Re:Reddit raises $410M in new funding
by blagie on Thursday August 12, 2021 @04:46PM
(#28161230)
The problem is that throwing money rarely leads to the outcome desired.
I would know how to run a high-quality reddit on $5M/year, and perhaps as much as $20M. I would not know how to run a high-quality reddit on $100M/year.
The term is 'overcapitalized.'
At some scale, people focus on climbing corporate ladders over the core business, on pet projects, and communications becomes a bottleneck (and the number of potential links grows as a square law with the number of people).
The right scale depends on the complexity of the product. A car requires an army to engineer and produce.
Reddit? That benefits from a small team, where people can holistically understand the whole system, and everyone involved. That's at most 20 SWEs.
I would know how to run a high-quality reddit on $5M/year, and perhaps as much as $20M. I would not know how to run a high-quality reddit on $100M/year.
The term is 'overcapitalized.'
At some scale, people focus on climbing corporate ladders over the core business, on pet projects, and communications becomes a bottleneck (and the number of potential links grows as a square law with the number of people).
The right scale depends on the complexity of the product. A car requires an army to engineer and produce.
Reddit? That benefits from a small team, where people can holistically understand the whole system, and everyone involved. That's at most 20 SWEs.