[HN Gopher] After nine years of grinding, Replit found its marke...
       ___________________________________________________________________
        
       After nine years of grinding, Replit found its market. Can it keep
       it?
        
       Author : toomanyrichies
       Score  : 153 points
       Date   : 2025-10-05 23:02 UTC (5 days ago)
        
 (HTM) web link (techcrunch.com)
 (TXT) w3m dump (techcrunch.com)
        
       | sincerely wrote:
       | >Rather than becoming defensive, Masad and his team owned the
       | problem. In fact, says Masad, within two days, they rolled out an
       | automatic safety system that separates a user's "practice"
       | database from their "real" one. The way Masad describes it, it's
       | a little like having two versions of a website's filing cabinet
       | -- the AI agent can experiment freely in a development database,
       | but the production database, which is the real thing that users
       | interact with, is completely walled off.
       | 
       | I gotta wonder who the median techcrunch reader is if the
       | writer/editor felt it necessary to explain the point of having a
       | staging and prod environment, and with such a pointless analogy.
       | We surely cannot understand what a database is unless we're told
       | it's like a filing cabinet, right?
        
         | jychang wrote:
         | You don't write for your median reader, you write for the vast
         | majority of your readers.
         | 
         | That's a basic concept of writing. Journalism should be
         | accessible, so even if you know what a database is and how to
         | deploy it in different envs, you shouldn't write assuming that.
         | If a large portion of your readers don't know what you're
         | saying, you've failed as a writer. If your readership includes
         | high school students, you write with that as the baseline.
         | 
         | Richard Feynman certainly didn't write as if he assumed the
         | reader knew particle physics. Be like Richard Feynman.
        
           | kortilla wrote:
           | Richard Feynman didn't use poor analogies.
        
             | chirau wrote:
             | 'Poor' is subjective. Some might even use it to describe
             | your comment.
        
             | mcherm wrote:
             | Chuck Norris doesn't even NEED analogies. He explains the
             | original problem so hard that you understand it without
             | reference to a similar but more familiar situation.
             | 
             | Chuck Norris would probably have mentioned "dev" and
             | "production" and never needed to discuss furniture used for
             | stacking open-faced envelopes for holding papers.
        
               | reactordev wrote:
               | Chuck Norris doesn't use AI, AI uses Chuck Norris.
        
           | mejutoco wrote:
           | If the median has half the users over it and half under it,
           | wouldn't writing for most of your readers be very close to
           | writing for the median? If we are aiming for 51% (most
           | readers). Most readers is somewhere between 50% and under
           | 100%.
           | 
           | I appreciate the idea, but I think there are always
           | assumptions. Like you did not explain what the median is
           | because this is hn. I like the standars of the economist,
           | always saying what an acronym is on first usage, and what a
           | company is (Google, a search company). What they dont do is
           | say: Google, like a box where you enter what you want to find
           | and points you to other boxes. That would be condescending
           | for its readers I believe. It is a matter of taste, and not
           | objective, I guess.
        
             | IanCal wrote:
             | That would be writing for most users but _barely_. I think
             | there's a fair reason they said "vast majority" instead.
        
             | nkrisc wrote:
             | I don't think "vast majority" has a rigid definition, but
             | I'd put it closer to 95% than 51%.
             | 
             | For example, in the senate passing with 51 votes is a
             | "simple majority".
        
               | mejutoco wrote:
               | I am not sure the post said "vast majority" originally,
               | to be fair. Is there a way to check?
        
               | rkomorn wrote:
               | This is all highly personal, so just banter'ing, but:
               | 
               | I agree there's no clear definition but 95% is even
               | beyond "overwhelming majority" to me (with overwhelming
               | being greater than vast). I'd call that "near totality".
               | 
               | Maybe, at least for US contexts, "vast" should line up
               | with "filibuster-proof"? Eg 60-65%? 75% at most.
               | 
               | Of course, then that doesn't tell me anything about what
               | it should mean in other contexts.
        
               | Normal_gaussian wrote:
               | I think you're unaware of how vast vast is!
               | 
               | Personally, I feel vast is used to refer to things that
               | 'appear limitless' e.g. vast desert, or when describing
               | easily bound things - like percentages - to be almost
               | complete.
               | 
               | Looking around it seems there is some debate on this, but
               | it tends to end up suggesting the higher numbers:
               | 
               | https://en.wiktionary.org/wiki/vast_majority - puts vast
               | as 75-99%
               | 
               | https://news.ycombinator.com/item?id=39222264 - puts vast
               | as greater than 75% (I can't tell if the top comment is a
               | joke or there really is some form of ANSI guidance on
               | this).
               | 
               | But to find a more compelling source I've taken a look at
               | the UK's Office for National Statistic's use of the term.
               | While they don't seem to have guidance in their service
               | manual (https://service-manual.ons.gov.uk/) a quick term
               | limited search of actual ONS publications show:
               | 
               | * https://www.ons.gov.uk/peoplepopulationandcommunity/bir
               | thsde...
               | 
               | - "The vast majority (99.1%) of married couples were of
               | the opposite sex"
               | 
               | - "In this bulletin, we cover families living in
               | households, which covers the vast majority of families. "
               | - this is high 90's by a quick google elsewhere.
               | 
               | * https://www.ons.gov.uk/peoplepopulationandcommunity/hou
               | sing/...
               | 
               | - "The vast majority of households across England and
               | Wales reported that they had central heating in 2021
               | (98.5%, 24.4 million)."
               | 
               | * https://www.ons.gov.uk/peoplepopulationandcommunity/bir
               | thsde...
               | 
               | - "The vast majority (93.0%) lived in care homes."
               | 
               | This seems to put vast in the 90%+ category. There is
               | certainly more analysis that can be done here though, as
               | I have only sampled and haven't looked at the vast
               | majority of publications.
               | 
               | (this was fun, I don't mean to come over as pedantic)
        
