this post was submitted on 06 Sep 2024
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cross-posted from: https://lemmy.world/post/19466667

Money, Mods, and Mayhem

The Turning Point

In 2024, Reddit is a far cry from its scrappy startup roots. With over 430 million monthly active users and more than 100,000 active communities, it's a social media giant. But with great power comes great responsibility, and Reddit is learning this lesson the hard way.

The turning point came in June 2023 when Reddit announced changes to its API pricing. For the uninitiated, API stands for Application Programming Interface, and it's basically the secret sauce that allows third-party apps to interact with Reddit. The new pricing model threatened to kill off popular third-party apps like Apollo, whose developer Christian Selig didn't mince words: "Reddit's API changes are not just unfair, they're unsustainable for third-party apps."

Over 8,000 subreddits went dark in protest.

The blackout should have reminded Reddit’s overlords of a crucial fact: Reddit’s success was built on the backs of its users. The platform had cultivated a sense of ownership among its community, and now that community was biting back.

One moderator summed it up perfectly: “We’re the ones who keep this site running, and we’re being ignored.” 

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[–] Dead_or_Alive@lemmy.world 19 points 2 months ago (3 children)

I can’t pinpoint when Reddit died in my eyes. But I can say the long road to where it is today started with Reddit Gold.

Reddit Gold was a minor change that didn’t do much of anything besides offer a way to collect money directly from the user base. But it was the start of monetizing the site and every decision by Reddit management after that point furthered that monetization at the expense of everything else.

[–] gerbler@lemmy.world 24 points 2 months ago (2 children)

I didn't mind Reddit gold as a method of paying for upkeep on an ostensibly free site. If well-off Redditors wanted to chip in to help with maintenance resulting in fewer or less intrusive ads then that's grand.

The point when they started losing me was when the Reddit front page modernised into the Instagram feed looking abomination it is today and when they shifted from Reddit gold to the silver diamond thing they have now. No I don't want to make an avatar. No I don't want to follow users or have them follow me.

It started as the last example of old social media like forums and got metric'd into this half-formed freak of a site that seems to actively resent the users that build and maintain their entire platform.

Hell, I chipped in for reddit gold. I'm not well off, I just used the platform loads and didn't mind paying a little for something I enjoyed. Like so many others, my goodwill was pissed on, though, and I am just another paying customer that they lost. The API thing was the final nail in the coffin for me.

[–] Anticorp@lemmy.world 4 points 1 month ago

Spez and his executives do resent the users. He's on record making statements which make it clear that he sees the user's resistance to monetization as a roadblock between him and his money. The fact that people built all of the content on the entire site for free, doesn't matter to him. He actively hates them for not behaving in a way that gets him more money.

[–] Angry_Autist@lemmy.world 19 points 1 month ago (2 children)

I can pinpoint the exact moment: When the admins actively gave t_d a full pass on anything they wanted to do in 2016.

That single act drove away more users than any previous exodus.

[–] lvxferre@mander.xyz 5 points 1 month ago

There were even earlier signs of Reddit caring more about profit than the best interests of the users.

2014: buying and crippling Alien Blue. Reddit could've built its own official app and users would have two to choose from; or it could have bought and improved Alien Blue. By doing neither, Reddit showed complete disdain towards user experience.

2015: Reddit fired Victoria Taylor. Except that Taylor did an essential job there, as she was a bridge between Reddit Inc. and mod teams; she was for example the one verifying people for Ask me Anything (back then it was a big deal).

You probably could find even more signs of that, if digging further. And while neither is as serious as the way that Reddit handled T_D, both already show that it was putting revenue over users.

There were a few around that same timer period. IIRC, that’s also about when the whole /r/jailbait controversy happened, and the site suddenly had a really bad reputation among non-users. Like before it had been seen as a weird site, but then it was suddenly seen as outright predatory. Users suddenly didn’t want to associate with the site. Then the t_d stuff happened, which just compounded the issue of users not wanting to associate with the site due to the bad reputation.

[–] lvxferre@mander.xyz 6 points 1 month ago

Reddit Gold is a great example IMO.

If Reddit's goal was to serve users, instead of profit, it might've still implemented Reddit Gold. A site doesn't run for free, and having another source of income could help to serve users better.

However then the nature of Reddit Gold would be completely different:

  • There wouldn't be a "gilded" sorting, as it enables astroturfers to exchange money for visibility.
  • There wouldn't be microtransaction mechanics associated with it, such as packs of "X+Y coins" associated with broken values in real money (so you need to pull out a calculator to know which one has the cheapest price).
  • Even if platinum might've appeared, silver wouldn't. Because the userbase was already joking about a "Reddit silver" award; so creating a Reddit silver was basically "nice meme you have there, it's now my source of profit, sucker".
  • It wouldn't change every five minutes as they were trying to find the best way to capitalise on it. "Gold! Awards! Coins! Back to gold! Rewards system!"
  • They would've asked the users on potential ways to finance the site without contradicting its values.