Up-and-coming technology companies are no longer racing to list their shares on public markets. A massive increase in late-stage venture capital has enabled many start-ups to reach valuations of more than $1 billion while remaining in private hands.
Will the tech unicorn go the way of the dodo? It depends on a number of factors. In this episode of the McKinsey Podcast, McKinsey partners David Cogman and Kara Sprague talk with McKinsey’s Simon London about why dozens of billion-dollar technology start-ups in Silicon Valley and elsewhere are choosing not to go public—and whether the unicorn phenomenon is cyclical or here to stay. An edited transcript of their conversation follows.
