Shares of IAC (IAC) are up over 1% Tuesday after Dotdash Meredith (DDM) announced a strategic partnership and licensing agreement with OpenAI.
DDM is the biggest business of internet holding company IAC, which owns brands such as PEOPLE, Better Homes & Gardens, FOOD & WINE, Verywell, InStyle, and Investopedia.
The deal is said to enhance ChatGPT with DDM's content. As part of the deal, OpenAI will display content and links attributed to DDM in relevant ChatGPT responses. In addition, the companies will collaborate to create new AI products and features for readers and use historical and ongoing DDM content to enhance performance.
"We have not been shy about the fact that AI platforms should pay publishers for their content and that content must be appropriately attributed," said Neil Vogel, CEO of Dotdash Meredith. "This deal is a testament to the great work OpenAI is doing on both fronts to partner with creators and publishers and ensure a healthy Internet for the future."
Furthermore, the deal will also see OpenAI's models help DDM's intent-based ad-targeting solution D/Cipher, which connects advertisers directly to consumers based on the context of the content being consumed.