‘Unlike some of the 3P [third-party] apps, we are not profitable,’ Steve Huffman says in defending the move to charge for high-volume API access.
‘Unlike some of the 3P [third-party] apps, we are not profitable,’ Steve Huffman says in defending the move to charge for high-volume API access.
undefined> How tf is reddit not profitable? When I first joined reddit it had a progress bar to the side that showed the percentage of server costs covered by reddit gold and it was always filled. Since then they started showing lots more ads, added reddit coins, awards and premium subscription to increase their revenue. The increase in their cost/user has to be from the native image/video uploads and redisigning the website/app. If YouTube manages to be profitable hosting 4k videos, reddit must be doing something very stupid to become unprofitable with their low quality videos.
Apparently Reddit’s advertising policy was wrong since their profits dropped. Reddit cannot be compared in popularity to YouTube.