7 million would sound fair to me. 7 billion? Explain yourself.

nateb2022 3 hours ago | parent | next [-]

OpenRouter already takes in around $140M in yearly revenue. How would paying 5% of yearly revenue make any sense for an acquisition??

	▲	Dylan16807 3 hours ago \| parent \| next [-]
		> How would paying 5% of yearly revenue make any sense for an acquisition?? 50x revenue is also a crazy number. I wonder what happens more, companies selling for ≤5% revenue or companies selling for ≥50x revenue.
	▲	leros 2 hours ago \| parent \| prev [-]
		10% would be more typical. Perhaps the math is that OpenRouter inside Stripe makes it twice as valuable. You often see acquisitions priced on the value of the company post-acquisition.

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zmmmmm 16 minutes ago | parent | prev | next [-]

Let's just hope the pitch wasn't selling everybody's data for training

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mfld an hour ago | parent | prev | next [-]

Remember when Google acquired YouTube for $1.6B in 2006? That amount seemed ridiculous at the time. Its now peanuts compared to YouTube's yearly revenue.

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lukewarm707 24 minutes ago | parent | prev | next [-]

just imagine that the money isn't real and you're there.

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Klonoar an hour ago | parent | prev | next [-]

2006 called and wants their valuations back.

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sneilan1 3 hours ago | parent | prev [-]

The 7 billion figure is not just open router's current value. It's also including part of it's projected value in the future. So that 7 billion includes current value + value say 5-10 years out.