Reddit in talks with Google for expanded AI content deal

New Delhi: Reddit Inc., the hub of user-generated discussions, is negotiating an expanded content-sharing agreement with Alphabet Inc.'s Google, aiming to deepen the integration of its forums into the search giant's AI ecosystem. 

The talks, which are in their early stages, seek to evolve beyond simple data licensing into collaborative partnerships that could drive more traffic to Reddit while providing Google with content for training its generative AI models.

As per the news reports, Reddit is pushing for a model that incentivises Google users to actively contribute to Reddit's communities, turning passive search traffic into engaged participants who generate even more valuable data. 

This comes more than 18 months after the companies' initial deal, reportedly worth $60 million annually, which granted Google access to Reddit's vast repository of real-time conversations for enhancing search results and AI development. 

The news reports stated that the new arrangement could introduce dynamic pricing, where Reddit's payouts scale based on how centrally its content influences AI-generated answers, potentially increasing revenue as Reddit's data becomes indispensable to tools like Google AI Overviews.

The discussions aren't limited to Google; Reddit is simultaneously engaging OpenAI for similar expansions.