5min chapter

This Week in Startups cover image

Bing dodges $100B bullet & IVP's Tom Loverro on the looming startup collapse | E1678

This Week in Startups

CHAPTER

Is This Going to Be a Down Round?

CNN's John Sutter talks about how venture investors can be anchored by the last round. He says sometimes people get into a trap of anchoring off the last price or what the market looked like last year as opposed to maybe five or 10 years ago. Startups seem to think if their valuation fluctuates, it's absolutely devastating, he says. But at the end of the day, it's the market that sets the price, not the last round," writes Sutter.

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