Reddit Stock Surges on OpenAI Deal: What You Need To Know

Reddit inked a partnership with OpenAI that will bring new artificial intelligence features to the social media platform.

lifesized Snoo, the mascot of Reddit, ringing the opening bell of the New York Stock Exchange, after the Reddit IPO
(Image credit: Michael Nagle/Bloomberg via Getty Images)

Reddit (RDDT) stock jumped more than 15% in early trading Friday after the social media platform announced a deal to license its data to artificial-intelligence (AI) research company and ChatGPT parent OpenAI.

The partnership will also allow Reddit to bring new AI-powered features to its users by building on OpenAI's platform. The ChatGPT owner, meanwhile, will become an advertising partner on RDDT's platform.

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Joey Solitro
Contributor

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.