There are some ski lifts that give lifetime passes. Its used as a cash injection to fund investments rather than lending off an institution that will want their money back.
Sure you'll want your lifetime video data for free, but I bet there are a bunch of lifetime members that don't watch much over a lifetime and/or the risk of future video watching outweighs the loan interest they'd have to pay otherwise.
@b_n
For me, it boils down to this: relying solely on cash injections to scale up seems short-sighted. Bandwidth costs are often underestimated, especially for high-quality video streaming. If users' lifetime costs outweigh bandwidth expenses, the injection could turn into a liability. I'm concerned about the sustainability of their model. Unlike a ski-lift company that generates revenue from various sources (food, merch, rentals).
Maybe my hosting knowledge is just too old school.
relying solely on cash injections.
That's just the case. Not everyone buys lifetime subscriptions. This is a short term cash injection for investment. I don't know their books, but I doubt the majority of their long term income will come from these lifetime subs.
There are some ski lifts that give lifetime passes. Its used as a cash injection to fund investments rather than lending off an institution that will want their money back.
Sure you'll want your lifetime video data for free, but I bet there are a bunch of lifetime members that don't watch much over a lifetime and/or the risk of future video watching outweighs the loan interest they'd have to pay otherwise.
@b_n
For me, it boils down to this: relying solely on cash injections to scale up seems short-sighted. Bandwidth costs are often underestimated, especially for high-quality video streaming. If users' lifetime costs outweigh bandwidth expenses, the injection could turn into a liability. I'm concerned about the sustainability of their model. Unlike a ski-lift company that generates revenue from various sources (food, merch, rentals).
Maybe my hosting knowledge is just too old school.
That's just the case. Not everyone buys lifetime subscriptions. This is a short term cash injection for investment. I don't know their books, but I doubt the majority of their long term income will come from these lifetime subs.