Bonum Certa Men Certa

GitLab the Company, Just Like GitHub (Now Part of Microsoft, Going Through Several Rounds of Layoffs This Year, Even Office Shutdowns), is Sinking Deep Into Debt and Showing the Risk of Outsourcing

Video download link | md5sum f61ec70272c7d04fdf6f006ec21bc29a Serfs and Sharecropping With Git Creative Commons Attribution-No Derivative Works 4.0



Summary: 'Free' hosting for Git may not be a viable business plan; be wary and careful not to offload creative work to debt-saddled firms (that work being text, code, videos etc.)

THIS post is related to the trend of digital sharecropping we often allude to in the context of social control media such as Twitter or Diaspora or the Fediverse. Many people still live in a fantasy land wherein the Web is full of 'free' services ripe for exploitation. As the old saying goes, there's no free lunch* and anything that seems free may in fact be temporarily free (grace period, sometimes for market penetration and vendor lock-in).



This post will focus on GitLab as an example, but we're not singling out GitLab. There are many others like it, including Clownflare.

"Git is Free software. Some of the Web interface suites are not."Remember that Clownflare is not free. Clownflare is a trap. It's also a cancer on the World Wide Web.

Self-hosting isn't a matter of "making a point". It's a principled and practical decision based on pragmatism. Some people will never learn until they're betrayed time and time again, forced to restart from scratch over and over (ad infinitum**).

Git is Free software. Some of the Web interface suites are not. Some are a hybrid of sorts. Some are purely proprietary, e.g. GitHub. Microsoft is trying to pull an E.E.E. on Git, with stuff like the github/gh command along with proprietary extensions at the Web level and editors' level. Be sceptical of Trojan horses.

Let's examine the situation of GitLab as a company (not GitLab the software):

gitlab-debt
Notice how quickly debt is growing



GitLab Net Income 2021-2023
Income in the red



GitLab shares
GitLab shares over-inflate the
'worth' of this company (not a unique problem)



The short story is, GitLab took ~1,200 million dollar in debt this year while laying off staff. GitLab has a fictional market cap of 7.40B for a company in debt and which cannot make money (losing hundreds of millions each year; number of employees in 2023 is 2,170 and losses per head about $100,000 per annum). It's like Twitter Junior.

"GitHub had two rounds of layoffs so far this year."It's probably the same with GitHub's losses (debt too), but Microsoft does not break down the numbers that way. GitHub had two rounds of layoffs so far this year.

As per this report, published months ago: "investor one-year losses grow to 54% as the stock sheds US$1.4b this past week..."

It says "GitLab didn't make a profit in the last twelve months," further complicating the prospect of a turnaround. No wonder they wanted to just raise more money instead of making money. No wonder GitLab wanted to shut down 'inactive' repos, but stopped only due to mass uproar, which people won't forget (it's not free hosting, it's a trap).

"We cannot help but wonder about sourcehut."Just how much money does Microsoft lose on GitHub each year? Has Microsoft loaded debt onto its subsidiaries to hide deficits? Again, just as a reminder, this past February Microsoft GitHub laid off 10% and then it went further, closing down entire offices and firing entire teams, even in India. GitHub is a money sink. With hiring freeze in place, maybe GitHub got rid of 30% of its staff since the start of this year. GitHub is not doing well.

We cannot help but wonder about sourcehut. They too mass-deleted some Git repos and introduced new demands for payments (to keep some repos online). "That's a smaller shop," one reader explains. "Again there is a problem with growth of storage costs, like with YouTube or Wikipedia, but flat income."

So the take-home message is, if you use Git, roll out your own. Don't rely on others to do it for you 'for free'. They stand to lose money, so it won't last forever. Some exchange control for 'gratis', or in other words take away your freedom/autonomy for a freebie.

"The costs of running YouTube go up, not down, just like Twitter."Now, to use the example of video, the other night we shared this alarming video about YouTube. YouTube is one of the next Twitters. It cannot make money. It can only put off both creators and audiences. So what will happen next? Mass layoffs? That did not work for Twitter. Rebrand? Also did not work for Twitter. What's the "grand plan"?

