Save Third-Party Reddit Clients! Stop Reddit from overpricing it's API!


Save Third-Party Reddit Clients! Stop Reddit from overpricing it's API!
The Issue
It has recently come to light, that Reddit will charge API-Consumers (all third-party apps such as Apollo, BaconReader, reditr) $12,000 for 50 million API calls.
As outlined by this post by Christian Selig (the creator of Apollo), Reddit will increase the price of it's API dramatically.
Why is the change in price outrageous?
I will simply quote Christian here, as he did a fantastic job of explaining the financial background. Go read his post.
> As for the pricing, despite claims that it would be based in reality, it seems anything but. Less than 2 years ago they said they crossed $100M in quarterly revenue for the first time ever, if we assume despite the economic downturn that they've managed to do that every single quarter now, and for your best quarter, you've doubled it to $200M. Let's also be generous and go far, far above industry estimates and say you made another $50M in Reddit Premium subscriptions. That's $550M in revenue per year, let's say an even $600M. In 2019, they said they hit 430 million monthly active users, and to also be generous, let's say they haven't added a single active user since then (if we do revenue-per-user calculations, the more users, the less revenue each user would contribute). So at generous estimates of $600M and 430M monthly active users, that's $1.40 per user per year, or $0.12 monthly. These own numbers they've given are also seemingly inline with industry estimates as well.
> For Apollo, the average user uses 344 requests daily, or 10.6K monthly. With the proposed API pricing, the average user in Apollo would cost $2.50, which is is 20x higher than a generous estimate of what each users brings Reddit in revenue.
Who is afffected?
Everybody who is browsing reddit from a non-official client (the official website or iOS/Android app) will be affected. Whats more, the developers which have spent years building these apps and the communities around them will be forced to either pass on the horrendous cost to their users, or stop their operation as a reddit client. Both of these options are not acceptable.
This will lead to developers eventually having to discontinue their services, which will force users to use the official reddit clients which, in all honesty, are a pain in the ass to use compared to most third-party clients.
Whats on the line?
If Reddit's proposal is realized as they wish, effectivly all users will be forced to use Reddit's native platforms instead of third-party apps. This will give Reddit a monopoly over it's users, to do whatever changes they feel are justified, with the users having nowhere else to go.
Why act now?
This is not a one-time thing. Earlier this year Twitter announced a similar change pricing, in fact a larger one than Reddit's. These changes are made very consciously to block third-party clients from operation and force users on the first-party platforms where the companies generate more money. As with Twitter, there must be a backlash larger than Reddit would ever expect.
We call upon Reddit to reconsider its pricing structure and engage in open dialogue with third-party developers. Let's encourage them to explore alternative solutions that promote a healthy ecosystem of diverse apps, fostering competition, innovation, and user choice.
By signing this petition, we demonstrate our support for a fair and reasonable pricing model for third-party Reddit apps. Together, we can make our voices heard and encourage Reddit to find a sustainable solution that preserves the vibrancy of the Reddit community and its unique app ecosystem.
Join us in this crucial endeavor by signing this petition today and sharing it with your fellow Redditors, friends, and family. Together, we can advocate for a thriving Reddit community that embraces diversity and innovation.
Sign the petition now and help save third-party Reddit apps!
Final Words
I thank all of you for reading and signing this petition. I specifically want to thank Christian Selig. Not only for his well written, helpful post on the situation, but for all the work he has put into Apollo. It is one of the best apps I have ever used, and whatever happens, I want him to know that I and all users of Apollo are greatful for the service he has given us.
Sincerely,
Aaron
106
The Issue
It has recently come to light, that Reddit will charge API-Consumers (all third-party apps such as Apollo, BaconReader, reditr) $12,000 for 50 million API calls.
As outlined by this post by Christian Selig (the creator of Apollo), Reddit will increase the price of it's API dramatically.
Why is the change in price outrageous?
I will simply quote Christian here, as he did a fantastic job of explaining the financial background. Go read his post.
> As for the pricing, despite claims that it would be based in reality, it seems anything but. Less than 2 years ago they said they crossed $100M in quarterly revenue for the first time ever, if we assume despite the economic downturn that they've managed to do that every single quarter now, and for your best quarter, you've doubled it to $200M. Let's also be generous and go far, far above industry estimates and say you made another $50M in Reddit Premium subscriptions. That's $550M in revenue per year, let's say an even $600M. In 2019, they said they hit 430 million monthly active users, and to also be generous, let's say they haven't added a single active user since then (if we do revenue-per-user calculations, the more users, the less revenue each user would contribute). So at generous estimates of $600M and 430M monthly active users, that's $1.40 per user per year, or $0.12 monthly. These own numbers they've given are also seemingly inline with industry estimates as well.
> For Apollo, the average user uses 344 requests daily, or 10.6K monthly. With the proposed API pricing, the average user in Apollo would cost $2.50, which is is 20x higher than a generous estimate of what each users brings Reddit in revenue.
Who is afffected?
Everybody who is browsing reddit from a non-official client (the official website or iOS/Android app) will be affected. Whats more, the developers which have spent years building these apps and the communities around them will be forced to either pass on the horrendous cost to their users, or stop their operation as a reddit client. Both of these options are not acceptable.
This will lead to developers eventually having to discontinue their services, which will force users to use the official reddit clients which, in all honesty, are a pain in the ass to use compared to most third-party clients.
Whats on the line?
If Reddit's proposal is realized as they wish, effectivly all users will be forced to use Reddit's native platforms instead of third-party apps. This will give Reddit a monopoly over it's users, to do whatever changes they feel are justified, with the users having nowhere else to go.
Why act now?
This is not a one-time thing. Earlier this year Twitter announced a similar change pricing, in fact a larger one than Reddit's. These changes are made very consciously to block third-party clients from operation and force users on the first-party platforms where the companies generate more money. As with Twitter, there must be a backlash larger than Reddit would ever expect.
We call upon Reddit to reconsider its pricing structure and engage in open dialogue with third-party developers. Let's encourage them to explore alternative solutions that promote a healthy ecosystem of diverse apps, fostering competition, innovation, and user choice.
By signing this petition, we demonstrate our support for a fair and reasonable pricing model for third-party Reddit apps. Together, we can make our voices heard and encourage Reddit to find a sustainable solution that preserves the vibrancy of the Reddit community and its unique app ecosystem.
Join us in this crucial endeavor by signing this petition today and sharing it with your fellow Redditors, friends, and family. Together, we can advocate for a thriving Reddit community that embraces diversity and innovation.
Sign the petition now and help save third-party Reddit apps!
Final Words
I thank all of you for reading and signing this petition. I specifically want to thank Christian Selig. Not only for his well written, helpful post on the situation, but for all the work he has put into Apollo. It is one of the best apps I have ever used, and whatever happens, I want him to know that I and all users of Apollo are greatful for the service he has given us.
Sincerely,
Aaron
106
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Petition created on June 1, 2023