Electric hit $50M ARR, raised $200M — then tore the business apart
DenehyXXL · x · 2026-08-25
Electric reached $50M ARR and raised $200M, then tore the business apart and rebuilt it over 2+ years, pivoting to an AI IT platform. The founder's article "Burning the $1B Ship" opens with a former Zendesk CFO's warning: "Pick which way you want to die. Fast or slow." hnshah's takeaway: the graveyard of AI-era software will be full of companies that protected the revenue that made them — more founders will face the kill-your-old-business decision than realize it.
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