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The same magical place most web startups get their income from.
by danielha 19y ago
The same magical place most web startups get their income from.
- zemaj 19y agoUnicorn tails. As a serious answer; Lots of web-based revenue sources are volume based. The more they grow the more they can make. In advertising this is somewhat exponential - the more popular your service, the larger CPM (cost per thousand page views) advertisers are willing to pay (all other things being equal & to a point). As such, if you don't need a revenue source when you start, it makes sense to build your business first and add revenue later. You could make more in your first month of revenue than all other previous months combined. Twitter could easily add some combination of advertising, premium accounts or premium customisations at any point. However, whether that's good in practice or not is another matter...