Table: The Last of the Internet Highfliers
CNET founder Halsey Minor and Scient founder Eric Greenberg create 12 Entrepreneuring, an incubator for Web startups. The firm raises $30 million from the co-CEOs and outside investors
12 pours $10.4 million into Grand Central Networks, a Web services software maker. And it invests nearly $14 million in iBuilding, a Web-services outfit focused on real estate.
12 raises additional $100 million at a valuation of $700 million. Investors include Gateway founder Ted Waitt, eBay founder Pierre Omidyar, and Netscape co-founder Marc Andreessen.
After months of fighting between Halsey and Greenberg, the board approves plan to name Minor sole CEO. Soon after, Andreessen resigns from the board.
12 proposes changing its corporate structure to get better tax treatment. It also reduces rights of some shareholders, who protest and question 12's spending and management.
AUG. 31, 2001
At a board meeting, Ron Conway and other critics ask for their money back and for 12 to shut down, citing excessive spending. They point to a $45 million office lease and $13 million spent on improvements such as fancy offices.
iBuilding is shut down. Investors are told the upstart could not find outside funding after the September 11 tragedy, despite having real customers.
12 lays off half of its 60 employees, cutting personnel overhead by an estimated 55%.
12's board meets to weigh the future of the incubator and its portfolio companies. Discussion also includes whether to return money to shareholders.