Featured Articles

Gainward GTX 970 Phantom previewed

Gainward GTX 970 Phantom previewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Snapdragon 400 is Qualcomm’s SoC for watches, wearables

Snapdragon 400 is Qualcomm’s SoC for watches, wearables

We wanted to learn a bit more about Qualcomm's plans for wearables and it turns out that the company believes its…

More...
Qualcomm sampling 20nm Snapdragon 810

Qualcomm sampling 20nm Snapdragon 810

We had a chance to talk to Michelle Leyden-Li, Senior Director of Marketing, QCT at Qualcomm and get an update on…

More...
EVGA GTX 970 SC ACX 2.0 reviewed

EVGA GTX 970 SC ACX 2.0 reviewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Nvidia GTX 980 reviewed

Nvidia GTX 980 reviewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Wednesday, 02 May 2012 13:26

Micro companies worth a billion are here

Written by Nick Farrell



Thank you internet


Billion dollar companies with few employees are finally with us according to analysts Magister Advisors, M&A advisors to the technology industry.

In a report the company claimed that there were a new breed of super-efficient technology companies emerging which took advantage of near-free distribution channels. The report points to the recent acquisitions and IPO valuations to prove it. 

Facebook’s acquisition of Instagram was a case study.  The company had 13 staff and was worth a billion dollars. Facebook’s value implies that each employee for its own business of $33 million.  Microsoft, by contrast, has a value per employee of $3 million.

Victor Basta, managing director of Magister Advisors, said: “The potential for this new breed of super-efficient companies to accelerate revenue generation is unprecedented. Microsoft went from zero to $1 million revenues in 3 years.  Facebook, by comparison, went from zero to $150 million revenues in 3 years, representing a 40-fold acceleration in real terms.  This will only get easier and faster for the right idea.”



Nick Farrell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments