It is nice to see a more extensive explanation, even as the motive is to save face. But the apology, like the incident itself, feel like symptoms of a flawed strategy.<p>> <i>How did we get ourselves here? We started Kite with the idea that machine learning could help eliminate the repetitive parts of programming. We spent three years building the initial product - and it works. Our software has really great completions, conveniently sorted by relevance instead of the alphabet, among other features that are proving useful to coders.</i><p>> <i>We’re proud of the tools we’ve built - the problem we faced was finding a way to tell potential users about the thing we created. As we considered our options, we had a novel idea: buy an open source plugin, reward the author for their work, and expose new users to Kite.</i><p>Many eminently useful plugins and software have been able to endear themselves via word of mouth and user happiness; Homebrew, Bootstrap, and Atom come to mind. And plenty of programmer-optimized software can even charge good money, such as Textmate and PyCharm.<p>Advertising isn't a bad way to get exposure, but yeah, I do agree that Kite's approach was "<i>novel</i>". It'd be as if the official CDN version of React wrote console messages about how great Instagram's new Snapchat-like features are. Even if Kite's injection of self-promoting code into a popular plugin was harmless, it felt exactly like the kind of shady tactic that people cynically suspect user-data-in-the-cloud companies to partake.<p>The critique of Kite was not the only Kite-related article to get a huge number of HN upvotes; Kite's initial announcement and a followup about Python features got 1,138 and 553 upvotes [0] respectively. That (plus the VC funding and connections you already had) is enough to get a critical mass of interest. If Kite hasn't gotten the desired userbase a year later, advertising isn't the solution. In each of those HN discussions, as well as on Reddit, the primary concern was the cloud hosting of code. Maybe it is impossible for Kite to be full-featured as a locally-hosted product, but most users seemed unconvinced because they were apparently unable to see the value of Kite over what offline IDEs are able to do.<p>Kite's response shouldn't have been "the same concerns were raised for tools like Dropbox and Github [which]are now used without hesitation" [1], but to focus on a minimal viable local product that would become popular enough to have the same kind of trust/popularity that Github and Dropbox earned (hard to imagine either being successful if not for their generous free plans). Undertaking a strategy that re-emphasized people's concerns about the cloud and Kite's unclear privacy policies is just not a good look.<p>[0] <a href="https://hn.algolia.com/?query=kite&sort=byPopularity&prefix&page=0&dateRange=all&type=story" rel="nofollow">https://hn.algolia.com/?query=kite&sort=byPopularity&prefix&...</a><p>[1] <a href="https://www.reddit.com/r/Python/comments/4erjy4/kite_programming_copilot/" rel="nofollow">https://www.reddit.com/r/Python/comments/4erjy4/kite_program...</a>