Comment on Google just had its first negative cash flow quarter due to massive AI spending
BlaestEgnen@feddit.dk 6 days agoGoogle hit as big a market share as they could, so their way to grow the search machine was to increase the market.
How do you increase the market? By pushing the most relevant links further back, so people have to go to page 2, 3 or 4. So it’s unfortunately the best financial decision, short term, to enshittify their main product
EliteCloneMike@lemmy.zip 5 days ago
Their main audience isn’t the end user, but the shareholders. All that matters is they can say they are still “growing”. Which is why they don’t care about making things worse. Same goes for Meta. If something succeeds, it’s a happy accident secondary to the goal. Each of these companies did have a good initial idea that was fundamentally good and better than the competition, but ultimately will not last forever for reasons like this. Something else will eclipse them in time. History is full of corpses the likes of these companies. Recent tech ones include IBM, HP, and Microsoft. All big (or moderately big) players today sure, but not what they were at their prime and not close to the “main” ones anymore.
BlaestEgnen@feddit.dk 5 days ago
I do not I agree Microsoft is in that category, but they’re mainly a B2B player today.
A little less than 20% of revenue per earnings '25 was from consumers - The rest for business offerings. I’m curious to hear which selection of companies you consider the main ones. Because Microsoft is still top 5 within Tech when it comes to power.