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Newmark: Well, how can they help me run the site We spoke about making it a nonprofit and that made some sense, given my ignorance then. Now I realize there s a lot of legal constraints in nonprofits. They re meant to prevent various forms of corruption. The thing is, like a lot of laws like that, people who are crooked always find ways around the laws, and so the constraints just make it more difficult for the honest people. We are very, very lucky we re not a nonprofit. We have our own nonprofit, which is doing some really good things. I m on the board there, but my gig is customer service. Livingston: When you first started, did you worry about spammers and other people trying to take advantage of your site Newmark: We have a really good culture of trust on the site of goodwill. You know, we re finding that pretty much everyone out there shares, more or less, the same moral compass as we do and as my personal one. People are good. There are some bad guys out there, but they are a very tiny minority and our community is self-policing. People want other people to play fair, and that works. That does mean a certain amount of our time, including mine, but that s OK. Livingston: You set up a way for the community to regulate the site, right Newmark: Yes: flagging. Flagging works. By virtue of flagging, we ve turned

over control of our site, for the most part, on a day-to-day basis to the people who use the site. We need to figure out better ways of doing that; that s still in process.

Livingston: How did you first come up with the idea of flagging Newmark: I forget. I think it was my customer service team, not me. I don t recall, it was so long ago. Livingston: But it worked pretty well

our values. Mutual trust. This is kind of democracy in real life. Everyone wins, except for the bad guys.

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Capistrant: I guess I did but not cash so much as just bodies I had to either do it myself and not make any money programming or have someone on staff write some stuff and have them not do any programming So, yeah, we invested money by just the loss of work Smolin: And then did you Beta test it Capistrant: No, we broke all the rules there We just threw it on a customer and let them find the problems But they were a nice customer I wasn t smart enough to Beta test I didn t forego it I didn t know that that was, you know, the rules of the road Smolin: So the first person you gave it to tolerated the problems that are inherent in every new piece of software, I suppose Capistrant: They did, but, you know, you treat them really well.

Livingston: Do you remember a time when you wanted to quit Newmark: Nothing like that. Sometimes I ll have some anxiety. For example,

when the site is having a problem, or when there s some issue that I m having trouble handling, but that s not usual.

Finally, you re ready to make the four vertices collide with your terrain, because both the positions of your vertices and of your terrain coordinates are in absolute 3D space.

Livingston: It started out as a side project. Was there ever a point when you said, I don t have the time for this Or were you always very committed Newmark: Always very committed. I m stubborn. As I sometimes say, I m one

Livingston: I m surprised that you never had any problems that you thought were totally overwhelming. Newmark: The problems I ve had which got to me were the after-effects of

Because they re doing your Beta testing for you And if you re really responsive to them, they re pretty happy So I just was very careful to be responsive to them and cleaned up a lot of the initial problems Smolin: Do you have any copy protection for the program Capistrant: Well, no, and it s been a concern for a while I ve met with lawyers and talked about copyrights versus trademarks versus service marks, and I actually don t really know where that ended up For a while we just sort of kept everything on MDEs [compiled version of an Access program], so it s not to easy to break into the code itself And that was my copyright protection Smolin: Well, I m thinking of not copyrights so much as copies, pirated copies.

Livingston: Who did you learn things from Newmark: From friends, from business people I know. I should give particular

credit to our principal corporate lawyer, a guy named Ed Wes from Perkins Coie. He s been very good at a lot of issues. He s really helped us out a great deal.

Livingston: The turning point for you was when you decided to do craigslist full-time, when your advertisers took you to lunch Newmark: Basically in mid-December of 97, they took me out to lunch and said, This isn t working. You ve got to take more responsibility for the way things are going. And I did. Livingston: And you thought, This is the right thing for me to do Newmark: Yeah. That meant that I coasted on savings for several months or so, but that s not a problem. And it worked. Livingston: Did you fund craigslist initially or did you take outside investment Newmark: I funded it with my own time. In no form did we ever take investment money. While we were trying to run nonprofit, the nonprofit entity took a few tiny loans, but we re talking about low thousands. Livingston: I m interested in the concept of how little money it takes to start

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