Entertainment
Reddit Hasn’t Turned A Profit In Nearly 20 Years, But It Just Filed To Go Public Anyway
Reddit, the discussion board site noted for its constantly online user base and for sparking much internet debate, filed for its long-awaited initial public offering on Thursday.
This would make Reddit the first social media business to go public since Snapchat in 2017. The offering will include a twist that may allow some of the most ardent of its more than 70 million daily users to purchase shares in the IPO — something generally reserved for institutional investors.
Reddit Hasn’t Turned A Profit In Nearly 20 Years, But It Just Filed To Go Public Anyway
The company claimed that top users can buy shares based on their “karma,” a term the network uses to describe its users’ contributions and reputation on the website.
“Our users feel a strong feeling of ownership over the communities they form on Reddit. We want this sense of ownership to translate into real ownership — for our users to be our owners’, co-founder and CEO Steve Huffman wrote in a Thursday filing letter. “Becoming a public company makes this possible.”
The company’s registration comes amid a dip in the overall IPO market, with Wall Street hoping that a blockbuster offering will help revitalise dealmaking.
According to a Securities and Exchange Commission filing, the San Francisco-based company plans to list on the New York Stock Exchange under the “RDDT.” The filing comes nearly three years after Reddit recruited its first CFO, and officials, including co-founder and CEO Steve Huffman, began publicly discussing the potential of an IPO to raise the company’s visibility.
Reddit, which has not been profitable, plans to expand its revenue through advertising, offering more e-commerce options, and licensing its data to other companies to train their artificial intelligence models.
“Our work to make Reddit faster, easier to use, easier to moderate and govern, and simpler to navigate and find relevant communities is driving growth today and will continue to be our focus into the future,” Ms. Huffman said.
The company was sold to media giant Condé Nast in 2006 by its co-founders Alexis Ohanian, who left the company in 2020, and Huffman, who now owns 3.3%. According to the IPO filing, the company’s top shareholders are currently Advance Publications (30.1%), which owns Condé Nast, Tencent (11%) from China, and OpenAI CEO Sam Altman (8.7%).
History of the ‘Front Page of the Internet’
The company, dubbed the “front page of the internet,” is a social media veteran; the firm was founded in 2005, the year college buddies Huffman and Ohanian graduated from the University of Virginia. It was the same year that Facebook became Facebook, YouTube released its first video, and Twitter (now known as X) launched.
Reddit’s 18-year history as an online social hub has witnessed tremendous growth, occasional controversy, and sometimes market-shifting pranks.
The network is well-known for its “subreddits,” which are distinct, user-generated discussion boards where users establish communities around various topics ranging from sports to politics to religion and everything in between. the company users frequently post anonymously in these areas, debating topics ranging from memes to big news events.
Reddit Hasn’t Turned A Profit In Nearly 20 Years, But It Just Filed To Go Public Anyway
In 2021, Reddit created widespread market disruption when a community of day traders on the WallStreetBets platform began buying up GameStop shares in an attempt to harm hedge funds that bet against it. Many Redditors who joined the craze late suffered big losses.
Still, the episode highlighted the power of the company communities. Following the WallStreetBets incident, Reddit announced a fresh $250 million investment round, valuing the firm at $6 billion. It also declared plans to grow its workforce and enter overseas markets.
A significant user outcry earlier this year over a proposal to charge some third-party apps millions of dollars in fees to continue using the network brought the company back into the public eye. As a result, hundreds of the platform’s most popular subreddits were offline for weeks. The protest ended after Reddit threatened to expel forum moderators if the blackout continued.
Thursday’s filing provides the most extensive look yet at Reddit’s business, which aims to expand beyond the traditional ad-supported model on which other social networks still rely heavily.
The company says it had more than 73 million daily active users in the latter three months of 2023, up from 52 million in 2021. In its filing, the company stated that the platform would have over 100,000 active communities by December 2023.
The company’s revenues in 2023 were $804 million, up 21% from $666.7 million in 2022. Reddit recorded a net loss of $90.8 million in 2023, less than the $158.6 million loss it experienced in 2022.
Reddit Hasn’t Turned A Profit In Nearly 20 Years, But It Just Filed To Go Public Anyway
While the company estimates its total addressable market in advertising to reach $1.4 trillion by 2027, it also stated in the filing’s risk factors statement that it has “a history of net losses and we may not be able to achieve or maintain profitability in the future.”
The company also announced intentions to increase revenue by selling data to AI startups and focusing on the “user economy.” The filing outlines a future goal to enhance e-commerce on the site and increase user incomes through the Reddit Contributor Programme and Reddit Collectible Avatars Creators Programme. According to the filing, these systems allow users to earn monetary gifts and prizes, from which the corporation may receive a share.
