>Just because a company is sold before it's profitable doesn't mean that it couldn't ever earn money, or that it doesn't deliver value to the buyer. I agree wi

>Just because a company is sold before it's profitable doesn't mean that it couldn't ever earn money, or that it doesn't deliver value to the buyer. I agree with that, but currently many companies are sold without even having an notion how to earn money (other than "ads"), and those that do have some revenues get GM-sized evaluations. I don't mean to attack anyone - it's markets and currently building to sell is a reasonable choice. At a certain scale it's even sustainable, but currently I think we're in a bubble: the tractor company's customers use the product to increase their revenues. Has Conde Nast increased its revenues after buying Reddit? Will Bebo bring $850m of value to AOL?