$100M ARR at -50% gross margins: how AI startups rebrand GMV as ARR
vaibhavbetter · x · 2026-09-22
- Investor Richard Chen argues the biggest scam in AI is rebranding GMV as ARR: once you see monthly financial statements, gross margin, and gross profit numbers, the "0 to $100M ARR in a year" headline brags look faked.
- vaibhavbetter confirms with a concrete data point: yes, there are companies posting $100M ARR with -50% gross margins.
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