               | rkomorn wrote:
               | I think your username checks out. :D
               | 
               | Apparently I underestimated vastness.
        
             | egl2020 wrote:
             | Write for your median reader, and the bottom half will stop
             | reading you. Problem solved.
        
           | 01HNNWZ0MV43FF wrote:
           | I'm not sure if any of my coworkers has ever properly used a
           | filing cabinet
        
             | siffin wrote:
             | Spreadsheet would have been the better analogy.
        
               | 1718627440 wrote:
               | Which wouldn't be an analogy, because spreadsheet
               | programs can be considered and often are a database.
        
           | sooperserieous wrote:
           | > Be like Richard Feynman
           | 
           | Oh the things he did to filing cabinets, especially "secure"
           | ones...
        
         | ChadNauseam wrote:
         | Ironically, especially when you combine it with the em-dash, it
         | really sounds like exactly the type of completely pointless and
         | unilluminating analogy that LLMs love to generate. These
         | analogies are essentially a bridge between two concepts, much
         | like how a physical bridge connects two pieces of land
         | separated by water, except in this case the 'water' is
         | understanding and the bridge doesn't actually help you cross
         | it.
        
           | verandaguy wrote:
           | Well done
        
         | notarobot123 wrote:
         | To be fair, this was an indirect quote from a founder trying to
         | make programming accessible to "white-collar employees with no
         | technical background".
         | 
         | The bigger question here is why prod/staging wasn't an obvious
         | design choice in the first place!
        
           | petre wrote:
           | Maybe it diverted too many resources from the original goal.
           | They fixed the issue afterwards and made a fuss about it.
        
         | unmole wrote:
         | > median techcrunch reader
         | 
         | Is probably a consumer tech enthusiast and not a software
         | developer.
        
         | layer8 wrote:
         | They are merely quoting the analogy from Masad -- for whom it
         | makes sense if they are targeting nontechnical users and not
         | professional developers anymore.
        
         | recursivecaveat wrote:
         | It's kind of a beautiful turn of phrase, in that the filing
         | cabinet is entirely superfluous, you can use almost any noun.
         | "it's a little like having two versions of a website's sub
         | sandwich -- the AI agent can experiment freely with a
         | development sandwich, but the production sandwich, which is the
         | real thing that users interact with, is completely walled off".
         | 
         | "When you click a button on our website, a request is sent
         | across the internet to our servers, it's a little like if a
         | sockeye salmon was sent across the internet to our servers."
        
         | dvrj101 wrote:
         | > Masad and his team owned the problem. he fired half of his
         | team so it really wasn't an option for rest of them team.
        
       | 0xsn3k wrote:
       | personally, the evolution of replit makes me sad. i remember
       | writing some of my very first ever programs in python using
       | replit in middle school, as it wasn't blocked by the school
       | network and it was the best way of running arbitrary code online
       | back then. i used it to execute java code for AP computer science
       | in high school, and i improved a ton at using the terminal as
       | well. At some point, I stopped using the replit web editor and
       | was coding by full-screening the built-in terminal and using vim.
       | it was a formative experience and really helped me develop as a
       | programmer even though all i had access to was a locked-down
       | chromebook. but now, going back to the website and seeing the
       | first thing it shows to you is how you can "build apps using AI",
       | not even being able to even create an environment to run some
       | python code without talking to an LLM, and the company focusing
       | on ARR and becoming "AI-native" and creating value and all that
       | jazz, and it feels like the magic of learning to code for the
       | first time has been lost. luckily, kids these days are spoiled
       | with webassembly and can run pretty much whatever they want in
       | the browser, so i'm sure the next generation of young programmers
       | will be alright
        
         | brazukadev wrote:
         | You should be grateful and happy for the people that helped you
         | in your journey, they made it! You know, apps are not AI (yet),
         | what you used for free was built by someone that deserves the
         | success.
        
