this post was submitted on 11 Jun 2023
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Asklemmy
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I suspect reddit's reported uprofitablity isn't due to the cost of hosting, but from blowing money in other ways.
Yea, lemmy is volunteer run, so most of the cost is going to be hosting it would seem, unlike reddit who have to pay for employees/office space(?)/legal fees/ect. I would imagine that the larger instances will have the most problems paying for hosting while the small ones will probably be fairly cheap.
Yeah cocaine and hookers don't come cheap
Hookers and blow, right? It's always hookers and blow
Their hosting costs also rose exponentially when they decided to host their own videos and pictures.
Which they could have locked behind Reddit Gold or some pay-tier. /shrug
We don't even know for a fact if they are truly unprofitable or not, it's not like anyone here has reviewed their books.
No, but it would be extra stupid for Spez to say that if it weren't true because it could affect investments and draw legal action.
Honestly, who knows at this point? I've seen some horrible business/legal decisions happen over the last 5-10 years. Some people will practically set themselves on fire just for the chance to make higher profit. Hypothetically, this certainly wouldn't be the first case of a sketchy business drawing bad legal attention to itself, not by a long shot. I have seen a lot of businesses shut because of this type of behaviour.
The other lies from Spez about the developers certainly don't help his case, either. That's another fantastic way for Reddit to open themselves up to potential legal issues.