Snapchat originally set out to raise $40 million, but demand for the round skyrocketed, and it decided to shoot for an ambitious $900 million instead. When that didn’t work out, it dialled it back to $500 million.
This is what I was thinking. And they wanted even more than that! I can't fathom what $900 million would buy, but it seems like at a certain point, it'd be in their interests to stop giving away equity, no? $900 million is a big chunk of a company pretty much regardless of valuation.
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Snapchat originally set out to raise $40 million, but demand for the round skyrocketed, and it decided to shoot for an ambitious $900 million instead. When that didn’t work out, it dialled it back to $500 million.
Mind boggling.
So really, they have no clue how much they need/or what to do with the money then. The difference between 40 and 900 Million is quite staggering.
On what does a software company spend half a billion dollars?
This is what I was thinking. And they wanted even more than that! I can't fathom what $900 million would buy, but it seems like at a certain point, it'd be in their interests to stop giving away equity, no? $900 million is a big chunk of a company pretty much regardless of valuation.
Marketing, enterprise sales? Also, snapcash.
Other software companies. Lawyers.
Marketing.
You don't spend heavy marketing dollars on a free app. (Not in the way most people would define "marketing", anyway.)
split it evenly between the employees and all retire