Earlier quoted context omitted.
The problem is that nobody is asking the actual market value of their product. TechCrunch would probably want subscribers to pay north of $5/month. But the actual marketing value (in ad revenue) that they are currently able to extract from a single reader is probably closer to $0.50/year - if that. You solve the micropayment problem and then we can talk about what I'm willing to pay for content.
Mozilla Research put the entire web's advertising revenue at $12.70/month per user[1]. In other words, if they are right we are living with the consequences of advertising for a mere $13/month, $13 dollar they still get from us anyway because it's baked into the prices of the advertised products. > You solve the micropayment problem We hackers and technologists here at HN are the "You". "The best minds of my generati…
With ads, there is also probably less friction visiting unknown sites; clicking to a site with too many ads and then just closing it is probably a better experience than knowing you blew $0.05 on crap content (I'm not saying getting frustrated about $0.05 makes sense, I'm saying it will probably happen).