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It doesn't matter what happens to WeWork. Adam Neumann and the other VCs already exit scammed out of it with their millions and additionally dumped on retail.

They successfully got away with it, despite knowing that the business has hundreds of millions of dollars of losses pre-IPO, which was over $900M+ [0]; the biggest of all red flags as I said 4 years ago. [1]

This company could only exist in a cheap money era with decades long quantitate easing. Now just look at the ship sinking faster as the interest rates are now much higher with no cheap money this time.

WeWork is the gold standard of unprofitable companies who are good at losing money whilst pretending to be a 'tech company' or 'tech startup' and was just used as a vehicle for an IPO at an extremely inflated valuation before the bubble burst.

[0] https://www.cnbc.com/2019/08/14/wework-releases-s-1-filing-f...

[1] https://news.ycombinator.com/item?id=21213365



> Neumann and the other VCs already exit scammed out of it with their millions and additionally dumped on retail

Given the outright fraud prevalent in today’s tech landscape, it’s difficult to call WeWork a scam. Stupid, yes. But fraud; for that we lack evidence.


It's a commercial property management company that identifies as a tech company to get dumb investment money. Maybe not outright fraudulent, but definitely scammy.


> Maybe not outright fraudulent, but definitely scammy

Scams are attempts to defraud. No fraud, no scam. If it feels scammy, that means (or should mean) you sense fraud.

I know this seems pedantic. But drawing clearly that line--between fraud and blind optimism--seems like a good takeaway from this past cycle.




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