Music is streaming through Bose speakers installed in the restrooms. It’s early afternoon, but a crowd is milling around a tap that dispenses draught beer. Others are returning to their desks after a swim in the rooftop pool. But this is a workplace. A co-working space, to be exact. The WeWork office on Residency Road, Bengaluru.
SoftBank-funded WeWork is expected to become the third most valuable startup in the US, after Uber and Airbnb. Currently valued as a tech company at $20 billion, this valuation is soon expected to double after another infusion of capital from SoftBank.
Can Big Business be big business for WeWork?
WeWork’s betting big on large corporates to be its ticket to success. But companies with huge piles of cash could give it a cold shoulder
WeWork relies on enterprises to secure a large part of its business
It is doling out large discounts to woo these companies
Enterprises, though, only see WeWork as a stop-gap solution
This means WeWork potentially recovers only 65% of its cost