1. We are a community of readers. Join us!

    Readup is a social reading platform. No ads. No distractions. No liking or upvotes. We help you pay attention to what matters: reading.

    The Verge | Bijan Stephen | 5/18/20 | 4 min
    11 reads5 comments
    9.0
    The Verge
    11 reads
    9.0
    You must read the article before you can post or reply.
    • chrissetiana
      Top reader this weekTop reader of all time
      7 months ago

      “You have insanely large pools of capital creating an incredibly inefficient money-losing business model,”

      You hear about this broken system all the time. Too much funds "wasted" in not-thoroughly-thought-up business models. Sad stuff. So many others struggling for funding and then there these ones.

    • MonkeyMatt8 months ago

      He realized that a delivery option had mysteriously appeared on their company’s Google Listing. The delivery option was created by Doordash,” Roy wrote. Apparently, this is one way that DoorDash does customer acquisition — by bullying restaurants. [...] And so the story unfolds. “If someone could pay Doordash $16 a pizza, and Doordash would pay his restaurant $24 a pizza, then he should clearly just order pizzas himself via Doordash, all day long

      Terrible practices and a funny way to get back at them for it.

      Highlights a valid point though. Surely all these “we’re the Uber model for X” companies that are using this venture capital model are going to fail at some point. It just boggles the mind how much money they raise, and spend, while being unprofitable.

      Then again companies like twitter took years to become profitable so maybe we are just doomed to this crazy cycle (although I'd say twitter is helped by having more of a lock in effect than something like uber)

    • Alexa8 months ago

      Wow. I keep having this burrowing sense that VC funding is a very broken system

      • Florian
        Top reader this weekReading streak
        8 months ago

        Agreed!!

    • Florian
      Top reader this weekReading streak
      8 months ago

      Ha... that reminded me of the yelp article about the restaurant owner who asked for bad reviews. This is even more weird and baffling to read. So much that happens in the background and we have no idea. All just for potential future money.