From Yahoo Finance: 2025-06-04 23:57:00

Reddit, Inc. (RDDT) saw a 6.68% increase in share prices to $118.21 after suing an AI company for data scraping. The lawsuit alleges that Anthropic used Reddit’s data to train its chatbot since December 2021. Reddit claims this action is unlawful and seeks to protect user privacy and content rights.

In response to the lawsuit, Reddit stated that legal action was necessary to stop Anthropic’s exploitation of Reddit content without consent. The company emphasized the importance of protecting user privacy and ensuring fair treatment for content creators. Reddit stressed that AI companies must respect data usage limitations and not profit from unauthorized scraping.

Despite Reddit’s strong stance, Anthropic has not issued a statement addressing the allegations. The AI company faces accusations of commercial exploitation of Reddit’s data for financial gain. Reddit’s lawsuit aims to hold Anthropic accountable for its actions and set clear boundaries for data usage by AI firms.



Read more at Yahoo Finance: Why Reddit, Inc. (RDDT) Skyrocketed Today