Steve Blank

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Tesla Lost $700 Million Last Year, So Why Is Tesla’s Valuation $60 Billion?

Steve Blank

What explains this more than 1,000 to 1 discrepancy in valuation? However, the question shouldn’t be why Tesla has such a high valuation. Automobile manufacturers shipped 88 million cars in 2016. Tesla shipped 76,000. Yet Wall Street values Tesla higher than any other U.S. car manufacturer. The future. Tesla is not another car company.

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Why a Company Can’t “Be More Like a Startup”

Steve Blank

Uber – current valuation >$70 billion – knew the day they started that their ridesharing service violated the law in most jurisdictions. Airbnb – current valuation $31 billion – allows people to rent out their homes, rooms or apartments to visitors. Here are some of the most visible examples.

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Is the Lean Startup Dead?

Steve Blank

What matters to investors now is to drive startup valuations into unicorn territory (valued at $1 billion or more) via rapid growth – usually users, revenue, engagements but almost never profits. And if the company does go public, the valuations are at least 10x of the last bubble.

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Technology, Innovation, and Great Power Competition – Class 4- Semiconductors

Steve Blank

We discussed whether 1) that was true or just anecdotal 2) if true, was it the same in other research universities, 3) why it happened (software startups are getting funded at obscene valuations)?

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Cram Down – A Test of Character for VCs and Founders

Steve Blank

At the turn of the century after the dotcom crash, startup valuations plummeted, burn rates were unsustainable, and startups were quickly running out of cash. A down round is when a company raises money at valuation that is lower than the company’s valuation in its prior financing round. They’re Back.

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Corporate Acquisitions of Startups: Why Do They Fail?

Steve Blank

VCs like acquisitions as much as IPOs because the acquiring companies often can rationalize paying large multiples over the current valuation of the startup. However, these nosebleed valuations make it even more important in getting the acquired company integrated correctly.

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Why good people leave large tech companies

Steve Blank

Before the rapid rise of Unicorns, (startups with a valuation over a billion dollars), when boards were still in control, they “encouraged” the hiring of “adult supervision” of the founders after they found product/market fit. Adult Supervision.