Reddit Inc. Faces Technical Issues and Securities Fraud Lawsuits

Reddit Inc.’s stock price has experienced volatility in recent days due to technical issues and potential securities fraud lawsuits.

The company reported a global outage on its platform, affecting over 100,000 users. Reddit has stated that it is investigating the matter.

Several law firms have announced class action lawsuits against Reddit, alleging that the company failed to disclose changes in Google’s algorithm that negatively impacted its advertising revenue. The lawsuits are seeking compensation for investors who purchased Reddit securities between October 2024 and May 2025.

Lawsuit Details

• The lawsuits are class action suits filed by several law firms.
• The suits allege that Reddit failed to disclose changes in Google’s algorithm that negatively impacted its advertising revenue.
• The lawsuits are seeking compensation for investors who purchased Reddit securities between October 2024 and May 2025.

Timeline

• October 2024: Investors began purchasing Reddit securities.
• May 2025: The alleged failure to disclose changes in Google’s algorithm occurred.
• [Current Date]: Several law firms announced class action lawsuits against Reddit.