This has always been true of course but we used to have much faster turnover in social media sites. The current players have been around so long they seem like they can’t fail. But it’s not a coincidence that we’ve been riding a wave of cheap capital since about the time the current players started to dominate. Now that the free money tap is shut off, everyone’s scrambling to be profitable. The grow as fast as possible and never care about making money paradigm is over.

We’re basically in the ??? phase of “steal underpants, ???, profit” underpants gnome economic model.

I think we’re also seeing the ad model start to break down. It was always a Ponzi scheme. Everyone hates ads and goes out of their way to avoid them. If less and less people engage with ads, no one is going to pay as much because it’s not worth it. This forces companies to be more and more invasive in their data collection and ad targeting which erodes trust in the companies and degraded the user experience.

We’re seeing both these things converge and it’s shaking up the entire internet order.