Correction... wework makes money by finding new investors in wework... Ohhh... but it’s not a Ponzi scam because valuation is subjective and traditional Ponzi schemes made the mistake of using objective assets which aren’t possible to legally lie about. But ya can lie til the cows come home and when building a business. So everyone throw their money in the fire pit and cross your fingers paper money and ashes create gold bars.
#WERealEstatesMafia would have been far more fitting for those money like cocks-sucking young Deepen. They all never had the Intelligence to create any long term functional new forms of "$haring" Economy any way, withall the stolen ideas they all barely understood. How dilettante. Godless Best, A.E. Projectheureka LLC
@@vincentangel111 No profit is the same as not making money. The big mistake of Idiots. Softbank has put so much money in this shithole and still they can`t make a profit.
“We Work was the first mover in this space”. What does that mean? It was the first to take a profitable model (see IWG/Regus) and turn it into a massively unprofitable model?
From a creative & design perspective, I respect the heck out of what these guys have done. From a business perspective, it’s safe to say Masa Son is crying tears in his Sapporo.
Son lost Billions and is still a Billionaire. I suspect he's very close to retiring while he's still a Billionaire - or face disgrace when fired by the Soft Bank Board.
Bo Jackson corporate subletting isn’t a bad idea altogether, but we work branded themselves in a way that resonated with investors without a reasonable plan to deliver returns and that was the problem. IWG runs a more traditional business around this model and endured a recession which tells me it isn’t crazy, just executed poorly in this case.
I looked into we work spaces once. It was about the same price as leasing a empty 150sqm office about 10min out of the city, but instead you got a "hot desk" for the same price. No thanks.
Because actual legit companies who have been doing it for years actually know what their doing. Idk who this spokesperson is but We Work is not innovative.
Business Insider 20.09.2019: How WeWork Makes Money Business Insider 28.09.2019: How WeWork spiraled from a $47 billion valuation to talk of bankruptcy in just 6 weeks
In general, We offers those who can afford it becoming a part of a parallel society. The percieved ttractiveness of that offer tells us a lot about how broken our society is and howe desperate people are for someone to fix it .
Uber is not a tech company, it’s an app using some kyc code and a geo locator library, google and amazon make companies like Uber and make money too, unlike uber...
@@neilk22 Amazon barely makes money, cashflow generated by the company is mainly from stock issuance through stock-based compensation. Investigate the books and you'll also see that long term lease obligations are ver very important. Shareholders are getting a return from and only from stock growth... when that stops, they'll lose the possibility to pass on the cost of management to shareholders and will either dilute the company very fast and lose money or increase bonus and squeeze cash positions... All This is is a bubble in Amazon,Netflix and potentially Tesla. SalesForce was also Shxty if I recall well. We need to stop idealizing Amazon and so does main stream media. Stockholder return doesn't even reach 2% and the company had been cumulating losses for years before that. Now,,, its simulating profits and taking less depreciation while capitalizing some assets that should be depreciated...
@@j.l.9922 sorry but AWS made $10bil in profit, what nonsense are you speaking? Uber is not a tech company, nothing innovative other than a marketing machine with bad taxi drivers
KOM CPT 10BN is nothing,,, 1% return best case scenario at current market cap... and that’s if you believe everything Amazon tells you. You obviously didn’t read the financial statements so this conversation is probably not worthwhile... funny how people believe anything that’s told them. Do your homework
Joseph Adam lecomte dude please watch some of the reports that they feed for free on CNBC, this data is free. Amazon could literally stop innovating today and half the enterprises around the planet would continue running their production environments seamlessly, including Uber. There is a huge difference between silicone valleys fake company evaluations based on fake user data and innovation sentiment and a very solid business case like AWS.
Got to love the part where they say IWG makes a profit but has a much smaller valuation to WeWork because of ... branding. To then go on to say that WeWork has not turked a profit and spent the last year loosing $ 200K an hour without ever addressing how messed up that is.
