Reddit CEO Asks Microsoft, Perplexity To Pay Up If They Wish To Continue Using Platform's Data

Microsoft's Bing search engine has been accused of using Reddit's data without authorisation, training its AI, and summarising content without consent. Now Reddit is asking the tech giant to pay up.

The outcome of this conflict between Reddit and Microsoft is still uncertain, but it could have far-reaching implications for future data sharing and monetisation practices.

Source : Reddit, Unsplash/BoliviaInteligente

Reddit has secured deals with Google, and OpenAI and now it is looking Microsoft right in its eyes, demanding its share. Reddit CEO Steve Huffman called on Microsoft and other companies like Perplexity, Anthropic to pay up if they wish to continue using Reddit's data. He stressed that agreements with these companies are crucial for maintaining control over the platform's data and ensuring its responsible usage.

He stated that without the agreements, Reddit has no say in how its data is displayed or used which eventually leads to a loss of control and potential misuse.

Huffman told Verge, “Without these agreements, we don’t have any say or knowledge of how our data is displayed and what it’s used for, which has put us in a position now of blocking folks who haven’t been willing to come to terms with how we’d like our data to be used or not used.”

Tech Giants Refusing To Negotiate

Microsoft, Anthropic, and Perplexity are among the companies that have declined to negotiate, leading Huffman to describe the situation as "a real pain" to block them. In response, Reddit has been combating unauthorised web crawlers and updated its robots.txt file in July to block those without an agreement.

This action has already had significant impacts, with Reddit results now appearing exclusively in Google search results due to a paid agreement. Conversely, Microsoft's Bing search engine has been accused of using Reddit's data without authorisation, training its AI, and summarising content without consent.

This situation underscores the growing tension between data providers and tech giants over data usage and monetisation. By enforcing stricter controls, Reddit aims to have a say in how its information is utilised and presented. This move reflects a broader trend of online platforms seeking to monetise their data more effectively, recognising its increasing value in the AI and machine learning era.