Now, I understand DHH's resentment (or envy) against Pinterest, Instagram and Quora—everbody's raising money like shit while Sortfolio stays unsold for weeks. This shows one more time in which league 37signals actually plays.
Doing scalable business isn't 37signals' strength. And selling, networking and dealmaking neither => Flippa is generally for smaller sites/SEO stuff for low prices. This size of sale is better done through contacts or just a good seller who has these contacts and gets a commission. Otherwise you risk reputation damage and external effects on your other brands and entire group if offering your products/companies directly on Flippa or eBay (which feels just desperate).
Anyway, they had to raise funds and put a dedicated team on it when Sortfolio/Haystack was at its peak. Now, it's too late looking at Sortfolios decreasing traffic on Alexa. Nobody will buy it and that's something DHH never will get: it's not about your current revenues or status, it's always about you future expectation when valuing assets/companies/startups/businesses and that's how you sell
Yes, it's always struck me that many 37signals posts are lathered in passive-aggressive envy regarding other businesses rather than just getting on with their own. The only good 37signals post I can remember that wasn't of that kind, or just trite advice, was the nice photos of their office environments. It constantly amazes me how much coverage they get on HN. But I guess a lot of people use RoR as a breadwinner and have a connection in that way to them.
If you look at another "builder of tools the community uses" like, say, Linus it's different. His blog doesn't really make it onto HN, as it's often personal, whereas his G+ posts sometimes do. His G+ posts are usually about something specific though rather than recycled trash from popular business / personal wealth books - not looking at anyone in particular - with some added passive-aggressive venom towards the more successful.
Um, would you not call Basecamp and their suite of software scalable business? 37signals makes tons of $$ off those products that scale to millions of users. I think they know how to scale a business...
On another note, I don't think DHH gives a shit about Pinterest, Quora or Instagram (none of which have even come close to making a single cent of profit)
> Basecamp and their suite of software scalable business?
Basecamp is a scalable business considering what it is but I doubt that 37signals makes tons of $$ with Basecamp (check their Alexa traffic, it's an aged product and overrated, popularity still comes from Rails, most that I know switched years ago to other tools).
> I don't think DHH gives a shit about Pinterest, Quora or Instagram
"I doubt that 37signals makes tons of $$ with Basecamp"...
Really?
A few people have attempted at figuring out 37signals annual profits (which mostly come from Basecamp).
Some veeeeeery conservative figures put their profits at around 10M a year. Probably a multiple of that.
To you it obviously isn't "tons of $$". I get it!
Next, you're going to say that no one pays for "time-tracking" anymore...
They are popular because of Rails among developers, most of business/non-technical people have no idea about they're affiliation with Rails (or what Rails is for that matter).
On the other hand, Basecamp is used widely by lots of small businesses and not only IT companies and it's fair to assume that most of their revenue comes from it.
Your comment is ignorant on so many different levels I'm not sure where to start so I'll start with the most _______ part:
* I didn't realize that anyone still considers Alexa to be even slightly accurate.
* You're confusing having a strong opinion as being resentful.
* Doing scalable is exactly what 37s has done for the last approx. 10 years. There are 2 parts to a "scalable business." 1) Can you acquire clients in a scalable way? 2) Can you serve them in a scalable way? Basecamp has thousands of paying customers and I've almost never seen an ad from them so that proves the are able to acquire them without a significant customer acquisition cost. They sell software. Do I have to say more to prove they can serve them in a scalable way.
* "it's not about your current revenues or status, it's always about you future expectation when valuing assets/companies/startups/businesses and that's how you sell"
I have a bridge to sell you that will generate a billion dollars in the future. Interested?
* "is shows one more time in which league 37signals actually plays." They are willing to kill a product that takes very little time to maintain and it generates $18k/month in profit. Think about that.
* I don't think they are going to end up selling it and will likely just shut it down if they will stand by their "sell by x or shut down" claim. Regardless, I think your comment says more about you than about 37signals or DHH.
> Now, I understand DHH's resentment (or envy) against Pinterest, Instagram and Quora—everbody's raising money like shit
Given his ability to execute and monetize a business coupled with engineering talent that would be obvious to any VC given his stewardship of RoR do you really think if DHH wanted to raise VC funds he would have any problem?
Envy comes from wanting something you can't have, not something you don't want.
>Now, I understand DHH's resentment (or envy) against Pinterest, Instagram and Quora—everbody's raising money like shit while Sortfolio stays unsold for weeks. This shows one more time in which league 37signals actually plays.
In the league of producing actual products people use and making very nice money off of it,
rather than the league of making BS social sites and making a killing on idiotic investors and/or the general stock market?
>Doing scalable business isn't 37signals' strength.
Apple is a scalable business. Microsoft is a scalable business. McDonalds is a scalable business. IKEA is a scalable business. IBM is a scalable business.
Pinterest, Instagram and Quora and BS social fads, as "scalable" as FriendSter, MySpace and all other fads.
They can make money (sharks and idiots are in abundance) but are in no way a real scalable business.
I agree. Selling on Flippa effectively kills any brand goodwill Sortfolio had. Worse yet, not responding to the questions being asked will ensure the site won't be sold.
Doing scalable business isn't 37signals' strength. And selling, networking and dealmaking neither => Flippa is generally for smaller sites/SEO stuff for low prices. This size of sale is better done through contacts or just a good seller who has these contacts and gets a commission. Otherwise you risk reputation damage and external effects on your other brands and entire group if offering your products/companies directly on Flippa or eBay (which feels just desperate).
Anyway, they had to raise funds and put a dedicated team on it when Sortfolio/Haystack was at its peak. Now, it's too late looking at Sortfolios decreasing traffic on Alexa. Nobody will buy it and that's something DHH never will get: it's not about your current revenues or status, it's always about you future expectation when valuing assets/companies/startups/businesses and that's how you sell