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

European Patent Office (EPO) Series: London Calling...
EPO Vice-President in charge of the "Patent Granting Process" is likely to have been a pay-off for the support which the UK gave to Campinos in 2017
Faking Productivity With Slop and Wasting Money on Faking 'Productivity': A Microsoft Story
If the quality of everything at Microsoft goes down
Wikipedia - Like Some Free Software Projects Infiltrated and Bribed - Bans Its Own Founder
Over the years we've named (not shamed) some projects and organisations that got corrupted by money and ended up banning their own founders
The “Aktion T4” at the European Patent Office (EPO) Saves Money for the President's Own Purse
Call for parents of children with special needs
SLAPP Censorship - Part 116 Out of 200: 5 Years of Multiparty Lawfare Against Techrights, Funded by Americans and Also by Third Parties (Including Microsoft Salaries)
The public and our government will be informed in full
 
Gemini Links 24/06/2026: Heatwave, Steam Next Fest, and Year of Buying Guitar Pedals
Links for the day
Links 24/06/2026: China Tops "TOP500", Impact of Microsoft’s Massive Layoffs Extends Further, Internet Society's Community Snapshot
Links for the day
While Thousands at IBM Lose Their Jobs ("Silent Layoffs") IBM's CEO Goes Begging the Dictator for Bailouts, Based on Deliberate Lies About "Quantum"
Many who claim to be retiring are only in their 40s and 50s. They're too proud to publicly admit what IBM did to them.
IBM Sends Workers 'Packing', Sometimes With the "Low Performer" Label That Imperils Their Future
To many people out there, IBM correlates with deceit
Links 24/06/2026: Four-Day Workweeks, GM Cut 1,000 Workers at Its EV Plant, 21,000+ Oracle Layoffs
Links for the day
A Step in the Right Direction (EU) in the Fight Against LLM Slop From GAFAM (US)
We've already mentioned this in Daily Links, but let's discuss this a little further
SLAPP Censorship - Part 117 Out of 200: Libel Tourism or Defamation Forum-Shopping in the United Kingdom Condemned by the European Union (EU)
Last week we reminded readers that the EU had criticised UK defamation law
Demonstration Next Week at the European Patent Office (EPO), Administrative Council Seen as Complicit
Corruption in Europe hurts all of us
IBM is Now Hinged on False Accounting and False Promises
This is the legacy of the current CEO
"PARTNER CONTENT" or 'Content Farms' That Promote Slop and Misinformation (The Register MS)
The Register MS represents a big part of the problem we all face
Turn Off the Slop, It's Wasting Energy and Destroying the Planet (the Only Planet We Have)
Right now we see lots of headlines about energy shortages and drained-up reserves
Lessons From Almost 30 Years of Site-Building Activities
We still strive to become faster and lighter
Do Not Outsource (the Seductive Mirage)
Abandoning so-called 'conventional wisdom'
Media Complicit in IBM Fraud Meant to Prop Up the Share Price Based on Lies, Fabrications
Even IBM insiders are fuming at this
In Some Countries, Windows Has Lost Its Monopoly
Windows fell to an all-time low globally this month
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, June 23, 2026
IRC logs for Tuesday, June 23, 2026
Gemini Links 24/06/2026: Motivation, PostScript Printer, and Why Hyperscalers and the Smolnet are Compatible
Links for the day
The Media's "Satya Says" Syndrome Distracts From Grim Reality
how insiders see Microsoft slop
Oracle's Collapse Has Nothing to do With Slop, It's About Its Debt Exploding by Almost 50% in Just 12 Months
How are people meant to trust the media?
Now... a Word From Our Sponsor
Powerade
Links 23/06/2026: Microsoft Studio Closures and Journalism Subjected to Further Cuts
Links for the day
Gemini Links 23/06/2026: Gardens, Basketball, Blocking Hyperscaler, and New Commodore Phone
Links for the day
Links 23/06/2026: Apple Price Hikes and Technical Debt in Slop
Links for the day
After IBM's Shares Collapsed the CEO is Trying the "Quantum" Trick Again, Bolstered by a Demented Dictator in the White House
from what we can gather IBM's CEO is trying to get the US government to participate in the scam
Greece Ought to Curb the Threat of Social Control Media
its national discourse seems to be run by an American company called Facebook
State of the GNU/Linux Desktop (and Laptop)
The time to advocate GNU/Linux is now
The 'XBox Narrative' Distracts From Destructive Cuts Across the Whole of Microsoft
Microsoft is preparing to lay off a likely record-breaking number of people [...] this isn't just an XBox problem
SLAPP Censorship - Part 115 Out of 200: Spending the Next Decade Writing About SLAPPs and Trying to Fix the System
It's the same industry that got paid by corrupt EPO officials to try to cover up the corruption
Microsoft's Stock Fell Nearly $200, But the Real Problems Are Just About to Begin
if they dump slop, what will they tell shareholders?
The Cyber Show on Starmer and Software Freedom
The Cyber Show's Andy has just explained why our departing national leader wasn't all bad
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, June 22, 2026
IRC logs for Monday, June 22, 2026
Gemini Links 23/06/2026: Girlrotting, Homeworlds at BGA, Slop Ruins Sites
Links for the day
A Lifetime of Whistleblowing
Ellsberg did not have an easy life, but it was a rewarding life with a rich legacy focusing on justice
European Patent Office (EPO) Series: A Man With Many Missions...
Campinos – accompanied by Gilles Requena and Patrice Pellegrino
Links 22/06/2026: Ubisoft Co-founder Dies, Americans Have Turned Against Slop
Links for the day
Links 22/06/2026: "The Sycophancy Machine" and "Port 22 Open for 54 Days"
Links for the day
When People Who Make the Most Money Are the Best "Boot Lickers" (Sucking Up to Jeffrey Epstein's Circle and the Dictator)
Sucking up to rich people may pay off
The Aim is Not Fame
Reposted from schestowitz.com
"Internally Important, Externally Irrelevant": IBM in a Nutshell
Right now its debt spins out of control and its stock spirals down the drain
SLAPP Censorship - Part 114 Out of 200: Thousands of Long Articles to Come, Properly Covering the SLAPP Industry in the UK and Its Modus Operandi
"Stowell described SLAPPs as ‘a stain on our legal system’."
Finding a Way to Get Paid to Improve LibreJS
So now we have more people resurrecting LibreJS and improving it
Microsoft Can't Even Wait Until July, Shutdowns and Layoffs Already Happening
Mashable speak of "a grim picture for the state of Xbox."
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, June 21, 2026
IRC logs for Sunday, June 21, 2026
Gemini Links 22/06/2026: Appreciating Simple Things, Perfect Summer Evening, IRIX, Vim and so
Links for the day