The Algorithm Doesn't Have to Destroy Us

Key Takeaways

• Substack's revenue depends on publisher subscriptions, aligning incentives
• Direct audience relationships foster nuanced, trust‑based discourse over short‑form feeds
• New algorithm aims to surface content that drives subscriptions, not ad clicks
• Expansion into video and TV applies the direct‑relationship model beyond writing
• Hamish argues Substack resists “enshittification” due to its subscription‑first architecture

Pulse Analysis

Substack’s subscription‑first economics flips the traditional media incentive curve. Where legacy platforms monetize attention, Substack only profits when writers earn, prompting creators to prioritize depth, credibility, and audience trust. This shift encourages longer‑form content, nuanced political commentary, and artist statements that would otherwise be reduced to bite‑size soundbites on ad‑driven feeds. By owning their mailing lists, publishers retain direct control over distribution, reducing platform lock‑in and fostering sustainable revenue streams.

The platform’s nascent algorithm reflects this philosophy. Rather than optimizing for endless scroll and ad impressions, it surfaces posts likely to convert readers into paying subscribers. Machine‑learning signals such as prior subscription behavior and user‑selected content preferences guide recommendations, while users retain granular control over feed types. This approach aims to balance discovery with relevance, mitigating the echo‑chamber effect common on other networks while still exposing audiences to fresh voices that could deepen engagement.

Beyond text, Substack’s push into video, podcasts, and even smart‑TV apps signals an ambition to extend the direct‑relationship model across media formats. By offering creators a unified subscription infrastructure, the company hopes to replicate its writer‑centric success in audiovisual domains, challenging the dominance of aggregators like YouTube and Netflix. If successful, this could herald a broader industry shift toward creator‑owned ecosystems, where audience loyalty, not algorithmic virality, drives growth. The long‑term impact may be a more diversified, less ad‑centric internet where quality content thrives on direct patronage.