I was thinking exactly the same thing except that WF might be a less profitable business.
I think in the long run you are likely be right - at scale software margins are amazing. As of today, Slack looses some money & is unprofitable.
Really? Slack is bringing in 150m/yr. They can't make money with that product at that rate?
Of course they can, but an extremely profitable well-oiled small company rarely gets acquired. You need to have way more employees than necessary and running at a loss.
Slack runs a chat app and has 870 employees. It's beyond absurd.
No idea they had that many employees. Any idea how many actually work on the product from a technical perspective?
What percent of that is support and how many customers do they have?
Not saying you're wrong, just that there's overhead for software as it scales for enterprises.
Thats some good perspective - to think that slack is worth more than WF is nuts. I ove both, but I can't imagine how slack is worth 2B more than WF... pretty amazing.
with software, you profit more if you do it right because you need less overhead
Totally agree. There is tons of synergy in this deal with what Amazon is today and what they'd like to be tomorrow (more dominant than they already are!).