"Former Yahoo CEO Marissa Meyer is closing the doors on her consumer software startup Sunshine, and is selling the company’s assets to her new AI startup, Dazzle" and "all of Sunshine’s employees will move to the new company".
Under what conditions is it better to buy the assets and hire the employees instead of just change the name and product offering of the company? Is it just to get the investors off the cap table?
When new capital is needed, the old investors (investors in the old company) are given the equivalent of cents on the dollar on the new company, while the new investors do the usual.
Old investors are welcome to put new money into the new venture, of course.
First a contacts app that bombed, and now an ai assistant? I fear she’s stuck in the past and now is in a beyond crowded space. Have any of her attempts post google worked?
Mayer's track record is good enough that she's able to attract new investors easily enough but I wonder if they actually expect a return or if they see it as a lottery ticket.
A lot of misunderstanding here about "why would you invest in someone who has failed?"
An investor is a gambler. Not just on past success, although I'm sure Marissa has had some successes even if people don't know them.
They gamble on:
1) Has this person got the experience (good or bad) to run a business. A failed business leader is a better gamble than someone with no experience.
2) Does this person have a strong network so they can realistically pull in some really good people?
3) Has this person raised capital before?
4) Do they have a convincing narrative about why they have failed and what they might do differently?
5) Is the potential ROI high?
6) Do I have anything else I could invest in instead with better odds?
If I think as an Investor and not as an Engineer, I am not surprised that she has succeeded and I wish her all the best.
i use Sunshine contacts, its pretty nice. I used to have a work phone, my personal phone, and tons of linkedin and Gmail contacts, and I use Sunshine to sync them all to icloud. Works well! Was always super put off by the photos app, but I just never used it.
I like Marissa Mayer, but I'm shocked at how little investment these apps got over the years, despite being the *only* apps they offered. What was this startup lab even doing? For five years!!
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[ 5.1 ms ] story [ 50.1 ms ] threadUnder what conditions is it better to buy the assets and hire the employees instead of just change the name and product offering of the company? Is it just to get the investors off the cap table?
Old investors are welcome to put new money into the new venture, of course.
This strikes me as a particularly funny typo
- A professional writer
I'm sure the new venture will be just as disruptive.
Mayer's track record is good enough that she's able to attract new investors easily enough but I wonder if they actually expect a return or if they see it as a lottery ticket.
The company had raised about $20 million in 2020.
$20K per free app download?
An investor is a gambler. Not just on past success, although I'm sure Marissa has had some successes even if people don't know them.
They gamble on: 1) Has this person got the experience (good or bad) to run a business. A failed business leader is a better gamble than someone with no experience. 2) Does this person have a strong network so they can realistically pull in some really good people? 3) Has this person raised capital before? 4) Do they have a convincing narrative about why they have failed and what they might do differently? 5) Is the potential ROI high? 6) Do I have anything else I could invest in instead with better odds?
If I think as an Investor and not as an Engineer, I am not surprised that she has succeeded and I wish her all the best.
I like Marissa Mayer, but I'm shocked at how little investment these apps got over the years, despite being the *only* apps they offered. What was this startup lab even doing? For five years!!
This sentence reeks AI-writing