Skip Navigation
Matt Rosoff

Matt Rosoff - Matt Rosoff is an editor at Silicon Alley Insider. Prior to joining SAI, he was an analyst at Microsoft for 10 years and wrote about music and digital technology for CNET News.com.

How 11 Startups With Billion-Dollar Valuations Actually Make Money

By Matt Rosoff
Aug 23 2011, 8:43 AM ET Comment

Every month or two, another tech startup enters the billion-dollar club.

News stories dutifully report the amount of the round and the names of the investors, along with the new valuation number.

But a lot of times, a more fundamental question is left unanswered: How do these companies actually make money? Do they make money?

Here are the answers: The business models of 10 tech companies who haven't yet filed to go public but are reportedly valued over $1 billion -- along with one company, Foursquare, that's getting close to that number.

It's a mix of straight e-commerce, transaction brokering, and advertising.



Presented by

More at The Atlantic

Get Ready: Milky Way to Collide With Neighboring Galaxy in 4 Billion Years Get Ready: Milky Way to Collide With Neighboring Galaxy in 4 Billion Years
Earth From Space: The Snows Over Southern Patagonia The Snows Over Southern Patagonia
Visit Versailles, Yosemite, and the Ancient Temples of Japan With Google's World Wonders Project Versailles from Your Couch: Google's World Wonders
Visit Afghanistan's 'Little America,' and See the Folly of For-Profit War The Folly of For-Profit War
The Rock-Mining Children of Sierra Leone Have Not Found Peace 10 Years After Civil War, No Peace for Sierra Leone's Kids

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.
blog comments powered by Disqus
View All Correspondents

The Biggest Story in Photos

Afghanistan: May 2012

Jun 1, 2012

Subscribe Now

SAVE 59%! 10 issues JUST $2.45 PER COPY

Facebook

Newsletters

Sign up to receive our free newsletters

(sample)

(sample)

(sample)

(sample)

(sample)

(sample)