stellarinterstitium t1_iuxeqks wrote on November 3, 2022 at 6:37 PM

Reply to comment by boogrit in A Simple Analysis Of Twitter's Potential Change In Business Model [OC] by chartr

I think they need to recognize that the platform itself is not the value of the offering, it's all the people who participate/provide content. Because of this, there should be a minimal expectation of massive returns. Why should the people providing the value do the paying to support high returns for billionaires?

The platform only fails against the weight of unreasonable expectations for high margin returns from minimal value added. Private ownership should able to filter out these unreasonable expectations that primarily come from the rent-seeking investor class aka Wall St.

Operating cost cuts are fair game to increase this margin, but not at the expense of reducing the quality of participant submissions, which erodes the value of the platform if not protected.

Beansilluminate t1_iuy70gp wrote on November 3, 2022 at 10:01 PM

You can say this about any social platform though.

Same thing for Facebook and it was able to print money for a decade

JCPRuckus t1_iuyfgr3 wrote on November 3, 2022 at 11:03 PM

Facebook lets you connect to your family/friend group. Twitter is random people either quipping or yelling at each other. There's just less value there.

stellarinterstitium t1_iuyq1k2 wrote on November 4, 2022 at 12:18 AM

And it's a lot of work filtering out the garbage, because algorithms foist whatever there business model wants upon you inspitenofnyour best efforts. Facebook has this problem too, however.

stellarinterstitium t1_iuypshz wrote on November 4, 2022 at 12:16 AM

Yes. So much so that they tripped over the moral hazard of spending the windfall on the VR boondoggle.

ItWouldBeGrand t1_iuz3wyk wrote on November 4, 2022 at 1:57 AM

Because the service is as valuable for the high profile users as it is for the business.

phdpeabody t1_iv0h5s5 wrote on November 4, 2022 at 11:22 AM

All the people participating would argue the platform is the value. So in business, Twitter provides utility value, in that the technology is capable of providing services to the customer, as well as network value, in that the number of customers participating in those services provide a unique value to the customers.

The customers provide neither of these values to the service.