Gurley argues founders who stay private longer are shirking their duty to maximize shareholder value.
“But that's the behavior of some of the founders in Silicon Valley that buy into the state private thing. Like the minute you started giving stock to your employees, you're in the game”
Gurley argues management treats stock-based compensation as free while being more thoughtful with cash, but shareholders see it differently.
“I personally think management is a lot more, thoughtful about cash expenditures, and I think they think about this SBC as if it's free almost. Mhmm. But I don't think shareholders think that way.”
Gurley defends Tesla's Elon Musk compensation as aligned with shareholders despite ISS opposition.
“It basically says you don't make money unless the stock goes way up. And if your stock goes way up, you make an obscene amount of money.”