A lot of people are going to dump on this billion dollar valuation, but we don&#x27;t have the terms. Presumably there is liquidation preference. According to Crunchbase [1], the total capital raised is about $160 million after this money, so the investors don&#x27;t need this company to be worth $1 billion to come out fine. Sam Altman made the point a few days ago that a lot of these late-stage private financings are kind of debt-like [2, about paragraph 8-9 and footnote #2], with the result that the valuations aren&#x27;t really meaningful.<p>[1] <a href="https:&#x2F;&#x2F;www.crunchbase.com&#x2F;organization&#x2F;udacity#&#x2F;entity" rel="nofollow">https:&#x2F;&#x2F;www.crunchbase.com&#x2F;organization&#x2F;udacity#&#x2F;entity</a><p>[2] <a href="http:&#x2F;&#x2F;blog.samaltman.com&#x2F;the-tech-bust-of-2015" rel="nofollow">http:&#x2F;&#x2F;blog.samaltman.com&#x2F;the-tech-bust-of-2015</a>