Reddit's stock price plummeted 30.44% to $90.15 on Friday, bringing its weekly decline to 44%, after its CEO warned that Google's AI search features were reducing referral traffic. CEO Steve Huffman stated that Google's AI search features are decreasing referral traffic and could lead to a shrinking user base for the platform. The company's strong third-quarter revenue and earnings performance were overshadowed by a weaker-than-expected fourth-quarter revenue forecast and slowing user growth, further exacerbating investor concerns. Huffman noted that Google search referral traffic decreased by an average of over 1 million per week in October, and this downward trend accelerated towards the end of the third quarter. He believes that Google's AI Overviews and AI models directly generate answers and summaries within search results, allowing users to obtain information without clicking through to the Reddit platform, which puts pressure on Reddit's advertising business.