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Reddit moves behind logins as AI search cuts traffic

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Reddit is shifting to a primarily logged-in experience. AI-powered search is sharply cutting traffic from Google, and the company also wants to protect its data from AI scraping so it can license it to model developers instead.

By: Mikola Máté Patrik · · 3 min read

Reddit Snoo logo on an orange background
Image: Reddit · Press kit · Official Reddit brand asset · Source

What happened

Reddit announced on its third-quarter earnings call on October 29 that it is moving to a primarily logged-in experience (TechCrunch). The driver is the shift in search: AI summaries mean fewer people click through to results. Reddit said search referrals fell by more than 1 million per week on average in October, and warned that if the trend continues, daily active users could decline by a low-double-digit percentage next quarter.

Why it helps Reddit

  • It protects the data from AI scraping, pushing model developers toward licensing deals.
  • Logged-in users are worth more to advertisers because they give more signals about their interests.
  • It enables more personalized feeds and recommendations, including the For You feed announced a day earlier.

The change won't happen overnight. Reddit will first test it in select markets outside the US in the fourth quarter, with no timeline yet for a worldwide rollout. Logging in won't mean giving up anonymity, and the incognito browsing mode is being rebuilt. CEO Steve Huffman wrote in a post on Reddit that as someone whose life has been defined by the open internet, this is a big change for him too, but he has concluded it is the right decision for the platform and the business.

The numbers

According to the earnings release, Reddit's revenue grew 53% to $895 million, and net income reached $283 million (Reddit). Ad revenue was $847 million, while other revenue, which includes AI data licensing, grew 35% to $48 million. Global daily active uniques reached 130.3 million, up 12% year over year but flat quarter over quarter. In the US, the figure fell from 53.2 million in Q2 to 50.7 million, even as US revenue per daily user rose to $13.82.

What it means for you

Reddit's move shows what AI search is doing to the open web: when traffic stops flowing back to sources, content owners close up and license. If you use Reddit as a source for research, RAG or market insight, expect more content to move behind logins and become available only through the official API or licensing. Publishers should note that a platform this large is switching to this model.

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