What every online service can learn from Ma.gnolia's experience

I believe the term is "debt". When you launch an app to the public, you're creating debt for yourself, forever.

Magnolia just managed to transfer the debt from time/work debt to "image" debt. In other words, now they just look really really bad but they don't have to maintain anything anymore.

A good thread over at Wired around popular social bookmarking alternatives: http://blog.wired.com/business/2009/01/magnolia-suffer.html