9 ms·
As a quibble, I would say the traditional VC-backed tech startup is a technology that costs $50mm to develop, but can be sold into a market of 10 million units
by saalweachter 8y ago
As a quibble, I would say the traditional VC-backed tech startup is a technology that costs $50mm to develop, but can be sold into a market of 10 million units @ $100 with a per-unit cost of $75.
"We can develop a monopoly by selling below cost" is some kind of traditional business, but I wouldn't call it a traditional tech startup.
- mannykannot 8y agoDeveloping a monopoly while selling below cost was Amazon's path, and others took note - Uber, for example, which is hoping to corner the autonomous taxi market, and is effectively offering its current services with human drivers in order to position itself for that.