What is the “value” of that startup?
Web Worker Daily and Blogs.business2.com have a really fascinating article on the valuation of Web 2.0 Startups. Looks like the CEO of E-Snips was poking around alexa to determine how some of the more recognizable web 2.0 startups were doing in their traffic counts, and then offset that by how much some of the companies had been bough for. Business 2 states:
So how much is a Web 2.0 startup really worth? Everyone is wondering that these days, especially since there are so few acquisitions or IPOs by which to measure them. That’s why I like the slide below created by eSnips CEO Yael Elish. It gives an approximate value for many high-profile Web 2.0 sites by correlating publicly available Alexa Web traffic numbers with the value of known deals like YouTube’s. This slide is hardly accurate for many reasons (see below), but it does help you visualize how one company may be doing against another. Source Business 2
All in all, wild and wacky, and expecting this graphic to show up in more than one marketing powerpoint in the board room.
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