Google has reached an agreement with Reddit, permitting the search engine giant to utilize posts from the online discussion platform for training its artificial intelligence models and enhancing services such as Google Search.

The announced agreement, valued at approximately $60 million, will grant Reddit access to Google AI models to enhance its internal site search and other functionalities. Reddit chose not to provide further comments or address inquiries beyond its written statement regarding the arrangement.

In separate news, the San Francisco-based company revealed its intentions for an initial public offering. In documents submitted to the Securities and Exchange Commission, Reddit disclosed that it reported a net income of $18.5 million in the October-December quarter marking its first profit in two years, with revenue totaling $249.8 million. The company stated its intention to list its shares on the New York Stock Exchange under the ticker symbol RDDT.

The Google deal represents a significant milestone for Reddit, a platform that heavily depends on volunteer moderators to oversee its extensive range of topic-based discussions.

These moderators have previously voiced public dissent over Reddit's decisions, including a recent protest where they blacked out portions of the site for several days in response to Reddit's proposal to charge many third-party apps for accessing its content.

According to a source familiar with the matter who requested anonymity due to the SEC-enforced "quiet period" preceding an IPO, the arrangement with Google will not lead to any data-driven changes in how Reddit operates.

Unlike platforms like TikTok, Facebook, and YouTube, Reddit does not employ algorithmic processes to predict user interests. Instead, users search for and engage in discussion forums of their choice without algorithmic intervention.

The source also highlighted that the agreement mandates Google to adhere to Reddit's user terms and privacy policy, which differ from those of other social media platforms. Notably, when Reddit users delete content, it is completely removed from all locations without any residual traces. Reddit's partners, including Google, are obligated to follow suit to honuor users' choices on the platform.

The data-sharing agreement holds significant importance for Google, as the tech giant seeks access to human-generated content to enhance its AI models' comprehension of the world and improve their ability to offer relevant responses in conversational formats.

In a news release, Google commended Reddit, describing it as a repository of diverse and genuine human conversations and experiences. The search giant underscored its primary objective of facilitating easier access to valuable information on Reddit for users.

While downplaying its interest in utilizing Reddit data for AI training purposes, Google emphasized its commitment to streamlining access to Reddit information, such as product recommendations and travel advice, through its products.

Image source: Hindustan Times