4 ms·
maybe we will look back and also think that the current slate of IPOs were reasonable valuations?
by ml_basics 4mo ago
maybe we will look back and also think that the current slate of IPOs were reasonable valuations?
- lumost 4mo agoThe critical view is that these IPOs are bumping up against physics. How many trillion dollar companies can the economy support? The US GDP is roughly 32 Trillion. A company with 100 billion dollars in revenue and 10x annual growth would be expected to increase the size of the economy by 3.2% in its first year, and about 30% in it's second year post IPO existing. While we could claim that such a company can grow by consuming a larger share of the GDP ... this would not bode well for future political stability, and nationalization would be a major topic. So your left with a fast take off scenario, a job apocalypse, or a massively reduced growth rate.
- fittingopposite 4mo agoWait for more inflation. See https://en.wikipedia.org/wiki/Hyperinflation_in_the_Weimar_Republic https://en.wikipedia.org/wiki/Hyperinflation_in_the_Weimar_R...
- adammarples 4mo agoIf Anthropic has anything line that level of success, it will also be at the expense of huge unemployment, because Claude is really competing with knowledge work