Think like an investor. Imagine this startup got as huge as it possibly could get and gobbled up a few adjacent markets. Could you imagine it selling to Google (or someone else) for $1B? $500m? Has there ever been any M&A activity anywhere near this market of consequence?
No doubt that there is a business here, but I think most investors look for a larger TAM as well as a market that is getting ready to blow up (or starting to).
Think like an investor. Imagine this startup got as huge as it possibly could get and gobbled up a few adjacent markets. Could you imagine it selling to Google (or someone else) for $1B? $500m? Has there ever been any M&A activity anywhere near this market of consequence?
No doubt that there is a business here, but I think most investors look for a larger TAM as well as a market that is getting ready to blow up (or starting to).
http://blog.pmarca.com/2007/06/the-pmarca-gu-2.html (good reading on the subject of startup markets)