Comment by raw_anon_1111
Comment by raw_anon_1111 2 days ago
A moat involves switching costs for users. It’s not related to profitability
Comment by raw_anon_1111 2 days ago
A moat involves switching costs for users. It’s not related to profitability
The idea is war of attrition and then as your potential competitors run out of money and it costs too much for a new entrant, you raise your prices to be profitable and/or enshittify your product.
A moat defends your business, if you lose more money the more users you have, the number of users is not a moat.