[scarface74]

I don't think they lose any money at all. They pass the entirety of those costs onto customers.

If that’s the case, that’s a business model I’m all for. Charge people enough money to make your product sustainable instead of just trying to gain a lot of users and hope you will figure it out later. Of course even then you have to have enough scale to cover the fix costs and offer it a price to make it affordable, but don’t start off thinking the answer to everything is advertising.