           | reactordev wrote:
           | But that's true of everything we use. Someone made that fork
           | you use. That plate. The shoes you wear. Same for an app. You
           | don't deserve anything. If you make something, and release it
           | into the world, you have a responsibility. Not a reward. A
           | reward may come. People may pay you for your services or your
           | novelty but in no way shape or form are you deserving of it.
           | Deserving of something is a 3rd person observation. You can
           | not demand that you deserve anything.
        
             | brazukadev wrote:
             | > But that's true of everything we use. Someone made that
             | fork you use
             | 
             | I paid a fair price for my forks and plates and shoes, I
             | don't need to be grateful for that. Using a platform for
             | free and then complaining that now they focus on making
             | money is not the same.
             | 
             | > Deserving of something is a 3rd person observation. You
             | can not demand that you deserve anything.
             | 
             | I'm not OP nor Replit owner.
        
               | majormajor wrote:
               | >I paid a fair price for my forks and plates and shoes, I
               | don't need to be grateful for that. Using a platform for
               | free and then complaining that now they focus on making
               | money is not the same.
               | 
               | They were focused on making money back then too. Nobody's
               | complaining that they were trying to make money!
               | 
               | If someone is grateful that the old product existed at
               | the time, because it helped them, it's completely
               | understandable and valid that they'd be sad that _it no
               | longer exists to help other people_. What there is now
               | has a hundred almost-the-same alternatives[0]; it sounds
               | like what they used to be was unique.
               | 
               | [0] the article quotes a claim about "the first agent-
               | based coding experience in the world" "last fall" but
               | that seems to ignore not-as-successful earlier things
               | like AutoGPT that had code agent projects by early 2024
               | if not before, with initial "agent" behavior in 2023.
        
         | csixty4 wrote:
         | I agree so much with this. I used Replit extensively to
         | prototype things in different languages and share my work with
         | my teammates, who could then suggest tweaks to my ideas. We
         | never came close to the limits of the free tier, but I paid for
         | it anyway because I loved the product.
         | 
         | The magic is definitely gone.
        
           | gcr wrote:
           | FWIW you can still start from template environments by going
           | to "Developer Frameworks," picking an example language, and
           | clicking "Remix."
           | 
           | It's not as nice as before though. I miss when free accounts
           | could have unlimited projects.
        
       | freetonik wrote:
       | I've used Replit for educational materials when teaching
       | beginners Python and JavaScript. They had a nice product called
       | Teams for Education. It was even announced that it'll become
       | fully free (the original blog post with the announcement was
       | deleted from their website) [0], but soon after that the company
       | had pivoted to AI and later discontinued the Teams for Education
       | completely [1].
       | 
       | I also used Replit's embedded widgets for occasional lessons, but
       | they kept changing the UI and behavior, making it difficult to
       | write consistent reliable documentation for beginners.
       | 
       | I think by now it's clear that the product is not meant for
       | educators, like it was originally, so that's ok.
       | 
       | [0]:
       | https://web.archive.org/web/20240924020257/https://blog.repl...
       | 
       | [1]: https://blog.replit.com/update-on-teams-for-education
        
         | vesterde wrote:
         | Oh you brought back fond memories of using the very first
         | education product Replit had. It was so good. I was teaching
         | GCSE CS and having a blast giving kids python with turtle to
         | play with. I would just give them some multicoloured octagon
         | and more complex shape, and they had to draw it with turtle.
         | 
         | They enjoyed it, I enjoyed it, and the teacher UX was great.
        
           | gerdesj wrote:
           | Libre Office has a Logo implementation built in. You can have
           | turtles whizzing around your documents and spreadsheets.
        
       | jackblemming wrote:
       | Sounds like these guys kind of flailed around for almost a decade
       | and then jumped on the AI bandwagon. Nothing wrong with that, I'm
       | just surprised someone decided to bankroll them for so long. Also
       | not sure how successful they'll be long term, since they're
       | presumably a wrapper around one of the big three in a highly
       | competitive space.
        
         | mcherm wrote:
         | > I'm just surprised someone decided to bankroll them for so
         | long.
         | 
         | When you are PROFITABLE (but not as profitable as your
         | investors would like) you can run FOREVER without anyone
         | "bankrolling" you. It's a foreign concept in the AI world (and
         | sometimes it feels like it's foreign to the tech startup world)
         | but quite effective.
        
           | maxbond wrote:
           | Even if you are profitable your investors could pressure you
           | to exit to some other company so that they can recoup their
           | investment. But I doubt they were profitable. Going by the
           | article they had about 100 employees and about $2M in revenue
           | before they downsized. Assuming a median salary of $100k that
           | would put their payroll alone at $10M. But the napkin math is
           | kinda beside the point because they did keep raising money
           | [1].
           | 
           | [1] https://pitchbook.com/profiles/company/113831-02
        
             | LudwigNagasena wrote:
             | Maybe $100k gets you one fresh grad in Bay Area but outside
             | of OECD countries it may get you several middle engineers.
             | I bet most startups outsource their development after the
             | first few core developers.
        
               | maxbond wrote:
               | What do you think would be a better estimate for average
               | salary if we assume heavy offshoring?
        
