The Eric Ries Show He turned down $11 billion, here’s why | Craig Newmark (Craigslist Founder)
In this episode of The Eric Ries Show, I sit down with Craig Newmark, the founder of Craigslist—one of the internet’s most influential platforms. Despite its massive impact, Craigslist has remained intentionally minimalist, resisting the hyper-monetization strategies common in tech.
Craig attributes his success to being in the right place at the right time, but his story reveals a deeper truth: a steadfast commitment to his values. We discuss how his moral compass shaped Craigslist, his approach to business sustainability, and his perspective on ethical entrepreneurship.
In this episode, we cover:
• The origins of Craigslist as a simple email newsletter
• Why Craig resisted aggressive monetization and focused on community impact
• The market research behind Craigslist’s minimal fees
• How Craigslist maintained its mission even after Craig stepped back from leadership
• Craig’s thoughts on AI, cybersecurity, and the future of journalism
• How Craig’s strong relationship with customers kept him aligned with his values
• Craig’s philanthropic work
• Craig’s advice for new founders
• And more!
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Where to find Craig Newmark:
• LinkedIn: https://www.linkedin.com/in/craignewmark/
• X: https://x.com/craignewmark
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Where to find Eric:
• Newsletter: https://ericries.carrd.co/
• Podcast: https://ericriesshow.com/
• YouTube: https://www.youtube.com/@theericriesshow
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In This Episode We Cover:
(00:00) Intro
(03:06) The origins of Craigslist
(12:20) Why Craig used email in the beginning
(14:03) Lessons from Sunday school that shaped Craig’s moral compass
(15:34) How Craigslist promoted community
(17:42) Craig’s resistance to the allure of maximum monetization
(19:44) Why Craigslist became a private business, rather than a non-profit
(24:15) How monetization works at Craigslist
(27:11) Why Craigslist doesn’t need to drive engagement the way social media sites do
(30:54) The size and scale of Craigslist
(31:47) Current threats in cybersecurity
(33:44) How Craig became interested in cybersecurity
(35:34) How Craigslist maintained mission alignment after Craig left management
(40:54) Craig’s perspective on contentment and why he’s remained fulfilled
(42:25) Advice for aspiring world-changers
(47:56) Craig’s thoughts on AI
(51:08) Craig’s philanthropic work with journalism
(53:24) Problems in journalism today
(54:37) Craig’s involvement with Donors Choose
(57:14) Craig’s pigeon rescue work
(58:58) Advice for new founders
(1:01:02) The importance of staying close to the customer
(1:05:03) The case for avoiding exploitation
(1:07:16) Lightning round
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You can find the transcript and references at https://www.ericriesshow.com/
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Production and marketing by https://penname.co/.
Eric may be an investor in the companies discussed.