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The Intelligence from The Economist

Earning them: Stripe’s monster valuation

The Intelligence from The Economist

The Economist

Global News, Daily News, News

4.53.7K Ratings

🗓️ 16 March 2021

⏱️ ? minutes

🧾️ Download transcript

Summary

The firm got in early providing online-payment software to tech startups. Now it’s the most valuable Silicon Valley darling yet. We look at its future prospects. New York Governor Andrew Cuomo faces a raft of allegations and widespread calls to quit; our correspondent reckons he will not go anywhere without a fight. And the Kabul beauty trend that keeps growing.

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Transcript

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0:00.0

Hello and welcome to the Intelligence on Economist Radio.

0:07.0

I'm your host, Jason Palmer.

0:09.0

Every weekday we provide a fresh perspective on the events shaping your world.

0:17.0

The governor of New York, Andrew Cuomo, has had a long career being uncompromising.

0:23.0

But as allegations have piled up about his once-lauded pandemic response and about his behavior,

0:29.0

it seems something we'll have to give.

0:32.0

And in Afghanistan's capital Kabul, there's a service that's on the rise, plastic surgery.

0:38.0

Demand is up as more people spend time abroad and online.

0:43.0

Problem is, being a cosmetic surgeon in the country is something of a dangerous profession.

0:48.0

The first stop, though.

0:55.0

Patrick Collinson co-founded the Irish American Payment Platform Stripe with his brother, John, in 2010, when he was just 22.

1:08.0

We started out building a payment platform for internet businesses as simple as that.

1:13.0

And so you want to accept payments on your website, in your app, you want to charge people over the internet.

1:18.0

We built a system that makes that really easy to do.

1:21.0

By the time our sister show Babbage spoke with him in September 2019, private investors had poured money into Stripe and it was worth 35 billion.

1:30.0

Stripe works with millions of the highest potential companies all around the world.

1:35.0

And so, worth of a platform for these new ventures, for these new undertakings,

1:40.0

and for people doing things that weren't privacy possible.

1:43.0

As of this weekend, it's now valued at 95 billion dollars, making it the most valuable private company that Silicon Valley has ever produced.

1:52.0

There's clearly plenty of investor interest in the small handful of firms that handle the back end of e-commerce.

1:59.0

But as ever, with the eye-watering valuations of the tech world, the question is whether all that enthusiasm is matched by real growth prospects.

2:07.0

You might never have heard of Stripe, but you're probably familiar with the kind of service it provides.

...

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