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With the proposed 1$/yr/user it is going to take around 19 years to become profitable (with 1bn paid users). Facebook obviously wants a return earlier. The fou
by laurynas-s 8y ago
With the proposed 1$/yr/user it is going to take around 19 years to become profitable (with 1bn paid users). Facebook obviously wants a return earlier.
The founder did take those billions, so not sure what he was expecting to happen, ads looks like the only business model to turn profit quickly in this sort of business.
Besides, there are so many people using WhatsApp in developing countries that wouldn't pay if they can get something similar for free and competition in chat apps is big.
- em500 8y ago> ads looks like the only business model to turn profit quickly in this sort of business. Tencent makes relatively little from ads in Wechat. They earn most from games and payment fees.
- scarface74 8y agoBecause selling loot boxes and other in app consumables is so much more ethical....
- dtech 8y agoI never understand why ads and subscription fee needs to be an exclusive or for how the big players monetize. I'd happily give Google $5/month for Gmail, $10/month for YouTube (I already do), $10/month for google search etc or $40/month for their complete package if they remove ads and respect privacy then. It's less than other "semi-essential" services I have to use like my ISP or car and if they make more than that of me from advertisements the advertising/marketing market must be bonkers.
- hgjwq 8y agoIf you can afford $40/month to use Google, then they can make much more than that simply showing you ads.
- deleted 8y ago[deleted]
- dtech 8y agoYou hear that sometimes but I don't buy it. If that was the case than 1st class in an airline would be plastered with ads, but it isn't.
- chillacy 8y agoYoutube is still useful when not all of your friends use it. Chat apps are not