in Business, Technology

Groupon IPO

Is Groupon’s IPO the start of the latest dot.com bubble?

At the moment, it’s costing them $1.43 to make $1, and it doesn’t look like it’s getting any cheaper. They’re already projected to make close to three billion dollars in revenues this year. If you can’t figure out how to make money on three billion in revenue, when exactly will the profit magic be found? Ten billion? Fifty billion?

David Heinemeier Hansson

At one point, didn’t companies have to actually make money before people would throw their own hard earned cash into cahoots with them on the stock market? Just because a company is online, it doesn’t mean that their profits have to be virtual as well.

Via Daringfireball.net