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A company whose revenue is primarily derived from a technology characterized by high margin, high scalability and low fixed costs. One could also say that such
by fractionalhare 6y ago
A company whose revenue is primarily derived from a technology characterized by high margin, high scalability and low fixed costs. One could also say that such a technology should be the primary differentiator for the product. The products therefore tend towards software and hardware as applied to a pre-existing market, but that's not an ironclad rule.
- H8crilA 6y agoSo for example not Tesla (high fixed costs, low margin), not Uber (negative margin), and not Amazon (the retail part is low margin; AWS actually fits). And things like Wish clearly only if we're talking gross margin, not operating margins. The amount of ads they're running is crazy.
- fractionalhare 6y agoYeah, those first three are good counterexamples. My definition has to be reworked. I don't really think Wish is a tech company though.