Adam Neumann, the co-founder of WeWork, has come back with a new idea that he intends to revolutionize apartment living. Judging from his history with WeWork that nearly bankrupted it, it’s pertinent to ask, will the same story unfold?
Flow is called Neumann’s latest great idea with which they intend to change the way apartments are used today. For now there is not much information about it, but the idea of this company has already obtained one of the largest venture capital investments on record. The giant Andreessen Horowitz disbursed 350 million dollars in this initiative, which immediately generated questions because it is not yet a company that has been launched. But this is not the only controversy surrounding the WeWork co-founder’s new venture. Coincidentally, his history at the head of the startups that revolutionized the way offices are used has raised doubts.
Adam Neumann had to live through the collapse of WeWork in 2019 when it was revealed that the company was worth much less than investors were thinking. At the time, more than 2,400 employees were laid off and Neumann was paid $445 million to leave the company. It is true that WeWork is not a failure at all, but this situation made Neumann an undesirable person in the business world, although the landscape is changing for him.
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The WeWork case made investors realize that venture capital was inflated in many “unicorn” companies that were valued at more than $1 billion. Incredible as it may seem, Neumann still has the blessing of investors, as Marc Andreessen, co-founder of Andreessen Horowitz. He described the WeWork co-founder as “a visionary leader” who had revolutionized commercial real estate and was ready for his next adventure. He said that he had already learned from the lessons and the successes.