Reddit tests ads in search results as traffic declines and growth concerns mount

Reddit is testing ads in search results to increase revenue as its search traffic declines due to Google's AI-powered search changes. The ads will appear based on contextual relevance to a user's search query and are initially being tested with a select group of advertisers. The test aims to refine the experience for users and advertisers over time. Examples of ads that might appear include those for espresso machines or home office setup. Reddit's stock dropped despite beating earnings expectations due to declining search traffic referrals from Google's AI search changes.