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7 million would sound fair to me. 7 billion? Explain yourself.
by TechSquidTV 1mo ago
7 million would sound fair to me. 7 billion? Explain yourself.
- nateb2022 1mo agoOpenRouter already takes in around $140M in yearly revenue. How would paying 5% of yearly revenue make any sense for an acquisition??
- Dylan16807 1mo ago> How would paying 5% of yearly revenue make any sense for an acquisition?? 50x revenue is also a crazy number. I wonder what happens more, companies selling for ≤5% revenue or companies selling for ≥50x revenue.
- nateb2022 1mo agoWell OpenRouter went from ~$5M in mid 2025 to ~$140M about a year later, so although 50x might be compared to current revenue, they probably factored in some growth models to approximate its value over time.
- leros 1mo ago10% would be more typical. Perhaps the math is that OpenRouter inside Stripe makes it twice as valuable. You often see acquisitions priced on the value of the company post-acquisition.
- sneilan1 1mo agoThe 7 billion figure is not just open router's current value. It's also including part of it's projected value in the future. So that 7 billion includes current value + value say 5-10 years out.
- mfld 1mo agoRemember when Google acquired YouTube for $1.6B in 2006? That amount seemed ridiculous at the time. Its now peanuts compared to YouTube's yearly revenue.
- Klonoar 1mo ago2006 called and wants their valuations back.
- lukewarm707 1mo agojust imagine that the money isn't real and you're there.
- zmmmmm 1mo agoLet's just hope the pitch wasn't selling everybody's data for training