In the real world, $40 million dollars would typically mean at most a 5x profit valuation, meaning 8 million in profit, and probably $80-$100 million in revenu

In the real world, $40 million dollars would typically mean at most a 5x profit valuation, meaning 8 million in profit, and probably $80-$100 million in revenue, and hundreds of employees. In the valley and California, $40 million often means a talent acquisition with interesting technology, and smart people, but no idea how to monetize it or create a sustainable business. Hence the "dipshit" label.