Nineteen years after its debut, Reddit is now a publicly traded company. It was listed on the New York Stock Exchange as RDDT for the first time on Thursday, with mascot Snoo on hand to ring the opening bell.

The company aimed to sell 15.3 million shares at $34 a pop to raise around $519.4 million. Stockholders collectively planned to sell 6.7 million shares in the IPO for a total of $228.6 million (Reddit itself wouldn't see any of that money though). The IPO price values Reddit at just under $6.5 billion.

The sale’s underwriters also have the option to buy 3.3 million shares at the IPO price over the next 30 days. So if the stock soars over the next few weeks, the underwriters can pick up shares relatively cheaply. If all those sell, Reddit will pull in another $112.2 million or so. One other interesting aspect of Reddit going public is that it invited long-term users in good standing the chance to snap up shares at the IPO pricing over the last few weeks.

It’s been a long road for Reddit to go public, and it’s doing so long after many of its peers (the last major social media IPO was Pinterest back in 2019). Conde Nast bought Reddit in 2006, just over a year after the platform went live, and spun it back out as an independent subsidiary in 2011. Reddit first filed for an IPO in 2021.

The company has had plenty of controversies to address during its run. Last year, users protested against the company's decision to start charging for API access, effectively killing some third-party apps that hooked into the platform. Thousands of subreddits went private and/or stopped letting users post for a while. Indeed, in its S-1 filing, Reddit notes the importance of its users, stating that if "engagement declines, our business, results of operations, financial condition and prospects will be harmed."

Most recently, Reddit signed a deal with Google said to be worth $60 million a year to train the latter’s AI models on user-generated content. Reddit later said the Federal Trade Commission was looking into the arrangement.

The Federal Trade Commission is looking into Reddit’s AI licensing deals, the company disclosed in paperwork filed with the Securities and Exchange Commission. The company, which is in the midst of its Initial Public Offering, said that the regulator notified Reddit officials that it “intended to request information and documents” about the company’s AI deals.

It’s not clear why the FTC is probing Reddit’s relatively new licensing business, but it seems to be in the early stages of its inquiry. “On March 14, 2024, we received a letter from the FTC advising us that the FTC’s staff is conducting a non-public inquiry focused on our sale, licensing, or sharing of user-generated content with third parties to train AI models,” Reddit wrote in a filing. “Given the novel nature of these technologies and commercial arrangements, we are not surprised that the FTC has expressed interest in this area. We do not believe that we have engaged in any unfair or deceptive trade practice.”

Reddit’s deals to license its catalog of user-generated content are a key part of the company’s strategy to grow its revenue as it gets ready to go public. On the day the company filed for IPO, the company announced it had reached a deal with Google, which will use Reddit data to train its AI models. That arrangement was reportedly worth around $60 million. The company said it was in the early stages of “exploring” these types of deals.

According to Axios, other companies have received similar letters from the FTC. The regulator has previously shown an interest in the current wave of generative AI upstarts and their relationships with large tech companies, The FTC is currently investigating Microsoft, Alphabet and Amazon over their investments into prominent AI startups.

In case you need another reason to shout "tax the rich" from the rooftops, it's here, and it's going to make you angry. A study found that 35 major US companies paid their top five executives more than they paid in federal income taxes between 2018 and 2022, the Guardian reports. The findings, which come from The Institute for Policy Studies and Americans for Tax Fairness, are even less shocking when you learn the worst offender: Tesla.

Elon Musk's company earned $4.4 billion during those five years and gave its executives $2.5 billion. Despite that, Tesla not only didn't pay any federal taxes, but it received $1 million in refunds from the government. Musk himself is the second richest person in the world, with Forbes reporting he had a net worth of $207.9 billion at the start of March.

Tesla is one of 35 companies that paid less federal income tax than they paid their top five executives during that period. In total, the well-deserving and not-at-all greedy execs of these companies raked in $9.5 billion over these years, while cumulatively those same companies received $1.8 billion back from the government. Eighteen of these businesses reported net profits over the five years but didn't pay a cent of federal income tax. (All but one got refunds).

The study lists other notable companies like T-Mobile, Netflix, Ford Motor and Match Group alongside Tesla. T-Mobile made $17.9 billion, paid executives $675 million and received $80 million in refunds. The mobile provider has spent an incredible amount of money on lobbying Congress for tax breaks, spending $9 million in 2022 alone. Netflix actually did pay some taxes, but the $236 million was just 1.6 percent of its $15.1 billion in earnings — and just over a third of what it paid those top five executives. The statutory rate for federal income tax is 21 percent, so yeah, feel free to scream.

