ah yes, a "startup" that has at least 1.5 billion
this post was submitted on 05 Sep 2025
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So... how long does it take before a company stops being called a startup?
Once it starts actually generating profits id assume. Or in most cases once it gets bought out.
Yeah, the definition is (or at least used to be) that a startup doesn’t have a business model yet.
Probably once they can stand on their own merits and make a profit. So never in the case of AI companies.
Lmao, right. 1.5 Billy just laying around? Probably not much of a startup anymore…
When they're weaned from the teat of round after round of investment
Where are they getting $1.5 billion from? Is this business actually profitable?
Series F
Does this imply that it's the sixth round?
Goddamn.
$500 million in run-rate revenue
Absolutely astounding that they can raise $13B on a sixth round of funding on that.
For the less finance jargon savvy, "run-rate revenue" just means projected annual revenue.
All this means they spent 3 years of revenue to make this go away.
Absolutely not a profitable business lol.
500 million was specific to Claude Code, they are at 5 billion annual run rate and growing
I see. That definitely makes 13B way more sane.
They’ve raised $32 billion total. Does it still sound sane?
5B run rate explains the wild 183B valuation better. The calculus is usually a solid return after 3 years and double or better by 5, so they're being on something like a 500B valuation by 2030.
And they very likely won't be profitable in the real sense even then.
The $5B run rate, as I understand it, is smoke and mirrors. Each dollar they make costs them much more than that dollar. Sell it at a loss, but make it up on volume!
Something something efficiency
The models are only getting more expensive to train and run as they increase in complexity.
What we lose on sales we make up for in volume
Just remember that actual profit isn't important to investors. They're only here make money on the growth of the investment.
Goddamn parasites.
At the end of the day, somebody will be stuck holding the bag. They’ll probably have to IPO, so that retail investors can burn their life’s savings. That or they’ll get bailed out, in which all taxpayers get to absorb this insane pyramid scheme.
Yikes.
Monopoly money using image generation ML tech for the design. Special partnership with HP for printing these notes.
Wouldn't doubt it for a second. They create a product they can easily gaslight all the corporate chumps into buying, and by the time they realize there's 0 roi on it, it's already too late
At least I can enjoy stupid corporate leaders lapping up the dogfood they're told to eat, except for the pain workers and real people suffer as a result of this yheft, trash and grift.
They just did a fundraising round and raised like $13b
Haha what a funny way to say massive fraud and money laundering
Glad to see they have to pay up but what was different about this compared to the similar case that Meta won the other day?
It's not really a good thing though. $1.5bil will be a drop in the bucket for them. This is a settlement, which means it won't set any legal precedence.
Meta has more money and is apparently immune from consequences?
No if you pay the president enough he will let you commit crimes against humanity.
I mean that's essentially the same thing I said just with more words.
Meta has money. Which makes them immune to consequences.
In this case, by way of bribes.
You didn't counter my statement. You just added to it.
Is any of that money actually going to the authors, or is this just like a fine they hand over and they donate some money to a charity or something?
Don’t be silly.
Everyone cheering for this will see no benefit from it.
Rubes.
Now that is how you build a Mote
Next time don't download the pirate library.
Next time don't get caught downloading the pirate library.
FTFY