Entrepreneurs and venture capitalists have done their best to resist or reduce Wall Street’s entreaties, but it appears that a new relationship has begun to develop, leading to new fund-raising methods and innovations.
Silicon Valley wants to save you from ever having to leave your couch. Will it work this time around?
Many of the biggest technology companies are now going it alone when striking large mergers and acquisitions. Companies like Google, Facebook and Cisco Systems are leaning on their internal corporate development teams to identify targets, conduct due diligence and negotiate terms instead of relying on Wall Street bankers.
When deciding whether Google should spend millions or even billions of dollars in acquiring a new company, its chief executive, Larry Page, asks whether the acquisition passes the toothbrush test: Is it something you will use once or twice a day, and does it make your life better?