Because of censorship/privacy. That is the only reason anyone would switch from youtube and you will make little to no money because of the network effect. It would take something truly special to escape that. No company has achieved it yet even with billions of dollars of investment. Has rumble turned a profit yet? The internet is littered with failures to take account of the network effect.
Historical platforms and their fates
Why it failed: Acquired by Twitter, then shut down
Twitter acquired for talent, not product. Couldn’t compete with Tumblr’s growth. Shut down April 30, 2013. Peak: 4.5M monthly users.
Why it failed: Lack of revenue, couldn’t compete with Twitter
Too complex (tried to combine microblogging, file sharing, events). Acquired by Six Apart and immediately shut down Dec 2008. Only had ~100k users at peak.
Why it failed: Low engagement, poor features
Microsoft auto-created accounts for all 500M Hotmail users but only 30M were active. Migrated to WordPress.com Sept 2010.
Why it failed: Financial difficulties
Pioneered blogging but couldn’t afford servers. Shut down Feb 2014 after data loss. Relaunched 2018 as subscription-only.
Why it failed: Legal battle (Hulk Hogan lawsuit)
$140M verdict in lawsuit funded by Peter Thiel. Filed bankruptcy, shut down Aug 2016. Relaunched 2021 but minimal traffic.
Tumblr (2007-Present)
Why it failed: NSFW ban, cultural mismatch with Yahoo/Verizon
Lost 30% of traffic after Dec 2018 adult content ban. Sold by Yahoo for $1.1B (2013), later sold to Automattic for less than $3M (2019).
Why it failed: Failed to gain traction
Six Apart’s attempt at “neighborhood blogging.” Never exceeded 600k users. Shut down Sept 30, 2010.
Why it failed: Still alive but stagnant under Google
Acquired by Google 2003. Last major update 2020. Lost 90%+ market share to WordPress. Many features deprecated.
Why it failed: Sold to Russian company, user exodus
Sold to SUP Media (Russia) 2007. Servers moved to Russia 2016, triggering privacy concerns and mass exodus.
Xanga (1999-Present)
Why it failed: Failed to evolve, lost to Facebook/MySpace
Peak: 40M users (2005). Shut down 2013, raised $60k to relaunch as “Xanga 2.0.” Now basically dead.
Medium (2012-Present)
Why it struggles: Revenue model conflicts with customer needs Multiple layoffs: 2017 (50 people), 2021 (75), 2023 (unknown). Changed business model 5+ times. Major publications left platform.
Svbtle (2011-Present)
Why it failed: Failed to grow beyond niche
Started as invite-only “elite” network. Opened to public 2014 but too late. No meaningful updates since. Estimated <10k active users.
Ghost (2013-Present)
Why it failed: Struggles with mainstream adoption
Raised $5M+ via Kickstarter/revenue. Only ~2.5k paying Ghost(Pro) customers despite being around 10+ years. $200+/month pricing drives users to competitors.
Why it failed: Lost creators to self-hosting
While WordPress.org powers 43% of the web, WordPress.com has <0.4% market share. Creators graduate to self-hosted after hitting limitations.
Why it failed: Creator exodus, content moderation crisis
Platformer, Casey Newton left Jan 2024 over Nzi content. Flat $585M valuation after failed Series C (2022). 14% layoffs June 2022. Top writers leaving to avoid 10% fee.
Currently growing (benefiting from competitor issues)
Founded by Morning Brew alumni. Raised $33M Series B at $192M valuation (Apr 2024). 100k+ newsletters, grew 10x in 2023. Flat pricing beats Substack’s %.
– from Why Platforms Like Substack Won't Make Sense for Much Longer | Daniel Miessler