Reddit, the well-known social media platform, is currently under investigation by the Federal Trade Commission (FTC) of the United States concerning its practices of licensing data for the training of artificial intelligence (AI). This probe surfaces as Reddit is on the brink of launching its highly anticipated initial public offering (IPO). The company disclosed the FTC’s investigation in an updated Form S-1 registration statement to the U.S. Securities and Exchange Commission on March 15, 2024, following a notification from the FTC the previous day. In the filing, Reddit expressed that the FTC’s inquiry did not come as a surprise, attributing
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