Re:Reddit is still in turmoil
by TeMPOraL on Friday July 22, 2016 @03:08AM
(#12142170)
Sites like Reddit should not be businesses in the first place. There's a conflict of interest right there, between the very idea of community site and the needs of a business. They've been handling it somewhat gracefully to date, but business pressures increase...
Normally I'd suggest they start another business doing some honest work (i.e. not ad revenue). Say, a hosting service, since they have experience with that already. Reddit then could become a marketing expense for them - something they'd run for the sole ability to say "Yes, we're the ones who're running the Front Page of the Internet! As you can see, we have some experience!".
But, as you said, they took VC money. It changes the picture significantly. I'm not sure they can be helped.
In every get-rich-quick scheme there's a catch. In startups, the catch is that if you care about your product then taking VC money is a difficult decision because it means surrendering your business to the whims of people who absolutely don't care about your product.
Normally I'd suggest they start another business doing some honest work (i.e. not ad revenue). Say, a hosting service, since they have experience with that already. Reddit then could become a marketing expense for them - something they'd run for the sole ability to say "Yes, we're the ones who're running the Front Page of the Internet! As you can see, we have some experience!".
But, as you said, they took VC money. It changes the picture significantly. I'm not sure they can be helped.
In every get-rich-quick scheme there's a catch. In startups, the catch is that if you care about your product then taking VC money is a difficult decision because it means surrendering your business to the whims of people who absolutely don't care about your product.