Reddit plans to use artificial intelligence to improve its ad business and open new revenue channels by offering tools and incentives for content creation and commerce. The company is also developing a data-licensing business, allowing third parties to access and search data on its platform. Google has already expanded its partnership with Reddit for access to the company's data to train its AI models. Reddit also plans to sell a portion of its IPO shares to 75,000 of its most loyal users.
Key takeaways:
- Reddit has filed its initial public offering (IPO) with the SEC and plans to trade on the New York Stock Exchange under the ticker symbol 'RDDT'.
- The company reported $804 million in annual sales for 2023, a 20% increase from the previous year, but also reported a net loss of $90.8 million for the same year.
- Reddit plans to use artificial intelligence to improve its ad business and is in the early stages of developing a data-licensing business, with Google being one of its partners.
- Reddit intends to sell a portion of its IPO shares to 75,000 of its most loyal users.