I think most people who invest in these things take future/potential growth into account. Also, it can be argued that consumer web investments have been working

I think most people who invest in these things take future/potential growth into account. Also, it can be argued that consumer web investments have been working on the greater fool theory for the past decade: http://en.wikipedia.org/wiki/Greater_fool_theory http://en.wikipedia.org/wiki/Greater_fool_theory. This is still relatively early for comparable hyper-growth consumer web or mobile consumer app company. If you're able to get your money in this round, you're likely going to see a good return. Not saying I necessarily agree with the investment, but this is just how things have been lately.