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Unless I am reading the prospectus wrong, looks like they haven't made a profit yet and the losses are much larger this year than last. I find that troubling fo
by rpedela 13y ago
Unless I am reading the prospectus wrong, looks like they haven't made a profit yet and the losses are much larger this year than last. I find that troubling for a software company wanting to IPO.
- fizx 13y agoNeither Amazon nor Groupon were profitable at IPO, ostensibly because they were maximizing growth. I guess you just have to decide which you think Twitter is more like.
- rpedela 13y agoTrue, but Amazon could easily be profitable. It is a matter of choice in their case and has been that way since the beginning if my memory serves. Jeff Bezos chooses to run the company more like a non-profit than a C-corp. On the other hand, Groupon never had a sustainable business model. Twitter seems like they could have a sustainable business model which is good, but I haven't seen much proof so far. When Facebook was not profitable for so many years, it was fairly obvious to me they had a path to profitability or sustainability (if they chose to act like Amazon). It is not obvious to me how Twitter will do this.