Reddit sues AI startup Anthropic for violating content agreement and engaging in "unfair competition"

Social media platform Reddit has officially sued artificial intelligence startup Anthropic, accusing it of unauthorized use of platform data constituting a breach of contract, and of carrying out "illegal and improper business practices." In the lawsuit filed in San Francisco on Wednesday, Reddit claimed that Anthropic used personal data to train AI models without users' consent, causing harm to the company through unauthorized commercial use of content. Following the announcement of the news, Reddit's stock price rose over 6% on the same day. Anthropic, founded in 2021 by former executives of OpenAI, was valued at $6.15 billion in a financing round led by Lightspeed Venture Partners in March this year, and received strong support from Amazon. Meanwhile, Reddit, which completed its IPO in 2024, currently has a market value of approximately $22 billion.