Ba(i)d Business Models

In this episode, Andrew Davis and Chris Branch discuss the problems with advertising-based business models. They highlight the frustration of users being inundated with ads on platforms that were originally free to access. The hosts explore the evolution of advertising models and the success of TikTok's advertising approach. They also raise ethical concerns with influencer marketing on TikTok.   The conversation delves into the disappointment of subscription services introducing ads and the similarities to the old Sky model. The lack of innovation in business models and the pressure to chase profits are discussed, along with the sacrifice of long-term company future for short-term gains.   The episode concludes with a reflection on the hope for change with Gen AI companies and the uncertainty of whether the cycle will ever change.   Takeaways Advertising-based business models can be frustrating for users who are inundated with ads on platforms that were originally free to access. TikTok has successfully implemented an advertising model, but there are ethical concerns with influencer marketing on the platform. The introduction of ads on subscription services can be disappointing for users who expected an ad-free experience. The lack of innovation in business models and the pressure to chase profits can hinder the user experience. There is hope for change with the emergence of Gen AI companies, but it remains uncertain whether the cycle of advertising-based business models will ever change.