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When I read those two articles in WSJ, I wasn't surprised at all. When I saw hype around Theranos a year or two ago, I thought it might be a scam. Common: a 30
by mudil 11y ago
When I read those two articles in WSJ, I wasn't surprised at all. When I saw hype around Theranos a year or two ago, I thought it might be a scam. Common: a 30 year old, comes up with some hitherto unknown technology in a field that has millions of people and companies working hard to implement even small advances. And all the hype surrounding the company is based on her persona, really.
(I remember reading in Freakonomics or in Good to Great that statistically any time you have a company whose main effort is promote a charismatic CEO: watch out, this company is not that great.)
- mudil 11y agoAnd, just look at the articles. Theronos uses Siemens technology, while maintaining a facade of a revolutionary company. I just don't know how these VCs invest. Again and again due diligence is missing. The company is worth billions. And it seems like these investments were made based on personalities and friendships. I remember when Color had $41M investment right off the bet. And no one could understand what this application is designed to do. And no one ever used it. http://techcrunch.com/2011/03/23/color-looks-to-reinvent-social-interaction-with-its-mobile-photo-app-and-41-million-in-funding/ http://techcrunch.com/2011/03/23/color-looks-to-reinvent-soc...