Posted by echollama 6/28/2025
Doing so would clear the undergrowth for the true innovators to take over and we’ll know who they are when people pay for their products, as functioning markets have always intended.
The current problems are oversupply of who does the creative work as well as no longer requiring interns.
There is both less of a need for new inflow and a problem with existing overproduction.
The first and simpler question is what is a valuable software product? For products where the user expects to pay nothing, like almost all social media, the answer is: the product with the most user-hours. Therefore products that attract many user-hours attract much investment. There isn't some kind of insidious conspiracy to push specific types of products: investors don't care, they care about how many minutes of ads they can push down the pipe (legally).
The second question is: (again for products where the user expects to pay nothing) what products attract the most user-hours?
It seems folks dance around and rarely confront what I consider to be the main explanation here and where the primary cause is: humans choose and prefer to consume and interact with content that induces in them a set of emotions. They generally choose to experience stuff that gets them upset, looks cute, inspires longing, makes them feel lonely, etc.
If one categorizes the things that the consumer chooses as "problematic," where is the problem? The problem as stated is the consumer. One can't engineer a way out of that: folks have tried to provide alternative options and these mostly fail to attract heaps of users.
To put this in the language of TFA: the addiction isn't engineered into the consumer. The addiction was there from the beginning: a million products were tried out, products evolved to better align with preferences, and now the products are "addictive."
So let's imagine that the best way is to return to offline interactions and connections - which take time, trust, respect and value of each other.
The internet is better when used by the nerds, not the general public.
Realistically, this is the most likely solution to reducing addiction on online platforms in my opinion. I’m not sure how likely such regulations will be in the US, but it’s quite telling that the Chinese regulate their version of TikTok, while the US doesn’t regulate theirs.
Eyal wrote another book 5 years later trying to help people control their attention & not falling victim to the playbook he outlined in Hooked.
Why does the author need to moan about how morally destructive it was to raise VC? Just run your social network from your bedroom, while asking ChatGPT how to rewrite the landing page in React.
Commenters all across the internet will say they’d pay good money for a site that does something specific that sounds like a good idea.
Then when the site is built, you will discover that they will not, in fact, pay any money for it at all. You will continue to add the features they request and the goalposts will continue to move.
Social networks are even more difficult to bootstrap because they’re not worth paying for if you can’t find people to socialize with. Nobody wants to sign up for an empty social network.
Even the free social networks have a hard time getting started. There were dozens of Twitter competitors created after Twitter was acquired, but most of them languished. The few that have survived have their own problems that are driving many of their own fans away.
They claim to be profitable, but the TAM for services people are used to thinking of as "free" is small.
Fast forward to 2022: Evernote itself is acquired by a random app studio, and the whole service is now run by something like a dozen people. The CEO of what used to be a "100 year company" moved on.
I thought about this a lot. They never needed those 400 employees, even in 2013, it was absolutely possible to run the same service with a tiny team, it's just that the people at the company's top would be completely different people with completely different aptitude towards building their businesses. It's only if you really, really want to be on stage at Le Web, then you go to investors over and over again and convince them and yourself that a note-taking app needs 400 employees, and you're building a company as a product, not a product as a product.
Looks like the author of the original article here also didn't actually want to build a social network business but rather wants to be in the hothouse of Silicon Valley. Well, good luck to them.
The whole idea of running your company while thinking about TAM and whatever is totally from a VC playbook. If you don’t take VC funding, you stop caring about TAM. Instead, you care about whether having the profit you have makes you — yes, you, personally — comfortable about your life. This is a much, much healthier line of thinking than trying to capture every bloody dollar in this world you can reach.
Well obviously some people would pay. The hurdle that a company needs to clear is getting enough people to pay to support both an engineering staff and the infrastructure costs.
Do the math on how many people are necessary to run a web site with on-call rotation, minimum moderation, and someone to run the business. The number of $2/month subscription required to make that work is prohbitively high.
> but perhaps lots of smaller, focused social networks at $2/pop could work
Even large, free, well-funded social networks are failing to get significant traction or running into echo chamber problems (Bluesky).
I've been hearing for years that a paid social network would work, but if the unpaid social network competitors can't get any traction, what makes you think adding a $2/month signup hurdle would improve the situation?
