I love how the media has thrown around the word algorithm. They don’t need to sell their algorithm for a competitor to compete. An algorithm produces some result output. So you could easily clone an algorithm without knowing its exact implementation.
Maybe I know quicksort, but you know mergesort. The customer doesn’t give a fuck which algorithm was used, so long as it’s sorted.
This is a bad take. Yes, “algorithm” is a vague term, but it’s incorrect to suggest that they’re easily cloned. These algorithms are what makes social media companies. Without them, they wouldn’t have the same kind of user engagement. It’s why, outside of the fediverse, social media companies try to hide or demote linear timelines. It’s why they pour most of the R&D money into the recommendation algorithms.
It’s probably not a bluff. They’ve pretty much saturated the U.S. market; there’s not much room left to grow here. It would make more sense to focus their efforts on growing in other regions where they have plenty of headroom to increase their userbase and monetization. Depending on how things play out, they could match their current revenue in a matter of years and still have room left to grow. There’s also the potential to re-enter the U.S. market down the line. Why would they throw that all away and essentially create their own competitor by selling their core technology and diluting/confusing their brand with whatever U.S. company they sell to?
Call their bluff
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I love how the media has thrown around the word algorithm. They don’t need to sell their algorithm for a competitor to compete. An algorithm produces some result output. So you could easily clone an algorithm without knowing its exact implementation.
Maybe I know quicksort, but you know mergesort. The customer doesn’t give a fuck which algorithm was used, so long as it’s sorted.
This is a bad take. Yes, “algorithm” is a vague term, but it’s incorrect to suggest that they’re easily cloned. These algorithms are what makes social media companies. Without them, they wouldn’t have the same kind of user engagement. It’s why, outside of the fediverse, social media companies try to hide or demote linear timelines. It’s why they pour most of the R&D money into the recommendation algorithms.
But that’s not really an algorithm.
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That was my original point. The media and hence business / management use this term (incorrectly)
They could just say IP, or platform, or service, or implementation. But I guess saying algorithm makes everyone sound smart.
It’s probably not a bluff. They’ve pretty much saturated the U.S. market; there’s not much room left to grow here. It would make more sense to focus their efforts on growing in other regions where they have plenty of headroom to increase their userbase and monetization. Depending on how things play out, they could match their current revenue in a matter of years and still have room left to grow. There’s also the potential to re-enter the U.S. market down the line. Why would they throw that all away and essentially create their own competitor by selling their core technology and diluting/confusing their brand with whatever U.S. company they sell to?