• Rob Bos@lemmy.ca
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    7 months ago

    It can work out financially - I don’t know how they do it specifically, but suppose they put all the lifetime subs into one investment pool and used the interest on that to fund operations.

    $300 can generate $20 per year for them. So I benefit by only having to pay once, and they benefit by getting a chunk up front instead of having it drip out over time.

    Up front cash can also mean the ability to invest in larger things. They can put it into infra budget instead of ops budget.

    • @rbos yea, that sounds similar to what a lot of these monopolistic internet companies do. But eventually the bill is due.

      If they can’t scale up with what they got, then maybe it isn’t profitable. But what I’m understanding is that they’re using “Lifetime Users” as a gamble to grow.

      hmmm… maybe I just don’t like private infrastructure, but I’m at odds with this model. But if the users understand that the bubble can burst, then I wish them luck.