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> Curing cancer would be infinitely more profitable than yet another crypto exchange. But humans are greedy. They won't wait for the big payday when a metaphori
by DrScientist 4y ago
> Curing cancer would be infinitely more profitable than yet another crypto exchange. But humans are greedy. They won't wait for the big payday when a metaphorical marshmallow is dangling in front of them.
The problem is the NPV calculations - tying you money up from 15 years before you see a return in a high risk sector ( where most things fail ) - doesn't make mathematical sense.
What makes mathematical sense is to rely on optimists to try anyway and then buy them at the right time when you can get the most return on your investment.
This is what a company like Pfizer does - it goes around buying innovative companies - taking the products and sacking the people [1]. They are extremely successful - but if everybody behaved like that we'd be fcked.
( I over emphasise for effect - but broadly true )
- fuzzfactor 4y agoCuring cancer will be infinitely more profitable than a lot of things, for the investors, but that doesn't mean they will be willing to pay engineers more than pure financial manipulators, even if they are able.
- randomdata 4y agoThe only reason investors would enter the picture is if the engineers preferred to take a smaller cut upfront. Keeping with the marshmallow experiment theme, that is them choosing to eat the marshmallow instead of waiting for the desired treat offered to those who wait. Indeed, that is the likely scenario as humans are greedy. People generally don't have the will to hold out for the bigger rewards, they want instant gratification to quash the feelings of their greed in the moment. They don't have to choose instant gratification, but if they want to then I suppose investment helps ensure that they still work on something useful when instant results cannot be seen.