What Can Indian Startups Learn From The Facebook Acquisition That Didn’t Happen

Say $2M in Valley is 10X of cost-to-company (CTC) per person. If CTC in India is say $30K then the India valuation with the same 10X should be at least $300K.

If the 10X somehow ends up at 3X, then at that point the expected payoff for a founder may be better as a technical lead or manager at the India development centre of one of the majors.

(Very different if one delivers value, of course - either for local/global market, or in terms of non-trivial technical expertise.)

So, the real value of the article may be in the statement about the $100K versus $2M per acqui-hire. It may belong to the category of wrong-method-but-right-answer, which our educational system programs us to avoid.