Comment by munk-a
2 years ago
Yes but would they reach the 30% YoY growth in perpetuity we consider mandatory in the modern economy? Fast may seem good but it's actually slow when compared to the fastest horses. Every company must be a unicorn, so sayeth the investors.
> would they reach the 30% YoY growth in perpetuity we consider mandatory in the modern economy
Straw man. If you tell investors you'll grow at 30% YoY for the foreseeable future, and raise money on that premise, you can't turn around after failing to deliver and blame "the modern economy." Plenty of businesses–most of our economy–run on low-growth or steady-state business models.
>> would they reach the 30% YoY growth in perpetuity we consider mandatory in the modern economy
> Straw man. If you tell investors you'll grow at 30% YoY for the foreseeable future, and raise money on that premise, you can't turn around after failing to deliver and blame "the modern economy." Plenty of businesses–most of our economy–run on low-growth or steady-state business models.
Not exactly. The rest of the economy may run on "low-growth or steady-state business models," but the VC investors that control funding for technology businesses demand "30% YoY growth in perpetuity." It's a cultural problem.
> the VC investors that control funding for technology businesses
Reddit was held by a media company, Condé Naste. It chose to raise growth equity from VCs, among others. In summary,
The whole world needs to slow down and take a breath.