Reddit is an online platform where users create and participate in interest-based communities called subreddits — over 100,000 active communities covering virtually every topic. Users come to Reddit either to scroll through community discussions or to seek specific recommendations and answers, often arriving via Google searches. Reddit does not require real identities, which Reddit argues encourages more honest conversation than social-graph-based platforms. Reddit had roughly 121 million daily active users and 472 million weekly active users as of Q4 2025. Reddit generates roughly 95% of its revenue from advertising, selling contextual and interest-based ads that let brands target users within specific communities or by broader interest signals. Ad revenue scales with user growth, impressions, pricing per impression, and advertiser count — Reddit grew its active advertiser base over 75% YoY in Q4 2025. The remaining ~5% of revenue comes from licensing its corpus of over 2 billion posts and 22 billion comments to AI companies and search engines, including Google and OpenAI, for training and search applications. Reddit's business model has very high gross margins (above 90%) and minimal capex, reflecting the low marginal cost of serving additional users and advertisers. Key growth priorities include improving user onboarding, expanding internationally via machine translation (live in 35 languages), scaling performance advertising through ML-driven targeting tools, and broadening the advertiser base from large brands into mid-market and SMB customers.