               | Imustaskforhelp wrote:
               | Depends from country to country. I live in India so I can
               | chip in on the situation I suppose and give my/(India's?)
               | perspective on this.
               | 
               | So firstly, it would depend if they are doing remote-
               | job/offshoring directly to a dev or if they are
               | contacting a consultancy instead.
               | 
               | A consultancy can seriously bloat the amount of cost but
               | usually non tech are the ones going to a consultancy but
               | in a consultancy very few (like 5%-10%) goes to the
               | actual workers and they are paid from a fresh dev very
               | low amount of money and I would be going on the high end
               | if I said that they paid something like 16k usd for a
               | complete junior and 40k usd would actually put you at a
               | seriously senior level
               | 
               | Though even the 16k can make a very decent living in
               | India.
               | 
               | My brother works at a company (he freelances as well but
               | parents want security so doesn't do it full time) and he
               | earns around 16k usd from the company but 4x the amount
               | of money through freelancing directly
               | 
               | My cousin works at a company and he's working for 4 years
               | now and he could be considered as maybe senior in just a
               | few years and his salary is 30k USD
               | 
               | my brother actually works at one such consultancy and he
               | mentions that most of the companies are actually non-tech
               | which go to consultancies so I am assuming that since
               | replit is a tech company they are doing remote-job
               | 
               | Now I know that my brother has been approached by
               | companies to do full time but its just risky to work in a
               | startup with the current hiring freeze and he manages to
               | do both somehow I would consider that something like
               | 40-60k (60k as an higher end for a great developer), as
               | always things can even reach 70k sometimes but I am
               | talking on a more average basis of sorts.
               | 
               | Off topic but as someone genuinely interested in this
               | craft, (well I am not sure about coding itself, I have
               | coded but I like golang and sys-admin right now, I want
               | to do so much in this software craft and sometimes I am
               | overwhelmed but its so exciting but I genuinely like
               | tinkering/using linux and making software like
               | alternative frontends for some website which blocked me
               | (doubtnut -> doubt.nanotimestamps.org for my own usecase,
               | I code / use LLM's to solve problems I am facing right
               | now or I am curious about and also recently built a
               | custom liveiso for cachy)
               | 
               | Gotta go hand copy some papers oof. Have a nice day!
        
               | brabel wrote:
               | You can get to 70k USD in India?? That's approaching
               | European salaries for a Senior Dev. Lots of Indians seem
               | to come to Europe for far lower salaries.
        
               | Imustaskforhelp wrote:
               | well I was saying if you are working for 10 years sure.
               | 
               | I can only speak for my brother's company in that sense
               | that if he works there for many years, their chain of
               | ranking would make him a partner in the company (sort of
               | like how layer firms get) and then he would get a flat
               | huge commission on every project he takes and there are
               | some 10 lakhs inr or 12 grand usd as an example and so
               | like it isn't hard to get some really juicy money later
               | down the pipeline.
               | 
               | Though like what I am saying 70k is for like genuinely
               | the most top like 0.0001% or almost never unless for the
               | extremely top official with shit ton of experience like
               | 10-15-20 years
               | 
               | On the other hand, its rather comparatively easy to take
               | a remote job from US and do it from india to get the same
               | 70k which I have seen a hella lot more people do/ is the
               | more practical approach for many.
               | 
               | I don't know but internally speaking 12 grand a year and
               | even 60 grand seems small but its shit boat ton of money
               | but still my mind compared it to the 120k salary guys of
               | the beautiful united states and maybe that's why I
               | overinflated some numbers.
               | 
               | if you have any questions, feel free to ask, I can uh
               | refer to you to my brother if you have any doubts since I
               | am currently in high school.
        
       | josefrichter wrote:
       | I don't think they can keep it. What they have has already been
       | replicated by the big guys, with just maybe a few months delay.
       | It seems like they're usually going in the right direction, even
       | ahead of others, but it's usually not any massive breakthrough,
       | they're just being good at executing quickly the natural next
       | steps.
        
       | Perenti wrote:
       | I've seen bots promoting Replit on Steam forums of indie games.
       | 
       | If this is the way they are marketing their product, I don't see
       | it as having a future. What I've seen in the Dwarf Fortress
       | forums alone makes me want to avoid the company with a 10' pole.
        
         | nurettin wrote:
         | Let us not forget how replit tried to cancel Riju (an open
         | source project from one of the early devs which does something
         | similar)
         | 
         | Edit: looks like they succeeded or the author moved on
        
           | Jtsummers wrote:
           | https://radian.statuspage.io/
           | 
           | It's still up, it only supports IPv6 so that may be why you
           | can't get to it.
        
         | JimmyAustin wrote:
         | Hey, Replit employee here. I'm pretty sure this isn't us
         | (definitely isn't our marketing team's MO AFAIK). Can you email
         | me some examples at james @ replit dot com so I can look into
         | this?
        
