Google, Facebook, and Apple all have enough cash to buy several AirBnbs rn.
Meanwhile, long-term prospects for AirBnb have not changed. Disease existed before COVID and will exist after COVID.
Not sure I 100% agree with this. AirBnB's bread-and-butter was urban rentals. Even before Covid, there was huge backlash against AirBnB in a lot of those locales. Now, especially after you saw huge numbers of AirBnB's convert to long term rentals (really laying bare the nonsense of the "AirBnB doesn't take from long term rental stock" argument), I think you'll see tons of cities accelerate their plans to ban lots of short-term rentals in their current form, and these cities and society at large will become a lot more hostile to AirBnBs in residential neighborhoods.
The conversion of short-term -> long-term is a side effect of reduce demand. Once demand picks back up, supply will return.
30 M unemployed and growing means no disposable income for consumer businesses, which in turn are shutting down and shrinking their spending on B2B services. The latter is delayed and won't be fully visible until Q3.
You are assuming the scenario where consumer division was making a lot of money. For a lot of very successful B2B businesses, their consumer division exists mostly to make small gains, while acting primarily as a getaway or advertisement for their B2B offerings.
You would be surprised to find out how much more revenue (and profits) a company like Microsoft makes on their B2B offerings compared to the consumer ones.
Even those that are still B2B eventually need cash flows from consumer businesses. Hence the statement that we won't fully realize the losses until Q3. Less spending by consumers depresses all businesses, some sooner than others, but FANGs are definitely hurting.
The cool thing about B2B, as opposed to consumer offerings, is that the contracts on those are usually multi-year. Just because the client enterprise suddenly receives less revenue from customers, it doesn't mean that they would be able to stop paying MSFT until the contract term is over. Unless this current lockdown situation lasts multiple years, it shouldn't affect things significantly.
