Interestingly, IAC Inc., Dotdash's parent company, reported a significant increase in licensing revenue, with a $4.1 million year-over-year rise in Q3 2024, largely due to this partnership.

Dotdash Meredith, a prominent media company, has announced plans to lay off 143 employees, which constitutes about 4% of its workforce, following a previous reduction of 53 employees in November 2024.

These layoffs come despite a strategic partnership with OpenAI, established in the spring of 2024, which is projected to generate at least $16 million in annual revenue for Dotdash.

The agreement also includes plans for OpenAI and Dotdash to work together on new AI products and features, leveraging Dotdash's historical content to enhance AI performance.

In addition to the partnership, Dotdash's CEO, Joey Levin, has announced a forthcoming technological investment in its advertising platform, D/Cipher, which is expected to expand to approximately 30 million more URLs.

However, Dotdash's Chief Innovation Officer, Jon Roberts, has been vague about how D/Cipher will function and its implications for web users.

As Dotdash navigates the post-COVID media landscape with a focus on AI, the future of its workforce and the sustainability of its revenue model remain uncertain.

This situation raises concerns about the implications of AI-driven content on media workers and the quality of information available to consumers, prompting questions about who truly benefits from these developments.

As part of the collaboration, OpenAI will integrate 'trusted content' from Dotdash's brands into its ChatGPT model, directing users to Dotdash's articles.