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How AirBnB Became a Billion Dollar Company

davegooden.com

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Re: How AirBnB Became a Billion Dollar Company

#161

Post by amirmc »

btilly wrote: post #97
dreamdu5t wrote: post #91

AirBnB is not a "Billion Dollar Company." Investment is not revenue or profit. The revenue numbers I heard are in the 5-10 million range. When AirBnB posts a billion dollars in revenue, then it will be a "Billion Dollar Company."

Sorry, you're absolutely wrong. The value of X, for any X at all, is what someone else is willing to pay for it. That is how markets work. Any kind of market. And it works for everything from pricing apples to pieces of art to companies. If people are willing to pay $1 billion for your company, it is a billion dollar company. If nobody is willing to pay you a dime for it, it is worth nothing. Your revenue is an input…

Nobody's paid $1B for AirBnB. The investors paid a price for a % of AirBnB that equates to a valuation of $1B. In other words, they've placed a bet that AirBnB will be worth more than $1B.

Re: How AirBnB Became a Billion Dollar Company

#162

Post by danenania »

jgmmo wrote: post #63
ChuckFrank wrote: post #27

Earlier quoted context omitted.

'unadulterated hustle' and 'unscrupulous behavior' are surely not synonymous.

It's true. It's the difference between 'hustle' and 'hustler'. I think most confuse 'hustling' in the sports sense, with 'being a hustler' in the black-market sales sense. I think Fred Wilson's quote is referencing entrepreneurs who 'hustle' and try very hard/use alot of energy in the sports analogy --- and NOT entrepreneurs who are 'hustlers' and use shady means to fulfill their needs.

In this context I think it's become a blend of the two.

Re: How AirBnB Became a Billion Dollar Company

#163

Post by Lucadg »

I lead a group of guys trying make money online with the rental business, so they can travel. Each one is responsible for an area and it's hard to get new owners and apartments, believe me, but we never resorted to spamming. Instead we contact the Owners directly and openly, then we go to meet them personally and see the apartments, when possible. This way is much slower, but at the end we have much better listings for our customers. We'll never be a billion dollars company of course.

Re: How AirBnB Became a Billion Dollar Company

#165

Post by vacri »

c2 wrote: post #46
Mizza wrote: post #26

Is anybody else slightly disturbed by all of the 'attaboy!' comments here on a post exposing unscrupulous and probably illegal business tactics? Think the response here would be the same if it was MicroSoft or the RIAA caught in something like this and not a YC alum? Anyway, great investigation and great analysis here, I think.

I agree the 'attaboy' comments are way out of place, but there is also an over the top reaction the other way with the criticism being heaped onto the AirBNB guys in my opinion. It was technically wrong of them to leverage craigslist by circumventing the community's own "no commercial email" request, and they should get dinged for it. But in the grand scheme of things, when you are a tiny start up struggling to survi…

Well, as long as the spammer vaguely regrets it later, it's okay for them to spam me!

Re: How AirBnB Became a Billion Dollar Company

#166

Post by vacri »

throwaway61802 wrote: post #148
baudehlo wrote: post #104

Earlier quoted context omitted.

Yes. It's a violation of the CAN-SPAM act.

Do you drive 66 MPH in a 65 MPH zone? This is hardly breaking the law. This would have been perfectly legal in CAN-SPAM if they added three things: an unsubscribe link, a physical mailing address, and mentioned it was an ad. It probably would have been even more effective. If you want to stop spam, don't rely on bureaucratic processes to resolve it through legislation. Build a spam filter, or do some simple pattern r…

So... they didn't do the things required to make it legal, but you claim it's legal?

"Acquit my client, your honour! It wouldn't have been murder if he hadn't have killed them, so he did nothing illegal!"

Re: How AirBnB Became a Billion Dollar Company

#167

Post by mbertrand »

Interesting amount of negative feelings towards AirBnB, and as a disclaimer I am a big proponent of "Do, and ask for forgiveness". This is what startups are all about, using available resources to their advantage and getting out their and hustling (even if it involves bending the rules a bit). Obviously rental owners (their target) were not to upset about being told of another resource to list their site on otherwise they would not have continued this approach. I can see where some of you are coming from in feeling violated/disturbed by this but given that a.) it appears to have worked b.) they informed users of something they wanted c.) no one complained (until now). I this that it was a very effective/creative way to solve their supply problem and it obviously worked.

Re: How AirBnB Became a Billion Dollar Company

#168

Post by baudehlo »

throwaway61802 wrote: post #148
baudehlo wrote: post #104

Earlier quoted context omitted.

Yes. It's a violation of the CAN-SPAM act.

Do you drive 66 MPH in a 65 MPH zone? This is hardly breaking the law. This would have been perfectly legal in CAN-SPAM if they added three things: an unsubscribe link, a physical mailing address, and mentioned it was an ad. It probably would have been even more effective. If you want to stop spam, don't rely on bureaucratic processes to resolve it through legislation. Build a spam filter, or do some simple pattern r…

I already wrote a spam filter. We stop about 4 billion spams a day with it. What are YOU doing to stop spam?

Re: How AirBnB Became a Billion Dollar Company

#170

Post by vacri »

wickedchicken wrote: post #118
baudehlo wrote: post #106

Earlier quoted context omitted.

Your comment is ridiculous. Can you really imagine someone making a two and a half year plan to set a competitor up like that? And in the meantime you're giving the competitor customers like crazy? Pull the other one.

Sorry, I didn't mean to go all conspiracy theory here. I just felt a sleazy linkbait vibe from the article and wanted to provide my "fair and balanced" opinion.

With all your suspicion, did you bother to check out any listings on mimbeo.com? I've opened about 20 from various states and they were all listed in 2009. The site is not current.
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