The full story
Do you still click through to Reddit, or stop at Google's answer?
Reddit's revenue hit $895M, up 53%. Then it warned daily users could fall by a low double-digit percent next quarter.
- Reddit's CEO says visits from Google fell by over 1M a week on average in October
- He says Google is "crawling us as hard as ever", and AI Mode "does not drive traffic"
- Alphabet says search growth in Jul–Sep was its highest in five years
The money runs the odd way too. Reddit committed $580M over three years to Google's cloud, about $193M a year. Google reportedly pays about $60M a year for Reddit's posts. That deal was near expiry in July; renewal not confirmed.
Caveat: the Google cause is the CEO's view, and the two periods differ. The drawing is not to scale.
Why it matters: a site can grow sales and still lose the door its readers came through.
