Re:Paul Graham’s ‘lowball’ accusation of Google Ventures
by pbiggar on Friday September 07, 2012 @07:22PM
(#4491676)
> The kicker, and the truly poetic part of all this, is, as Graham hints, that all these valuations are made up, anyhow.
Of course they're made up, everybody knows they're made up. They are a response to market demand to invest in companies at that stage (especially ones that come out of YC). The same is true of companies entering Series A, IPOing, or publicly available.
I'm surprised at VentureBeat's reporting here. If you're experts in "Venture", I would expect you to know that valuations are always made up, without needing PG to hint it for you.
Of course they're made up, everybody knows they're made up. They are a response to market demand to invest in companies at that stage (especially ones that come out of YC). The same is true of companies entering Series A, IPOing, or publicly available.
I'm surprised at VentureBeat's reporting here. If you're experts in "Venture", I would expect you to know that valuations are always made up, without needing PG to hint it for you.