Hence another problem for Anthropic if it becomes public.
Outsized stock based compensation when you’re posting massive GAAP losses just makes it look like you’re robbing shareholders… because in a real sense you are.
By that logic is every SF startup that pays 6 figure SWE salaries and offering perks like catered lunches but aren't making any money also "robbing shareholders"?
Yes, but they’re not public companies. VCs go into the game knowing they’ll be diluted. The pension fund that owns your public company has different views. Public markets view this very differently hence why it’s getting attention this morning.
Turns out if your valuation goes up by 100x you employee stock packages go up 100x
Mind blowing I know
Yeah ok of which $1.1B is stock options, so more like $40k a month in actual salary.
Hence another problem for Anthropic if it becomes public.
Outsized stock based compensation when you’re posting massive GAAP losses just makes it look like you’re robbing shareholders… because in a real sense you are.
By that logic is every SF startup that pays 6 figure SWE salaries and offering perks like catered lunches but aren't making any money also "robbing shareholders"?
Can certainly be framed that way. And the second the returns wobble it will be.
Yes, but they’re not public companies. VCs go into the game knowing they’ll be diluted. The pension fund that owns your public company has different views. Public markets view this very differently hence why it’s getting attention this morning.
Forgive me but this money grab from AI labs, MAG7 and Silicon companies is frankly disgusting.
It is not for the benefit of society, it is not good engineering, it is pure financial fuckery. ENRON smartest guys in the room esque.
Am encouraging everyone I know to dump US bonds, US stocks because to hell with these hucksters trying to steal my pension.
They did prove some math theorems tho
You forgot the /s