When we made our initial plans, we believed they were both realistic and sustainable. However, the search market has experienced dramatic changes in the past six months, far more than in the previous 16 years. Additionally, we've been confronted with an economic downturn. As a small, bootstrapped business, Kagi has had to make some difficult decisions to adapt.
We were left with two options:
- Stick to the original plan, which would result in significant financial losses and potentially lead to bankruptcy within a few months.
- Adjust our strategy to ensure the survival and growth of the business.
While we are not pleased with having to alter our plans, we have done our utmost to adapt to these new circumstances. It's important to understand that there are only three ways to fund search services - through advertisers, venture capital, and in Kagi's case, users. That is the reality we must face.
We acknowledge that the rollout of these changes could have been executed more effectively. However, as a small bootstrapped team without a dedicated communications department, we have limited resources. I personally oversee crucial business decisions, manage a fully remote team, and supervise the development of complex software products such as search, browser, and AI solutions. There is only so much one person can do.
We would love to offer unlimited searches for $5, but the reality of the search market dictates otherwise. That said, we are continuously evaluating our pricing structure, and we may update it again as some costs, such as AI, have not been as high as anticipated.
We are determined to navigate these challenging times and maintain a high level of professionalism. We appreciate your understanding and support as we work towards a sustainable future for Kagi.