RE:RE:RE:RE:RE:RE:Is this really a SaaS play? There is certainly some value for AustinGIS. But what exactly is it? AustinGIS is a new entity with no revenues right now. In the past organizations like Google couldn't really succeed in the smart cities space (sidewalk labs).
But lets assume AustinGIS will figure out a way to start generating revenues. It will be services revenues.
For VSBLTY's stake to be worth $200 Mill, AustinGIS will have to be worth $2 Billion today. I am sure you will agree that this valuation, today, would be absurd.
The closest public market comparator for a services company would be Accenture. It is currently valued at 250Bill.. It will generate over $50Bill in revenue and will have over $5 Bill in earnings. And this is in a very frothy market.
Assuming the multiples stay where they are, and the macro environment stays frothy, for AustinGIS to be worth $2 Bill in revenue, you will need atleast $400 Mill in annual revenue and atleast 10% net income. As it stands AustinGIS has $0 in revenue. What would you need to build to get to $400 Mill in annual revenues (how many employees would you need to hire, how many contracts, how does money flow through the business etc etc etc)? Can this be done overnight? Very questionable, regardless of the partnerships you have.
Maybe Jay will be able to do what Google wasn't able to. But so far Jay hasn't been able to deliver on anything he has promised, including the false guidance he has provided after previous quarters have closed (there is a 2 month lag from quarter closing, and Jay knowing exactly where revenues stand, and financials coming out). That has been conistent based on his past interviews and past financials.