Congratulations to Dalton and co for trying something hard and worthwhile, and wrapping it up responsibly when it didn't pan out.
It raises a lot of interesting questions about the sustainability of the "app economy" for me.
I continue to be at least somewhat optimistic that non ad-supported models are worth trying. It seems like Patreon is doing really well and is perhaps something we can all learn from.
I remember trying to explain why it wasn't a stupid idea to people way back when it launched on HN, and had kind of assumed that it'd died years ago.
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Hypothesis: If you can find a way to provide value while you build up the network, the product would do better.
Second hypothesis: If you can find a way to acquire valuable users with a low-effort funnel and 'leech' users with a paid funnel that would also make the product perform better.
Taking these as assumptions for a moment, this would imply a natural advantage for federated networks if they provide interoperability between different services that have value on their own without network effects.