I am a landlord and I lease out homes for rent. I guess now I'm a tech genius ( more money to be made by calling it tech instead of real estate ). I sell lemonades and get my customers by playing music on my phone. I'm a tech company too. People don't understand that tech is simply a platform not a business in of itself. A mall on the internet isn't a tech company, it's a delivery company (Amazon). if it's a tech company it won't have any real world effects ie it will be purely (atleast 80%-90%) digital. ( Google, Facebook, Microsoft) Confusing one for another will lead to be a bubble like the one in 2000. Anything that spelled internet had gone bust and now anything that spells tech will go to if this continues.
now i know what they mean by “you need a good story for investors to invest.” just make up figures, use jargons, ask for huge valuations, use those valuations to get even more valuations, charge high salaries, buy stuff via company account, show losses, free proud coz increased customers, file for bankruptcy and repeat.
i really dont get why people use these spaces... head down to an empty starbucks, eat and drink there and spend only 20% of the cost you would have paid for a wework office that day
If the founder CEO is leasing his own building to it's own business. You know he's not committed to the company. He's making money out of shareholder's pocket.
I had to do the math myself bc $1,913,184,000 is whole lotta money to be losin' in a year! I guess those figures are accurate. I must say when WeWork was new to DC I was absolutely obsessed with the concept! They were so busy it took them forever to cmb. Then it took forever to get an appt for a tour. They have beer on tap 24/7. (I don't even drink and I was excited!) Great open spaces for work and collaboration! They also have great indoor/outdoor space for onsite events. I was sold on all of the hype. Then I noticed. . .I was going to be working around a bunch of other startups, a bunch of annoying little 'lennials, there was ALWAYS some function being hosted by WeWork, plus there was that collaborative chatter constantly taking place right outside the glass wall of the office space I wanted to lease monthly. I have the attn span of a flea. That was not going to work, so I bowed out and went back to sitting on my sofa typing on my laptop looking at the same four walls. - - WeWork will probably be around for a long time to come. I just question how much longer this open, clean, industrial space concept will last. When that aesthetic look does finally go kaput, how many billions will the company have to invest in remodeling? I mean even McDonald's and Marriott refresh their interiors every 5 years, but they have built that into their model, and their franchise owners pick up the cost. Not the brand.
Working at WeWork is a tiny bit better than working at coffee shops. With many people around you, it's not so comfortable to work in public places, instead, it's way too comfortable to work in your own small office (not your apartment or home, that's unproductive).
@@aaronwhite3119 and that person should be...neumann! not only that but from what I've read he was basically PUMPING up weworks value with his last investment round so he can eventually bank off the public markets. Listen...imo, he had to have known the business model was questionable and at this pace highly unsustainable!
This shit is getting to real 2:05 soon were going to have corporations controlling every parts of our lives. All hail we work, Amazon, Google, Microsoft, Apple.
2:02 This is what Hitler thought when we looked at Europe. This is already a red flag, the world should be predominately small businesses, not huge corporations.
There's a we work at my apartment building, I have no idea why it makes sense. Here in Mexico, it makes way more sense to rent a normal office than a we work space. They are not cheap here in Mexico
So glad I trusted my intuition and ignored their reach out attempts in my previous positions. Sniffed something wasn’t quite right and threw the invites into my junk folder.
I would have thought that we work was like an AirBNB for office spaces. Like you can drop in and pay a fee for a day to rent out something to get work done. Like a coffee shop where you pay for the office instead of coffee
Don't know why people are being so negative about this company. We've started renting mobile devices(eg: leasing mobile phones), renting a workplace does not sound like the worst idea. WeWork trying to solve this problem, making it easier for the renters and who need place for rent. They will certainly start making money as long as they hold the value.
its not the bussiness model, the valuation is the problem, and the company branding as "tech company". there's others that have profit with simmilar business model, and the videos already say it IWG and that have been around since 1989.
Their office space is cheaply put together and has no sound absorbing material. You get a headache when you have to meet someone in one of those places. Thankfully I can have a home office in my rural location and I have a true 1950's office with convenience and quiet. Plenty of parking outside too. The organic vegetables and free range ducks are a perk.
Mostly All startups burn investors money to get insane valuations. And when investors wants to get a return they go with IPO. That's where reality strikes.
