OpenAI to fund four new Axios Local newsrooms
OpenAI has announced its decision to support the expansion of Axios into four cities of its choosing as part of a significant content-sharing and technology agreement. This collaboration marks the first instance of OpenAI providing funding to newsrooms as part of a publisher deal, signifying a unique approach within the industry.
Expansion Details
Under the three-year agreement, OpenAI will be backing Axios' expansion into Pittsburgh, Kansas City, Missouri, Boulder, Colorado, and Huntsville, Alabama. Axios CEO, Jim VandeHei, views artificial intelligence (AI) as a crucial component in enabling the company to broaden its local presence to potentially encompass over 100 cities.
Axios' Growth
Currently, Axios operates in 30 U.S. cities with plans to increase this number to 34. The recent acquisition of Axios by Cox Enterprises has played a pivotal role in accelerating its expansion into various local markets. Executives attribute this progress to the strong support for local journalism exhibited by Alex Taylor and the Cox Enterprises family.
Strategic Partnerships
OpenAI's collaboration extends beyond Axios, with the organization entering into agreements with around 20 media entities covering 160 news outlets and numerous content brands. The aim is to bolster the news ecosystem while providing users with high-quality information.
Challenges and Opportunities
Despite OpenAI's commitment to supporting journalism, some media outlets remain cautious due to past experiences with technology companies. In a bid to stay competitive, OpenAI is forging ahead with partnerships, while its AI-driven competitors are also making strides in the industry.
Further Reading
For more insights on the impact of AI in the media landscape, you can explore: AI-fueled search drives media firms to new licensing deals
