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   Chris Trottier (atomicpoet@atomicpoet.org)'s status on Wednesday, 15-Jan-2025 09:43:40 JST Chris Trottier

   People often ask, “How do you monetize the Fediverse?” as if it hasn’t already been monetized.

   But the truth is, the Fediverse has been monetized for as long as it has existed. In fact, I’d argue that ActivityPub-enabled social media services have a better chance of survival because many have monetized before platforms like Bluesky.

   Here, I’ll explain how the Fediverse is currently monetized and discuss some untapped opportunities for enterprising individuals to explore.

   How the Fediverse Is Monetized Today1. Hardware Sales

   Selling hardware is one of the simplest ways to monetize the Fediverse. Many people buy devices like Raspberry Pi, install Fediverse software (e.g., Mastodon or WordPress), and sell pre-configured systems. This has been happening for years. It’s a one-time cost for the buyer: they purchase a Raspberry Pi with Mastodon pre-installed, plug it in, and they’re good to go.

   2. Hosting Services

   Hosting is another major revenue stream. There are two approaches here:

   • General Hosting: Use platforms like AWS, DigitalOcean, or similar services to host instances.
   • Managed Hosting Services: Companies like Masto.host and SpaceHost provide fully managed Fediverse hosting. A significant portion of the Fediverse relies on these services, with customers often paying hundreds or even thousands of dollars per month to keep their instances running.

   3. Value-Added Services

   Some companies operate Fediverse servers to enhance their core offerings.

   • Examples:
     • Vivaldi.net (run by the makers of the Vivaldi browser)
     • Flipboard (integrating the Fediverse to improve their app experience)

   By running a Fediverse server, these companies increase the value of their primary services.

   4. Moderation Services

   Server moderation is another monetization avenue. Some operators charge for maintaining blocklists, enforcing rules, and handling moderation tasks. For instance, CloudIsland.nz sustains its operations by offering such services.

   5. Cooperatives

   Some servers function as cooperatives, where users pay to become member-owners. Examples include social.coop and coocial.ca. These contributions give users a say in server governance while funding operations.

   6. Donations

   Donations are the most common form of monetization on the Fediverse. This is how instances like mastodon.social and mastodon.online operate, under the Mastodon nonprofit.
   Nonprofits can be effective monetization strategies. Mozilla operates this way, and OpenAI, one of the largest tech startups, began as a nonprofit.

   Untapped Opportunities for Monetization1. Customization Services

   Offering customization for Mastodon servers—such as unique designs, added functionality, or advanced settings configurations—is a promising market. Even basic expertise in tweaking server settings could be a valuable service.

   2. Extensions

   There’s significant potential in selling extensions and plugins, much like how WordPress operates. WordPress is now part of the Fediverse, showing the demand for such features.

   3. Consulting

   Organizations (governments, businesses, or nonprofits) need guidance on how to set up and operate their own Fediverse presence. Providing strategy and technical implementation services could be lucrative.
   Example pitch: “Own your social media presence—here’s how the Fediverse can work for you.”

   4. Marketplaces

   The Fediverse can support specialized marketplaces. One example is Flowmarkt, a Craigslist-style service that recently launched. Similar opportunities exist for listing goods and services, such as freelance work or physical products.

   5. Direct Sales and Communication

   The Fediverse allows for two-way communication, unlike traditional static websites. This creates direct-to-consumer opportunities:

   • Artists: Sell your art directly by hosting your own server and bypassing algorithms like Instagram’s.
   • Service Providers: Offer services like lawn care or freelancing directly to your audience.

   The Untapped Potential of the Fediverse

   The Fediverse offers immense potential, comparable to the early days of the web. It provides something unique: direct, two-way communication without reliance on algorithms or centralized platforms. This enables creators, businesses, and service providers to connect with audiences directly through ActivityPub.

   The bottom line: The Fediverse is already monetized, and plenty of people are making a living from it. However, the untapped opportunities are vast, and it’s up to enterprising individuals to seize them.

   • Tim Chambers repeated this.
   • Embed this notice
     steve mookie kong (mookie@shumai.xyz)'s status on Wednesday, 15-Jan-2025 10:10:23 JST steve mookie kong

     in reply to

     • Tim Chambers
     • Ivory by Tapbots :emoji_wink:

     @atomicpoet

     Adding two categories:

     1. Apps like @ivory that make money via subscriptions.
     2. Indirect Services:
     - CDNs that front Fediverse servers (like bunny.net)
     - Storage (like BackBlaze and Wasabi that provide S3 storage)
     - Monitoring and Obserability (like Catchpoint and DataDog).

     @tchambers