![[LIVE] : ONE ลุมพินี 89 | คู่เอก "ยอดไอคิว vs คิริลล์"](http://i.ytimg.com/vi/Z3vYkHJ_5Ig/mqdefault.jpg)
title: how we work makes money
content: how we work loses money
Thats traditional media in 2019 for you
WeLose
@@charlech welose $152 per minute
They failed to mention that Wework has an operating profit above 30%. It only loses money because it's rapidly expanding in revenue.
Correction... wework makes money by finding new investors in wework...
Ohhh... but it’s not a Ponzi scam because valuation is subjective and traditional Ponzi schemes made the mistake of using objective assets which aren’t possible to legally lie about.
But ya can lie til the cows come home and when building a business. So everyone throw their money in the fire pit and cross your fingers paper money and ashes create gold bars.
Most of WeWorks customers could work from home.
And they will when the economy turns... the same way people started making coffee at home in 2008 and Starbucks suffered.
I absolutely need to travel to a workplace to be productive. I'd ultimately underperform working remotely in my apartment so I get the appeal.
@@jz4461 same. There is no way I can be productive at home.
The library or coffee shop is best bc home has so mnay distractions
sailaway258 on the contrary, i get distracted by all the eye candies at coffee shops
I can see Starbucks getting into co-working. They're basically the largest co-working space company in the world
Founders made money at the expense of investors, not a good deal
Well it's. For those sneaky founders. Bad news for the Sheikhs hiding behind the Japanese
Like that movie on Netflix
Founders and Softbank made money out Saudi Arabia's expense
Raffaele Mancini Sadly this is what “venture capitalists” called their pyramid scams....
@@avayu2289 Some of them screw up not only investors but also employees, using stock options worth $0 to "compensate" for below market salaries.
Can the company also do porta potties and restrooms, calling it the WeWees?
WeePoop
😂😅
👏🏽🍆 u should be their marketing chief
Then it should be named as "WePee"
Lol.. underated comment
Question : How does WeWork make money?
Ans : It doesn't.
It does make money, 1.8 Billion in 2018, It however does have a negative cash flow, and doesn't make profit, Money is not equal Profit.
@@vincentangel111 if it doesn't make profit , it doesn't make money.
#WERealEstatesMafia would have been far more fitting for those money like cocks-sucking young Deepen. They all never had the Intelligence to create any long term functional new forms of "$haring" Economy any way, withall the stolen ideas they all barely understood. How dilettante.
Godless Best,
A.E.
Projectheureka LLC
@@vincentangel111 No profit is the same as not making money. The big mistake of Idiots. Softbank has put so much money in this shithole and still they can`t make a profit.
Vincent Angel Profit =/= Money
Learn to economics 👌🏻
WeWork: Rents warehouse and puts in a ping-pong table
WeWork: We are a tech company
Investors: surprised Pikachu face
Don't forget the indoor plants
Pikachu**
PIIIIKaaaachhhuuuuuuuuuuuuu
Right
@@Alexander_l322 I like you
“We Work was the first mover in this space”. What does that mean? It was the first to take a profitable model (see IWG/Regus) and turn it into a massively unprofitable model?
In terms of their interior design and branding
Benjamin Geffken still doesn't justify its valuation
Benjamin Geffken are you serious? Give me $10B and let me build the best shit you can possibly imagine while losing 90% of the investment. 😂
It was a good business concept, it was just badly overvalued and mismanaged… i like wework more than regus
is it just me or does this idea of everything in life being owned by “we” sound like a dystopia cliche
Exactly
Sign into your digital WePlantation with you WeMarkoftheBeastTattoo 😂
Please report to a we re-education centre.
Yeah, millennials all want socialism. iGen my generation might be the best generation ever
@@sean3533 you're iGen? Is that born from 2010 onwards?
@@KAMZA. 1995 on
Haven't you heard? Wework doesn't make money.
DKornacki3 Loud and clear
We Work went from “We Worth” to “We Worthless”.
TLDR: They don't. It's a scam.
Joe Finberg Why, thank you, good sire.
Tell me this doesn't sound like a Black Mirror episode...
research what a company town is and read about the cyberpunk and shadowrun franchises.
are u tech or real estate company?
wework: yes.
