Reddit Shares Slid 6% as Meta’s New ‘Forum’ App Rattles Investors Amid Intense Battle for Online Communities

Reddit shares fell about 6% after investors reacted to Meta’s experimental Forum app.

Forum is being tested on iOS and tied to Facebook Groups for topic-based discussions, putting it in direct competition with Reddit.

Analysts warned Meta’s scale, ad network, and AI ambitions could pressure Reddit’s user growth and long-term valuation.

The move raises concern that Reddit’s forum model and casual traffic could face new competitive risk, even as the company remains relevant to AI data and ad growth.