It's not about profitabity. It's about marginal revenue per usage. If amazon initially dropped ship books to you that they ordered from Borders for $12 and so

It's not about profitabity. It's about marginal revenue per usage. If amazon initially dropped ship books to you that they ordered from Borders for $12 and sold to you for $10, they would have gone bankrupt. Amazon generally made money on each individual order. Planet Fitness isn't burning money every time you go into their gyms. MoviePass assets decrease every single time any user makes use of them. AMC A-List can possibly survive, MoviePass can't as is. MoviePass has to demonstrate a model where the marginal revenue per usage is > 0 or that the total cost of a user is easily managable to be under their monthly subscription cost. I'm not convinced either are possible. I'm a happier customer because I know what I'm getting and have seen 100+ movies on my costco annual subscription, but have zero expectations for them to survive.