On Thursday, the company also announced an expanded cooperation with Google, which includes access to Reddit data to train Google’s AI models and improve the display of Reddit content across Google platforms.
SOURCE – (CNN)
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Entertainment
We Expect ‘Deadpool & Wolverine’ to Have the Highest Opening Among all R-Rated Films.
(VOR News) – The “Merc with a Mouth” will return to the big screen in Deadpool & Wolverine this weekend, and his contribution to Disney’s Marvel Cinematic Universe extends beyond his R rating.
“Deadpool & Wolverine,” the third standalone feature film featuring Ryan Reynolds as the regenerative reprobate, is expected to gross between $160 million and $180 million in its opening weekend at the domestic box office.
The movie has already surpassed the greatest number of ticket pre-sales in 2024, according to data provided by Fandango. It is anticipated that it will break numerous records during its opening weekend.
Most noteworthy among these accomplishments is the most successful premiere for an R-rated film in history, as well as the largest domestic opening of 2024.
Disney and Pixar’s “Inside Out 2” has achieved the highest opening of the year with a total of $154.2 million, as per the data provided by Comscore.
Additionally, the first “Deadpool” film has achieved the highest début for any R-rated feature film with a total of $132.4 million.
Mike Bowers, the president and CEO of Harkins Theatres, a theatre corporation located in Arizona, stated, “I am confident that this will be the largest R-rated film to ever be released if it is released.” Furthermore, it is already one of the most successful presale films in the annals of our company.
“Deadpool & Wolverine” was initially rated R because of its trailer.
It is also the 34th Deadpool & Wolverine film to be released under the Marvel Cinematic Universe banner. The two Deadpool films that preceded it, both of which were rated R, were produced and distributed by 20th Century Fox.
The reintroduction of the X-Men and Fantastic Four into the broader Marvel catalogue was the consequence of Disney’s acquisition of the corporation in 2019.
Similar to other Marvel Cinematic Universe films, “Deadpool & Wolverine” is benefiting from the enthusiasm of its audience.
Audiences are anxious to view the film during its opening weekend in order to prevent spoilers. Disney has maintained the confidentiality of the majority of the film’s content, and only a limited number of press screenings have been conducted prior to the film’s release.
Bowers anticipates that individuals will continue to return for additional viewings in the weeks following the film’s premiere.
He made the observation that “this is a film that there is so much happening, so many jokes and funny sequences that no one is going to be able to eat just one, you know, they’re going to be back.”
Ellis Jacob, the president and chief executive officer of Cineplex, the largest cinema theatre operator in Canada, echoed Bower’s viewpoint. Jacob asserted that “Deadpool & Wolverine” is replete with Easter eggs and that viewers will revisit the film to attempt to locate them all.
Furthermore, he stated that a substantial number of moviegoers are purchasing tickets for premium screenings, such as IMAX, Dolby, and ScreenX, which are more expensive.
Additionally, Marvel has collaborated with movie theatres to grant licenses for items such as collector popcorn tubs and drink containers, which the theatre operators anticipate will be in high demand.
Historically, concessions have been the most profitable revenue source for movie theatres, and the presence of limited-edition products can result in even greater sales of food and beverages.
” Deadpool & Wolverine” is an essential Marvel release.
Shawn Robbins, Deadpool & Wolverine the inventor and owner of Box Office Theory, announced that Disney had “slowed down the pace” and had scheduled fewer films in the series that has dominated the global box office for over a decade. Box Office Theory is also associated with Robbins.
He stated that Disney is making an effort to correct the course after a series of theatrical errors and poor box office performance, as well as a flood of streaming content that overwhelmed even the most devoted fans of the Marvel Cinematic Universe.
Robbins pointed out that “in the end, despite the fact that this is a Marvel movie, it may be viewed equally as a midsummer action comedy that stars personalities and brands that are loved by both die-hard fans and casual viewers.”
The fact that Reynolds and Jackman have both made a name for themselves in Deadpool & Wolverine popular culture and have maintained a cordial relationship through interviews and social media makes them an ideal pairing.
Likewise, there is genuine curiosity regarding the first R-rated film in the Marvel Cinematic Universe and whether it will retain the qualities that made the first two Deadpool films and [Jackman’s 2017 Wolverine film] Logan so successful.
SOURCE: CNBC
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Business
Warner Bros. Discovery Informs NBA It Will Match Amazon Prime Video’s Offer To Carry Games
Turner Sports hopes to continue its long-standing relationship with the NBA.
