The hot girl summer is done. It's time to make way for... Disgraced executives lose their jobs.
On the heels of Adam Neumann and Martin Shkreli's cursed re-entries into startup world, the former CEO ofUber who resigned from the ride-share app amid allegations of widespread sexual harassment and gender discrimination within the company, is also hot.
CloudKitchens is booming according to new reporting from the Financial Times. The startup has grown crazy since a quiet round of funding in 2011. Kalanick's culture hasn't changed a lot according to former CloudKitchens employees. It's really shocking.
CloudKitchens claims to offer a lot of the benefits that previous Kalanick ventures have. The company builds "dark kitchens" and "ghost kitchens" by renting vacant warehouse spaces where it builds kitchens. Home chefs and restauranteurs can use food delivery apps to give their dishes away. Taking the world of restaurants and killing it is like that.
It makes sense for Kalanick to disrupt an existing industry by cutting out the middleman and using a slick app.
According to a report from Insider, the kitchens are pretty much non-functional, and in many cases absolutely disgusting, while the tech itself is said to be glitchy and ineffectual. CloudKitchens contracts are predatory and exploitive, and many operators told Insider that they've lost all or most of their savings trying to work out of the useless kitchens.
Chudi Orubele told Insider that it had been a heavy toll on his family. We have been fighting and crawling. CloudKitchens tried to destroy the dream we came in with.
CloudKitchen is valued at fifteen billion dollars and has spread across the globe. That is intentional if you have not heard of it. According to the Financial Times, its 4,000 or so employees, which have rapidly grown in numbers since that last round of funding, from which the company raked in a mind-blowing $850 million, are asked to keep Cloud Kitchen off their LinkedIn profiles, and Kalanick himself has stayed out of the
Things aren't good for the CloudKitchen employees. One former executive told the Financial Times that Kalanick's CloudKitchen is the "most toxic place I've ever seen or experienced," while another employee said that there needs to be a very big cultural change.
Other former employees said they felt pressured to lie to potential operators to meet their sales goals, and two told Insider that they heard managers call restaurant operators stupid.
Given Kalanick's poor track record, this work culture isn't that surprising. This is the guy who destroyed one industry, mistreating employees and drivers along the way, and then, after being forced to leave that one, is trying to ruin another. According to a Financial Times source, Kalanick's first US investor is a little company known as Microsoft, which may lead to other major investors following suit.
People can change. It's definitely true. They don't have the incentive to do it if they can do the same things and still make money. One of the biggest dogs might say that Kalanick is out of the corporate penalty box.
The restaurant owners are leaving.
There is more on Kalanick's legacy.
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