Hacker News new | ask | show | jobs
by doctor_eval 1112 days ago
> They just shut down a huge ecosystem of free loaders and will be able to show more first party usage and therefore ad views and DAU and so on, which aligns so obviously with their goal of having a huge IPO

My take on this comment is that these people are considered freeloaders by Reddit. It’s not necessarily rational from an outsiders perspective, but that’s not the point.

I don’t know much about reddit, but if they sell advertising, then advertisers are the customers, users are the product, and anyone else who extracts value from the ecosystem are parasites.

It doesn’t matter if the parasites are an important part of the ecosystem. There is a remarkably deep bench of people willing to replace an any “parasites” that are removed, and if exfoliating the current layer will improve DAU and therefore IPO value then it will be done.

In this context, “freeloader” is a nice way of putting it.

To be clear - I don’t agree that any of this is OK, and I certainly don’t agree that moderators or third party apps are actually parasites - but that’s also the point I think the GP is making.

If the only measure of success is money, that’s what they will optimise for. And an IPO is the shortest of short term goals - a single event which must be optimised at all costs.

1 comments

All of these 3rd social media clients really are “freeloaders” though, I don’t get what’s so controversial about shutting them down. If I made my own Netflix client that bypasses their revenue stream, and implemented my own revenue stream on top of it, would anybody be upset or surprised if it was shut down?
Shitty analogy — does your users produce the movies as well?
The users don’t belong to Apollo. Reddit provides a service to Reddit users, Apollo freeloads on that service, cuts off Reddit’s revenue stream, and replaces it with its own. Why would anybody think that Reddit has some obligation to allow this, or that Apollo has some right to do it?
Nobody thinks that, not even the Apollo author, which is why the problem is not that Reddit is charging for access to the APIs, but that they are charging far more than the amount they’re losing.
What is the profit margin on Reddit API calls, and what industry benchmark do you think it’s exceeding?
I think reading the article will answer all your questions.