The Milan-based firm raised $1.68 billion in its Nasdaq debut this week, with shares climbing 40% above the IPO price. The stock closed at $40.50, up from...
“Instead of chasing AI”? They heavily implement AI to lay off employees, even though it severely degrades service.
Their whole business model is just typical private equity nihilism. Buy a business with a lot of user inertia, strip out all the development and maintenance costs while leaving the bare essentials to keep subscriptions or ad revenue flowing, and let the hollowed out business zombie-walk as long as it makes money.
I agree that the article is pretty low quality, but is the only one I came across. And it didn’t say they’re not using AI, it just says they’re not trying to compete in the current AI arms race. Bending Spoons’ entire business model is enshittification, which is why I find the valuation pretty remarkable.
“Instead of chasing AI”? They heavily implement AI to lay off employees, even though it severely degrades service.
Their whole business model is just typical private equity nihilism. Buy a business with a lot of user inertia, strip out all the development and maintenance costs while leaving the bare essentials to keep subscriptions or ad revenue flowing, and let the hollowed out business zombie-walk as long as it makes money.
Fluff journalism.
RIP Vimeo. I liked it.
I agree that the article is pretty low quality, but is the only one I came across. And it didn’t say they’re not using AI, it just says they’re not trying to compete in the current AI arms race. Bending Spoons’ entire business model is enshittification, which is why I find the valuation pretty remarkable.
Thanks for saving me a click!