[DigitalToday reporter Chi-gyu Hwang (황치규)] Shares in community platform Reddit have plunged more than 40 percent in early 2026.
The Information reported that stalled user growth in the United States, slowing advertising revenue and a decline in AI models' reliance on Reddit data were cited as the main reasons.
Reddit's daily logged-in users in the United States hovered at around 23 million in 2025. Critics also point to Reddit failing to attract new advertising partners, while spending by existing advertisers has fallen in 2026.
Generative AI models such as ChatGPT have also reduced their use of Reddit data.
Investor anxiety also grew as key executives, including the chief executive and chief technology officer, sold stakes in succession. Some also say Reddit's growth outlook has become clear as it faces rival platforms TikTok and Snap, along with the relaunch of competing platform Digg.
Chi-gyu Hwang
delight@d-today.co.kr