Comment on A VPN Company Canceled All Lifetime Subscriptions, Claiming It Didn’t Know About Them
__dev@lemmy.world 1 week agoLifetime services/updates are always a scam. The economics of this are really simple: Nebula is $30 per year or $300 lifetime. That lifetime membership covers only 10 years of subscription. So what’s the plan after that? There’s only really three outcomes:
- They stop providing you service
- They go bankrupt trying to provide you service
- They grow and stay big enough to be able to subsidize your service for your lifetime. I can’t overstate how unlikely this is.
Buying a lifetime membership you’re gambling that Nebula will grow big enough that other people’s subscription will pay for your service. Your membership is a liability for them.
It’s also bad from the other end. Lots of small software devs will sell lifetime updates but eventually need to abandon their products because they simply run out of money.
A service continually costs money to provide. You can’t pay for that with a single payment. Lifetime services are simply incompatible with running a business long term. It’s a bad idea and someone is always getting screwed.
ifItWasUpToMe@lemmy.ca 1 week ago
$300 today is quite a bit more valuable than $30 for 10 years.
__dev@lemmy.world 1 week ago
Sure, but it’s not more valuable than $30 + regular price increases for 60+ years. That’s what a lifetime membership is.
Lets flip that around: For my own finances $300 is a lot more valuable than $30 for 10 years. So if I’m to expect that the company will go out of business in 10 years or so, I would have been better off paying for the subscription.
Lets also not forget that companies don’t take that $300 and responsibly invest it. It gets reinvested in a risky bid to grow the company and get enough people to subscribe in order to pay for your service going forward.