Reddit revenue soars as it bets on AI and advertising

Reddit said on Thursday that his second-third income earned, and it is clear that the company’s focus on AI has increased considerably.

A significant field of investment is increasing its advertising business, supported by its AI-powered marketing equipment. The results have revealed that most of the revenue of Reddit continues from advertising, which brings $ 465 million, which represents 93% of the company’s total income.

Last month, Reddit introduced two new features for advertisers: Reddit insights, an equipment that earns billions of posts and comments on the platform to identify the trends and provides real-time insights for promoting strategies and supplies the conversation briefly add-ons, which advertise directly to advertising, advertising directors or brands.

The company also saw growth in its “other earning” category, which includes its data licensing business – which means his contract to access his data with AI suppliers. Reddit said that the department has risen from $ 26.5 million to $ 1 million for over 20% of the year at the same time ago.

Reddit has already established a content licensing agreement with the main players of AI, including Google and OpenAI. Although these deals are still new, the second quarter results indicate a continuous income flow that has significant possibilities for a long way.

Another original AI-powered feature is the Reddit answer equipment, which was launched in December. This tool, which answered in a conversation interface, attracted 6 million weekly users, from which jump enough 1 million Users in the previous quarter.

A ShareholdersSteve Huffman, CEO of Reddit, says the platform is working to integrate the equipment more deeply “” to search a central feature across Reddit “” “original search experience”.