Ello just secured its promise that it will never make money by selling ads or user data.
The new social media platform recently filed as a public benefit corporation, which Ello execs say will make it impossible for investors to require Ello to display ads, sell user data, or sell the company to a buyer that would do so.
It’s an answer to the “giant billboard” the online world has become, according to Paul Budnitz, the company’s chief executive.
Ello’s stand is a stark contrast to that of other social media apps and platforms supporting ads, including Snapchat. Promotional snaps were recently placed into users’ feeds, but only play if a user clicks on it.
A Snapchat representative told CNN the decision came down to one thing:
Understandably, a lot of folks want to know why we’re introducing advertisements to our service. The answer is probably unsurprising – we need to make money.