Why it’s getting harder for large companies to acquire startups
Blog: Business Model Alchimist
Acquisition is one way to buy growth. It’s not a bad way, but it’s becoming more difficult. For example, a company called Discord got an offer from Microsoft for over $10 billion and rejected it. This is a clear sign that it’s getting more expensive and more difficult for established companies to buy startups. It will still always be possible, but it’s getting harder – a fact that large corporations need to come to terms with, and the reason why we’re beginning to see established companies choose different ways to grow.