Photo: Andrea Black (Lacuna)
You could argue Foursquare’s funding round – $20 million at a $90 million valuation! – is not the biggest and best thing to ever happen to New York’s startup scene.Gilt Groupe is huge. Etsy has a lot of users and decent revenues. At one early point, Tumblr looked like it could rival Twitter. Doubleclick, Tacoda, Quigo, and Right Media all sold in a six month period for something like $5 billion in total proceeds. Even Google’s decision to employ hundreds of engineers in New York may have been a bigger deal.
But, for a moment, we’re not going to argue that. For a moment, we’d like to provide you permission to down the Kool-Aid.
Foursquare is huge, people.
Foursquare took just more than 12 months to reach 1 million users. It’s going to reach two million in under three. If it can keep scaling like that, it’s going to make tons of money off a no-brainer coupon-dispensing business.
Small Web businesses are already investing time and money into building apps on top of the Foursquare API. Eventually, we’re going to have reluctantly start using the the phrase “the Foursquare platform.”
Huge Web companies Yahoo and Facebook just spent weeks trying to buy Foursquare.
Point is: If CEO Dennis Crowley and gang don’t screw it up, Foursquare could be New York’s first consumer-facing, non-ecommerce, platform company – something smaller than, but akin to Web 2.0 hits Twitter, YouTube or Facebook.
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