If you want to see a real-world example of people squirming out of their claims that they'd pay for ad-free services, take a look at any HN thread discussing YouTube premium or their ad-block evasion efforts. The price for ad-free YouTube is reasonable for as much as people watch it, yet when cornered the same audiences who claimed they'd pay for an ad-free version suddenly come up with a multitude of new excuses for why they're refusing to pay. My personal favorite claim (which invariably surfaces in every thread) is when people say they would happily pay for YouTube premium if they weren't so aggressive about adblockers.
Do the math on how many people are necessary to run a web site with on-call rotation, minimum moderation, and someone to run the business. The number of $2/month subscription required to make that work is prohbitively high.
Difficult, but not impossible. At $5/month (the $3 difference wouldn't trigger any price sensitivity, talking from real experience) that's 10000 users. If your service actually provides value, you can crank it even higher. Again, difficult, but totally within the realm of possible.
if the unpaid social network competitors can't get any traction, what makes you think adding a $2/month signup hurdle would improve the situation?
I think a the problem is for every social media user who finds it valuable enough to pay, there are ten more who don’t use it enough justify paying. And if you only serve the first group but not the later, then the first group will just get bored and move back to X or Instagram, or they just ditch social media entirely and move into private group chats. And if you serve the later then your operation expenses will multiply.
Using the heuristic that HR costs are 2x the gross salary, the 10 people are earning 30K/year gross salary (no bonus). And I'm not leaving any room to pay for the compute/storage infra.
Perhaps for you (in the US, I assume). The price is the same everywhere in the world, wages aren't. If you've the choice between paying for food and ad-blocking YouTube, or paying YouTube but having no money for food, the choice is obvious. Just like people here claiming Photoshop is an affordable piece of software...
but if you want to build a social network and aren't dreaming of being gazillionaires for it (which is quite reasonable), then you can get by very easily. how do I know this? because... well it's being done successfully. not was done successfully, is done successfully.
you can probably even get people to help out on it.
you can build a social network with a dedi running nginx hosting your Python application running on a Linux box backed against Postgres (and redis for session storage, although even that is a bit overkill) for like $80/month deployed with a "deploy.sh" script that you run to kick the damn thing into running (Docker is used in dev only, but could easily work here). should you probably add health checks or whatever? yeah. it still works really well.
this scales well past the 100k users mark.
what about video/images/etc? well, this nginx server happily sends out user uploaded video storing them as files on a bog standard ext4 filesystem. backups exist of the site.
the "stack" i mentioned here isn't fancy or particularly tightly optimized, it's in fact pessimized in a lot of ways. hell I know there were a gazillion ways we could improve performance of our application. show the backend app to a game dev and they'd probably want to start strangling people with how poorly optimized most of the actual app is.
and still, it scales well.
again, I stress that this isn't some theoretical idea, this is actively being executed. the entire venture makes money for the team from the users who willingly (and unforcibly in order to use the service, the actual site is free to use in its full form) give money. this isn't ZFS. this isn't Rust. this isn't using some blue-green deployment. this isn't spending hours toiling away at which sysctl to set to squeeze every last cycle out of each box. this isn't behind some massive CDN with "internet scale" boxen or even (for the video serving part) behind any anti-DDoS service.
it's just a matter of doing actual engineering and being willing to actually build the things you want to build.
So I totally agree with your approach.
i think the big thing though is that it's a community and so people are actually willing to support that even if it means the amount of 9s of availability is slightly fewer (although in practice, many providers bust right through their "9s" SLAs without a care in the world) and given a migration from a VM provider to the dedi occurred, migrations obviously can happen if failure presents itself.
But people are cheap as fuck. Even here we post links to archive.is to get around paywalls (which rubs me the wrong way). Every time YouTube Premium come up the comments are full of people saying they won't pay up.
People bemoan “nobody’s willing to pay for an online newspaper” and that’s true: they won’t pay for them in their current user-monetizing form. Same with YouTube: I’m not going to pay for an ad-free YouTube in its current form: with auto-playing next videos, algorithmic recommendations, Shorts, and sponsored content embedded in some creators’ videos. Give me a different, better product that does not try to monetize me, and I might pay for it.
You might say, well, start with 1000 users. But 1000, or 10,000 isn't enough to make a social network interesting. Maybe you could get around this by making it about a specific niche to start with. But that probably won't work, and if it does, you'll end up stuck in that niche.
On the other hand, I don't think this idea is as impossible as people say it is. It's just highly unlikely to be successful, and far more complicated than simply paying someone on Upwork to make it for you.
As a fun fact this existed circa 2002 in a big way in the UK. The site was friendsreunited. I'd love to have that back (along with associated hype a 5 quid a year pricing)