There has been a growing trend in recent years of companies, like Uber and Airbnb, raising huge amounts of money, at major valuations, without seemingly any plan to go public. Couple that with the terrible market we’ve been seeing for the past few quarters, and the IPO roadmap for this year looks bleak.
A survey from The NASDAQ Private Market, taken at the South by Southwest (SXSW) Interactive Festival in Austin, Texas, found that the problem may be even worse than originally thought.
In all, out of 126 responses, over 40 percent said that there was “no way” their companies will go public in the future. Another 34 percent said “maybe,” and only 24 percent said “definitely.” Most startling is that the number of “no way” responses went up by a whopping 62 percent from the year before.
As for what their top priority is for the year, that was tied between marketing and advertising, and hiring new talent, each of which had 26 percent. Only 10 percent said raising funding, behind both maintaining talent, and research and development.
And if they do a good job with tasks like paying talent the money they owe and respecting their rights, then maybe the marketing and advertising–actually building something meaningful–might pay off.