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this post was submitted on 07 Nov 2023
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Because if you have to subdize to get marketshare then how are you going to maintain that marketshare once you stop subsidizing?
This has been the play for the last decade of cheap VC debt in tech. Wework, Uber, etc all these businesses operate at a loss in the hopes they can someday get a monopoly. That's the explicitly stated business goal or Uber!
It's not sustainable. It's stupid and the bill will come due eventually.
Games as an industry is impossible to make money in unless you're a platform owner. That's just how it is. The 1983 game industry crash and Nintendo resurrection showed that. It's just repeating the cycle.