Dropout’s Sam Reich on business, comedy, and keeping the internet weird

Dropout’s Sam Reich on business, comedy, and keeping the internet weird

Sam Reich, CEO of the popular comedy streaming service Dropout, recently sat down with guest host Hank Green on *The Verge’s Decoder* podcast to share his extraordinary journey and unique philosophy. From acquiring a company for zero dollars to navigating a global pandemic and rebuilding a team, Reich's story offers a refreshing and unconventional perspective on thriving in the ever-evolving digital media landscape.

The Unlikely Origin of Dropout

Sam Reich’s path to leading Dropout is anything but typical. In early 2020, he acquired the struggling CollegeHumor for a symbolic *zero dollars*. Days later, he faced the grim task of laying off nearly all staff, only to be immediately hit by the COVID-19 pandemic. Yet, against these formidable odds, Dropout has not just survived but flourished. Reich steered the company away from the volatile ad-supported model, embracing a direct-to-audience, subscriber-funded approach he humorously dubs "comedy SaaS." This pivot, he explains, was driven by a desire for creative autonomy, freeing the company from the complex demands of advertisers and external shareholders, allowing a laser-focus on producing high-quality, innovative comedy.

A Blueprint for Sustainable Creativity

Reich champions a simplified business model, humorously encapsulated by the phrase "never break trois" – meaning focusing primarily on the audience, the team, and the creators. Unlike most media giants, Dropout operates without the pressure of external investors or broad advertising demands. This unique structure fosters innovative talent-first practices, including profit-sharing for contractors and eschewing exclusivity clauses, positioning Dropout as "everyone's favorite second job." Its impressive growth to nearly a million subscribers is largely fueled by organic social media. Short, engaging clips from hit shows like *Game Changer* and *Dimension 20* act as powerful marketing tools, converting viral moments into dedicated subscribers.

The Vision: Keeping the Internet Weird

Beyond the business mechanics, Reich's core motivation is a deep love for "weird and unusual stuff." He envisions Dropout as a "walled garden of weird," a digital space where unique creative visions can thrive without being diluted by corporate pressures or the demands of mass appeal. In an industry increasingly dominated by finance-driven monoliths, Dropout stands out as a testament to what’s possible when creative passion and a sustainable, audience-first business model converge. It's about fostering a unique ecosystem where innovative comedy can flourish, proving that doing things differently can indeed lead to remarkable success, all while keeping the internet delightfully strange. Sam Reich's journey with Dropout is a compelling case study for media entrepreneurs. By prioritizing creative freedom, fostering strong talent relationships, and simplifying its business model, Dropout proves that doing things differently can indeed lead to remarkable success, all while keeping the internet delightfully weird.

Curated from RSS source.