I know 'burn the heretic' haha its just a concept
Companies have to be very conservative but thorough in the "Risk Factors" section, or get sued by investors claiming to have been misled later.
For example some of Google's Risk Factors from 2004:
> New technologies could block our ads, which would harm our business.
> We generate our revenue almost entirely from advertising, and the reduction in spending by or loss of advertisers could seriously harm our business.
> We are susceptible to index spammers who could harm the integrity of our web search results.
> We have three classes of common stock: Class A, Class B, and Class C. Holders of our Class A common stock—the only class of stock being sold in this offering—are entitled to no vote on matters submitted to our stockholders
Wow, quite a snag for Google Cloud Platform to land that contract!
Given all this, are you buying? If you owned stock day 1 would you sell it?
(But I don't short any tech stocks, even though they don't normally pay dividends; all you have to do is short the next Microsoft once, and then you're selling your house a decade down the line. I prefer to let other people do the gambling, in both directions, while I look for safer things. Similarly, I have no exposure to biotech, the other gambling part of the market.)
Over-under on how much of their cost of revenue goes to Google App Engine?
I don't think anyone expected Spectacles to be a cash cow, but I still would have expected a more positive outlook on them.
At that scale (160M active users ) I guess they could easily develop and run their own infrastructure. $2bn just screams 'inefficient implementation' to me... I could be wrong though.
The S-1 is for the roadshow to create the underwriters and syndicate. They want to study our reactions and other people's reactions to see how they can price the shares.
It is all about perception at this point. Share value number should go up.
But still. Make that your slogan?