That’s how you go from sustainable to unsustainable due to chasing constant exponential growth then eventual enshitification that hits consumers to try to recoup all the lost money.
You’re describing the shitty business models of publicly traded companies that hire thousands then lay off thousands and keep trying to do whatever they can to raise stock prices due to not targetting a sustainable stable company for the longterm but quarter by quarter profit targets.
That steam has been more conservative with hiring is probably why they’ve been able to have the resources to go into hardware even if it flops unlike EA, Ubisoft, and Epic despite having way more employees.
This is revenue not profit. They need to pay their operating costs with these funds. Their operating costs are probably pretty high considering their global network and distribution. Hiring more people would likely have a minimal impact on their operating costs and each new person may not contribute much to their revenue considering their business model.
They probably should hire more people and reduce profits. But you can’t just hire anybody and that’s a lot of work.
That’s how you go from sustainable to unsustainable due to chasing constant exponential growth then eventual enshitification that hits consumers to try to recoup all the lost money.
You’re describing the shitty business models of publicly traded companies that hire thousands then lay off thousands and keep trying to do whatever they can to raise stock prices due to not targetting a sustainable stable company for the longterm but quarter by quarter profit targets.
That steam has been more conservative with hiring is probably why they’ve been able to have the resources to go into hardware even if it flops unlike EA, Ubisoft, and Epic despite having way more employees.
why?
In order to provide more goods and services to their customers to entrench their position.
This is revenue not profit. They need to pay their operating costs with these funds. Their operating costs are probably pretty high considering their global network and distribution. Hiring more people would likely have a minimal impact on their operating costs and each new person may not contribute much to their revenue considering their business model.
Didn’t catch that, thanks. What is their actual profit before personal cost?
They are a private company, so they don’t have to disclose that.
Profit is always after all costs, including personnel.