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I don't buy this scenario. The failure scenario I have in mind is their monetized products fail to catch on, and they are basically like Twitter - no other prod
by argonaut 10y ago
I don't buy this scenario. The failure scenario I have in mind is their monetized products fail to catch on, and they are basically like Twitter - no other products that directly compete in that niche, but not a cash cow either. Or WhatsApp - very popular, not a cash cow.
- gjolund 10y agoJust as plausible, if not more so. I just view the constantly aging 18-24 year old demographic as the main driver of viral growth these days. As that demographic ages out a new flavor of the week will emerge.
- wrsh07 10y agoThat would make sense if most high school students didn't currently use Snapchat
- the_watcher 10y agoCommon misconception: Twitter has actually pretty steadily increased its revenue per user. Their issue is that their user growth has basically plateaued far short of the ubiquitous level they need.
- argonaut 10y agoI am aware of that difference. As a company Twitter is not a cash cow.
- malchow 10y agoAs a few dozen people managing a webapp on AWS from home while eating udon noodles, it'd be a cash cow.
- the_watcher 10y agoExactly. Twitter earned nearly $600M last quarter. Claiming that it has not successfully monetized is simply false.
- argonaut 10y agoI know people who have worked at Twitter. Twitter's systems cannot be run, even in maintenance mode, by only a few people on AWS. Not only would Twitter crash / crawl to a halt on AWS, but that's not even enough people.
- the_watcher 10y agoSure, but the statement that they were unable to monetize the product is incorrect. They have successfully monetized the product. They (so far) have been unable to keep the user base growing at a rate that a public company generally requires.
- argonaut 10y agoI didn't say they would be exactly the same company. They would just be in the same position.