
Are Silicon Valley Startups More Likely To Be Acquired? - peter123
http://www.techcrunch.com/2009/06/15/are-silicon-valley-startups-more-likely-to-be-acquired/?awesm=tcrn.ch_3vp&utm_campaign=techcrunch&utm_content=techcrunch-autopost&utm_medium=tcrn.ch-twitter&utm_source=direct-tcrn.ch
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timcederman
"A startup based in Silicon Valley has a 6.9% chance of being acquired. New
York startups come in second with a 4.9% acquisition rate."

Then how do they explain Washington's higher 8.2% rate?

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axod
They conveniently ignore it since it doesn't fit in well with their
agenda/propaganda? Either that or Mike isn't very good with numbers.

I like this comment though:

    
    
      >> The data could also get interpreted that startups in
      >> the valley have a lower revenue success rate and fewer
      >> working business models and the only strategy remaining
      >> is an acquisition before landing in the deadpool.
    
      >> Since when is the primary goal of startup to get
      >> acquired? I thought companies are about finding a
      >> business model. Oh wait, that might just be my “out
      >> of valley” thinking model…

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drusenko
to be honest, it looks like he assumed the table was sorted by acquisition
rate... would have made a lot more sense that way, instead of sorting it by #
of startups

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axod
Yeah you'd have to be a rocket scientist to be able to look down the list and
find the biggest numbers...

Off topic, but very funny: <http://www.youtube.com/watch?v=THNPmhBl-8I>

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jhancock
This stat is not surprising. The tone of the article assumes acquisition is
the only interesting result. I prefer profitability. Stats on profitability of
startups is sparse. I would guess some locations would show higher rates of
profitable startups simply because its your only meaningful goal.

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davidw
I don't think you can say one is necessarily better than the other. Some
people may be better at going from zero to something than running a larger,
steadier firm. These people are probably better off building and selling.
Likewise, some people may be great at profitably running large (or at least
more stable) firms, but fail at creating something from nothing.

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jhancock
I'm sure acquisition is much better for many, just not what I go for
usually...don't get me wrong, I'm happy to get acquired as well ;). The reason
I'm wildly guessing that other cities might show better profitability ratios
is simply that they have less expectations from the start of acquisition.

