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vercel costs 20 bucks. if every eng makes 100 websites using it, and theres 1% of the population = developer, then revenue would be 20 million a year, or a valu
by mysore 2y ago
vercel costs 20 bucks. if every eng makes 100 websites using it, and theres 1% of the population = developer, then revenue would be 20 million a year, or a valuation of 100m tops. and thats if everyone buys..
- afruitpie 2y agoThey do also charge (dearly) for usage.
- mrastro 2y ago20$/month * 12 months in a year * 100 websites = 24k$ per dev 20m / 24k$ ~= 834 devs Getting the world population assuming 1% devs: 834 / 0.01 = 83,400 The world population is actually around 8 billion so you might be off by about 10^6 or 6 orders of magnitude. Not necessarily saying you're wrong about their valuation being overblown but your argument isn't a strong one.
- ed 2y ago1% of 8 billion = 80 million developers 80 million developers * 100 websites * $20 per month * 12 months = $1.9 trillion revenue per year
- reducesuffering 2y agoHow is this top HN comment? Vercel has major enterprises with 7 figure contracts… It’s not simply hobby infra
- blovescoffee 2y agoYes. At a minimum it’s very easy to imagine contracts on the order of 10k per month and 100k per month. If you read about enterprise sales those numbers are normal. In my opinion their huge valuation is wack but the parent comment wasted their time doing math based on $20/month services - not even including all the add-ons they have in the “hobby”/small project tier.