         | Kiro wrote:
         | I find exactly one post about Replit in the DF Steam forums and
         | it's definitely not from a bot account. Players who have just
         | discovered vibe coding love to tell devs "just" to use
         | something like they've been enlightened.
        
           | speff wrote:
           | I found two, but it looks like the topic was deleted. Kagi
           | had it partially cached as a search result[0]. The first
           | thread in that list seems a bit more ...pushy than the second
           | thread. Though I think you're still right - was probably just
           | a new coder who was excited about what they found.
           | 
           | [0]: https://files.catbox.moe/oepmri.png
        
       | rsp1984 wrote:
       | Let's not forget this gem here [1].
       | 
       | Tells you everything you need to know about the company and its
       | leadership.
       | 
       | [1] https://news.ycombinator.com/item?id=27424195
        
         | jeswin wrote:
         | He threatened the ex-intern by saying they have "a lot of money
         | to pay for top lawyers" (goodness!), the incident gathered a
         | lot of attention, got caught, and was forced to say sorry.
         | 
         | Replit is in the news because of the Vercel fiasco. And it's
         | jarring because of how they've tried to take advantage of that
         | situation.
        
           | redwood wrote:
           | Vercel fiasco?
        
             | dabeeeenster wrote:
             | The CEO thought it a good idea to take a beaming selfie
             | with Netenyahu and then post it to X
        
               | redwood wrote:
               | Got it. I was going to say it sounds like less than a
               | fiasco but I see this is in context of someone
               | criticizing the Replit CEO for a specific action so now I
               | get it. Apologies for being dense. It's a reminder that
               | people leading companies are just people. And if we have
               | a purity test on everyone we better be prepared to have a
               | purity test on ourselves. And not just in our own eyes
               | but in the eyes of everyone else. And that's where it
               | quickly falls apart.
        
         | hu3 wrote:
         | Sad to see https://riju.codes offline. Cant resolve DNS.
         | 
         | Last push to main was 2 months ago so there's hope:
         | https://github.com/radian-software/riju
        
           | jlundberg wrote:
           | Seeing it as offline could be related to this:
           | 
           | "Please note that Riju is only available on IPv6-enabled
           | networks due to the higher financial cost of supporting
           | legacy protocols."
        
             | hmokiguess wrote:
             | Definitely that, I read this on a mobile 5G connection and
             | was able to access it just fine
        
               | hu3 wrote:
               | Can confirm. It's up for me on mobile too.
        
       | pengfeituan wrote:
       | They are working at a too competitive area. Techs changed, and
       | everything should re-start from scratch. Nine years may mean
       | nothing at all.
        
       | MangoToupe wrote:
       | What, college students with credits who haven't figured out
       | docker yet?
        
       | cloudking wrote:
       | I took it for a spin spin to build a simple task manager. It
       | worked for 45 minutes, built half the solution and then asked me
       | for money. Compared to the other options in this space, it seems
       | like an expensive solution.
        
         | markdown wrote:
         | What other options?
        
           | _heimdall wrote:
           | An entry level programming book? Building a basic task
           | manager is a pretty straight forward task, it doesn't take
           | much coding knowledge to do and is one that is often used as
           | an example to teach programming.
        
       | ctkhn wrote:
       | If OpenAI and Anthropic's models are good enough at coding to
       | make coding agents useful for non-technical employees Replit is
       | targeting, why can't either of those companies use their AI to
       | build a wrapper around their product as good or better than
       | Replit? Has this guy never taken n -> infinity in a problem
       | before?
        
         | sillyfluke wrote:
         | OpenAI taking an interest wouldn't be so bad for Replit. Since
         | YC boasts that being incestuous is an upside of YC, ie selling
         | your product to other YC companies, it is possible that OpenAI
         | does the decent thing an outright buys Replit. It is rather
         | likely that Altman and Masad have some sort of relationship
         | going back to their YC days.
        
           | CuriouslyC wrote:
           | Replit has a lot of "value" that's actually dead weight
           | that's going to fall by the wayside as AI gets better and
           | humans move out of the loop. Cursor and the IDE agent
           | companies have the same problem. They need to cannibalize
           | their products to build for the fully autonomous engineering
           | future, but I'm 95% certain that they won't, and the business
           | that DO focus on full automation and moving the human out of
           | the loop will eat their lunch.
        
         | kubb wrote:
         | The funding round is all that matters. Now he can pay himself
         | 15 million per year plus a severance package and he's made it.
        
           | ares623 wrote:
           | Bingo. Us plebs are busy thinking about long term plans.
        
       | Pet_Ant wrote:
       | Is miss repl.it for what it used to be, just a quick way to play
       | with a bit of code.
        
         | VBprogrammer wrote:
         | We used to use it for coding interviews during COVID. It never
         | struck me as anything special and I'm not convinced saddling it
         | with AI improvements it's prospects. In fact it might make them
         | worse given it's general applicability to learning which will
         | surely be surpressed by the worries of an AI takeover.
        
