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It's going to be awesome to compare their S-1 to Uber's to see who is the most financially unviable in terms of sustainable operations.
by crsv 7y ago
It's going to be awesome to compare their S-1 to Uber's to see who is the most financially unviable in terms of sustainable operations.
- linuxftw 7y agoPlot twist (fiction, probably): Same VC's backed both companies, Large section of Uber staff paying inflated prices to WeWork.
- bravoetch 7y agoThat's hardly a plot twist. See Coinbase Inc. buying Earn.com for $100m in order to pay out the VCs that invested in both.
- skinnymuch 7y agoSam Altman’s company got bought out by friends/same VC/board members. And that’s a YC company with Sam being head of YC now I think. There are other examples too.
- pbreit 7y agoThis comment shows no understanding of business or finance. For example, Uber prints money on non-pool rides in mature markets.
- jgalt212 7y agoFair enough, but if you take IBM's best product it looks like a great biz. The same goes for GE and any other currently struggling old economy biz. Even for places as colossally messed up as Deutsche Bank, you can spin the same yarn.
- deleted 7y ago[deleted]
- pbreit 7y agoyou’ve cited 3 examples of the opposite of a young hyper growth company.
- jgalt212 7y agoYes, that's true. The larger point, which I have not been able to successfully convey to you is that any venture can be made to look great when you get the pick the metrics of success.
- JackFr 7y agoWell the point is, let's say they have a core business that's profitable. The valuation is based on a market far larger than that profitable core business. As part of the story, the losses are coming from trying to grow the core business to a size to justify the valuation. And it's just not clear that the larger market will ever become profitable.
- rossdavidh 7y agoOh, I'd say it's clear all right, just not in the way they might prefer.
- i_phish_cats 7y ago1) Get Saudi money. 2) Maximize revenue, minimize profit. 3) ??? 4) Profit. Am I missing something?
- aerosmile 7y agoNothing else except for all the steps that go between 0) and 1). There might be hundreds or even thousands of those steps, and 99% people will never get to learn even a fraction of them. You may cry foul now and list all the reasons why perhaps opportunities for learning are not equally distributed, but the fact remains that there is a lot to learn and that many people tried to build a WeWork but only one team succeeded.
- askafriend 7y agoLet's try to achieve a higher quality bar for comments here than Reddit memes.
- SilasX 7y agoYou mean, no understanding of the profitability of one business's core model and how its earnings are being distorted by unrelated (and somewhat optional) expansion costs?
- paxys 7y agoWhat would Uber be valued at if all they did was offer non-pool rides in mature markets?
- pbreit 7y agoFraction of current.
- crsv 7y agoGod forbid a comment be made that's even partially tongue-in-cheek. With all the coverage and discussion around Uber, its business model, its financial performance etc, combined with the equivalent buzz around WeWork, I think the comment was excusable and could have gone without the personal attack with regards to understanding the generic topics of business and finance.