The costs of running YouTube go up, not down, just like Twitter. Bloat and data storage, more "moderation" staff etc. YouTube has not reported whether it makes money... since 2015. So we can safely assume something is very wrong. Because YouTube is not making money (same as GitHub/GitLab). So it's hiding that and only talks of "revenue" (while defrauding the advertisers... clickfraud and such). As a last resort, courtesy of new management who realise they cannot make money, now they "steal" from creators. What message does that send?

A critic with bad experiences (learning from mistakes made in the past) can promptly point out the importance of self-hosting. Separation is also worthwhile (the video above mentions examples). The bug-tracking is integrated into some of the above Web interfaces, but that is a complexity that might make it worth separating, not outsourcing. For tracking of issues/bugs/incidents/wishlists one can use RT, Mantis, Bugzilla, Trac, Landscape, OTRS and maybe even Jira (I once installed it on a home machine from the 1990s and it worked, albeit slowly). I've had hands-on experience with most of these, also as the administrator. They're simpler to manage than Git. The learning curve is worthwhile. ____ * A related saying is: "If you're not paying for the product, you are the product!"

** One could point out the folly of building digital structures on properties which can vanish overnight because they are owned by and controlled by others and probably without overlapping priorities.

Recent Techrights' Posts

Nobody is "Replaced by AI", It's Just a Smokescreen for Jobs Being Eliminated by Lack of Money (Too Much Debt) and Offshoring
It's also why many make the jokes about the "I" in "AI" being "India" or "Indians"
The US Government is Now in the Business (Literally!) of Saving Microsoft and Intel
This means that President TACO/Cheeto now has greater financial incentive to also prop up Microsoft and Windows
 
