Substack is having a moment, again. But can the startup live up to its massive $650 million valuation?
The positive attention is a welcome change for the once-hot startup, which previously attracted huge buzz as it set off a newsletter renaissance, with journalists leaving their jobs to establish their own direct-to-consumer media properties. Major firms like Andreessen Horowitz invested in and pumped up Substack's valuation to $650 million.
"We're not assuming that Twitter will go away, but we do believe that people will continue to want real alternatives to addiction-based social media and seek out platforms where they're in control," Best said."In 2023 you'll see us continue to build tools that make Substack the best place for that: where writers and creators can connect with their communities, grow their audiences, and earn money through direct relationships with their subscribers.
"Most media organizations take advantage of their talent — how many millionaire writers do you know?" the former employee told Insider."Not a lot. But there are a lot who became millionaires on Substack." "For companies in the last couple of years that raised capital at a billion-dollar valuation on little revenue, if you're a company that raised that kind of valuation, it could be 10 years before you grow back into it," one VC told Insider, adding that not all startups in this boat will be able to make it back in the first place and that down rounds are coming for startups that need to raise capital in 2022.
"My takeaway was that these guys are throwing money around essentially for blogging. Get it while it lasts," Ackerman told Insider. He asked Substack for $200,000 for one year and accepted a $120,000 offer. As part of his deal, the company took 85% of Ackerman's paid subscription revenue. If he had stayed beyond a year, that would have flipped to Substack's customary 10% cut.
I want Substack to feel like an index fund of culture, with a lot of people who genuinely disagree with each other, even people I strenuously disagree with. And if you look at it quantitatively, if you look at the leaderboards, I would say we're actually succeeding fairly mightily in that.Substack has staunchly defended its content-moderation policies, saying it does not tolerate harassment but more or less refuses to police its platform.
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Insider: 10 thoughts on the Colts' meltdown against the VikingsThe Indianapolis Colts are in complete control of this game but throw it all away against the Minnesota Vikings.
Read more »
Insider: How the Colts suffered the worst collapse in NFL historyThe Colts led 33-0 at halftime ... and lost. Here's how it happened.
Read more »
Rockets insider: Houston suffers another energy dropThis time the drop was in the second half, when the Rockets shot 39 percent, 16.7 percent...
Read more »
Insider: Without Jonathan Taylor, the Colts were done in by their own identityThe Colts made it clear against the Vikings that they will run the ball whether they have an All-Pro back or not, and it contributed to the collapse.
Read more »
Patients could be charged hundreds just to message doctor: APHospitals, in some cases, can charge a Medicare patient $3 for an inquiry but if you are uninsured the cost could run up to $160.
Read more »
I collect toy donations. These are the 6 biggest mistakes I see.I help parents provide holiday gifts for their children. Here are the 6 biggest toy donation mistakes I see.
Read more »