Summary

Reddit shares have dropped 50% from their February peak, when the stock had soared over 500% from its $34 IPO price last March.

Much of the early enthusiasm came from AI-related deals allowing Reddit’s content to be used for training models, but recent doubts about long-term growth in the AI sector have dimmed that optimism.

Analysts remain skeptical and some call the stock “super overvalued,” noting Reddit still is not making any money.

Market uncertainty and early investor sell-offs continue to weigh on Reddit and the broader tech sector.

Non-paywall link

  • carrion0409@lemm.ee
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    2 days ago

    I had my account since the pandemic and I got one 3 day ban for “inciting violence” a few weeks ago and they didnt tell me what I actually did. It was lifted so I moved on and kept following the rules. Then a day after the article about spez caving to musk came out I was given a perma site wide ban for “inciting violence” with no working link to what I actually did. The admins wouldn’t tell me either. I assume it’s because of my activity in left leaning subs and my comments calling Musk a shithead and saying his toy cars are garbage.

    • antisocialite@lemmy.today
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      2 days ago

      They’ll sweep ban entire comment sections of a submission they don’t approve of and they’re using AI to do it, so there are lots of false positives and dubious reasoning. They’ll send you a message lecturing you on your behavior but delete your comment so you’re left with only a vague idea of what they’re referring to.

      • carrion0409@lemm.ee
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        2 days ago

        And they wonder why their stock is tanking. The only outcome I see for reddit in it’s current state is being bought out by Google and turned into a telemetry farm.

      • futatorius@lemm.ee
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        7 hours ago

        Before they used shitty AI, they just hired autistic mods who would exaggerate anything into a bannable offense of some kind.