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From the Apollo creaator himself https://www.reddit.com/r/apolloapp/comments/13ws4w3/had_a_call_with_reddit_to_discuss_pricing_bad/ https://www.reddit.com/r/ap

From the Apollo creaator himself https://www.reddit.com/r/apolloapp/comments/13ws4w3/had_a_call_with_reddit_to_discuss_pricing_bad/ https://www.reddit.com/r/apolloapp/comments/13ws4w3/had_a_ca... Citing the specific piece of text > For reference, I pay Imgur (a site similar to Reddit in user base and media) $166 for the same 50 million API calls.

riku_iki 3y ago
He may have some negotiated heavy discounted plan for now from whatever reason, it doesn't mean all internet owes him discounted plans too. Or he is just not truthful, we can't check.
- Arkhaine_kupo 3y ago
  He also presents his math, related to cost per user in terms of revenue and reddits proposed API cost is 20x average reveneue per user in any similar business model plan. Now I get not every platform users spend the same, and notoriously Apple users can be charged more (see doordash and uber being caught with charging more to those users). I however doubt that reddit users, notoriously hard to monetise, are somehow 20x more valuable than any other user in any other social media that is ad revenue based... Whether you believe the apollo cretaor on his imgur pricing, or you beieve him or not on any other part of his post. The numbers very much point towards malicious pricing. And they are, in so far as they are presented, indefensible.
  - riku_iki 3y ago
    > He also presents his math, related to cost per user in terms of revenue and reddits proposed API cost is 20x average reveneue per user in any similar business model plan. he gets traffic and potential Ads views from reddit, and can't monetize it well enough. Sounds also not like reddit's problem. > The numbers very much point towards malicious pricing. And they are, in so far as they are presented, indefensible. this is pure handwaving without any supporting evidence. Counter-example has been provided: imgur charges similar price on standard plans.
    - Arkhaine_kupo 3y ago
      Reddit makes 12c per user per month and are asking for about 2.5$ per user per month for 3rd parties. > Counter-example has been provided: imgur charges similar price on standard plans. Imgur presents 1/4 of the price for a more expensive hosting option. Even if you refuse to ignore his own quoted price, Reddit still comes off insanely overpriced.
      - riku_iki 3y ago
        > Reddit makes 12c per user per month and are asking for about 2.5$ per user per month for 3rd parties. How did you arrive to 12c and $2.5? Also, is it expensive? Okta for example charges $2 just for sign in: https://www.okta.com/pricing/ https://www.okta.com/pricing/ > more expensive hosting option. this is again your speculations without any evidence. Reddit is much more complicated product with img and video hosting.
        Arkhaine_kupo 3y ago
        > How did you arrive to 12c and $2.5? You could just read the link of what was sent to you, idk might help with having an actual conversation. here is the relevant text. > the average Apollo user uses 344 requests per day, which would cost $2.50 per month > https://www.cnbc.com/2019/02/11/reddit-users-are-the-least-valuable-of-any-social-network.html https://www.cnbc.com/2019/02/11/reddit-users-are-the-least-v... > So at generous estimates of $600M and 430M monthly active users, that's $1.40 per user per year, or $0.12 monthly. These own numbers they've given are also seemingly inline with industry estimates as well In other words the expected price for reddit per user is 12 cents but their pricing model for APIs is retaliatory at 20x that price. > Also, is it expensive? Charging 20x what you make yourself, and again 4 times more than a similar offering? > Reddit is much more complicated product with img and video hosting. No it fucking isn't. 90% of reddit is text by volume and most of it is super short tokens too. Reddit is so uncomplicated you can make it a 1st year uni proyect to make a backend and front end with nested comments and a text post saved in a db. it is so uncomplicated most of its work behind the scenes for the apst 6 years has been on monetisation, such as the new ads, the nfts, the reddit premium, the reddit awards etc. thats where all dev time has gone, because the actual website itself is uncomplicated
- sputter_token 3y ago
  I believe he mentioned elsewhere that he is grandfathered into an older price but even the non-grandfathered price is much lower than what Reddit is going to charge. Another issue he mentioned in an interview is that the price changes are going into effect in 30 days and he can't pass the cost onto annual subscribers for another year. Other companies have given longer time frames when making changes to API pricing.
  - riku_iki 3y ago
    > price is much lower 4x is not much lower given difference in capital investments and complexity of product

riku_iki 3y ago

He may have some negotiated heavy discounted plan for now from whatever reason, it doesn't mean all internet owes him discounted plans too. Or he is just not truthful, we can't check.