We work is burning cash. Not part of my business plans.
You mean 'Cliff' professional hooker service' ?! 😄
WeBurn
From a creative & design perspective, I respect the heck out of what these guys have done. From a business perspective, it’s safe to say Masa Son is crying tears in his Sapporo.
Son lost Billions and is still a Billionaire. I suspect he's very close to retiring while he's still a Billionaire - or face disgrace when fired by the Soft Bank Board.
Anyone who thought this was a good idea deserves to lose their investment.
Bo Jackson corporate subletting isn’t a bad idea altogether, but we work branded themselves in a way that resonated with investors without a reasonable plan to deliver returns and that was the problem. IWG runs a more traditional business around this model and endured a recession which tells me it isn’t crazy, just executed poorly in this case.
I’ll would never invest in a company with a CEO like that
I looked into we work spaces once. It was about the same price as leasing a empty 150sqm office about 10min out of the city, but instead you got a "hot desk" for the same price.
No thanks.
Phil where was that?
The most overvalued startup in the world!
Why does this sound like one of those companies that end up being a massive scam?
Dont worry, he is scamming rich person, not the public yet.
Because actual legit companies who have been doing it for years actually know what their doing. Idk who this spokesperson is but We Work is not innovative.
it is
T P And Islam is a religion of peace 👌🏻
Adam Neumann: Questionable CEO, Great Cult Leader
Wework and Theranos should form a joint venture valued at 1 trillion dollars.
Zimbabwe dollars
And hire Bernie Madoff as the CEO
Good one. And hire fromal CFO from Enron to get the venture to the next level😂
The Power of Zen Better yet! In Venezuelan Pesos(Bolivares) 👌🏻
Business Insider 20.09.2019: How WeWork Makes Money
Business Insider 28.09.2019: How WeWork spiraled from a $47 billion valuation to talk of bankruptcy in just 6 weeks
ArcaneRainFell 😂
I don't even know wework until I watched this video...
Update: How we work has no work and is going bankrupt.
title: how wework makes money
thumbnail: it doesn’t
0:37 "wework is a landlord"
yepp, burn this company to the ground
I never realized I can have a dumb business plan with a high or inflated valuation and investors would pour monies into it.
Mathew Tan How money can be pluralized? It is money, not monies!!!
@@paultvshow monies
/ˈmʌnɪz/
plural form of money, as used in financial contexts.
Perfect example when a company starts getting huge cash infusions before any profits are made.
i like how she is chilling there waiting for the clip to end at the end.:).
We sleep allows you to sleep with people you dont know
We blow new division
That sounds profitable
In general, We offers those who can afford it becoming a part of a parallel society. The percieved ttractiveness of that offer tells us a lot about how broken our society is and howe desperate people are for someone to fix it .
WeWork: I am a technology company
Google, Amazon, Uber: are you though?
Uber is not a tech company, it’s an app using some kyc code and a geo locator library, google and amazon make companies like Uber and make money too, unlike uber...
@@neilk22 Amazon barely makes money, cashflow generated by the company is mainly from stock issuance through stock-based compensation. Investigate the books and you'll also see that long term lease obligations are ver very important. Shareholders are getting a return from and only from stock growth... when that stops, they'll lose the possibility to pass on the cost of management to shareholders and will either dilute the company very fast and lose money or increase bonus and squeeze cash positions... All This is is a bubble in Amazon,Netflix and potentially Tesla. SalesForce was also Shxty if I recall well. We need to stop idealizing Amazon and so does main stream media. Stockholder return doesn't even reach 2% and the company had been cumulating losses for years before that. Now,,, its simulating profits and taking less depreciation while capitalizing some assets that should be depreciated...
@@j.l.9922 sorry but AWS made $10bil in profit, what nonsense are you speaking?
Uber is not a tech company, nothing innovative other than a marketing machine with bad taxi drivers
KOM CPT 10BN is nothing,,, 1% return best case scenario at current market cap... and that’s if you believe everything Amazon tells you. You obviously didn’t read the financial statements so this conversation is probably not worthwhile... funny how people believe anything that’s told them. Do your homework
Joseph Adam lecomte dude please watch some of the reports that they feed for free on CNBC, this data is free. Amazon could literally stop innovating today and half the enterprises around the planet would continue running their production environments seamlessly, including Uber.
