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Incorrect, but I wouldn't expect you to understand the complexity of the business without being inside it.

1. We had inhouse people, people at home and people working in Manila (on data, like fast facts--not full- on writing) of articles and that worked well. In fact, you can almost make the at home and in the office model work if you keep the costs down to $10 an hour/$10 a page. To have folks in the office you would have to do it as $400-500 a week and no benefits and no chef (which kind of sucks), so work from home wins this model (as it did on Demand Media, Weblogs Inc, etc).

2. Mahalo is 40 months old now, which means we have better SEO, better ability to move folks around the site and a better ability to know which pages make money and don't. So, we can make 3x as much now per page as we did back then (or more). So, we've learned a lot.

3. Video is VERY different than writing articles. I won't get into the metrics, but you can't compare it to articles. also, the traffic to each is very different.

So, Mahalo will continue to grow and folks will continue to misunderstand how it works... and that's just fine. We're not here to explain how to run a business to folks who don't know how to. We're here to build an amazing place where people can "learn anything" and to get a return for our investors.

We are the 160th largest site in the USA now.... and if you counted our video traffic to our domain traffic we would be in the top 100 (maybe #75). Quantcast doesn't do this (grrrrr).

Next year we will be in the top 100, then top 50 and then in the top 25.

at that point you'll write a long post and explain to me how i don't know what I'm doing, and i will write a long post back to you explaining how business works..... again! :-)




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