The New York Times has entered into a significant licensing agreement with Amazon, allowing the use of its content in Amazon's artificial intelligence products.

This multiyear collaboration aims to enhance customer experiences by integrating Times content, including recipes from NYT Cooking and sports coverage from The Athletic.

The Times stated that this deal will broaden its relationship with Amazon and expand the reach of its journalism to wider audiences.

Following the announcement of the agreement, NYT shares rose over 3%, contributing to an 8% increase in stock value for the year.

NYT CEO Meredith Kopit Levien emphasized the importance of compensating high-quality journalism and protecting intellectual property rights.

This agreement follows Amazon's recent advancements in AI, including the launch of a new version of Alexa and other AI-related products.

While the financial terms of the agreement remain undisclosed, it represents a strategic shift for the Times amid ongoing copyright concerns in the media industry.

The New York Times is currently engaged in a lawsuit against OpenAI and Microsoft, alleging unauthorized use of its articles to train AI models.

A recent federal judge partially denied motions to dismiss the lawsuit, affirming that the Times provided substantial evidence of copyright infringement.

This licensing deal is seen as a strategic response to the challenges posed by AI companies using copyrighted material without compensation.

The partnership reflects a growing trend among media companies collaborating with tech firms to adapt to the evolving digital landscape.

Notably, The New York Times has largely resisted partnerships with AI firms for content use, making this agreement particularly significant.