
Newegg.com withdraws IPO - nathanlrivera
http://www.renaissancecapital.com/ipohome/news/IT-focused-e-commerce-company-Newegg.com-withdraws-IPO-9710.html
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ck2
I wonder what that was about.

They are only second to Amazon in customer service quality IMHO.

~~~
wanderr
And with quicker shipping. If Amazon and Newegg have something for the same
price, or the difference is just a few dollars, I go with Newegg every time.

~~~
baddox
That was the case, before Amazon Prime.

~~~
trafficlight
Shoprunner.com evens the playing field for Newegg.

~~~
baddox
Shoprunner looks interesting. Have you actually used it? I saw that Domino's
Pizza supposedly offers free delivery, but I couldn't find any details.

~~~
trafficlight
I just signed up a few days ago. Worked as advertised.

And it does show up on the Domino's order page, but I ended up getting
carryout anyway.

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ahi
I spent much of last weekend pricing out a custom build workstation and was
having trouble finding a source other than newegg. Amazon is a disorganized
mess when it comes to fulfilling very specific hardware needs. TigerDirect is
just skeezy. Seems like they should have it made.

~~~
trafficlight
I completely agree. I don't buy parts from anywhere but Newegg unless I
absolutely have to.

And I just signed up for Shoprunner.com since Newegg joined them. $79/year for
2 day shipping on most everything Newegg carries. Where's your Amazon Prime
now?

~~~
rawsyntax
it's the same cost?

or if you have an EDU email address it can be free

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nathanlrivera
Here is the EDGAR filing:
[http://www.sec.gov/Archives/edgar/data/1341704/0001193125111...](http://www.sec.gov/Archives/edgar/data/1341704/000119312511153303/0001193125-11-153303-index.htm)

~~~
palish
Relevant text:

"At this time the Company has determined not to proceed with the initial
public offering contemplated by the Registration Statement. The Registration
Statement has not been declared effective by the Commission and the Company
hereby confirms that no securities were sold in connection with the offering
described in the Registration Statement. Therefore, withdrawal of the
Registration Statement is consistent with the public interest and the
protection of investors, as contemplated by paragraph (a) of Rule 477."

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orijing
How much of a competitive disadvantage are they at relative to Amazon due to
the sales tax situation?

Speaking of which, how many people actually report and pay the use taxes on
purchases from Amazon?...

~~~
mortenjorck
Illinois just added a new line to its income tax form in which it is implied
"ok, you bought stuff online and didn't keep track of it because you never
wanted to pay this stupid tax anyway. So here, just look up your base income
on this five-line table and that's what we'll call your use tax for the year."

To my knowledge, California already does this, as well as a few other states.
This leads me to believe that the ongoing battle over Internet sales tax may
have found a compromise at this point in flat-fee use taxes.

~~~
orijing
A flat use tax is the equivalent of no use tax at all in terms of purchase
incentives.

How does compromise address the competitive discrepancies?

~~~
mortenjorck
At least in Illinois' case, the competitive discrepancies were second to
keeping the state government running.

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pagekalisedown
They're trying to avoid getting screwed like Linkedin.

~~~
mattdeboard
Have you a link to a story about this? I'd not heard anything about LinkedIn's
IPO going sour. I googled but nothing except positive stories were returned.

~~~
truthout
He's saying the stock doubled in its first day of trading. Meaning the shares
were offered at a price. The company sold shares at that price. The same day
the value of those shares doubled. So tr market is saying the shares are worth
double of the IPO (initial public offering) price.

This behavior was common during the dot com bubble. IPOs doubled in price,
everyone was happy. It's totally unrealistic.

Anyone who buys LinkedIn is retarded. Serious people that trade the market
wouldn't touch it with a 10 foot pole. Sure you can trade this crap and make
fist fulls of money in the short term. The venture capitalists got paid. Do
not own this stock.

~~~
billmcneale
> This behavior was common during the dot com bubble. IPOs doubled in price,
> everyone was happy. It's totally unrealistic.

Google more than tripled in the first two months that followed its IPO and
it's been trading steadily at ~$550 (IPO: $87) for several years.

> Anyone who buys LinkedIn is retarded.

Obvious shorter is obvious.

~~~
truthout
LNKD's p/e ratio is 1318
[http://finance.yahoo.com/q?s=LNKD&ql=0](http://finance.yahoo.com/q?s=LNKD&ql=0)

GOOG's p/e ratio is 20
[http://finance.yahoo.com/q?s=GOOG&ql=0](http://finance.yahoo.com/q?s=GOOG&ql=0)

Do not construed this as an opportunistic swing at LinkedIn to make money.
This is basic market fact. Do you know of a stock that trades with a p/e of
1,300?

How can you make such an extraordinary claim that my analysis had ulterior
motives when anyone with any knowledge of the market and the metrics of
valuing stocks would know for sure that LinkedIn was overpriced not by
magnitudes of 2 or 10 but by a magnitude of 100.

The stock shouldn't be trading much more than 8. But the market will remain
irrational longer than the individual solvent.

~~~
billmcneale
> LNKD's p/e ratio is 1318
> [http://finance.yahoo.com/q?s=LNKD&ql=0](http://finance.yahoo.com/q?s=LNKD&ql=0)
> GOOG's p/e ratio is 20
> [http://finance.yahoo.com/q?s=GOOG&ql=0](http://finance.yahoo.com/q?s=GOOG&ql=0)

Are you seriously comparing the P/E of a company that's been public for four
days with one that's been public for seven years?

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zoowar
That was a short bubble.

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senthilnayagam
Hope it has nothing to do with the plaintext password storage revelation ,
which came last week

~~~
evandena
Unless I'm missing something, the CS Rep giving him his password in clear text
does not necessarily mean it was stored in clear text.

~~~
jackowayed
Newegg should not be able to determine what his password is. 2-way encryption
is less bad than truly storing it in cleartext, but 1-way encryption is the
only acceptable way to store a password unless there's some very compelling
reason that you need to be able to decrypt it. (eg. I used 2-way encryption to
store people's Twitter passwords before OAuth because I needed to be able to
tell Twitter their passwords, so 1-way wouldn't work.)

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chopsueyar
Maybe they fear a hostile takeover by AMZN?

