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Craigslist, the phenomenally successful Web site that is the seventh most visited on the globe, say some, has caused considerable concern in the offices of newspaper executives everywhere that Craigslist launches a list. Craigslist does not release financial statements, but everyone is aware that the company is comfortably profitable and has been so since 1999, about the time most other children of the dot-com boom started running out of cash. However, everyone is just as sure that Craigslist could be much bigger, even though Craigslist has been very sluggish in monetizing its very large audience and user base. Craigslist, which lists only the postings of its users, is described wryly by Mr. Buckmaster as a trailing edge technology company, and the Web site itself is very spare and text-intensive, with many underlined hyperlinks. While even such companies as Amazon.com are still net negative financially, Craigslist has been even or better since 1999. Craigslist employs 21 staff, says Mr. Buckmaster, but never benefited from venture capital funding, and the only funding obtained by Craigslist is from companies that post in two categories of classifieds in three cities: job listings in San Francisco and Los Angeles, California, and New York, New York, and brokered apartment rentals, also in New York, New York. Users pay nothing to post their ads, prompting some to perceive Craigslist as a communist-run enterprise that may hate newspapers. However, says Mr. Buckmaster, Craigslist prefers to charge companies instead of individuals, since the former can better afford the small fee and can also pay for fees out of pre-tax dollars. The average user is less able to pay and also has to pay from post-tax dollars. Mr. Buckmaster gives users a free service, refuses to pay to the government at the same time, and also runs a lean outfit.
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