         | laweijfmvo wrote:
         | Same, but that doesn't justify half a billion dollars in
         | investment.
        
       | system2 wrote:
       | I don't understand the appeal of Replit. Claude and other agents
       | do what they do for much cheaper and efficiently. Is it for
       | newcomers who don't know anything about software development, nd
       | Replit fills the gap with basic user instructions and structure?
       | Why is it even a thing while real agents are there?
        
         | gcr wrote:
         | Replit's original value proposition was on-demand sandboxed
         | environments.
         | 
         | With Claude, it's like you're handing YOUR laptop's terminal to
         | an intern. With Replit, you can mess things up without
         | consequences, which is a great help for newbies.
        
           | system2 wrote:
           | WSL + local Git? Don't people use it to sandbox their
           | applications and create necessary branches without losing
           | their minds?
        
       | fredfsh wrote:
       | > But the technical achievement wasn't translating into revenue
       | growth, and by last year, with the company at 130 employees and
       | burning through cash, Masad said he had to make a painful
       | decision. "I looked at our burn, and I looked at our progress on
       | our revenue chart, and it just didn't make any sense. The
       | business wasn't viable." Replit cut its headcount by 50%,
       | bringing it down to around 60 to 70 people at its lowest point.
       | 
       | > Plus, Replit has another unusual advantage for a startup: a
       | $350 million war chest. Despite raising $100 million in 2023, the
       | company "hadn't touched" those funds by the time it raised this
       | latest round, Masad told me. The company is capital efficient by
       | design, though Masad joked that as an entrepreneur who grew up
       | watching his refugee father struggle, "one thing I need to learn
       | is to be less frugal and start spending money."
        
         | tczMUFlmoNk wrote:
         | Wow, so, connecting these dots:
         | 
         | - reducing headcount by 50% down to ~70 people = firing 70
         | people
         | 
         | - at a _generous_ estimate of total burdened cost of $1M
         | /person/year, that's $70M/year
         | 
         | - which accounts for a _full 5 years_ of that war chest
         | 
         | - and, moreover, "at its lowest point" suggests that perhaps
         | Replit has expanded headcount again since; the article mentions
         | that it has done some acqui-hires.
         | 
         | Levels.fyi shows Replit salaries in the $200k-300k range, so
         | even at a 2x burden rate, I think that this is probably a
         | significant overestimate of the costs.
         | 
         | Firing 70 people when you have $100 million that you haven't
         | touched, have raised money on top of that, and have many years
         | of runway for the people you fired... comes together to paint a
         | picture that is, imho, less than flattering.
        
           | justonceokay wrote:
           | Ehh. I don't love it and it isn't good optics, but if you
           | can't find a way to utilize your employeees (such as having a
           | hard time finding a maeket fit for an existing product) then
           | it isn't your moral obligation to keep paying them. It isn't
           | clear what employees were laid off ir for what reason either.
        
             | shash wrote:
             | The original sin was probably hiring those people for a
             | not-yet-clear business in the first place...
        
               | mcny wrote:
               | Yes, the people who did those hirings should probably be
               | let go as well. But eventually, it is the CEO and the
               | board who are responsible and they seem to never pay a
               | price for their poor action / inaction.
        
               | vanviegen wrote:
               | Yes, let's forbid startups! /s
        
               | shash wrote:
               | Yeah, the point here is nuanced, but let's do an
               | argumentum ad absurdum instead /s
               | 
               | Probably the _best_ advice I got from the entire startup
               | community is, "don't scale without PMF". The saving grace
               | here is that they didn't scale beyond 140 people, so the
               | damage is limited. And they didn't double down on
               | something that would have dropped the whole thing down.
               | 
               | But as a founder, I'd consider it a failure of planning
               | on my part if I had to lay off 50% of my workforce (a
               | failure nobody is immune to, but a failure nonetheless).
        
               | lacker wrote:
               | It is not a sin to hire people when you aren't 100%
               | confident your business is going to succeed. That's just
               | how startups work.
               | 
               | Some people are not in a position in their life to take
               | any risk of losing their job, and that's perfectly
               | understandable, but those people should not take a job at
               | a startup.
        
           | ed wrote:
           | A sustainable business can pay more employees than a failed
           | startup. And pivoting with 150 employees is nearly
           | impossible; all those people were hired for a different
           | business.
        
           | forgingahead wrote:
           | Hilariously naive comment - "if you have money you should
           | spend it on salaries". This is not a charity, it's a
           | transaction, the salary is paid in exchange for revenue
           | generating activities or supporting activities in a viable
           | business. If the business is only doing 2.7mill in ARR, then
           | it's entirely valid for the whole lot to get laid off.
        
             | Retric wrote:
             | It's not about being a charity, the entire point of
             | startups is to trade capital for time to market. If the CEO
             | doesn't know what to do with 130 people they don't know
             | what to do with 70.
        
         | HDThoreaun wrote:
         | Its a business, not a charity. Just because they have money
         | doesnt mean they should spend on people who arent contributing
         | to the bottom line.
        
