Reddit weighs cutting off Google’s AI access as its $60M-a-year licensing deal nears renewal and search traffic collapses

by | Jul 22, 2026 | Latest E-commerce News & Updates

Reddit is weighing whether to keep letting Google use its posts for AI, with the two sides negotiating a renewal of the $60M-a-year licensing deal signed in 2024, according to The Wall Street Journal. Executives are questioning what the company gains by feeding Google material when AI-generated answers cut clicks back to the site. USA Today, Politico, Reuters, the Economist, and People Inc. are considering similar moves, though blocking Google's crawler is close to all-or-nothing since it typically pulls a publisher out of both AI summaries and blue-link results. Organic search referrals from U.S. Google users dropped close to 50% at USA Today's flagship paper over the year through June 2026, 23% at Politico, and more than 85% at Business Insider, per Semrush. Google says its AI features “send billions of clicks to the web every week.”

Paul Drecksler is the founder and editor of Shopifreaks, covering the most important stories in e-commerce.

Companies: Google

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