On Monday, Warner Bros. Discovery informed the league that it will match Amazon Prime Video’s $1.8 billion annual bid. Turner has had an NBA package since 1984, and games have been broadcast on TNT since the network started in 1988.
“We studied the offers and accepted one of them. This will allow fans to continue to experience our unequaled coverage, including the greatest live game productions in the business and our legendary studio shows and talent, as we build on our proven 40-year commitment for many more years,” WBD stated. “We submitted our matching paperwork to the league today.” We are looking forward to the NBA completing our new contract.”
Warner Bros. Discovery Informs NBA It Will Match Amazon Prime Video’s Offer To Carry Games
The NBA Board of Governors approved the league’s 11-year media rights deals with Disney, NBC, and Amazon Prime Video on Tuesday at its meeting in Las Vegas. WBD received all three contracts on Wednesday, beginning the five-day clock for deciding whether to match.
The new deals, for $76 billion, will begin with the 2025-26 season and entail a game being shown or streamed nationally every night during the second half of the season.
The Prime Video package would have offered games on Thursday night after it finished carrying NFL games. The other nights were Friday and Saturday.
TNT would air games on Thursday, with the other nights being streamed on Max.
Warner Bros. Discovery CEO David Zaslav warned at an RBC Investor Conference in November 2022 that Turner and WBD “don’t have to have the NBA.”
Warner Bros. Discovery and the league could not negotiate an agreement during their exclusive bargaining period, which ended in April. Zaslav and TNT Sports Chairman/CEO Luis Silberwasser have recently announced that they intend to match one of the agreements.
“During our four-decade collaboration with the NBA, we have consistently provided exceptional coverage for basketball fans. WBD stated that they behaved in good faith to offer strong proposals that were fair to both parties throughout exclusive and non-exclusive negotiations to maintain their long-standing collaboration. “Regrettably, the league notified us of its intention to accept other offers for the games in our current rights package, leaving us to proceed under the matching rights provision, which is an integral part of our current agreement and the rights we have paid for under it.”
NBC and WBD would alternate broadcasting one of the conference finals series. ESPN and ABC will continue to broadcast the league’s top package and will host conference finals and the NBA Finals each year.
According to people familiar with the negotiations, Amazon’s offer contained a mechanism for paying many years in advance into an escrow account, which many thought would be difficult to match. However, WBD has informed the league that it has the financial resources to do so.
“The Ringer’s” Bill Simmons originally mentioned the Amazon provision on “The Town” podcast.
People talked to the AP anonymously because they were not at liberty to discuss such serious topics.
Warner Bros. Discovery Informs NBA It Will Match Amazon Prime Video’s Offer To Carry Games
WBD pays $1.4 billion per season under the existing nine-year contract, which expires after next season.
WBD is making a large financial investment, but it is necessary. Without the NBA, it would have struggled to charge its present subscriber fees to cable and satellite companies.
Retaining the NBA would also ensure that the popular “Inside the NBA” show will continue. Charles Barkley was dismissive of WBD’s negotiation position and did not believe it would match. Barkley revealed at the end of this season that he planned to retire following the next season.
SOURCE – (AP)
Celebrity
American Who Made Social Media Threats Against Taylor Swift Detained Ahead Of German Concert
BERLIN — An American man who made threats against Taylor Swift on social media was seized before her first concert in Gelsenkirchen, Germany, and will be held in custody until her gigs there end, authorities said Thursday.
swift | AP news Image
American Who Made Social Media Threats Against Taylor Swift Detained Ahead Of German Concert
According to police, the accused stalker, a 34-year-old whose name has not been disclosed, had a ticket to Taylor’s concert at Gelsenkirchen’s Veltins-Arena on Wednesday. They stated that he was detained at event admission checks because an early assessment could not completely rule out a risk.
According to police, the man threatened Taylor and her partner on social media. They say he was detained after receiving tips from the event’s organizers.
The American superstar will perform in Gelsenkirchen on Wednesday, Thursday, and Friday as part of her Eras tour. According to authorities, a local court has ordered that the suspected stalker be detained until Saturday.
They went on to say that Swift and the audience were always safe. The event drew approximately 60,000 people on Wednesday evening and went off without incident.
American Who Made Social Media Threats Against Taylor Swift Detained Ahead Of German Concert
Before the concerts, Gelsenkirchen temporarily renamed the town “Swiftkirchen” and honored the singer on a “Walk of Fame” dedicated to local luminaries.
Taylor has plans to perform in two more German cities after Gelsenkirchen: Hamburg and Munich.
SOURCE | AP
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