Oct 31 2007

Value != Worth

Posted at 5:09 pm under Interesting

As usual, Loren simplifies the unbearably complex.

2 Responses to “Value != Worth”

  1. Jason Dunn Says:

    I agree with some of his basic premise - it’s idiotic that Facebook is “worth” $15 billion - but he doesn’t seem to acknowledge or grasp that worth is highly subjective. Most of my friends use Facebook to share photos with each other, and not Flickr. So clearly they place a great sense of worth in Facebook, even if he does not.

  2. Bob Says:

    Jason - lol, you’re joking?

    One of his main points is that worth is whatever someone is willing to pay for it, thus he is saying worth is totally subjective in the sense that it is subjectively valued by others BUT this translates into an objective WORTH when the offer is actually made. Value remains personal and subjective, but worth is at once objective (in that a public offer of $15B might be made) AND subjective (in that the person making the offer VALUES the product at $15B, regardless of the worth PRIOR to making the offer - e.g. if Gates offers $10B, then Jobs offers $15B, the worth has increased $5B, but the value to Gates may remain $10B and the value to Jobs may remain $15B).

    Excellent point, though the commentator’s delivery (smugness, repetition, etc.) were a bit much. Still a good watch!

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