A fast growing venture backed startup doing frontier R&D should be losing money overall.
If they weren’t losing money, they wouldn’t be spending enough on R&D. This isn’t some gotcha. It’s what the investors want right now.
A fast growing venture backed startup doing frontier R&D should be losing money overall.
If they weren’t losing money, they wouldn’t be spending enough on R&D. This isn’t some gotcha. It’s what the investors want right now.
Don’t disagree it’s what investors want. Point is just that we’re approaching a point from an economics standpoint where the credibility of the “it’s ok because we’re investing in R&D” argument is rapidly wearing thin.
WeWork’s investors didn’t want them to focus on business fundamentals either and kept pumping money elsewhere. That didn’t turn out so well.