Perhaps you should read Christian’s post on Reddit [1] where he described, in detail, what this truly means and how he was effectively lied to by Reddit; and an interview where he states that he actually understands Reddit charging for API access — he doesn’t understand why the burden is being put on the app developers and why they didn’t give app developers considerable more time to make the adjustment with respect to their own pricing [2].
Reddit isn’t wrong for trying to monetize their API to cover service and server costs. Reddit is absolutely wrong for lying to app developers, charging an egregious amount to the app developers, and for not giving them enough time to be able to change their pricing terms and not leave developers on the hook for millions while existing pricing tiers (such as someone who paid in advance) still have months before renewal.
[1] https://reddit.com/r/apolloapp/comments/13ws4w3/had_a_call_w...
Putting aside the bad salesmanship and planning of selling a forever license, it is absolutely way too much money.
That's my point though. Reddit is NOT charging $2.5/mo for API access. It is charging a set amount per app (based on overall usage), and the developer has to now be in the business of creating and charging for a whole new subscription themselves to make up for what they have to pay Reddit.
Smart on him for selling those…
I don't. I agree with you on the lifetime Apollo access. That was dumb. But $2.5/user/month is crazy for Reddit. Facebook incurs around $2/user/month in costs. I'm sorry, but there's just no comparison in terms of the platform features, stability, performance, and infrastructure. With 430 million monthly active users, either Reddit is valuing their cost at $12.9 billion annually (pro rata), or they're adding a very healthy profit margin to that charge. It's clearly the latter.
One of the problems mentioned in the many Reddit threads discussing the issue about Apollo, is that its creator was selling ULTRA LIFETIME MEMBERSHIPS[2]. Yes, they were charging people money, taking it, then using a free API to deliver paying members their value. The developer now feels he cannot charge lifetime members an extra $2.5/month because he promised them he wouldn't
Beyond the discussion of is Reddit about to die or not, selling LIFETIME access to someone elses free API is a dumb move, which will always end badly
I think Reddit charging $2.5/month for API access is more than fair
[1] https://www.theverge.com/2023/5/31/23743993/reddit-apollo-cl...
[2] https://www.reddit.com/r/apolloapp/comments/r3npbm/last_call...