           | SadTrombone wrote:
           | What information do you have that they weren't contributing
           | to the bottom line?
        
             | cj wrote:
             | The CEO saying "the business isn't viable" says a lot.
        
               | abuani wrote:
               | That sounds a lot like the CEO is throwing 50% of the
               | company under the bus for his own failures to you know,
               | make the business viable.
        
               | victorbojica wrote:
               | And would it be better that the whole 100% go under the
               | bus for his own failures?
        
               | Retric wrote:
               | It's better for startup investors if it goes big or fails
               | sooner. That's the entire purpose of investing 100's of
               | millions into these companies.
               | 
               | If the CEO has no idea how to do that they should shut
               | down the company or stand aside and find a better CEO,
               | not try and milk as much money from they can by keeping
               | the company shambling along as long as possible.
        
               | abuani wrote:
               | Did I suggest that? I'm pointing out the blaring
               | hypocrisy of a company sitting on $350M in cash that
               | opted to double the size of their company without having
               | a clear strategy to become profitable. Then after laying
               | off half the company, the CEO publicly states it's
               | because the laid off workers don't have the skills they
               | need for "the new era". I would really like to see in
               | these scenarios the CEO accept a tiny bit of
               | responsibility for their failures to set strategy and
               | over hire, instead of publicly shaming 70 people they
               | chose to hire in the first place. That's a failure in
               | leadership, not in employees.
        
               | gruez wrote:
               | >the CEO publicly states it's because the laid off
               | workers don't have the skills they need for "the new
               | era".
               | 
               | Where did he say this?
        
             | Matticus_Rex wrote:
             | If they thought they would make more money on net with the
             | employees than without them, they wouldn't have laid them
             | off?
        
             | renewiltord wrote:
             | 130 employees making <$3m in revenue seven years in means
             | you have to do something else. The information we all have
             | now is that the bottom line is not very much so whatever
             | they were contributing to the bottom line can't be that
             | much.
             | 
             | You have to go find a different business when this happens.
        
             | almostgotcaught wrote:
             | What information do you have that they were contributing to
             | the bottom line?
        
             | kaashif wrote:
             | $2.8m revenue with 130 employees is about $21,000 per
             | employee.
             | 
             | The numbers here don't look good.
        
       | davikr wrote:
       | personally, I hate the AI pivot. could barely find a way to make
       | a project without the vibecoding option, recently
        
         | bitwize wrote:
         | Pivoting to AI made Repl.it worse but Warp.dev better.
        
       | sporkxrocket wrote:
       | Amjad is one of the only leaders in tech (along with Paul Graham)
       | speaking out against Israel's apartheid and genocide. He also
       | happens to be Palestinian. I will happily give him my money and
       | invest in ethical platforms. Replit's a really good option for AI
       | coding anyway!
        
       | saltyoldman wrote:
       | "Replit found its market"
       | 
       | HN: It sucks now
        
         | Imustaskforhelp wrote:
         | maybe HN isn't the market then :p
        
           | jjangkke wrote:
           | probably not for many founders sharing their product on HN
           | 
           | neither is reddit
        
           | dilyevsky wrote:
           | At the risk of stating the obvious, is it really that
           | surprising people who frequent "hacker" forum don't
           | appreciate a product pivot pitched specifically to non-
           | coders?
        
       | Cyclone_ wrote:
       | I've used it for creating a template for an app. It usually
       | creates a pretty accurate app with at least a basic UI and some
       | interactions. The biggest issue is that once you've created the
       | template, it's pretty tough to add some more complicated features
       | using the AI.
        
         | markdown wrote:
         | This has been my experience also.
         | 
         | You gotta give it detailed instructions for _everything_ at the
         | start. You can 't just build as you go, because every time it
         | adds something it breaks something else.
        
           | joshdavham wrote:
           | I've never used replit but I'm curious what types of choices
           | the app makes when building. Like how does it decide on the
           | architecture, backend language, frontend framework, etc? Even
           | if the non-technical user is unaware of the tech choices
           | being made, the AI still has to make such decisions. How does
           | it decide?
        
             | taejavu wrote:
             | It just starts and makes it up as it goes.
        
             | _heimdall wrote:
             | One token at a time.
             | 
             | If it has detailed context of exactly what the entire app
             | will need to do before writing any code, the first tokens
             | will be more likely to build an architecture that works
             | well in a language and framework that is suited for it.
             | 
             | If the initial context is thin on details, it will still
             | pick an architecture, language, and framework _but_ it may
             | not be the best fit for the end goal. After those choices
             | are made that just becomes more context, and it likely
             | would never consider whether the language is now wrong and
             | the entire codebase should be started fresh with a new
             | language or framework.
        
           | apwell23 wrote:
           | > because every time it adds something it breaks something
           | else.
           | 
           | standard ai workflow
        
             | enraged_camel wrote:
             | Easily prevented with good test coverage IME. Not sure how
             | that works in Replit though.
        
