Reddit Moves to Disqualify Perplexity's Law Firm Over Conflict of Interest
RDDT sits 31% above its 52-week low of $119.27.
Summary
Reddit has asked a federal judge to disqualify Proskauer Rose from representing Perplexity AI in the ongoing data-scraping lawsuit, alleging the firm has a conflict of interest from its prior work for Reddit in a whistleblower case. Reddit claims Proskauer dropped it 'like a hot potato' and had previously vowed not to represent Perplexity. Proskauer denies any conflict and says Reddit has no basis to disqualify the firm. This is a new escalation in the copyright case against Perplexity, which could affect the pace and outcome of litigation. The case is part of a broader wave of AI copyright disputes, and Reddit has licensing deals with Google and others for AI training.
At the time of this announcement, RDDT was trading at $155.98 on NYSE in the Technology sector, with a market capitalization of approximately $30.8B. The 52-week trading range was $119.27 to $263.50. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.