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by dalton 5075 days ago
To be clear, it's not a "dig" at international users.

To speak from personal experience, the site that I was founder/CEO of earlier in my career, imeem, was wildly popular in the Philippines and Thailand. At peak, we were a top 20 site in the Philippines, according to Alexa.

We spent a lot of time adding country-specific filters to music charts, comments, etc once tagalog and thai started seeping into every page of the site.

We loved our foreign users, but from an advertising business perspective, a user in southeast asia is worth a small fraction of a US or UK user. The relative low value of developing country users to brand advertisers is the primary reason sites like Orkut, Friendster, Hi5, etc ended up in the place they are.

It's not a question of nationalism, it really does boil down the what the advertising market is willing to pay. This is one additional factor re:why ad-supported social platforms end up with mis-aligned incentives w/users...

1 comments

I would invest the same way (focus on users in developed economies) if it were my startup - but Google isn't a startup. When you have two of the BRIC economies sewn up in a social network, AND you have cash to stay for the long game, I think you're doing your shareholders a disservice by not sticking it out.