Google may be losing some of its charm. Two months after Groupon supposedly turned down an acquisition offer worth $6 billion, rumors indicate that a small company called Path has declined an offer worth an initial $100 million.
If you haven’t heard of Path, you’re not alone. "The Personal Network," as former Facebook employee and Path CEO Dave Morin labeled it in an introductory blog post, just launched in November, and has only seen around two million "moments shared" between users since then. (Divide that by two or three to get an optimistic user count.)
Anyway, Michael Arrington wrote this afternoon, "Google made a move, eventually offering $100 million for the company plus an earnout of $20 million or so. . . . Taking that Google offer would seem to most people like a no brainer."
"But," Arrington continued, "Path turned the offer down. And Kleiner stepped in and invested. At a roughly $25 million pre-money valuation, we’ve heard from multiple sources."
So let the speculation begin. Will Path be the next Facebook/Twitter/whatever? Did the company blow a golden opportunity? Does Google have way too much money? Or are we looking at another broad tech bubble?
We’ll be sure to pay more attention to Path in the future, regardless.