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The biggest problem is that their revenue per user is atrociously low compared to other social platforms. That money should be thrown at poaching as much ads ta

• blagie 5y ago
  The problem is that throwing money rarely leads to the outcome desired. I would know how to run a high-quality reddit on $5M/year, and perhaps as much as $20M. I would not know how to run a high-quality reddit on $100M/year. The term is 'overcapitalized.' At some scale, people focus on climbing corporate ladders over the core business, on pet projects, and communications becomes a bottleneck (and the number of potential links grows as a square law with the number of people). The right scale depends on the complexity of the product. A car requires an army to engineer and produce. Reddit? That benefits from a small team, where people can holistically understand the whole system, and everyone involved. That's at most 20 SWEs.