Facebook Acquires Branch

Re:Facebook Acquires Branch by jt2190 on Monday January 13, 2014 @01:12PM (#7052251)

  > This is why I could never be a tech start up investor. 
  > Every new app like this that I see, I dismiss as 
  > useless/nothing new/why would anyone use that.

Seasoned investors don't even try to decide whether the app is good or not. After all, who cares what the investor thinks? The only thing that matters is what the market thinks. Instead, they "place many small bets", and hope that one of them pays off big.

(edit: This is why there seem to be so many "bad ideas" that get funded.)

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Re:Facebook Acquires Branch by jiggy2011 on Monday January 13, 2014 @02:12PM (#7052642)

But by that logic every startup has an equal chance of investments, so the optimal tactic is to pump out nonsensical bad apps until somebody funds one.

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Re:Facebook Acquires Branch by rpicard on Monday January 13, 2014 @03:19PM (#7053001)

That assumes your end-goal is to get an app funded. It's my understanding that funding is really just the start of the journey to having something that is successful and will make you rich (if that's your goal).

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Re:Facebook Acquires Branch by yid on Monday January 13, 2014 @07:17PM (#7054549)

"many small bets" does not mean you're picking them at random.

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Re:Facebook Acquires Branch by curmudgeoned on Monday January 13, 2014 @03:31PM (#7053063)

This model of investment is one tactic. But in my opinion, it's not the one at play here.

Another majorly significant tactic of investment is to buy your potential competitors early and often. Find the upstarts that pose a threat to your business and make them an offer.

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