Reddit seeks to monetize its data amid the new AI economyReddit IncACTIVTRADES:RDDT.USActivTradesBy Ion Jauregui – ActivTrades Analyst Reddit (NYSE: RDDT) is considering not renewing its data licensing agreement with Google, valued at around $60 million annually, in a move that reflects the growing importance of user-generated content for the development of artificial intelligence models. The company considers its conversations and communities to have become a strategic asset and is seeking to capture greater economic value from the use of its data. Reddit already maintains similar agreements with other technology companies, including OpenAI, while exploring new monetization models linked to the training of artificial intelligence systems. The move comes at a time of transformation in the search business. Artificial intelligence-generated answers could reduce traffic to original websites, affecting digital platforms that have historically depended on search engines to attract users. Financial growth versus stock market pressure Reddit reported $663 million in revenue in the first quarter, representing year-on-year growth of 69%, driven mainly by digital advertising and user growth. The company reached 126.8 million daily active users, while continuing to advance towards greater profitability. However, the stock has experienced a significant correction during the year, as investors continue to assess whether Reddit will be able to transform its user base and data into new recurring revenue streams within the artificial intelligence ecosystem. The market remains focused on the company’s ability to justify its valuation, in an environment where major technology companies are competing to control the resources required to train advanced AI models. Technical analysis The stock closed on Thursday at $168.89. Following the downward gap recorded on Wednesday, the share price has entered a consolidation phase, with its moving averages converging during the latest session. Since the end of March, Reddit has maintained a technical structure of higher highs and higher lows, allowing the stock to recover during recent weeks levels not seen since October 2025. Currently, the RSI stands at 41.95%, after completing a correction from overbought levels, reflecting a loss of buying momentum without yet reaching oversold territory. The MACD confirms the corrective phase, with the MACD line and the signal line moving closer towards the neutral zero zone, while the histogram remains in negative territory, although investors are monitoring a possible stabilization of momentum. From a technical perspective, the $160-$165 range represents the first relevant support area, while a recovery above $180 could improve the short-term structure and bring renewed buying pressure into the stock. Outlook The Reddit case reflects a broader trend within the technology sector: data is becoming an asset with its own economic value. The company is seeking to move from being a content source used by third parties to becoming a strategic information provider for artificial intelligence. The challenge will be finding a balance between protecting the value of its data and maintaining the distribution provided by platforms such as Google, while investors assess whether this new data economy can become a sustainable source of growth. ******************************************************************************************* The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication. All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information. Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance and forecasting are not a synonym of a reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk. Political risk is unpredictable. Central bank actions can vary. Platform tools do not guarantee success.