Reddit Asks Users for Donations to Stay Afloat, Despite Success
True, Reddit is owned by Conde Nast, a billion-dollar corporation that's currently deliberating over whether or not to move to a sparkling new Manhattan office building. But, as Schiraldi explains, it's not like Reddit can just go ask its well-endowed parent for some extra cash. "Here's the thing: corporations aren't run like charities," the programmer points out. "They keep separate budgets for each business line, and usually allocate resources proportionate to revenue. And Reddit's revenue isn't great."
Considering how tight-knit Reddit's community is, soliciting donations from users might not be as far-fetched an idea as it seems. And, even if the attempt comes up short, it could at least help to apply public pressure on Conde Nast, and perhaps convince its budget-makers to throw a few dimes Reddit's way. No matter how you look at it, though, Reddit's plight is another sobering reminder that, in today's deserted online landscape, even a wildly popular and corporately subsidized news site can struggle to break even.
On a related note, the Switched fundraiser starts now. [From: Reddit, via: Gawker]