Scale of the Shutdown and Executive Reactions

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On Monday morning thousands of travelers were locked out of their Sonder hotel rooms and told: Sorry! Our business isn't businessing anymore :) Executives at both Marriott and Sonder turned their phones on Do Not Disturb as frazzled front line employees tried to manage fuming customers.

At first glance, this just seems like a mismanaged PR crisis, but there's SO much more to the story: A bay area unicorn led by a Forbes 30 under 30 wunderkind, co-opted by VC maniacs speeding down the the 2021 SPAC super highway, bailing right before the crash and leaving unwitting investors holding the bag. INTO THE CORPORATE DUMPSTER!!!

Links:

Hospitality Startup Sonder Raises $170 Million At A $1.3 Billion Valuation During Covid-19 Travel Collapse

Gores SPAC's High Redemptions Signal Worsening Sector Sentiment

Sonder faces class action investigation after delaying financial results due to errors in past statements

Sonder Seeks Room in Post-Covid-19 Lodging

San Francisco property-tech company, once worth $1.9B, suddenly goes belly-up

Dear Sonder Guest, Your Hotel Is Closed