Comment by yuppiepuppie
11 hours ago
They've raised over $16 million [0]. For a decent 3-5x return for that, they would need to have been acquired for around ~$50 million. For a team of 19 [1], thats around $2.5 million per employee for Cloudflare. Worth it? no idea
[0] https://voidzero.dev/posts/announcing-series-a [1] https://voidzero.dev/about
if it helps Cloudflare make it so that 20% of applications are built on their platform then that is definitely worth it
I could see Cloudflare wanting them for 50 Million. Cloudflare recent acquisitions have clearly been "buy tools with heavy lock in" and companies shipping on Void are likely heavily locked in.
Isn't their revenue just sponsorships and donations? This seems like a company destined to scrape by despite their popularity, like Tailwind. You don't get $50 million for that.
They have a cloud they already built on Cloudflare. Cloudflare probably thinks they can quickly launch that and that's locked in, steady revenue source.
void.cloud was their revenue plan, but it was still in private beta at this point.
Your linked post shows they raised 12.5 million?
But it's also possible they haven't spent much of that money.
The investors don't need to be happy. They just need to be made whole (assuming they have a minority control).
It could literally be that only $2m ever got spent and that's been paid back.
It could also be that when literally nobody said they would pay for Vite+ the investors and team in general lost confidence and were actually very happy just to get their money back and pivot into this acquisition.
Presumably that $12M A was around $50M Val so they need to sell for substantially more to give investors a multiple return.
Unless the investors have liquidation preference where they see their multiple before anyone else sees a dime.
Presumably being able to influence their roadmap is worth it
They will easily have exceeded $50m.