April is just around the corner, so if you're not stressed about filing taxes yet, it's likely coming any day now. Thanks to the lovely (read: horrible) tax lobby and the politicians who take their money, the headache taxes bring is as American as apple pie. The IRS is attempting to simplify things a bit with a Direct File tool, a free digital program that provides step-by-step guidance for taxpayers submitting their returns, The Associated Press reports. The IRS first announced this tool was on its way back in October.

To clarify, yes, even this development still requires filing your taxes and determining how much you owe (why tell us when we can just guess?), but it should be a more straightforward process and save you some money. However, it's far from open for all. The IRS pilot program is available to residents of 12 states and only those with a simple tax situation — we're talking basic W-2s and standard deductions here. Other potentially eligible reporting includes SSA-1099 Social Security income, the Child Tax Credit and student loan interest. The IRS has a complete list of eligibility requirements and a tool to check if you qualify.

Direct File is available to residents of Florida, Nevada, New Hampshire, South Dakota, Texas, Wyoming, Washington, Arizona, California, Massachusetts, and New York. The last four also require state tax returns, so their residents who use Direct File will be directed to tools for filing those once they are finished. Alaska was initially in the mix but has seemingly been dropped since last year's statement.

Sam Altman is back on the board of OpenAI, nearly four months after the CEO was ousted, and quickly reinstated, from the company he founded. Although Altman had returned as the AI company’s top executive in November, a temporary board oversaw his return and the subsequent investigation into his conduct.

That investigation is now complete, according to the company, which added three new members to its board of directors. The additions include: Instacart CEO and former Meta executive Fidji Simo, former Sony executive Nicole Seligman and Dr. Sue Desmond-Hellmann, former CEO of the Bill and Melinda Gates Foundation. Salesforce co-CEO Bret Taylor, economist Larry Summers and OpenAI co-founder Greg Brockman, who served on the temporary three-seat board, will remain in their positions with Taylor continuing as chair.

The announcement caps off a tumultuous several months for the AI company, which was rocked by Altman’s abrupt ouster last fall.

On Friday, OpenAI also published a summary of the findings from WilmerHale, a law firm that the company’s board retained in December 2023 to conduct an independent investigation into the events that led to Altman’s firing. Despite that, however, we’re no closer to finding out exactly why Altman, who rejoined the company as CEO within five days, was fired to begin with.

“WilmerHale [found] that the prior Board’s decision did not arise out of concerns regarding product safety or security, the pace of development, OpenAI’s finances, or its statements to investors, customers, or business partners,” the summary said. “Instead, it was a consequence of a breakdown in the relationship and loss of trust between the prior Board and Mr. Altman.” WilmerHale also concluded that OpenAI’s previous board fired Altman abruptly without giving notice to “key stakeholders”, and without giving Altman an opportunity to respond to its concerns.

To come to this conclusion, the firm reviewed more than 30,000 documents and conducted dozens of interviews with OpenAI staffers including previous board members over the last few months.

Rivian generally had a good day yesterday, launching the R2 SUV along with the surprise R3 crossover and dune buggy-esque R3X that were met with general acclaim. Buried in that press release, however, was the news that the automaker is halting production of its $5 billion Georgia plant in order to save money. 

Instead of building the R2 in Georgia as originally planned, the company will start production of the electric SUV at its existing Normal, Illinois plant. "Beyond significantly reducing the amount of capital needed to bring R2 to market, the company believes this approach considerably reduces risk to the launch and associated ram," the company said. 

The move will also allow Rivian to bring the R2 to market sooner, in the first half of 2026, while saving the company $2.25 billion in capital spending in the short term. That's important since it has been burning through cash of late, according to recent reports.

Elliot Ross Studio

Of all the EV startups to come along of late, Rivian has been one of the most promising thanks to significant investments from Amazon, Ford and others. The company's electric R1T pickup and R1S SUV were also widely praised for their attractive designs, healthy range and more. 

Ramping up an automotive startup is no easy feat, though, especially in a market that's been tough on EVs of late — with even stalwart Tesla feeling the pinch. It doesn't help that startup rivals like Fisker are having serious cash flow issues, as it may spook consumers wary of untested EV brands.

