Andy Baio (@waxpancake) weighs in on Ello in his usual, full-of-awesome way:
> Before they opened their doors, Ello became hooked on an unsustainable funding model — taking cash from VCs — and will almost certainly take a much larger Series A round once that $435,000 dries up. (Which, at their current burn rate, should be in a couple months.)
> Unless they have a very unique relationship with their investors, Ello will inevitably be pushed towards profitability and an exit, even if it compromises their current values.
And more discussion by @quinn who says that Ello's most obvious business model (directly charging for an online service using differential pricing for the same product) has never been successfully done before.
See also: What Does Ethical Social Networking Software Look Like?