, 4 tweets, 2 min read Read on Twitter
WeWork has made a handful of cosmetic governance changes as tho appalling governance wasn’t just icing on the cake. SNAP IPO’d with essentially no shareholder rights. The concerns are about the biz. Which raises questions why the solution wasn’t additional financial disclosures.
It is obviously good that WeWork added a woman to its Board. But it’s clearly reactionary. And it’s nice that Neumann gave the money back. But it doesn’t undo the action. The precedent of charging the company for a trademark gives insight into how he will behave going forward.
OTOH, we know there is a real business with positive unit economics inside WeWork. That’s a difference with e.g. ridesharing. There is both precedent in Regus, and simple math that can demonstrate unit level profits. in rideshare there is no precedent and the math is less clear.
The questions would simply have been around valuation and the like had it not been for the theatrics, antics and general messianic behavior. You can argue that the behavior is in part what allowed to co to raise so much money to scale, but two sides to the coin.
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