Re:Reddit raises $410M in new funding
by shitloadofbooks on Thursday August 12, 2021 @08:20PM
(#28163630)
You do realize reddit is a company that hires humans, right, and those humans need to be paid for their time with money?
You're making a huge leap about profitability based on a fraction of their running costs.
You do realise that TWO THOUSAND YEARS worth of server time just from six (of about 138,000 active subreddits) pays for more than just a handful of employees?
And this is before ad sales.
Hell, when it comes to ad sales...
They hit > $100 mil this QUARTER.
https://redditblog.com/2021/08/12/reddit-secures-funding-to-...
Reddit is a 9 figure company. Soon to be 11 figures.
> We will raise up to $700 million in Series F funding, led by Fidelity Management and Research Company LLC. and including other existing investors, at a post-money valuation of over $10 billion.
They're not hurting.
Based on Reddit's own information, it would appear that they are.
Picking just one frontpage sub, /r/News, you can check the guilded page and see:
> gildings in this subreddit have paid for 142.83 years of server time
pics? 291.80 years.
funny? 364.09 years.
aww? 624.43 years.
askreddit? 724.03 years.
politics? 314.93 years.
That's 6 subs.
According to Reddit's own guildings report, 6 subs on Reddit have paid for a combined 2461.21 years worth of server time.
They're self sustaining. Reddit has bitten the 'growth at all costs' bug.