Earlier quoted context omitted.
Well simple logic would say that if they get $.12 per user/month, the costs to serve each user (in terms of compute) is probably below $.12 or else they would be losing money, no?
$.12 is MAU, which visit sites few times a week. Apollo devs claim his users make 250 reqs/d, which is very different users and there is likely huge gap in costs numbers between cohorts.
Silly.
Maybe you’re thinking of ARPU?
Even if the ARPU was an order of magnitude higher, it would still be half as much as Reddit is charging per user to 3PAs.
It’s not about compute cost, because compute cost is almost definitely below revenue and the fees being charged don’t seem to have any direct link to it anyway.
Compute cost per user must generally be below ARPU, right? So even if a 3PA user cost 5x in terms of compute, at most that would be $.75 if they’re making no profit. Significantly less than the $2.50 3PAs are being charged per user per month.
tldr: reddit is charging significantly more for API access than is reasonable to expect it costs them even in lost revenue, let alone raw compute