The UEFI Restricted Boot 'Time Bomb' is About to Go Off in a Few Weeks
Garrett was the first person to face sanctions (like muting) in our IRC channels because of his abuse; worse yet, he hijacked other people's names and then locked them out of their own accounts
Should Currys PCWorld Start Voiding Warranties of Users of Vista 11?
If a person's laptop has a mechanical issue, should this person replace GNU/Linux with Vista 11 for the repair shop? Only to damage the SSD?
Newer is Not Always Better, and It's Possible That 'Peak' is the Past
People creating their own platforms means progress, whereas centralisation (like moving from blogs to social control media) is the opposite of progress
LLM Hype is Sowing Destruction: It Contributes to DDoS Attacks and Makes the Web Less Accessible (JavaScript "R U Human?" Tests)
If it was googlebot, it would be possible to argue that you'd at least then get referral traffic from Google Search. With LLMs, all you get is plagiarised.
Links 24/08/2025: New York Times Talks About Hey Hi (AI) Bubble
Links for the day
Gemini Links 24/08/2025: Upgrading Debian and Mobile-indifferent Design
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, August 23, 2025
IRC logs for Saturday, August 23, 2025
Richard Stallman's Talk in Buenos Aires Scheduled for 16 November 2025 (a Month After FSF Turns 40)
they've just updated their site and Stallman is listed first
Men Who Abuse Women Should Never Spend Over 3 Years of the UK High Court's Time
This demonstrates that we need a reform in the UK
Slopwatch: Linux Journal, WebProNews, LinuxSecurity, and the Serial Slopper
The bubble needs to burst, but even then the Web will be left with residues of these slopfarms
Links 23/08/2025: Science, War, and Important Win for the British Media Against SLAPPers Who Abuse Women
Links for the day
Gemini Links 23/08/2025: BaseLibre Numerical System and Back to Oldschool
Links for the day
"Deserved Victory" for "Women That Suffered"
"GNM defended its reporting as being both true and in the public interest and in a judgment on Friday"
Links 23/08/2025: onmicrosoft.com as Spam Cannon, The Cheeto-Intel Deal Is Official
Links for the day
Wired Complained About LLM Slop Only Days Before It Got Caught Doing That Itself
Never throw stones in a glass house
IBM "Value" Down 14.16% in a Month, Red Hat Layoffs Allegedly Discussed 12 Days Ago
"IBM is a dinosaur. Dinosaurs get extinct when the don't keep up."
We're Seeing More Countries Where Windows Isn't Even in Second Place Anymore (Third or Worse)
In a way, Microsoft can barely even hold onto second place anymore
Microsoft Workers on Canonical's Payroll
If you want something that's sort of like Ubuntu but is not controlled by Canonical, then look into Linux Mint, Debian, or LMDE
GNU/Linux Climbs to 4% in Sierra Leone
Sierra Leone isn't a very rich country (to say the least), but it's better off than some of its neighbours
The SLAPPS Run Out of Oxygen Because They're Abuse of Process
At the end of the day we plan to publish over 1,000 articles explaining what happened
The Register MS Gets Paid by the Employer of the Previous Editor in Chief to Promote the "AI" Ponzi Scheme, Which Does Considerable Damage to the Web and to Online Journalists
The Register MS can 'badmouth' slop all it wants; it gets paid to inflate this bubble. It's actively participating in it.
Soon It'll be Autumn, Time to Repair Things
Where they don't charge an arm and a leg
Doing Our Best to Cover Software Patents When the Mainstream Media Does Not
Even the FSF has its limits
Gemini Links 23/08/2025: August Questions and Network Solutions
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, August 22, 2025
IRC logs for Friday, August 22, 2025
Microsoft Has Issues in Guyana
It's not just Guyana
About 25% of the "Linux" News/Results in Google News Today Are LLM Slop, Almost 20% From the Same Rogue Operators of Slopfarms
Google, which tries to market itself as an LLM giant, apparently fails to understand what's wrong with it
Harassing People on Holiday
There are "no-go areas"; but that assumes all laws firms have ethical standards
The Great, Undeniable Value of Paper Trail, Not Purely Digital Systems
Suppose you have nothing but bits on someone else's computer and "word of mouth"...
The Company Behind Ars Technica, Reddit and Wired Caught Publishing LLM Slop (It Also Admits It Now)
Condé Nast busted
Links 22/08/2025: Lagrange 1.18.8, Wired Magazine and Business Insider Caught Resorting to LLM Slop
Links for the day
This Saturday It's Gonna be 3.5 Years* Since Russia Invaded Ukraine. No Microsoft Protests Against Microsoft Having Provided Russia With Services.
Companies do not have consistent policies and enforcement of "corporate values" is somewhat of an egg salad
Slopwatch: Sites Gone Rogue, Google Promoting Lies, and DDoS Attacks by Plagiarism Giants
Charlatans and frauds engage in a war against artistic industries, mislabeling plagiarism as "AI"
Links 22/08/2025: Cisco Layoffs, LA Times Says "AI Hype is Fading Fast"
Links for the day
Gemini Links 22/08/2025: K for Kentucky and Caddy Versus LLM Slopbots
Links for the day
The "End Software Patents" Initiative of the FSF Explains "WHY [to] ABOLISH SOFTWARE PATENTS"
We hope to cover patent-related issues more and more as the big anniversary of the FSF approaches
Freenode Sniffing
The grown-ups left the building
The Only Thing Worse Than Misinformation is Misinformation Sold to Everyone as "Intelligence"
Misplaced trust is worse than none at all
The Register MS Now Openly Admits LLM Hype Does Damage, But It's Also Being Paid to Participate in the LLM Hype (With Paid 'Articles' and 'Webcasts' for Paying Advertisers)
The Register MS gets paid to do this
End of the Smartphone Era? No.
Maybe the media should focus on producing accurate, factual news
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, August 21, 2025
IRC logs for Thursday, August 21, 2025
Enshittification of Airports, Airlines, and Airplanes
If people are willing to tolerate standard declines and enshittification (nowadays sold as "pivot to AI" or "replaced by AI" or "AI layoffs") they will pay for it some other way
Latest Is Not Greatest: The Case of "Foldable" Tech
don't be shamed into abandoning old things just because the "fashion industry" of Apple and Samsung tells you to
Airlines and Their Tricks That Only Work in the 'Digital Age'
People sceptical of the direction technology has taken are not "Luddites"
Open Source Initiative (OSI), Which Became a Propaganda Front of Microsoft and "Hey Hi" (Hype, Misnomer), Wants You to Forget These Scandals
A lot of these issues won't be set aside until there's a resolution