There is a huge difference between silicone valleys fake company evaluations based on fake user data and innovation sentiment and a very solid business case like AWS.
It's a strange world where losing half a billion dollars a year doesn't immediately kill a company
It's amazing how much can change in 10 days...
Even a child can see this company will fail. Why anyone would invest is beyond me.
Got to love the part where they say IWG makes a profit but has a much smaller valuation to WeWork because of ... branding. To then go on to say that WeWork has not turked a profit and spent the last year loosing $ 200K an hour without ever addressing how messed up that is.
Should merge with Slack: We Slack.
I am a landlord and I lease out homes for rent. I guess now I'm a tech genius ( more money to be made by calling it tech instead of real estate ).
I sell lemonades and get my customers by playing music on my phone. I'm a tech company too.
People don't understand that tech is simply a platform not a business in of itself. A mall on the internet isn't a tech company, it's a delivery company (Amazon).
if it's a tech company it won't have any real world effects ie it will be purely (atleast 80%-90%) digital. ( Google, Facebook, Microsoft)
Confusing one for another will lead to be a bubble like the one in 2000. Anything that spelled internet had gone bust and now anything that spells tech will go to if this continues.
The longer I watched the video. The more common sense I lost.
2:01 literally the plot of sorry to bother you, we really are living in dystopia
Their brand is taking some major hits. Possibly this all unwinds.
now i know what they mean by
“you need a good story for investors to invest.”
just make up figures, use jargons, ask for huge valuations, use those valuations to get even more valuations, charge high salaries, buy stuff via company account, show losses, free proud coz increased customers, file for bankruptcy and repeat.
i really dont get why people use these spaces... head down to an empty starbucks, eat and drink there and spend only 20% of the cost you would have paid for a wework office that day
If the founder CEO is leasing his own building to it's own business. You know he's not committed to the company.
He's making money out of shareholder's pocket.
used to work in a company in wework building. its actually really nice but the company i worked for was a sham.
Wework isn't a sham. Oh wait....
I had to do the math myself bc $1,913,184,000 is whole lotta money to be losin' in a year! I guess those figures are accurate. I must say when WeWork was new to DC I was absolutely obsessed with the concept! They were so busy it took them forever to cmb. Then it took forever to get an appt for a tour. They have beer on tap 24/7. (I don't even drink and I was excited!) Great open spaces for work and collaboration! They also have great indoor/outdoor space for onsite events. I was sold on all of the hype. Then I noticed. . .I was going to be working around a bunch of other startups, a bunch of annoying little 'lennials, there was ALWAYS some function being hosted by WeWork, plus there was that collaborative chatter constantly taking place right outside the glass wall of the office space I wanted to lease monthly. I have the attn span of a flea. That was not going to work, so I bowed out and went back to sitting on my sofa typing on my laptop looking at the same four walls. - - WeWork will probably be around for a long time to come. I just question how much longer this open, clean, industrial space concept will last. When that aesthetic look does finally go kaput, how many billions will the company have to invest in remodeling? I mean even McDonald's and Marriott refresh their interiors every 5 years, but they have built that into their model, and their franchise owners pick up the cost. Not the brand.
I’ve never heard of wework until now
Softbank is a gambler. I dont understand why anyone will give them money. And their luck has run out.
seems like hype more than anything else
Investors: So how does Wework make money?
Wework: well, wedon't...
This thing is nothing but a finesse.
The dude was planning another name change to WeLord.
Working at WeWork is a tiny bit better than working at coffee shops. With many people around you, it's not so comfortable to work in public places, instead, it's way too comfortable to work in your own small office (not your apartment or home, that's unproductive).
Moral of the story label yourself a tech company make the monies and run before the investors figure it out.
*taps forehead*
Thank you. Well-presented, breezy, concise and informative. Hope to see updates on WeWork, among other reporting.
