Source: CNBC
Summary
The latest Y Combinator cohort has seen several startups reach $40 million valuations. This increased funding brings higher expectations for these companies. Y Combinator’s president, Geoff Ralston, stated that the startups are under pressure to perform. The valuations are based on the startups’ potential for growth and scalability. According to Ralston, the companies are expected to have a clear plan for their next stage of development.
Our Reading
The launch follows a familiar script.
$40 million valuations, higher expectations, and pressure to perform – it’s a story we’ve seen before. Y Combinator’s latest cohort is no exception. With great funding comes great responsibility, and these startups are expected to deliver. The same old promises of growth and scalability are being made. And, of course, the companies have a “clear plan” – because that’s exactly what investors want to hear.
Original observation: It’s amazing how often “clear plans” are made with other people’s money.
Author: Evan Null
