this post was submitted on 17 Oct 2023
1684 points (95.0% liked)
Technology
60033 readers
2871 users here now
This is a most excellent place for technology news and articles.
Our Rules
- Follow the lemmy.world rules.
- Only tech related content.
- Be excellent to each another!
- Mod approved content bots can post up to 10 articles per day.
- Threads asking for personal tech support may be deleted.
- Politics threads may be removed.
- No memes allowed as posts, OK to post as comments.
- Only approved bots from the list below, to ask if your bot can be added please contact us.
- Check for duplicates before posting, duplicates may be removed
Approved Bots
founded 2 years ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
I undersand the difference but how are they going to be profitable if they are not increasing the revenues
I think what he means is that even though they're offsetting the costs, they still aren't profiting. Let's say it costs Spotify $30 per free user per month, some of whom become premium subscribers for $10 per user per month. That means for premium users, it still costs $20 per user per month. The free users are still costing $30/month though, so they show ads to reduce that cost to $25/month, which is less of a money sink, but still not outfit