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I agree that it's simplistic, but it captures the fact that organizations need money to survive. Yes, companies offering "free" products have to serve two maste
by dangoor 8y ago
I agree that it's simplistic, but it captures the fact that organizations need money to survive. Yes, companies offering "free" products have to serve two masters: the ones who use the product, and the ones who pay the bills. For many, the temptation will be strong to maximize profits as far as possible without completely losing the users. Facebook has been in the news a lot because of this very thing.
I think the core of this statement really is that if the users and funders of a product are the same, their interests are much better aligned.
- pauljarvis 8y agojarod lanier and ezra klein talk about this in a recent episode of klein's show: companies can become more durable and much more aligned with the needs of their customers if they get paid directly by those customers (instead of selling those customers and making money off a third party, like advertisers).