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Felix Salmon digs into the not so recent trend of technology companies not adhering to the normal rules of Wall Street. When Spotify listed its shares on the NYSE, for instance, its CEO remained in Sweden, rather than flying over to perform the ritual bell-ringing. Instead, he wrote a blog post saying that the whole thing was a bit of a nothingburger, “just another day in our journey.”
The surprise, rather, is that everybody else isn’t following the technology companies’ lead. This is one disruption that hasn’t scaled beyond the tech industry. Why didn’t Google’s Dutch auction IPO method take off? And why is it almost certain that, outside the technology sector, we’re going to see very few Spotify-style direct listings, Uber-style bankless loans, or Telegram-style ICOs? The answer lies in the balance of power. Large companies simply can’t function without a broad array of financial services, provided by highly professional relationship managers at each of the big Wall Street firms. The banks know that they’re needed, and they will treat you very well, just so long as you keep on sending them business. On the other hand, if you annoy them, they won’t hesitate to punish you.
https://www.wired.com/story/silicon-valleys-latest-revolution-cutting-out-wall-street/
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