Reddit’s unpopular decision to revise its API pricing in a move that’s forcing third-party apps out of business has taken a weird turn. In an AMA hosted today by Reddit co-founder and CEO Steve Huffman, aka u/spez on the internet forum site, the exec doubled down on accusations against the developer behind the well-liked third-party […]
Admitting that “Unlike some of the 3P apps, we are not profitable.” just shows to the world, that they don’t know how to run a business.
This should be warning shot for every investor.
Exactly! I’m not a rich investor person, but nobody with a brain would invest in a company bleeding money, and that was such a terrible move to admit. If their PR isn’t a half-working AI after firing all those people, they should’ve been horrified between that and the Christian Selig/Apollo comments.
You also can’t count on Reddit becoming a meme stock, especially with absolutely zero regard for the users who make these meme stocks happen.
This whole thing is all about trying to monetize user-generated content by selling it at a high premium to large AI companies. If they allow a lower pricing tier for 3pa’s, other companies/individuals will find a way to use that lower tier for training models, and this is the only thing spez sees as a viable profit model for reddit.
Admitting that “Unlike some of the 3P apps, we are not profitable.” just shows to the world, that they don’t know how to run a business. This should be warning shot for every investor.
When i read that i was honestly astonished how they expected anyone to invest in reddit at all
Exactly! I’m not a rich investor person, but nobody with a brain would invest in a company bleeding money, and that was such a terrible move to admit. If their PR isn’t a half-working AI after firing all those people, they should’ve been horrified between that and the Christian Selig/Apollo comments.
You also can’t count on Reddit becoming a meme stock, especially with absolutely zero regard for the users who make these meme stocks happen.
This whole thing is all about trying to monetize user-generated content by selling it at a high premium to large AI companies. If they allow a lower pricing tier for 3pa’s, other companies/individuals will find a way to use that lower tier for training models, and this is the only thing spez sees as a viable profit model for reddit.