Google and Reddit have announced a strategic partnership that will see the search giant accessing a vast array of user-generated content from Reddit for AI training purposes. This collaboration is poised to significantly advance Google’s AI research and development efforts, providing the tech behemoth with an “efficient and structured way to access the vast corpus of existing content on Reddit,” according to a recent update from Reddit.
Under the terms of the deal, Reddit will grant Google access to its data API, facilitating real-time content delivery from its platform. This arrangement is expected to enhance Google’s ability to train its AI models more effectively, leveraging the diverse and dynamic content generated by Reddit’s vast user base.
Reddit CEO Steve Huffman, in a conversation with The Verge, highlighted the financial strategy behind the API changes, suggesting that data licensing could emerge as a lucrative revenue stream for the company. “The API usage is about covering costs, and data licensing is a new potential business for us,” Huffman stated, indicating Reddit’s openness to similar deals in the future.
In addition to providing Google with valuable data, the partnership also benefits Reddit by granting it access to Vertex AI, Google’s AI-powered service designed to improve search results. This collaboration does not alter Reddit’s data API terms, which restrict commercial access without approval, ensuring that the company’s data sharing practices remain compliant with existing policies.
The announcement comes on the heels of a Bloomberg report last week, which revealed Reddit’s $60 million training deal with an unnamed AI company. Google’s expansion of a “forums” filter in its search results, aimed at enhancing the visibility of human discussion platforms like Reddit, Stack Overflow, and Hacker News, further underscores the growing importance of user-generated content in AI development.
Despite the promising prospects of this partnership, it’s worth noting that Google and Reddit have had their differences in the past, particularly regarding data usage for AI training without compensation. However, this deal marks a significant step forward in their relationship, with both companies recognizing the mutual benefits of collaboration.
As Reddit gears up for its highly anticipated initial public offering (IPO) in the coming weeks, this partnership is seen as a strategic move to bolster its valuation, which exceeded $10 billion in 2021.