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This reads exactly like what people said about DigitalOcean when we launched it.
by neom 2y ago
This reads exactly like what people said about DigitalOcean when we launched it.
- deleted 2y ago[deleted]
- imglorp 2y agoHow was DO able to provide what AWS didn't want to? Was it purely margins?
- neom 2y agoAWS just really didn't want to, very different market segment. They were doing a pure enterprise play, looking to capture most of the enterprise. We were doing a b2c play that we presumed over time would suck us up into the SMB. My theory was we had like 1% risk from them. From what I could tell Jeff and Jassy had zero interest in our segment. I left just before the IPO but when we started it, the margin was about 60%, after we figured out how many VMs we could comfortable fit on the box, Ben U just did napkin math and said "50% seems like a fine enough margin to start"
- count 2y agoTo be fair, DO was muuuch sketchier in the past (eg https://news.ycombinator.com/item?id=6983097 https://news.ycombinator.com/item?id=6983097). Launching any multitenant system is HARD. Many of them are held together with bubble gum and good intentions….
- neom 2y agoBoy I'm never going to live that one down around here huh? Hackernews always going to keep you honest, ha. :D