Friday, September 7, 2012

HUNCH: User as Customer

App.net makes the user the customer by charging for site usage, rather than selling user information to ad companies. 

In theory, it's a really intriguing idea and gets at the lack of control and balance that is plaguing the p. info marketplace. But my hunch is that it won't succeed and here is why:

Social networks requires something very important: people. App.net costs $50 for a year of service. With such radically successful 'free' services like FB and twitter, I don't expect many people to switch. I also believe that if FB, for example, were losing their fanbase (their 'value' essentially), they would change their model to adapt to the needs of the user. At this moment however, there is not enough outcry to warrant such a change on either side.

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