Rivian selected Georgia as the site for its second EV factory back in 2021, receiving up to $1.5 billion in state incentives. At the time, the company said it hoped to eventually produce 400,000 electric vehicles there annually. With plant changes, the Normal, Illinois facility will augment capacity to 215,000 units annually across R1T, R1S, EDV, RCV, and R2.

The Georgia location remains in the picture, but Rivian only said it construction would restart later. "Rivian’s Georgia plant remains an extremely important part of its strategy to scale production of R2 and R3," it said in a statement. 

Spotify said on Thursday it will raise its subscription prices in France in response to a new tax designed to support the nation’s music industry. CEO Daniel Ek wrote an open letter denouncing the tax, which France’s government passed in late 2023. The streaming service hasn’t yet said how high the price hike will be, other than teasing, “French users will now pay the highest subscriptions across the European Union.” 

France’s CNM tax imposes a levy on music services that earn over 20 million euros ($21.9 million) in the country: Spotify, Apple Music and Deezer. (Apple Music and Deezer have opposed the tax but haven’t announced similar price hikes.) The companies pay the new 1.2 percent charge on all streaming revenue generated in the country. Social media companies licensing music, including TikTok and Facebook, are also subject to the tax. The fees will go to the nation’s Centre National de la Musique (CNM), a public institution supporting and promoting the French music industry.

Spotify’s initial response in December was to pull financial support from French music festivals Francofolies de la Rochelle and Printemps de Bourges. The company threatened to pull its services from Uruguay when a similar tax was announced there but ultimately backed down when the Uruguayan government said streaming services wouldn’t have to cover any costs.

Spotify hasn’t made similar threats to exit France, likely because the country is much more crucial to its bottom line. Instead, it’s waging a public pressure campaign, including Ek painting the tax as an unnecessary government money grab that only partially funds the music industry.

“This tax will generate approximately 15 million euros, when the CNM’s administrative budget (office fees, personnel, capital expenditure, media monitoring or professional training etc.) sits at 20.2 million euros,” the CEO wrote in his public letter. “Our concern is that possibly less than half of its overall 146.9 million euros budget will find its way toward effectively aiding music.”

Other than listing the CNM’s administrative budget, Ek didn’t provide any evidence that the fees wouldn’t go toward aiding music.

Spotify’s revenue grew 16 percent year-over-year to €3.7 billion ($4.05 billion) in Q4 2023, in what it described as “a very strong quarter.” Its CEO sold $57.5 million in stock in February, following a $64 million stock sale in October 2023.

“As we have long said, we simply can’t absorb any additional taxes,” Ek wrote. “Even after making the difficult decision to reduce our artist marketing budget and support of French music festivals — which is an essential vehicle for Spotify to continue to drive hundreds of millions of euros to the music industry — it still continues to impede our ability to operate in France. Accordingly, over the coming weeks and months, we’ll need to make changes to our price plan in France.”

Ek says French subscribers will learn more about the price hike “in the coming weeks.”

OpenAI co-founder Elon Musk has sued the company, his fellow co-founders, associated businesses and unidentified others. He claims that, by chasing profits, they’re violating OpenAI’s status as a non-profit and its foundational contractual agreements to develop AI “for the benefit of humanity.”

The suit alleges that OpenAI has become a “closed-source de facto subsidiary” of Microsoft, which has invested $13 billion and holds a 49 percent stake. Microsoft uses OpenAI tech to power generative AI tools such as Copilot.

According to the filing, under OpenAI’s current board, it is allegedly developing and refining an artificial general intelligence (AGI) “to maximize profits for Microsoft, rather than for the benefit of humanity. This was a stark betrayal of the Founding Agreement.”

The suit defines AGI as "a machine having intelligence for a wide variety of tasks like a human." Musk argues in the suit that GPT-4, which is purportedly "better at reasoning than average humans," is tantamount to AGI and is "a de facto Microsoft proprietary algorithm."

Musk has long expressed concerns over AGI. He claims the theoretical tech posits "a grave threat to humanity," particularly "in the hands of a closed, for-profit company like Google."

