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3 Answers
Deepak Mehta (दीपक मेहता)
TL;DR: $5-10 bn


The easiest way to do so would be by using comparable firms.

Reddit is in the social media + news domain which makes it a little hard to do so as it doesn't actually have direct peers. The things that come closest is Quora.

(Pure social networking sites are Facebook, Twitter, LinkedIn, Pinterest, Meibo etc and news websites would be Techcrunch, Mashable, Digg etc).

Comparing Reddit with it's peers:
Let us only take FB, Twitter and LinkedIn first as they have had their IPOs and we have a lot of data we can work with.

1. MAUs (Monthly active users)
Facebook, Twitter, LinkedIn and Reddit have 1190, 232, 259 and 90 million MAUs respectively. The 1st 3 are valued at $135 bn, $35 bn and $25 bn respectively.
So, reddit's value could be $10.2 bn, $13.6 bn and $8.7 bn if compared against each of the 3 others.

2. Total time spent by users on the site
MAUs, however, is not a good indicator of the earning potential of a website (which is usually through ads).
A better metric is the total time spent by users on the site (which is directly proportional to ad views and clicks).
According to a study by Go-gulf.com, an average user spends 6.75 hours/month on Facebook, 0.35 on Twitter, 0.3 on LinkedIn and 0.27 on Reddit. Multiplying this by the # of users gives us total time spent per month.

This places Reddit at $5.4 bn (FB), $27 bn (Twitter) and $22.5 bn (LinkedIn).


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