Reddit CEO Steve Huffman is making a big change: he's ending the era of free data use by companies. Reddit has made deals with Google and OpenAI, and now Huffman wants Microsoft and other companies to pay if they want to use Reddit's data.
Huffman says these deals are important to keep control over how Reddit's data is used and shown. Without these agreements, Reddit can't control how its data is displayed or used, which could lead to misuse.
Huffman told The Verge that without agreements, Reddit has no control over their data and has to block companies that don’t agree to their terms. Microsoft, Anthropic, and Perplexity haven’t agreed to pay, making it hard for Reddit to block them.
Reddit’s new approach is already showing results: Google is showing Reddit content in search results due to their deal, while Microsoft’s Bing has been accused of using Reddit’s data without permission.
Huffman criticized Microsoft’s AI CEO Mustafa Suleyman for calling public internet data "freeware," implying that companies should pay for using Reddit’s data. This situation highlights growing tensions between data providers and tech companies over how data is used and paid for. The outcome of this standoff could impact future data sharing and monetisation.