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Reddit's AI Search: The Next Gold Rush?
6 Feb
Summary
- Reddit sees AI search as a major future revenue opportunity.
- AI-powered search users grew from 1 million to 15 million.
- Content licensing for AI training is a growing non-ad revenue source.
Reddit is strategically focusing on its AI-powered search engine as a key opportunity for business growth and revenue generation. The company is actively integrating traditional search with generative AI capabilities, anticipating that AI will enhance the user experience for the majority of queries.
Significant user engagement has been observed, with weekly active search users increasing by 30% over the past year, reaching 80 million. Notably, the AI-powered Reddit Answers feature has seen exponential growth, expanding from 1 million weekly active users in Q1 2025 to 15 million by Q4 2025.
Reddit is also enhancing its AI answers interface with richer media elements and plans to eliminate the distinction between logged-in and logged-out users starting in Q3 2026 to personalize the site. Beyond search, Reddit's content licensing business, which permits AI model training on its data, is a growing contributor to its non-ad revenue, which reached $140 million for 2025.
