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Reddit Reports Strong Q3 Amid CEO's Statement on AI Chatbot Traffic

Reddit Reports Strong Q3 Amid CEO's Statement on AI Chatbot Traffic
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Reddit CEO Steve Huffman announced during the company's Q3 2025 earnings call that AI chatbots currently do not serve as a major traffic driver for the social platform. This assessment comes despite reported advancements in AI utilization for search functions by entities such as OpenAI and Google.

Huffman emphasized that Google search and direct access remain Reddit's primary sources of traffic, noting these contribute approximately equally to the platform's user base. "[Chatbots are] not a traffic driver today," Huffman stated during the call, adding that relationships with direct partners are "healthy."

Reddit has navigated a complex landscape regarding its data and large language model (LLM) builders. In May 2024, the company implemented a new content policy that restricted commercial use of its data without a license. Subsequent to this policy shift, Reddit secured agreements with both OpenAI and Google, granting them access to Reddit data for model training purposes. Concurrently, Reddit has initiated legal proceedings against AI companies, including Anthropic and Perplexity, alleging unpaid use of its training data.

The company reported a robust financial performance for Q3 2025, with revenue reaching $585 million, marking a 68% increase year-over-year. User engagement also saw significant growth, with 116 million daily active unique users and 444 million weekly active unique users, representing a 20% year-over-year increase. International daily users grew by 31% year-over-year, and over 190 million Americans reportedly visit the social network weekly.

Reddit continues to allocate resources toward enhancing its internal search experience. Huffman noted that 20% of current search volumes are handled by its AI-powered Answers feature and core search box, with 75 million individuals conducting weekly searches on the platform. The company plans to integrate AI more deeply into its core search interface in the coming quarters.

Additionally, Reddit is experimenting with a simplified onboarding process designed to improve early user engagement. This initiative aims to connect new users with relevant content rapidly in their initial sessions, according to Huffman.

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