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by alanctgardner2
4630 days ago
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Comparing this to Google Reader is ridiculous. Google Reader was free, and it had a small potential market. Even if Google Reader had 100% of the market (which I'm sure people will say it did), the number of potential users was not huge, and the amount of revenue they could bring in was pretty small. Even if App Engine isn't tremendously valuable now, it's a growth market, and easily monetizable. Google isn't going to burn a bunch of customers who could be - if they end up being the next Netflix - worth hundreds of thousands of dollars in recurring revenue. I wish people would stop with the hyperbolic Google Reader stuff. Google's bread and butter are web ads, and they're a shrinking market. As Facebook can attest, mobile is hard to monetize, and it makes a lot of sense to focus on areas where people can just pay you directly. AWS has already validated this market, Google has the capacity to deliver, they've just fumbled the execution wildly. |
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