OpenAI will Begin Utilizing News Corp. News Material as Part of a Multiyear Agreement

News Corp. has inked a multiyear agreement with OpenAI to exchange news material for training and user support, joining the ranks of news companies that have opted to work together rather than compete with the most well-known artificial intelligence business. 

As part of the agreement, News Corp.'s leading news magazines, such as The Wall Street Journal, Barron's, New York Post, The Daily Telegraph, and others, will provide OpenAI with access to both current and past content. 

Although News Corp.'s Wall Street Journal reported that the contract may be worth more than $250 million over five years, the businesses did not discuss the arrangement's duration or value. 

Additionally, OpenAI has license agreements with other media outlets, including as the London-based Financial Times, the French newspaper Le Monde, the Associated Press, and news publishing behemoths Axel Springer in Germany and Prisa Media in Spain. 

These agreements, for the most part, provided access to news material that OpenAI utilizes for training. However, the artificial intelligence startup will be permitted to utilize journalistic information to respond to user inquiries as part of the journalistic Corp. acquisition. This month, Google said that it is altering its search engines to respond to searches more directly, rather than sending users to news organizations' publications. 

Using a different strategy, The New York Times sued Microsoft and OpenAI towards the end of last year, claiming that the businesses had effectively stolen its journalists' work to be used as chatbot training material. 

The News Corp. acquisition, according to OpenAI CEO Sam Altman, is a proud moment for both technology and journalism. 

"Collaboratively, we are laying the groundwork for a future in which artificial intelligence greatly values, elevates, and preserves the standards of top-notch journalism," he declared. 

According to Moody's Ratings senior vice president Jason Cuomo, the acquisition is credit positive. 

In addition to validating the company's strategy for profitably growing sales and profitability in the news media sector, Cuomo stated that "working with the leader in generative AI validates the opportunity to grow sales and profitability in the news media segment."