Reddit Inc. is buying Memorable AI, a startup that uses generative artificial intelligence to help marketers create better ads. This was reported by Bloomberg.
This is the first such deal for Reddit since its debut on the New York Stock Exchange in March 2024. The financial terms of the acquisition were not disclosed. However, it is known that Memorable AI employees will join Reddit's advertising team.
“This acquisition allows Reddit to accelerate our work in optimizing, generating, and selecting ad creative to deliver even better results for advertisers,” stated in Reddit.
New York-based Memorable AI was founded in 2021 and uses artificial intelligence to help marketers predict how often an ad leads to a direct action, such as downloading an app or visiting a website.
Memorable AI has developed a technology that helps advertisers find the most effective texts, images, and videos to use in their sponsored posts. Reddit hopes that this acquisition will improve the quality of advertising on its service.