Bulldozer00's Blog

You can have a product without a business, but you can’t have a business without a product. If you build a product that people want, a business will be born either from your loins or from some copycat’s. There’s no chicken and egg dilemma here. It’s simply, product-first and business-second. Ka-ching!

But wait, that’s not all! Let’s say you do get lucky and start a biniss around a “wanted” product that you built. To sustain your business, you gotta sustain your product. That means continuously maintaining it via the addition of new value-added features and the correction of customer-annoying defects.

Upon observing the deterioration of his original ArsDigita product under the so-called leadership of “new management”, Philip Greenspun said:

Once you have a product that nobody wants, it doesn’t matter how good your management team is. – Phil Greenspun (Founders At Work, Jessica Livingston)

So, how does a “wanted” product morph into an “unwanted” product? Via neglect and indifference. That’s what happened to Phil’s baby when the vulture capitalists he hooked up with installed an incompetent “professional management team” to run ArsDigita (into the ground). By focusing on the superficial instead of the substance, the promotion instead of the maintenance, the company’s product, and then the company itself, went down hill fast:

ArsDigita grew out of the software that Greenspun wrote for managing photo.net, a popular photography site. He released the software under an open source license and was soon deluged by requests from big companies for custom features. He and some friends founded ArsDigita in 1997 to take on such consulting projects. In 2000, ArsDigita took $38 million from venture capitalists. Within weeks of the deal closing, conflict arose between the new investors and the founders. They marginalized and then fired most of the founders, who responded by retaking control of the company using a loophole the VCs had overlooked. The legal battle culminated in Greenspun’s being bought out, and a few months later the company crashed. ArsDigita was dissolved in 2002. – (Founders At Work, Jessica Livingston)