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Reddit says FTC launched an inquiry into Reddit's licensing of user data to AI companies; an ex-FTC official says other companies also got such “hold letters”

In an updated IPO prospectus on Friday, Reddit said it's being probed by the FTC for its data-licensing practices.  —  Although Reddit's core business relies on online advertising, the company is seeking to make money in other ways, and is in the “early stages” of its “data licensing efforts” … X: @wired : Reddit isn't alone in trying to make a buck off licensing data, including that generated by users, for AI — but now the US government's primary antitrust regulator is looking into whether doing so violates its rule on unfair or deceptive trade practices. https://www.wired.com/... Dare Obasanjo / @carnage4life : The FTC is investigating Reddit selling access to its trove of user data to Google for $60M to train their AI. I doubt any laws are being broken here but it's definitely interesting to see social media companies literally selling user data with no regulatory oversight. [image] Kim Benabib / @kimbenabib : Interesting wrinkle in the licensing of user generated data. LinkedIn: Laure Carli : How you monetize your customer data today will impact your IPO valuation tomorrow.  That's the message sent by the FTC to Reddit yesterday. … Forums: r/LocalLLaMA : Reddit's Sale of User Data for AI Training Draws FTC Inquiry r/OpenAI : Reddit's Sale of User Data for AI Training Draws FTC Inquiry r/technology : Reddit's Sale of User Data for AI Training Draws FTC Inquiry r/technology : FTC investigating Reddit over AI data-licensing practices ahead of IPO BeauHD / Slashdot : FTC Launches Inquiry Into Reddit's AI Deals, Ahead of IPO

Axios Dan Primack

Discussion

  • @peard33 Paresh Dave on threads
    Stack Overflow, which like Reddit also signed a deal to hand off data to Google recently, didn't respond to a request for comment about whether it's gotten the same request from the FTC Tech Threads https://www.wired.com/...
  • @gtbarry@mastodon.social @gtbarry@mastodon.social on mastodon
    FTC conducting inquiry into Reddit's AI data-licensing practices ahead of IPO  —  In an updated IPO prospectus on Friday, Reddit said it's being probed by the FTC for its data-licensing practices.  —  Although Reddit's core business relies on online advertising, the company is se…
  • @wired @wired on x
    Reddit isn't alone in trying to make a buck off licensing data, including that generated by users, for AI — but now the US government's primary antitrust regulator is looking into whether doing so violates its rule on unfair or deceptive trade practices. https://www.wired.com/...
  • @carnage4life Dare Obasanjo on x
    The FTC is investigating Reddit selling access to its trove of user data to Google for $60M to train their AI. I doubt any laws are being broken here but it's definitely interesting to see social media companies literally selling user data with no regulatory oversight. [image]
  • @kimbenabib Kim Benabib on x
    Interesting wrinkle in the licensing of user generated data.
  • r/LocalLLaMA r on reddit
    Reddit's Sale of User Data for AI Training Draws FTC Inquiry
  • r/OpenAI r on reddit
    Reddit's Sale of User Data for AI Training Draws FTC Inquiry
  • r/technology r on reddit
    Reddit's Sale of User Data for AI Training Draws FTC Inquiry
  • r/technology r on reddit
    FTC investigating Reddit over AI data-licensing practices ahead of IPO