Yelp Powers ChatGPT
Yelp Licenses Extensive Review Data to OpenAI, Enhancing ChatGPT's Local Recommendations and Revenue
Anonymous
Key Points
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Public trust in AI search remains mixed: Morning Consult data show 65% of Americans have used AI search, but only 15% trust it 'a lot,' and 72% believe AI platforms should always identify their information sources.
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Yelp already licenses its data to other major platforms, including Yahoo+ and Apple Maps; the OpenAI deal does not block Yelp from licensing data to additional partners.
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The data scope and licensing impact are substantial: Yelp provides OpenAI access to about 330 million user reviews and more than 8 million business listings, with 2025 licensing revenue up 17% and net revenue reaching a record $1.46 billion.
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The partnership is part of a broader data-licensing trend in AI, with Reddit licensing its data to OpenAI and publishers like The New York Times taking different approaches (licensing vs. legal action) to protect content.
Yelp has signed a licensing deal with OpenAI, giving ChatGPT access to roughly 330 million user reviews, ratings, photos, and more than 8 million business listings, according to Search Engine Land. Yelp shares jumped 8% on the news, according to Yahoo Finance.
The deal is non-exclusive, meaning Yelp can still license its data to other partners, according to CityBiz. Yelp already supplies data to Yahoo+ and Apple Maps. Financial terms were not disclosed.
ChatGPT Will Show Yelp Reviews and Connect Users to Businesses
When users ask ChatGPT for local recommendations, it will now pull Yelp reviews, ratings, and photos directly into its responses, according to Search Engine Land. Yelp branding and links will appear alongside the results. This gives Yelp visibility inside one of the world's most-used AI tools.
The partnership also brings Yelp's Request a Quote feature into ChatGPT. That means users can contact local service providers — like plumbers or contractors — without ever leaving the chat. It is a significant step toward making AI search more useful for everyday tasks.
Yelp's Licensing Revenue Hits Record Highs in 2025
Yelp has been pushing data licensing as a major growth strategy alongside its traditional ad business. In 2025, licensing revenue grew 17% year over year, according to GuruFocus. Yelp's total net revenue hit a record $1.46 billion. The OpenAI deal fits squarely into that strategy.
Investors are closely watching how AI partnerships can diversify Yelp's income. Advertising has long been Yelp's core business, but data licensing now offers a separate revenue stream that does not depend on clicks or ad spending.
Yelp Joins a Broader Wave of Data-Licensing Deals with AI Companies
Yelp is not alone. Reddit has also licensed its data to OpenAI. The New York Times took a different route — filing a lawsuit instead of signing a deal. These splits show how content owners are split on how to handle AI companies using their data, according to CityBiz.
Yelp noted that OpenAI had already been using its content to power a feature called Yelp Assistant. The new deal formalizes that relationship and adds branding, links, and direct business-contact tools on top.
Public Trust in AI Search Remains a Hurdle for the Industry
The deal comes as trust in AI search is still shaky. Morning Consult data show 65% of Americans have used AI search, but only 15% trust it 'a lot.' And 72% of Americans say AI platforms should always identify where their information comes from. That's a challenge the Yelp deal partly addresses — by keeping Yelp's brand visible inside ChatGPT responses.
Yelp has historically clashed with Google over local search practices. Now, by partnering with OpenAI, it is betting that AI-driven local search — not traditional search engines — may be the next big battleground for winning users, according to Seeking Alpha.
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