Network effects in communities means the value of new users increases quadratically

Network effects in communities means the value of new users increases quadratically (n^2) §

Date created: 2022-06-17

Because the value comes from having a platform where “everyone” is (Facebook), or the platform “where news happen” (Twitter). It’s essentially relying on the users to create content and interact with each other.

When social media platforms emphasized news feeds instead of interactions between users, they lost value from network effects

---

References §

• Cal Newport podcast episode 200 (he expresses this opinion in a section about technology trends)