Trade Desk Inc.'s stock experienced a significant surge of 28.72% during Thursday's intraday trading session.
The dramatic price movement is primarily attributed to multiple media reports indicating that OpenAI, the creator of ChatGPT, has held early discussions with The Trade Desk regarding a potential collaboration. According to The Information, the talks focused on OpenAI potentially leveraging The Trade Desk's platform to help sell advertisements on its flagship AI chatbot platform. OpenAI began testing ads on ChatGPT in the U.S. last month, and a partnership with a major programmatic advertising company like The Trade Desk could be instrumental in scaling this new revenue stream.
Investors reacted positively to the news, viewing a potential alliance with a leading AI company as a significant growth catalyst for The Trade Desk. The stock had been trading near multi-year lows prior to this development, having faced a revenue growth slowdown and increased competition in the digital advertising sector.
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