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Intuit To Acquire Mint For $170 Million

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Re: Intuit To Acquire Mint For $170 Million

#101
post #16

The question isn't so much why Intuit would buy Mint, but why would Mint allow themselves to be acquired so soon? If Mint was doing so well, they'd continue on their path to completely outplace Quicken. Something about this just doesn't add up.

It's important to remember that companies are run for the benefit of investors. These folks just took a C round, so I'd guess the majority of the shares are held by venture capitalists.

VCs don't fund startups to achieve competitive victory per se. Their job is to make money for the people who invested in their funds, and they do that by selling the shares they bought for more than they paid for them. The main routes for that are acquisition and IPO.

Right now, the IPO market is not looking healthy, and won't be for a while. Given that Mint's revenue comes from getting consumers to sign up for credit cards and other financial offers, their market will be anemic for a while. So they're an especially poor IPO candidate for the next few years.

That leaves getting bought. If that's what your after, and Intuit comes along and offers you a great price, why wouldn't you take it? Intuit needs Mint a lot right now, but maybe later Mint's bargaining position will be worse.

Re: Intuit To Acquire Mint For $170 Million

#102

Earlier quoted context omitted.

The banks where I live use one time pads for authentication, which makes it impossible for Mint to work.

How do they deliver your copy of the pad to you?

Classic snail-mail, of course :)

Re: Intuit To Acquire Mint For $170 Million

#103

Earlier quoted context omitted.

Yodlee is the service that took on the painful and expensive problem of actually building an engine that can securely store bank and brokerage passwords and use them to scrape hundreds of different financial sites. They have a consumer front end. It's quite decent, actually, and it's free. Go to Yodlee.com and sign up. But they apparently make most of their money by (a) licensing their back end to services like Mint,…

That to me sounds like a better model than Mint. Sure Yodlee doesn't have the media buzz or "explosive" growth (Mint's growth didn't really impress me either.), but the infrastructure is extremely useful and will be around for a long time. If Mint is doing well, Yodlee is too. If Mint fails, Yodless will still have a diverse client base to support its business.

Makes you wonder what would happen to Mint if Yodlee were to go south.

What have the investors invested in ? A company that does not own its own core technology ?

Re: Intuit To Acquire Mint For $170 Million

#104

Earlier quoted context omitted.

That to me sounds like a better model than Mint. Sure Yodlee doesn't have the media buzz or "explosive" growth (Mint's growth didn't really impress me either.), but the infrastructure is extremely useful and will be around for a long time. If Mint is doing well, Yodlee is too. If Mint fails, Yodless will still have a diverse client base to support its business.

Makes you wonder what would happen to Mint if Yodlee were to go south. What have the investors invested in ? A company that does not own its own core technology ?

Intuit appears to have similar infrastructure, so they will likely move Mint.com off of Yodlee. Hopefully Mint used a modular design... ;-)

Re: Intuit To Acquire Mint For $170 Million

#105
post #55

Earlier quoted context omitted.

Do you have a source? Where do affiliates hang out and talk about business models?

the trouble is cutting thru the sleaze in the industry. But if you're willing to tolerate it, you can find gems in their communities. Wickedfire.com. Shoemoney. DMConfidential. On and On, really.

Yes, that was the point--cutting through the sleaze. Thanks for the pointers.
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