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The Tech Basic > News > Reddit Seeks Better Terms From Google for AI Data Use
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Reddit Seeks Better Terms From Google for AI Data Use

Salman Akhtar
Last updated: 19 September 2025 22:30
Salman Akhtar
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Reddit is in talks to revise its content licensing deal with Google. The company wants a new model that would pay based on how much Reddit content is used by AI systems. Reddit also wants Google to send more of the traffic it generates back to the Reddit site so users will join communities and post more content. These talks reflect growing pressure on platforms to get fairer value for the data that fuels AI tools.

Reddit
Image Source: TipRanks

Deal changes sought

The current agreement with Google began more than a year ago and was reported to be worth about sixty million dollars per year. Reddit now proposes a move from a fixed annual payment to a dynamic pricing model. Under the proposal, Reddit would receive more when its posts and threads are cited more often by AI answers. The company argues that this would better match payment to value. Bloomberg reporting says Reddit raised the idea to Google in recent discussions.

Reddit is also asking Google to help convert search traffic into active users. Many readers see Reddit content inside AI summaries or search snippets and do not click through to the site. That pattern limits community growth and future content production. Reddit hopes that a tighter integration or different presentation of Reddit content in Google products would encourage more visitors to become logged-in users. Bloomberg says this conversion piece is a major focus in the negotiations.

Image Source: TipRanks
Image Source: MSN

Market and impact

Reddit has become one of the most cited sources for AI-generated answers. Studies and trackers show Reddit often ranks near the top of domains that large language models and AI search tools cite. That prominence is part of why the platform seeks a pricing model tied to actual usage in AI outputs. Visual Capitalist and other analysts document how often AI systems draw from Reddit content relative to other sites.

The talks come after Reddit changed its robots rules and made paid licensing agreements a condition for access to recent posts. The shift was meant to protect content and to create a new revenue stream beyond advertising. News coverage and market analysts note that search-driven exposure can help site traffic, but can also let AI summaries replace direct visits. That trade-off helps explain why Reddit now wants a more nuanced deal.

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Salman Akhtar
By Salman Akhtar
View enlightening tech pieces written by Salman Keep up with the most recent news, advice, and trends in the field of technology.

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