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Understanding Data Businesses | Auren Hoffman
"Media Empires" | The Business of Newsletters, Podcasts, Creators, and Data Acquisition
The Value of Data Business Compared to Core Business
Yelp's data business is very small compared to its core business, and therefore receives less attention from executives. While some businesses have a valuable data business as a side venture, such cases are rare. In the last 20 years, there have been very few data businesses that have reached a valuation of over a billion dollars, compared to over a thousand SaaS companies. It is generally easier to create value by starting a software company as compared to a data business, even as a side venture.
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