09

Build vs. Buy vs. Partner Framework

Option A: Acquire E2B.dev (Recommended)

  • Upfront Investment: $350M
  • Time to Market: 6-12 months
  • Expected IRR: 22%
  • Weighted Score: 7.8/10

Advantages: Immediate market leadership, proven technology, talent acquisition, competitive moat. Disadvantages: Integration risk, key person risk, valuation premium.

Option B: Build Internally

  • Investment: $80-120M
  • Time to Market: 24-36 months
  • Expected IRR: 8-12%
  • Weighted Score: 5.2/10

Disadvantages: Time-to-market lag cedes market to competitors. F5 has no track record in sandbox technology.

Option C: Strategic Partnership

  • Investment: $15-25M/year
  • Time to Market: 3-6 months
  • Expected IRR: 15-18%
  • Weighted Score: 6.1/10

Disadvantages: No proprietary moat, dependency on partner, limited upside.