From their website: The Gfycat service is being discontinued. Please save or delete your Gfycat content by visiting https://www.gfycat.com and logging in to your account. After September 1, 2023, all Gfycat content and data will be deleted from gfycat.com.

This has been a strange year.

  • GunnarRunnar
    link
    fedilink
    101 year ago

    What even was their business plan? I never understood how’d they make money. I guess advertising is always the answer but how…

    • n3m4c
      link
      fedilink
      81 year ago

      That’s why this year everything is going down. VCs demand you start making some money or shut down and nobody bothered figuring out how to make money

      • VoxAdActa
        link
        fedilink
        81 year ago

        I am not a finance guy; this is my kindergarten-level understanding of the situation:

        When the interest rates were hovering down around 0%, it was a no-brainer for VC firms to shotgun money out to everyone who walked past their office building. Most VC money doesn’t come from some rich dude’s pocket; it comes from banks and hedge funds and other deeply-market-tied entities. If any one startup they’ve invested in can win the profit lottery, the VCers will massively beat the rate of return they’d get for anything else. One big success can cover a dozen small failures, and, anyway, a business isn’t a failure until it’s a failure.

        Now that interest rates are rapidly moving higher, those startup investments are less of a good deal. VC money is more expensive. VC firms are starting to close out their positions on start-ups that aren’t beating them market, because they want to stick their money somewhere more reliably profitable.

        • GunnarRunnar
          link
          fedilink
          21 year ago

          I like your humility, this was well explained and easy to understand.

      • cunnilingsus
        link
        fedilink
        71 year ago

        I think the Federal Reserve raising interest rates has more to do with it. Now that the VC’s that fund everything are getting the money faucet turned off, it’s having downstream effects on all these tech companies.

        • @[email protected]
          link
          fedilink
          31 year ago

          The interest rates are letting the VCs turn the faucet off - it’s not forcing them. Higher interest rates mean they can make more money by letting it sit in high interest bank accounts rather than actually exercising the money.

          Meaning it’s less worth it to get out the old pocket book - still results in the same issues l guess though.

          High interest rates makes money and debts go up at the same time. Good for those with money, bad for those with loans.

    • @[email protected]
      link
      fedilink
      61 year ago

      Business plan… That was the problem, the business plan was just a bunch of cat pics in a binder. Cute, but not so profitable.

    • @[email protected]
      link
      fedilink
      21 year ago

      No idea. It was likely privately funded so we’ll never know what advertising was likely the method

    • @[email protected]
      link
      fedilink
      21 year ago

      No idea. It was likely privately funded so we’ll never know what advertising was likely the method