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How do sites like Myspace.com offer everything for free?

Discussion in 'General Chat' started by David26, Oct 26, 2005.

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  1. #1
    I know that they are a multimillion dolllar industry so that is probably a bad example, but there are a lot of sites on the internet that offer unlimited space and storage to everyone, and I wonder how they can afford that. I can only assume that they already own some other types of businesses in the real world that made millions of dollars, then they put together a new site. Spend a few thousand dollars on advertisements, then place a lot of ads on their site to keep the income going.

    I try to offer as many free things as possible, but I am just a hardworking guy who pays $250 per month for each server and I cannot allow unlimited storage for everyone since I am sure I could use up a whole harddrive in one week if I did that. I wonder how many servers sites like filefront.com and others have to allow free everything. I think it is great that they can offer things for free, but I do not see how they are able to make enough to afford all of those things, I am sure the banner ads do not generate the thousands of dollars per month to pay for the servers, people on my sites barely click on any ads.
     
    David26, Oct 26, 2005 IP
  2. fryman

    fryman Kiss my rep

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    #2
    CPM ads can pay quite well on a high traffic site
     
    fryman, Oct 26, 2005 IP
  3. yo-yo

    yo-yo Well-Known Member

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    #3
    Considering how many times a day myspace errors out I take it they can't afford good enough servers to keep up :)
     
    yo-yo, Oct 26, 2005 IP
  4. digitalpoint

    digitalpoint Overlord of no one Staff

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    #4
    I don't think it's so much they can't afford it... I think it's a bigger issue was they grew WAY too fast (and are still growing like mad). If they were to redesign the backend (which probably needs to happen) knowing now how big they need to scale to, it would probably be better. They are up there in the top 10 most trafficked sites.

    http://www.alexa.com/site/ds/top_500
     
    digitalpoint, Oct 26, 2005 IP
  5. yo-yo

    yo-yo Well-Known Member

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    #5
    I suppose you're right on needing a new backend. The damn site got me addicted like crazy then gives me a freakin "error" message every 5 or so pageviews on a busy day :mad: :eek:
     
    yo-yo, Oct 27, 2005 IP
  6. David26

    David26 Well-Known Member

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    #6
    Yes I understand how they grew fast within 2 years and all of their errors, but many people do not care about the errors if they can get everything for free. I just wonder if a million dollar company just puts down a few thousand dollars and offers everything for free to get hundreds of thousands of users to join. I only found out about myspace since everyone had a link to their myspace account everywhere.
     
    David26, Oct 27, 2005 IP
  7. SEbasic

    SEbasic Peon

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    #7
    SEbasic, Oct 27, 2005 IP
  8. David26

    David26 Well-Known Member

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    #8
    Yeah I heard about that. Yes I do not like the site either, however it is those ugly, plain, glitchy sites that are the most popular.
     
    David26, Oct 27, 2005 IP