Arkhaine_kupo 3y ago
He also presents his math, related to cost per user in terms of revenue and reddits proposed API cost is 20x average reveneue per user in any similar business model plan. Now I get not every platform users spend the same, and notoriously Apple users can be charged more (see doordash and uber being caught with charging more to those users). I however doubt that reddit users, notoriously hard to monetise, are somehow 20x more valuable than any other user in any other social media that is ad revenue based... Whether you believe the apollo cretaor on his imgur pricing, or you beieve him or not on any other part of his post. The numbers very much point towards malicious pricing. And they are, in so far as they are presented, indefensible.
- riku_iki 3y ago
  > He also presents his math, related to cost per user in terms of revenue and reddits proposed API cost is 20x average reveneue per user in any similar business model plan. he gets traffic and potential Ads views from reddit, and can't monetize it well enough. Sounds also not like reddit's problem. > The numbers very much point towards malicious pricing. And they are, in so far as they are presented, indefensible. this is pure handwaving without any supporting evidence. Counter-example has been provided: imgur charges similar price on standard plans.
  - Arkhaine_kupo 3y ago
    Reddit makes 12c per user per month and are asking for about 2.5$ per user per month for 3rd parties. > Counter-example has been provided: imgur charges similar price on standard plans. Imgur presents 1/4 of the price for a more expensive hosting option. Even if you refuse to ignore his own quoted price, Reddit still comes off insanely overpriced.
    - riku_iki 3y ago
      > Reddit makes 12c per user per month and are asking for about 2.5$ per user per month for 3rd parties. How did you arrive to 12c and $2.5? Also, is it expensive? Okta for example charges $2 just for sign in: https://www.okta.com/pricing/ https://www.okta.com/pricing/ > more expensive hosting option. this is again your speculations without any evidence. Reddit is much more complicated product with img and video hosting.
      - Arkhaine_kupo 3y ago
        > How did you arrive to 12c and $2.5? You could just read the link of what was sent to you, idk might help with having an actual conversation. here is the relevant text. > the average Apollo user uses 344 requests per day, which would cost $2.50 per month > https://www.cnbc.com/2019/02/11/reddit-users-are-the-least-valuable-of-any-social-network.html https://www.cnbc.com/2019/02/11/reddit-users-are-the-least-v... > So at generous estimates of $600M and 430M monthly active users, that's $1.40 per user per year, or $0.12 monthly. These own numbers they've given are also seemingly inline with industry estimates as well In other words the expected price for reddit per user is 12 cents but their pricing model for APIs is retaliatory at 20x that price. > Also, is it expensive? Charging 20x what you make yourself, and again 4 times more than a similar offering? > Reddit is much more complicated product with img and video hosting. No it fucking isn't. 90% of reddit is text by volume and most of it is super short tokens too. Reddit is so uncomplicated you can make it a 1st year uni proyect to make a backend and front end with nested comments and a text post saved in a db. it is so uncomplicated most of its work behind the scenes for the apst 6 years has been on monetisation, such as the new ads, the nfts, the reddit premium, the reddit awards etc. thats where all dev time has gone, because the actual website itself is uncomplicated
sputter_token 3y ago
I believe he mentioned elsewhere that he is grandfathered into an older price but even the non-grandfathered price is much lower than what Reddit is going to charge. Another issue he mentioned in an interview is that the price changes are going into effect in 30 days and he can't pass the cost onto annual subscribers for another year. Other companies have given longer time frames when making changes to API pricing.
- riku_iki 3y ago
  > price is much lower 4x is not much lower given difference in capital investments and complexity of product