Re:The WeWork IPO
by edanm on Wednesday August 21, 2019 @06:50AM
(#20756103)
> The bull case is that it has the potential to become as valuable as Marriott which is about $43 Billion in market cap.
Um.. that's one bull case, but the article presents a much stronger case (namely, the one that WeWork itself is making). That is, that WeWork will do to offices what AWS did to servers - make it so the average company never buys physical servers, but rather outsources all of those operations to Amazon.
Analogously, WeWork is imagining a world in which companies never build offices - it's not their core competency, after all. Rather, most companies just get an office at a WeWork instead.
So their potential market is huge - they've only tapped a tiny tiny percentage of "all people who work at a desk".
Um.. that's one bull case, but the article presents a much stronger case (namely, the one that WeWork itself is making). That is, that WeWork will do to offices what AWS did to servers - make it so the average company never buys physical servers, but rather outsources all of those operations to Amazon.
Analogously, WeWork is imagining a world in which companies never build offices - it's not their core competency, after all. Rather, most companies just get an office at a WeWork instead.
So their potential market is huge - they've only tapped a tiny tiny percentage of "all people who work at a desk".