Remix clone Hacker News

new | show | ask | jobs Github

▲

bigyabai 4 hours ago

> but nothing about the industry's finances add up right now.

The acquisitions do. Remember Groq?

▲

wmf 3 hours ago | parent [-]

That may not be a good example because everyone is saying Groq isn't worth $20B.

▲

jsheard 3 hours ago | parent [-]

They were valued at $6.9B just three months before Nvidia bought them for $20B, triple the valuation. That figure seems to have been pulled out of thin air.

	▲	TurdF3rguson 8 minutes ago \| parent \| next [-]
		Maybe it was worth the other $13.1B to make sure their competitors couldn't get them?
	▲	minimaltom 2 hours ago \| parent \| prev [-]
		Speaking generally: It makes sense for a acquisition price to be at a premium to valuation, between the dynamics where you have to convince leadership its better to be bought than to keep growing, and the expected risk posed by them as competition. Most M&As arent done by value investors.