Craigslist worth $18 billion
Alright, so I played a little trick on you guys, craigslist has not been valued at $18 billion.
But given the recent string of crazy valuations, $18 billion does not seem that far out anymore. But the fact that you even considered that feasible, even if for half a second, proves that we're in the middle a huge tech bubble. Personally, I feel that what the BBs are doing is criminal. I doubt a single Goldman employee would be willing to be paid in Facebook stocks deferred until a month after the IPO, i doubt any of them would bite. Thoughts ?
Agreed 100%. I think there are some really legit tech companies out right now (Facebook, LinkedIn, Zynga, Groupon for instance) but a whole fuck ton of garbage that won't exist in a matter of 2 or 3 years. At least Craigslist provides a real service, whereas so many of these things are total crap.
I saw this article recently, called "Why Google can't create Instagram" whose entire premise was trying to paint Google as some sort of Goliath incapable of making dynamic new products. It's like, maybe Google is busy making billions off of real products / services to be making shitty iPhone apps for hipsters to add sepia tones to their photographs.
I'm sure they were worth much more than 18B, at least to me, before they took down their adult section. IMO, it's a worthless site now that I can't pursue my various fetishes with total strangers. why did the fun have to end? WHY?
Linkdin- Undervalued in some sense Facebook, can be argued as accurately valued Zynga- Laugh out loud joke Groupon- Rolling on the floor laughing
Agreed, I smell lawsuits.
-- How much does Wall Street Oasis worth? Any guess?
I wonder what the split is between ad-revenue/tutorial sales for WSO. Should be a good read.
Patrick mentioned the figures on his Mixergy interview if you're curious. He pulls in a good amount, could be more so we should support him by buying shit every once in a while.
The only bubble that can be argued in my opinion is that of an early stage funding bubble (the explosion of the seed stage), but i would disagree. Many companies are getting funded simply because its cheaper and easier to launch a web company in todays market. This is thanks in part to cloud services like Amazon and rackspace making it cheap and less intensive to quickly launch and gain traction. Thus Super angels or VC seed funds can invest sub 200k in 15 (example) companies hoping that 1 will hit the 100mm mark to return the fund.
The reason I disagree that this causes a bubble is, while many companies are getting funded, its a product of having a portfolio and most that are getting money have a shot or a large enough market. Investors are looking for diversification, and as the needed amount of capital to launch a company lessens, more plausible businesses emerge that they can fund with their limited assets. Also the seed stage investing market is around 1bn, or about 1 medium sized hedge fund. So if it does burst, the overall effects arent that massive. Seed funding is great, it provides jobs, innovation and tax revenue.
Finally all the companies that are getting these massive valuations are legit businesses. Facebook, Zynga, Groupon are powerhouses. I would agree that Quora or Uber dont deserve the hype or valuations they've gotten, but they're products of Facebook hype and its similar to throwing money at the HF started by the ex goldman guy.
Where can I purchase escorts, now that craigslist took away their adult services?
Backpage
Agree with the above. Facebook, Groupon, etc. are pervasive because of the unique and reliable serviece they provide and were spread primarily through word of mouth. Although I do think some of these companies are overvalued, I really don't think they'd do horribly if they went public. If you stick strictly to the books, fundamentally these companies are well ran businesses that will (hopefully) generate organic growth in the future.
But to stay on the topic at hand the OP initiated, yes, I do understand the threat of ridiculous valuations of tech companies. Maybe it's just me but I feel that a BB's valuation is almost acting as a stamp of approval as if a Big 4 signed off on your financial statements. Doesn't seem to be heading in a good direction when the firms are realizing that their valuations are having such a significant impact on investor behavior.
moneyt, when I saw this headline, i did not believe it for a second and was like, "WTF?!"
As far as how much WSO is worth, depends what multiples we are talking here. I think 2011 will be about another 50% growth in traffic and ~100% growth in revenue but we are still a niche site with a somewhat limited reach. I can see us getting to maybe 10 million pageviews/month in a few years. About a year ago I woudl have said 5 million/month would be a natural plateau but after the growth we've seen in 2010 (and coming close to 4 million/month in January), I think next January we could see ~5-6 and in a few years who knows.
either way it's been a fun ride. thanks for all your support guys.
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