Ads are just information paying for attention.

It's a lot like finance - an essential economic service perverted by middlemen.

I don't know how ads should ideally work, and I view ads on SN as an adjunct experiment, but I'm bullish on p2p ads as a concept.

(I also just spent the weekend chatting with someone considering whether to pursue a bitcoin ad startup.)

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Discussion

It seems that there are two phases to process of getting a product, when we idealize it for customer.

One is new product discovery. This is where you find out about a product you may want without you being aware that there's one. What if there's a honest service for the best product discovery? Impossible?

And second one is the informed decision. This is where you learn enough of truthful information or recommendation to make informed decision whether to get that product. What if there's a honest service/network for truthful information and recommendation? Impossible?

If we would have these two (maybe) impossible services, would there still be a space for ads? Or would the businesses rather spend the money on building a better product?

If you take the limit of product discovery/info services to infinity, I think you're right, there isn't a need for earnest ads.