According to the filing, OpenAI CEO Sam Altman and fellow co-founder Greg Brockman persuaded Musk to help them start the non-profit and to fund its early operations in a bid to counter Google's advancements in the AGI space with DeepMind. He noted that their initial agreement called for OpenAI's tech to be "freely available" to the public. Musk claims to have donated $44 million to the non-profit between 2016 and 2020 (he stepped down as an OpenAI board member in 2018). As TechCrunch reports, Musk previously said he was offered a stake in OpenAI's for-profit subsidiary, but rejected it due to "a principled stand."

Muskl, of course, has some skin in the game. Since the public debut of OpenAI's ChatGPT in November 2022, there's been a battle between tech giants to offer the best generative AI tools. Musk joined that rat race when his AI company, xAI, rolled out ChatGPT rival Grok to Premium+ subscribers on his X social network last year.

When Altman swiftly returned to power after OpenAI's board shockingly fired him in November, he's said to have appointed a new group of directors that is less technically minded and more business-focused. Microsoft was appointed as a non-voting observer. “The new board consisted of members with more experience in profit-centric enterprises or politics than in AI ethics and governance,” the lawsuit alleges.

The suit accuses the defendants of breach of contract, breach of fiduciary duty and unfair business practices. Musk is seeking a jury trial and a ruling that forces OpenAI to stick to its original non-profit mission. He also wants it to be banned from monetizing tech it developed as a non-profit for the benefit of OpenAI leadership as well as Microsoft and other partners.

Competition regulators in the US, the UK and European Union are said to be examining OpenAI's partnership with Microsoft. It was reported this week that the Securities and Exchange Commission is investigating whether OpenAI misled investors. Several news organizations have sued OpenAI and Microsoft as well, alleging that ChatGPT repurposes their work "verbatim or nearly verbatim" without attribution, infringing upon their copyright in the process.

Fisker has announced its future plans alongside preliminary 2023 and Q4 earnings, and it's not looking great for the EV manufacturer. The company plans to lay off 15 percent of its workforce — nearly 200 people — as it shifts from a direct-to-consumer to a Dealer Partner model. The company is halting all investments in upcoming models and will resume only if in partnership with another automaker.

The company's fourth-quarter revenue increased to $200.1 million from $128.3 million in Q3. However, its gross margin was negative 35 percent, and it lost $1.23 per share. Its sole EV on the market, the Ocean SUV, also had 10,193 units produced but 4,929 vehicles delivered.

The automaker first introduced its pivot to a Dealer Partner Model in January and claims it has received interest from 250 dealers across North America and Europe, along with 13 signed agreements. "We are aware that the industry has entered a turbulent, and unpredictable period," Henrik Fisker, chairman and CEO of Fisker, said in a statement. "With that understanding and taking the lessons learned from 2023, we have put a plan in place to streamline the company as we prepare for another difficult year. We have adjusted our outlook for 2024 to be much more conservative than in 2023." The company plans to deliver between 20,000 and 22,000 Ocean models across the world. 

Fisker is currently negotiating with "a large automaker" for an investment and joint production of future EVs. This means that previously announced vehicle production, such as the Alaska EV pickup with humungous cup holders and a designated cowboy hat space, will be on hold indefinitely. Fisker originally planned to start production on the Alaska EV pickup in early 2025. 

After years of speculation, Reddit has officially filed paperwork for an Initial Public Offering on the New York Stock Exchange. The company, which plans to use RDDT as its ticker symbol, will also allow some longtime users to participate by buying shares.

In a note shared in the company’s S-1 filing with the SEC, Reddit CEO Steve Huffman said that many longtime users already feel a “deep sense of ownership” over their communities on the platform. “We want this sense of ownership to be reflected in real ownership—for our users to be our owners,” he wrote. “With this in mind, we are excited to invite the users and moderators who have contributed to Reddit to buy shares in our IPO, alongside our investors.”

The company didn’t say how many users might be able to participate, but said that eligible users would be determined based on their karma scores while “moderator contributions will be measured by membership and moderator actions.”

The filing also offers up new details about the inner workings of Reddit’s business. The company had 500 million visitors during the month of December and has recently averaged just over 73 million “daily active unique” visitors. In 2023, the company brought in $804 million in revenue (Reddit has yet to turn a profit). The document also notes that the company is “exploring” deals with AI companies to license its content as it looks to expand its revenue in the future.

Earlier in the day, Reddit and Google announced that they had struck such a deal, reportedly valued at around $60 million a year. “We believe our growing platform data will be a key element in the training of leading large language models (“LLMs”) and serve as an additional monetization channel for Reddit,” the company writes.