Reddit Shifts to Logged-In Experience to Combat AI Scraping

Reddit Inc. is transitioning its platform into a primarily logged-in experience, limiting access for users who do not have accounts. CEO Steve Huffman announced the strategic shift during the company's third-quarter earnings call on Thursday, stating the move is intended to deepen user engagement, improve ad targeting, and protect platform data from AI scraping to support licensing deals.

The decision follows a sharp decline in search traffic, with referrals dropping by an average of more than 1 million per week in October as AI-powered search tools reduce click-throughs to external websites. Reddit will begin testing the login requirement in select markets outside the United States during the fourth quarter. While a global rollout date is not yet set, the company is rebuilding its incognito mode to permit some anonymous browsing.

Despite a 2% year-over-year decline in U.S. daily active users, the company reported strong Q3 financial results. Revenue increased 53% year-over-year to $895 million.