1 month ago
Reddit, champion known for hosting forums for users to share, talk and ballot connected content, received a lukewarm invited connected Wall Street.
Shares, which waste and acquisition connected nan New York Stock Exchange nether nan ticker "RDDT," roseate by 60% aft pricing astatine $34, nan precocious extremity of nan expected range. The reception is simply a affirmative parameter for nan societal media sector, which has been experiencing an IPO barren spell.
Founded successful 2005 by web developer Steve Huffman and entrepreneur Alexis Ohanian, hubby of tennis champion Serena Williams, Reddit has been backed by respective marquee investors, from task superior elephantine Andreessen Horowitz to China's tech behemoth, Tencent Holdings.
MEET THE CEO OF REDDIT
BEVERLY HILLS, CALIFORNIA - MARCH 27: Alexis Ohanian and Serena Williams be nan 2022 Vanity Fair Oscar Party hosted by Radhika Jones astatine Wallis Annenberg Center for nan Performing Arts connected March 27, 2022 successful Beverly Hills, California. (Photo by Lion
Huffman, who faced backlash from users complete his $193 cardinal salary package, defended his compensation earlier this week.
Steve Huffman, CEO of Reddit attends Variety & Reddit An Evening With Future Makers astatine Wynn Las Vegas connected January 05, 2023 successful Las Vegas, Nevada. (Photo by Greg Doherty/Variety via Getty Images / Getty Images)
"I'm gladsome this mobility was asked because there's been a batch of commentary connected this topic," Huffman said successful a Q&A video connected nan level up of nan IPO. "So broadly, nan measurement my compensation useful is it has net and stock. The committee evaluates my capacity and sets my compensation." He besides explained an extended vesting schedule and performance-tied awards.
The institution has mislaid money each twelvemonth since its motorboat and has struggled to lucifer nan commercialized occurrence of rivals, which see nan world's apical tech giants.
REDDIT CEO DEFENDS BIG PAYDAY
"Google, Meta (including Facebook, Instagram, Threads, and WhatsApp), YouTube, Wikipedia, Snap, X, Pinterest, TikTok, Roblox, Discord, and Twitch" are each rivals, arsenic noted successful its prospectus revenge pinch nan Securities and Exchange Commission.
REDDIT'S PUBLIC DEBUT COULD MEAN BIG BUCKS FOR OPENAI CEO SAM ALTMAN
| GOOGL | ALPHABET INC. | 148.74 | +1.71 | +1.16% |
| META | META PLATFORMS INC. | 505.52 | +9.28 | +1.87% |
| SNAP | SNAP INC. | 11.20 | +0.15 | +1.36% |
| PINS | PINTEREST INC. | 34.30 | +0.41 | +1.20% |
| RBLX | ROBLOX CORP. | 38.28 | +0.47 | +1.23% |
Some advertisers person balked astatine galore Reddit users' attraction connected niche contented and nan platform's attack to content moderation. The level relies connected users who unpaid to mean nan contented posted connected Reddit forums.
FOX Business' Eric Revell and Breck Dumas contributed to this report.
