Re:Mailchimp Is Exploring a Sale at $10B-Plus Valuation
by itsdrewmiller on Thursday August 12, 2021 @12:30PM
(#28158339)
The parent comment said “less than that” not the same amount - clearly it wouldn’t make sense if you expected to spend the same. (That said, the parent comment is classic HN “that seems easy” and is likely to be wrong.)
Then you'd have to compete against Mailchimp and other established brands to get there, which means high competitive and execution risk factors. That means your $10B investment in NewMailCo is at risk of loss, with (say) odds of 50% of building a success like Mailchimp. Further, you run the very real risk of losing all of it if you try to start from scratch. Most startups fail, regardless of available capital (Quibi, Juicero, etc.).