I'll still browse old.reddit.com on a computer partly just because of r/sysadmin but yeah, Lemmy is my preferred platform these days (maybe throw in a dash of Kbin)
“ When reached for comment, Reddit spokesperson Tim Rathschmidt directed me to Reddit's API FAQ page and said the company couldn't comment further because it's in a quiet period and doesn't "comment on confidential business conversations and/or agreements." ”
We can infer that it was not the fountain of money they thought it would become. Hence, all the special exception for leftover third-party apps to not abandon a leaking ship.
More telling is their silence. Who doesn't want to promote and advertise how profitable they are to potential shareholders just before an IPO.
Reddit never expected the new api pricing to be a fountain or money. This was never about LLMs or the lack of ad revenue.
If it was just about LLMs they could have made one price for api users that were primarily harvesting data and a different price for api users that contributed significant content or moderation. Which would make good business sense to do so as content contributors are what bring the eyeballs (and therefore the value) to the platform.
It wasn’t about ad revenue either, by all estimates the revenue from a third-party app user would have been many times more than the opportunity cost from the ad revenue they were missing out on from 3rd party app users. If they wanted to profit from the api pricing, they only needed to give the community more time to transition business models. They didn’t even need to give everyone more time, just a dozen or so major third party apps.
This was always about killing off the third party apps. The ones they let survive had low user counts to begin with and went even lower.
I don’t know their real motivations here but so far there’s only two possibilities that i can think of.
A) Reddit’s leadership and board of directors are beyond incompetent
B) They collect significantly more data from the first party app than they were able to from the third party apps, and they’re selling that data for a significant sum of money beyond just their own ad ecosystem.
B) They collect significantly more data from the first party app than they were able to from the third party apps, and they’re selling that data for a significant sum of money beyond just their own ad ecosystem.
My money is on this being the reason...the official reddit app is ridiculously invasive.
Last year, Reddit sparked massive controversy when it dramatically changed the prices and rules associated with accessing its API.
The changes were so drastic and polarizing that they led to an epic protest from Reddit users and moderators that saw thousands of subreddits going private and engaging in other forms of inconvenience for weeks.
"Unfortunately, due to Reddit now charging for access to their API, Narwhal has been forced to add a subscription in order to use the app.
I asked again for this story, and Harrison said he couldn't provide full details but noted, "Reddit was willing to work with me so that I could transition the app to subscriptions in a reasonable timeframe, especially considering it's not my full-time job."
Keeping both apps open means people who bought Infinity for Reddit+ before July 1 are able to easily continue using it (after paying a subscription fee), Ning explained.
(Infinity for Reddit is still listed as a free install on Google's Play Store, but users are required to buy a subscription in the app.)
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