What do you think of when you hear Buzzfeed?
Goofy little quizzes like this?
Or some serious think-pieces like this one?
The human mind is an interesting place to say the least…
Since its birth, Buzzfeed has benefited from the creativity of those minds – in the form of writers that could pull you in with a single compelling headline.
But now AI is changing all of that.
On Thursday, Buzzfeed announced that it is going to put its eggs in OpenAI’s basket to help generate content for the media company.
Investors seemed to love this news. After all, what company wouldn’t want to reduce payroll in favor of an “employee” that never tires, never sleeps, and never complains?
BZFD stock soared by nearly +200%, and finally closed the day on Thursday at ~+120%:
While some people are upset that AI is replacing human jobs already…
Others are having fun with it:
Regardless of Thursday’s pop, Buzzfeed is still down -78% from its IPO price.
And while we aren’t sure if AI can replace the imagination of humans yet, we can surely say it cuts down company costs efficiently.
When it comes to desperate companies like Buzzfeed… that may be just the band-aid that investors are looking for.