The Sad But Lucrative End of Jet.com

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This is from the Wall Street Journal:

Wal-Mart Stores Inc. is in talks to buy online discount retailer Jet.com Inc., according to people familiar with the matter, in what would mark a disappointing end for one of the most ambitious challengers to Amazon.com Inc.

….It isn’t clear how much Wal-Mart would pay, but a person familiar with the matter said Jet could be valued at up to $3 billion in private markets. Jet, barely a year old, has drawn more than $500 million in capital from the likes of venture firms New Enterprise Associates and Accel Partners.

Let me get this straight. Jet is one year old. Venture funds have invested “more than” $500 million (actually around $800 million). They will sell themselves to Walmart for about $3 billion. And this is a “disappointing end.”

I get it: they wanted to take over the world and they didn’t. That’s disappointing. At the same time, it appears that investors are going to quadruple their money in 12 months, give or take. And the founders are going to do even better. If they own, say, 20 percent of the company, they’ll walk away with $600 million for a year’s work.

Can I please sign up for a slice of this disappointment?

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As we wrote over the summer, traffic has been down at Mother Jones and a lot of sites with many people thinking news is less important now that Donald Trump is no longer president. But if you're reading this, you're not one of those people, and we're hoping we can rally support from folks like you who really get why our reporting matters right now. And that's how it's always worked: For 45 years now, a relatively small group of readers (compared to everyone we reach) who pitch in from time to time has allowed Mother Jones to do the type of journalism the moment demands and keep it free for everyone else.

Please pitch in with a donation during our fall fundraising drive if you can. We can't afford to come up short, and there's still a long way to go by November 5.

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