logoalt Hacker News

conductryesterday at 9:52 PM1 replyview on HN

Conversely, what suggests GitHub has a huge operating cost?

Running a GitHub clone at their same scale as a customer on cloud pricing would likely be insane. But y’all know infra is actually quite cheap when you run it yourself right?

It’s usually the case with these M&A deals that the profit just never quite makes sense to justify the purchase price, unless you can truly scale up the user base or revenue model. GitHub was already so mature as a solution when they bought it, I don’t know that they could have added that type of value just by slapping a Microsoft logo in the footer.


Replies

boldlyboldyesterday at 10:26 PM

It used to be, and buying a few servers was a cheap way to get off the cloud (if you can manage them efficiently). But with RAM and other costs these days... I've had to rethink it a lot.