       | nextworddev wrote:
       | I tried their pro version then cancelled after realizing it's
       | worse than Claude Code
        
       | sergiotapia wrote:
       | Too much money for a business that really won't find a way to
       | justify the investment. Could have been a terrific lifestyle
       | business and become extremely successful.
        
       | submeta wrote:
       | There is no future for Replit considering how Anthropic, OpenAI
       | and Google are moving into dev tools. And then there's Cursor and
       | the likes.
       | 
       | As an online IDE they would have had a chance. But when they
       | pivoted into AI, they decided to enter a highly crowded place
       | with very strong players.
       | 
       | Recently OpenAI and now Anthropic are developing mobile clients
       | as well:
       | 
       | https://www.testingcatalog.com/anthropic-prepares-claude-cod...
        
         | chrismustcode wrote:
         | They were failing as an online IDE for several years then
         | growth shot up after the AI pivot.
        
         | CuriouslyC wrote:
         | Cursor is in the same lifeboat being circled by sharks as
         | Replit. What value does teaching noobs how to code or showing
         | changes in an IDE have when the AI is smarter than humans and
         | human in the loop just slows things down and makes them worse?
        
       | vasco wrote:
       | This guy is exactly like the get quick rich scheme guys.
       | 
       | I believe he initially had a vision for the product but now the
       | whole schpiel is quotes like "a kid made $180k on an app in 4
       | weeks" like he was on and on about in podcasts.
       | 
       | Ok if its so easy, why don't you use your own website to do a
       | bunch of $180k / m apps? How many companies can have employees
       | produce 12 different apps per year and a combined revenue of
       | $2.1m per employee? Also everyone can do it so you can pay them
       | minimum wage you don't need developers.
       | 
       | But of course nobody is going to make any successful apps other
       | than the people in the marketing materials.
        
       | psnehanshu wrote:
       | When I hear Replit, I remember how the CEO tried to kill an
       | intern's pet project.
       | 
       | https://intuitiveexplanations.com/tech/replit/
        
         | bigcat12345678 wrote:
         | I am surprised the CEO does not understand the dynamic of his
         | business. An open source project replicating your product is
         | always a boost to the business. There is no case where that's
         | not the case. The OSS is essentially the minatenance free free
         | tier of the paid product.
        
           | BoorishBears wrote:
           | I went to a YC event where the founder of a multi-billion
           | dollar open source SaaS said pretty much the opposite and
           | tried to drill home how strategic the choice needs to be for
           | the company to survive.
        
             | Aeolun wrote:
             | This must be Gitlab?
        
               | CuriouslyC wrote:
               | Nah, their moat is making the software as fiddly and ops
               | heavy as possible. I really like gitlab but having set it
               | up myself several times now, it's kinda a mess and
               | they're not incentivized to make it decent.
        
         | aidos wrote:
         | To play devil's advocate - where do you draw the line? They say
         | they're not going to push further into competing, but what if
         | they did? I don't know enough about either platform to really
         | comment on how much of a big it is / how much they crossover. I
         | do feel that it shows somewhat bad judgement on behalf of the
         | intern to build something in exactly the same space as a former
         | employer. One of the great things about software is that you
         | can always move into another domain with your skills.
         | 
         | Obviously, I love the likes of Tailscale for embracing and
         | supporting this behaviour - but that's super exceptional
         | (because they're a strong team).
        
           | alexey-salmin wrote:
           | Well the line is law: infringing copyrights and patents. And
           | the US law is very specific about ideas not being
           | copyrightable, so clones are usually safe.
        
             | aidos wrote:
             | Yeah that's fair - and to be clear, I'm not really
             | defending the CEO in this case. As a founder, I was just
             | imagining a scenario where one of our team did something
             | similar and how I might react to it. My thoughts (and
             | point) drifted a bit.
             | 
             | Serves more as a reminder to the youngsters out there that
             | potential future hirers will use things like this to inform
             | hiring decisions. Legal or not, your history follows you
             | around (I'm old enough to be lucky to not have the stupid
             | stuff I did early in my career available online). Be free,
             | go build stuff for fun but keep clear of your employers
             | space.
        
       | stefvw93 wrote:
       | > [...] unlike many AI-powered coding companies, Replit is gross
       | margin positive.
       | 
       | Well, that's highly unusual. I recon it is because replit covers
       | the whole production pipeline, from specification to
       | implementation to deployment?
        
       | JDazzle wrote:
       | It's strange that their buzzwords are "to democratize
       | programming"... isn't that already done very well with all the
       | online free tools, documentation, tutorials, learning paths, etc?
       | 
       | Both AI and traditional programming paths share the same initial
       | huge obstacle which is full access to a computer and the
       | internet?
       | 
       | I'm not sure how AI is democratizing programming
        
         | Mario970 wrote:
         | You need to read between the lines: in boardroom speak, to
         | "democratize" something usually means to dilute its rarity,
         | usually to eliminate some party's bargaining power.
        
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