• BakerBagel@midwest.social
    link
    fedilink
    English
    arrow-up
    9
    ·
    18 hours ago

    Ok, so how does a shareholder benefit from that? My company that pays people to stomp on kittens at my kitten stomping factory has value in that in gives people jobs and controls the feral cat population, but it creates no profit for the shareholders.

    • iegod@lemmy.zip
      link
      fedilink
      English
      arrow-up
      5
      ·
      16 hours ago

      Yeah reddit’s a weird one. Their financials, aside from this year, are also horrendous. Not sure what value they really bring.

    • rafoix@lemmy.zip
      link
      fedilink
      English
      arrow-up
      2
      ·
      17 hours ago

      Reddit shareholders also own a lot of shares in much more lucrative industries.

      • BakerBagel@midwest.social
        link
        fedilink
        English
        arrow-up
        2
        arrow-down
        2
        ·
        13 hours ago

        I didn’t ask about their other shares. I asked how Reddit’s soft power is able to actually benefit shareholders. I understand how it benefits Spez and those who make the actual decisions at reddit, but if I own 400 shares of Reddit, how do i actually benefit since Reddit will never pay a dividend since it will never actually be profitable

        • rafoix@lemmy.zip
          link
          fedilink
          English
          arrow-up
          2
          ·
          13 hours ago

          The people in power don’t care about people with a few shares. You can sell all your shares right now and nobody would notice.

          Reddit’s power benefits whomever wants to push an agenda and a narrative while minimizing any info that could counter that.

    • NuXCOM_90Percent@lemmy.zip
      link
      fedilink
      English
      arrow-up
      1
      arrow-down
      1
      ·
      edit-2
      14 hours ago

      Companies pay for API access so profits go up and stock value go up.

      I assume the reddit stock doesn’t pay dividends based on profits. But if you bought for 10 dollars and now it is 500 dollars? You can sell some of that stuck to people hoping it will go up to 1000 dollars for a solid profit. And so forth.

      And if it DOES pay dividends (some kinds of stocks do) then a percentage of those profits are directly sent to the share holders based on how many shares they have.

      • BakerBagel@midwest.social
        link
        fedilink
        English
        arrow-up
        1
        arrow-down
        1
        ·
        13 hours ago

        I understand how stocks work. Reddit stock is just a legitimizes greater fool scam as no one will ever get a dividend or see any return in their investment short of managing to sell the stock for more than they bought it. Reddit is absolutely worthless in an strictly economic sense. It’s value is soley in societial and political ways

        • NuXCOM_90Percent@lemmy.zip
          link
          fedilink
          English
          arrow-up
          1
          arrow-down
          1
          ·
          13 hours ago

          see any return in their investment short of managing to sell the stock for more than they bought it

          So… it is a stock that doesn’t pay dividends? Like… that is what stocks are.

          • BakerBagel@midwest.social
            link
            fedilink
            English
            arrow-up
            1
            ·
            13 hours ago

            Which will only actually ever benefit anyone that owns massive amounts of the stock. Reddit has few tangible assets other than their data, which is of questionable value at best. It’s basically like owning stock in a piblic library

            • NuXCOM_90Percent@lemmy.zip
              link
              fedilink
              English
              arrow-up
              2
              arrow-down
              1
              ·
              13 hours ago

              Homie? I assume you are just looking to hear “reddit bad” and… it is.

              But if you are actually attempting to discuss things in good faith? You are just describing stocks and you should REALLY educate yourself on the subject if you ever intend to invest beyond retirement and mutual funds… which most people shouldn’t in the first place but that is an even bigger tangent.

    • Prove_your_argument@piefed.social
      link
      fedilink
      English
      arrow-up
      3
      arrow-down
      3
      ·
      17 hours ago

      The ads/manipulation does a thing that helps you attain profit or power. You want to manipulate what people see and pay for… so you pay reddit to allow you to mass deploy bots bypassing moderator levers. They have the community, you have the objective, you pay for the help of doing this and they probably have their own bot farms included.

      They can even internally flag these entries as bots and use their AI partnerships to analyze what works on users and what doesn’t to trigger a specific response, and to avoid using techniques that get called out as bots.

      They have their public ‘sponsored’ content, but I promise for big spenders they have a program that has no sponsorship callout. They probably brand it with nice fancy marketing terminology that makes it sound like you’re an angel doing god’s work by driving conversions or some stupid shit.

      • BakerBagel@midwest.social
        link
        fedilink
        English
        arrow-up
        1
        arrow-down
        1
        ·
        13 hours ago

        I understand that Reddit has value to an individual or small board that can control what is posted to reddit. What i am saying is that Reddit’s value is entirely in soft power and has no actual path to profitablity. If i am Condé Nast then i can benefit from owning reddit. But Reddit will never pay a dividend, so buying stock in the company is worthless unless you are convinced that some idiot will pay more for it down the road.