreasing considerably purely in protest.

This is because Reddit is unique in its platform structure.

Reddit Inc. owns the platform, but users running the individual subreddits (essentially niche forums within the platform) remain largely in control of the content moderation.

By extension, subreddits tend to have a very engaged and dedicated user base, often aligned with a common purpose. This means that whoever moderates the subreddit can have a real impact on the company and platform at large.

Especially as Reddit Inc. recently went public.

🔥 Our take on it

Reddit is a unique place for many reasons.

It’s home to stock trading communities, niche interests, people giving life advice, NSFW content, and communities skyrocketing public stock prices.

It’s unique not only because of the range of content but also for its setup. As described previously the content moderation is partially in the hands of users. Meaning users have partial control of the platform.

This is in contrast to platforms like Facebook, Instagram, or Twitter/X where moderation and content is entirely managed by the platform itself.

While the ultimate call obviously lies in Reddit Inc.'s hands, a user base displaying growing concerns over the platform’s direction is never a good sign.

Ultimately, as always, only time can tell how things play out.

Will users accept the continuation of AI LLM third-party deals, or will a massive protest take place?

👋 See you on Thursday!

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