Reddit has signed a contract allowing an Artificial Intelligence (AI) company to train its models on the social media platform’s content, Bloomberg News reported, citing people familiar with the matter.
Reddit, which is eyeing an initial public offering (IPO) launch, has told prospective investors that it signed the deal, worth $60 million on an annualized basis, earlier this year, the report said.
Also Read | US considering more than $10 billion in subsidies for Intel
The details of the AI deal could change as talks over the Reddit IPO launch, which could come in March, continue.
The content licensing deal comes at a time when interest in AI is at an all-time high.
Reddit declined to comment.
Also Read | Paytm shifts nodal account to Axis Bank; Soundbox, Card machine to continue working even after March 15
The agreement, signed with an “unnamed large AI company”, could be a model for future contracts of a similar nature, Bloomberg reported.
Reddit’s IPO, which has been in the works for over three years now, would be the first IPO of a major social media company since Pinterest’s debut in 2019.
The San Francisco-based company was valued at about $10 billion in a funding round in 2021.
Also Read | How Air India managed to grab its highest domestic passenger traffic ever
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!
This story has been published from a wire agency feed without modifications to the text.
Eugen Boglaru is an AI aficionado covering the fascinating and rapidly advancing field of Artificial Intelligence. From machine learning breakthroughs to ethical considerations, Eugen provides readers with a deep dive into the world of AI, demystifying complex concepts and exploring the transformative impact of intelligent technologies.
