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It seems like ad spending is only going to get more difficult since there are way more options, spending is down in general, and Twitter is not video centric. T
by fasthands9 4y ago
It seems like ad spending is only going to get more difficult since there are way more options, spending is down in general, and Twitter is not video centric. That being said if you think those things are true then the absolute right move is to scale back operations and stop trying to be a growth innovator - and instead just be a really great forum. Reddit has 700 employees. Twitter can probably survive with 1000. It probably wont work out but maybe if revenue grows 10% per year and they can get paid features up to 1 or 2B per year it works out.
- toss1 4y agoYup, and to do that, he'll have to go right back to the mainstream moderation he loathes, as advertisers won't pay for even uncertainty (nevermind a hellscape), and the right-wing market won't pay and already has several sunken or underwater competitors.
- everforward 4y agoI can't find an exact breakdown, but the sources I can find say that ads are still a majority of Reddit's revenue. Reddit also has some structural advantages. Building around communities allows Reddit to ban advertiser unfriendly communities, and to threaten to ban others to force them to toe the line. It also gives them rough controls over what other users see (e.g. hiding NSFW content, quarantining subreddits so they don't show up on the not-logged-in front page). They've also managed to convince their users to moderate each other for free, which gives them a really lean head count. I think Twitter would need to substantially redefine their product to compete in that arena. Reddit also only made ~$350M in revenue last year. I don't think competing with Reddit is likely to justify the purchase price of Twitter over the timespan either is likely to survive.