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.

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gruez an hour ago | parent | next [-]

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"?

	▲	Havoc an hour ago \| parent \| next [-]
		Can certainly be framed that way. And the second the returns wobble it will be.
	▲	cmiles8 an hour ago \| parent \| prev [-]
		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.

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

Robbing shareholders? That same mentality justified Ballmer’s decision to replace free coffee with paid coffee machines. Which marked the beginning of a long decline for MS: an increased stock price but long term internal atrophy.

The shareholders benefit when the employees have an incentive to do good work.

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Schiendelman an hour ago | parent [-]

What paid coffee machines? (I was MSFT 2001-2013, I don't think I ever saw this).

	▲	solyin an hour ago \| parent [-]
		It wasn't Microsoft. https://steveblank.com/2009/12/21/

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Gareth321 an hour ago | parent | prev [-]

Stockholders have full knowledge about the total cost of these compensation packages. They're not being tricked into investing. It doesn't satisfy any definition of robbery.

	▲	cmiles8 23 minutes ago \| parent [-]
		Well they do now, which per above isn’t exactly going to encourage people to buy this stock if it ever goes public.