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Apple is an outlier because they sell hardware, which carries lower margins than pure software/information services. LinkedIn at $700k vs $1.5m at Google (perha
by runako 3y ago
Apple is an outlier because they sell hardware, which carries lower margins than pure software/information services. LinkedIn at $700k vs $1.5m at Google (perhaps one of the best business models ever) doesn't feel bad! For comparison, here are RPEs for other large successful tech firms:
- Oracle: $310k
- Salesforce: $416k
- Intuit: $830k
- Adobe: $645k
- Workday: $317k
- Meta: $1.5m
Studying these numbers confirms that Google and Meta are indeed extraordinary businesses. Which is not to take anything away from LinkedIn, as they operate in a different market.
More interesting is the hypothetical question: if you were in charge of LinkedIn, how would you prioritize achieving an RPE near the top of the industry against other priorities (perhaps such as increasing market share)?
- addicted 3y agoAnd to your point, Google and Meta are indeed extraordinary businesses. That’s why everyone wants/wanted to be Google or Meta. Even being somewhere in the ballpark of a Google or a Meta is incredible.