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Comment by anonred | Hacker News Reader

So third-party devs would have to manually cut them a check every month? How would Reddit validate that they’re getting the correct amount? Multiply this logistical nightmare by hundreds of third party developers.

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...yes? It's just an invoice. Determining exact rates are why sales teams and account managers etc exist. Reddit can trivially check app traffic levels. Seems a bog-standard API usage agreement to me.

The problem here hasn't been "reddit charges for API access"; it's the totally unreasonable pricing and switchover timeline.

GP is saying Reddit could trivially skim 30% off of third party app revenue. How is checking app API traffic levels relevant? This is revenue that apps would get through IAP or ads, where Reddit has no visibility. Good luck enforcing any kind of revenue split contract with hundreds of hobbyist devs.

Reddit stated that non-commercial apps keep free API. Reddit leadership doesn’t like that itself isn’t profitable and that others get to profit without paying anything, unjust enrichment. Reddit won’t touch any dev that’s too small, only the ones with large traffic matter. So probably only a handful or two. They can easily determine if anyone’s lying. And if anyone is suspected of lying, they can ask for audited financial statements and tax returns to keep API access. Would be pretty dum by any of them to lie to pay a smaller bill to risk getting your entire business wiped out.

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