Another day, another Silicon Valley IPO, just as the prophecy foretold.
San Francisco’s Pinterest just filed for an initial public offering on Friday, the latest in what’s shaping up to be an insanely busy year of tech companies going public in 2019.
It had been about one whole hour since the last Silicon Valley IPO. Earlier on Friday, the video conferencing company Zoom filed to go public. Less than a day earlier, cloud services provider Fastly started their road to an IPO. What I’m saying is that things are going from weird to weirder in the glorious world capital of tech.
Pinterest said it has 265 million monthly users and, as far as money is concerned, a net loss of $US63 ($89) million. Being unprofitable isn’t much of a problem for investors looking at Silicon Valley these days, especially for a company that reported $US755.9 ($1,067) million in revenue, a 58 per cent jump from last year. The company is hoping to raise as much as $US100 ($141) million.
From here, you can look forward to Silicon Valley companies like Uber, Palantir, Airbnb, Slack, Postmates, and Instacart all getting ready to go public this year. Lyft already for filed its IPO and is expected to start trading within weeks. This means a new generation of millionaires, a worsening housing crisis, and a wider wealth gap for Silicon Valley.
These companies are expected to fuel tech’s next wave of startups as a bunch of well-credentialed and newly wealthy alumni look for investments in their own companies.
Pinterest was most recently in the news for blocking all anti-vaccine searches while the dangerous anti-vaccine conspiracy runs wild on rival social networks.
“It’s better not to serve those results than to lead people down what is like a recommendation rabbit hole,” Ifeoma Ozoma, Pinterest’s manager of public policy and social impact, told the Wall Street Journal.
The company said it had identified several “polluted” search categories including dangerous medical conspiracies like anti-vaccine content and had quietly killed the results.
Pinterest said they expected U.S. and European regulators to pass laws holding social networks accountable for more strict content moderation. Just last week, the fast spread of a video of a New Zealand terrorist attack against a mosque prompted fierce global debate and action about social network’s capabilities and responsibilities to control the content on their websites.