3 ms·

1. GitHub was struggling badly. They had lay-offs, etc. 2. Google still makes the lion's share of it's money from search/ads. Google Compute is struggling and

1. GitHub was struggling badly. They had lay-offs, etc. 2. Google still makes the lion's share of it's money from search/ads. Google Compute is struggling and being subsidized by search/ads. IMHO, Docker's only exit strategy is to sell. They don't have enough time left to grow an organic business. Silicon Valley money always wants paid back, sooner rather than later. The layoffs and new CFO at Docker, IMHO, are all about cleaning up the finances so that a sale is possible at a good price. Their last round of investment barely averted a down round. The value bump was minimal and the investors are mostly from a bank in Brazil that likely doesn't understand exactly what they bought into (a lot of uneducated money out there right now because there is no place to put it). None of the original investors participated which shows they don't believe in the company anymore. Their most valuable asset is Windows support. Hence, the most likely aquirerer would be Microsoft. I'll bet a paycheck they sell for somewhere between 1.5B and 2.5B. Keep this thread for posterity :-) It's painfully obvious to anybody that has been in this game for a while... (opinions and analysis my own)

tedmiston 8y ago
1 - Having too many people is more an indicator that they hired too fast or more than they could sustainably afford rather than indicating anything about their inherent monetization strategy and approach. Every company has a ceiling somewhere, even if it's getting acquired by Microsoft for $7.5B. That's a pretty nice ceiling to have. 2 - That seems fine and besides the point... Google is massive. Google Cloud (excluding the half that comes from G Suite) brings in $2B per year in revenue. That might only be a few percent of Google's overall, but a few percent of $80B is still a massive number.

3 ms·

1. GitHub was struggling badly. They had lay-offs, etc. 2. Google still makes the lion's share of it's money from search/ads. Google Compute is struggling and

by fatherlinnux 8y ago

tedmiston 8y ago
1 - Having too many people is more an indicator that they hired too fast or more than they could sustainably afford rather than indicating anything about their inherent monetization strategy and approach. Every company has a ceiling somewhere, even if it's getting acquired by Microsoft for $7.5B. That's a pretty nice ceiling to have. 2 - That seems fine and besides the point... Google is massive. Google Cloud (excluding the half that comes from G Suite) brings in $2B per year in revenue. That might only be a few percent of Google's overall, but a few percent of $80B is still a massive number.