The entire controversy with Reddit has been going on too long, but both sides aren't backing down with some subreddits still on private. Reddit CEO Steve Huffman says that the API pricing is here to stay even with all that.
Hoffman Stands His Ground
The social site's CEO said they would not undo the business decision even as the protest persists, also pointing out that users were probably annoyed by the blackout because there was nothing to gain from it. As he claimed previously, the protest will pass.
It was also explained that there has been some confusion as to what was affected by the API changes. For instance, mod tools, as well as accessibility apps, are not affected. It was believed that the API policy would affect everything, even the smaller app developers.
Huffman says that the vast majority of their API users are within the free limits of the API, which means that the general belief of Reddit shutting out all third-party apps was false. They had also made deals with accessibility apps like Luna, RedReader, and Dystopia.
It was also clarified that the API price change was made so that Reddit would be able to sustain the costs of API usage. The bigger third-party apps will start to pay to cover their costs, which Huffman told developers back in April, as mentioned in his interview with The Verge.
The Reddit CEO reasoned that certain apps have made millions from using the social network's API, all without having a contract and not paying for the costs that the company is paying. He even pointed out that one third-party app was owned by an ad network.
The interview states that it costs Reddit around $10 million in pure infrastructure costs to support the apps, all while the third-party apps are actually earning. The tech CEO said that Reddit was the only company that allowed competitive products to exist.
Other companies such as Facebook, Twitter, and Snap have banned them entirely. Although the company believes in free markets, the third-party apps will have to start covering their costs, and Huffman said that they were mad because they used to get something for free.
He reasoned that paying about $1 per month for API usage was a reasonable deal, given that it was far cheaper than Reddit Premium, which was cheaper than what people were willing to pay. It was also less than what third-party apps charge their users.
What's Next for Reddit
Since the CEO made it clear where his decision lies, it looks like the API pricing is here to stay. The good news is, the company is willing to talk with app developers to create deals, as well as provide free access to third-party apps that make it easier to navigate through Reddit.
Several subreddits have already gone public again, with almost half of the forums with more than 20 million members. According to Reddark, from more than 8,000 subreddits, only a little over 4,900 are still currently dark.
