For the first time since its launch in 2005, Reddit has become profitable. Reddit Inc., the company that owns the website, reported revenue of $348.8 million, 68% more than last year, and $29.9 million in net profit. This was reported by The Verge.
Advertising revenue amounted to $315.1 million, while “other” sources of revenue brought in $33.2 million. In particular, “other” sources include agreements with companies that use posts on the platform to train artificial intelligence models, such as Google and OpenAI.
In addition to this, Reddit Inc. reported that in recent months the number of daily users has already increased to 97.2 million, 47% more than in the same period last year. On some days in the fourth quarter of 2024, the number of daily users exceeded 100 million.
By the way, in the first quarter after the company went public, it lost $575 million. Losses decreased to $10 million in the third quarter of 2024, and finally, in the fourth quarter, profits began to appear.
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