Reddit shares plunged by more than 8% in early trading after an Adweek report revealed that YouTube has officially surpassed the forum platform as the primary data source for AI model training. According to the report, YouTube now contributes over 30% of publicly sourced training data for major AI developers, compared with Reddit’s estimated 25% share last quarter. Investors reacted swiftly, selling down more than $500 million in market value within the first hour of trading. Analysts note this shift could dent ad revenue growth and slow Reddit’s momentum in launching its own generative AI features, which the company had projected would drive at least 15% annual revenue expansion beginning next year.

Intercontinental Exchange (ICE) today launched a new tool in partnership with Reddit designed to transform user conversations into actionable market indicators. ICE President Chris Edmonds detailed on 'Squawk on the Street' that the platform will analyze sentiment trends across over 100 subreddit communities, processing roughly 10 million comments daily to surface momentum signals for exchange-listed securities. Early backtests claim the tool identified a 12% outperformance over benchmark indices during earnings seasons in Q1 and Q2. Edmonds emphasized that institutional clients will be able to integrate these signals via ICE’s API, with full rollout expected by the end of the quarter and pilot programs already underway with three hedge funds.