Then: WeWork
Now: WeBroke
Correction: How "Adam Neumann and friends" Makes Money
Wonder how long their "investor" gonna keep burn their money till they say WeBroke
We work is the new Movie Pass
Dung Nguyen 😂
SoftBank about to lose some serious loot on wework after losing loot on Uber! Think like $10bn total lol...
That’s not good, there will be a corresponding decrease in foreign investment with those kind of losses. The Japanese have to be feeling ripped off.
Someone should really thank Masayoshi Son for the billions he just spent underwriting this fantasy.
@@aaronwhite3119 and that person should be...neumann! not only that but from what I've read he was basically PUMPING up weworks value with his last investment round so he can eventually bank off the public markets. Listen...imo, he had to have known the business model was questionable and at this pace highly unsustainable!
Adam Nuemann what a piece of work! Made millions for himself, none for investors! Just another example of greed gone wild.
Here is my question.... why not just do your business at Starbucks like we've been doing for years?
I came here after watching WEWORK's trailer on Hulu ....
Before that I never heard this company's name
They should create the app we meet since they have people in the same building that can be compatible.
"Ceo Neumann-"
Hahaha! Now that he's gone, it's funny to hear his opinions.
A global success...this video desperately needs updating!
WeWork did not see the pandemic coming. We all didn’t.
This shit is getting to real 2:05 soon were going to have corporations controlling every parts of our lives. All hail we work, Amazon, Google, Microsoft, Apple.
wework is not even on par with the Big 4. Just go work at home or a real office.
2:02 This is what Hitler thought when we looked at Europe. This is already a red flag, the world should be predominately small businesses, not huge corporations.
There's a we work at my apartment building, I have no idea why it makes sense. Here in Mexico, it makes way more sense to rent a normal office than a we work space. They are not cheap here in Mexico
Who's here after the Hulu documentary?
This aged well
Neumann is pronounced as “noi-mann”.
So glad I trusted my intuition and ignored their reach out attempts in my previous positions. Sniffed something wasn’t quite right and threw the invites into my junk folder.
Allow me to reach out for a special position for ya. 😉
I was watching this, then I checked the date of uploading, then I stopped watching it.
Hardly a global success. It owes more in commercial leases than it has in forecast revenues. Also Neumann is dodgy.
We work would be perfect as a cooperative
Today WeWork files for chapter 11 bankruptcy. 😢
I would have thought that we work was like an AirBNB for office spaces. Like you can drop in and pay a fee for a day to rent out something to get work done. Like a coffee shop where you pay for the office instead of coffee
And now Newman's out. 700+M cashed out.
Don't know why people are being so negative about this company. We've started renting mobile devices(eg: leasing mobile phones), renting a workplace does not sound like the worst idea. WeWork trying to solve this problem, making it easier for the renters and who need place for rent. They will certainly start making money as long as they hold the value.
its not the bussiness model, the valuation is the problem, and the company branding as "tech company".
there's others that have profit with simmilar business model, and the videos already say it IWG and that have been around since 1989.
Who will be the first person to make a billion dollars starting a company that never makes a profit?
Short wework min options become available
Just tell them it's a tech company and they'll send you the money even if it's a scam
Buy a company that is losing tons of money... where do I sign up?
The title should say that how wework looses money. It is true that even for a company that loses money that have to find it from somewhere.
So how much did this sponsored ad cost?
How WeWork makes money:
They don't
it is funny how people take a good simple idea and then turn it into BS while over complicating it
If renting out space to tech companies makes a real estate company a tech den starbucks is not a cafe chain but a tech company as well
We Work IPO's shows We work as We Die
Was this PR for we work?
not really since they criticized them, this is a business channel so everything here is PR
Does feel like PR for WeWork.
Love videos like this!! Learned so much!
Their office space is cheaply put together and has no sound absorbing material. You get a headache when you have to meet someone in one of those places. Thankfully I can have a home office in my rural location and I have a true 1950's office with convenience and quiet. Plenty of parking outside too. The organic vegetables and free range ducks are a perk.
WeWork is not a landlord. Thank you.
I've never even heard of this company before lol
Mostly All startups burn investors money to get insane valuations. And when investors wants to get a return they go with IPO. That's where reality strikes.
They dont. Saved you guys 5 mins of your life.