AS REDDIT STOCK FALLS, CEO QUESTIONS VALUE OF GOOGLE'S AI OVERVIEWS

Summary from the TLDR Marketing newsletter

Reddit's stock fell more than 20% after an earnings report that beat expectations on nearly every metric except search referral traffic. Google's AI Overviews cut website referral clicks by almost half compared to traditional search results, and Reddit's now weighing whether to end its $60M Google licensing deal over it. Google disputes the decline, saying organic click volume to websites has stayed relatively stable year over year. The Economist and Reuters are reportedly weighing similar exits, since the same referral squeeze hits any publisher still dependent on Google search traffic.