3 ms·
Google actually was making a ton pre-IPO (on the order of a billion in revenue). Facebook isn't (yet).
by aston 19y ago
Google actually was making a ton pre-IPO (on the order of a billion in revenue). Facebook isn't (yet).
- nostrademons 19y agoRight, it's just that nobody knew about it. When Google's S-1 came out, everybody was astonished by how much money they were making.
- aston 19y agoThe question to ask is not what Facebook claims it's worth, but what Facebook thinks it's worth. As in, what's the internal valuation being used for setting employee option strike prices? Methinks nowhere near $10 billion.
- nostrademons 19y agoAren't they required by law to set them at the price of the last investment? IIRC, that was how it worked the last time I got ISOs. It sucked when the company got a new round of funding, because it meant all new ISOs needed to have a strike price that was roughly double what the old ones were. FaceBook's Series-A had a pre-money valuation of like $78M, which is nearly unheard of in VC circles. If they've done further rounds, it'll be even higher.
- far33d 19y agoHow exactly do you know that they don't?
- aston 19y agoBased on Facebook's own estimates.