Reddit's average daily active unique users (DAUqs) increased 12 percent year-over-year in Q3. CEO Steve Huffman indicated the platform is moving toward a logged-in-only experience to reduce reliance on search referrals. Huffman stated logged-in and app users are the most valuable, noting Reddit has tested desktop login requirements since August.
The platform is testing mobile app conversion prompts, with only 13 percent of eligible mobile web users currently seeing the prompt. As of July, Reddit requires login for Old Reddit. Recent changes block Old Reddit access for users inactive for six months.
Reddit effectively shut down most third-party apps by making its API expensive in 2024. Combined changes make it easier to track user activity, manage AI scraping, and understand evolving search habits. Reddit reported Q3 net income of $283 million, a 74 percent year-over-year increase, on $895 million in revenue, a 53 percent year-over-year increase.
Advance Publications, owner of Condé Nast, is the largest shareholder.
Source: Ars Technica · Summarized by HeadlinesBriefing