It's the silicon valley mantra. Grow for multiple years at a loss so you can be the first and biggest player in your business segment and instigate a monopoly, giving nobody else a chance to establish themselves. They all want to be the next Google, Amazon or Facebook.
I remember seeing a silicon valley VC, in an interview, saying that he wouldn't invest in a startup if he couldn't see a path to a billion dollar valuation. Of course, this guy has the right to his own investment strategy, but it also seems kind of idiotic to suggest that every business that can't have a billion dollar valuation is worthless. There are plenty of niche business out theres that occupy smaller market segments that the tech giants will likely never come into. Personally, I wouldn't say no to owning a significant share of a 600 million dollar business.
I remember seeing a silicon valley VC, in an interview, saying that he wouldn't invest in a startup if he couldn't see a path to a billion dollar valuation. Of course, this guy has the right to his own investment strategy, but it also seems kind of idiotic to suggest that every business that can't have a billion dollar valuation is worthless. There are plenty of niche business out theres that occupy smaller market segments that the tech giants will likely never come into. Personally, I wouldn't say no to owning a significant share of a 600 million dollar business.