David Sacks Then and Now
By Cornell Scott / October 8, 2024
David Sacks Then
David Sacks, born on May 25, 1972, in Cape Town, South Africa, grew up in a Jewish family that later emigrated to Tennessee when he was just five years old.
This significant move marked the beginning of a new chapter in his life, exposing him to a different culture and educational opportunities in the United States.
While his father worked as an endocrinologist, Sacks was not inclined to follow a similar path in medicine. Instead, he drew inspiration from his grandfather, who had ventured into entrepreneurship by starting a candy factory in the 1920s.
This familial legacy of business ownership sparked Sacks’ interest in entrepreneurship, even though he did not initially envision a career in that direction.
Sacks’ educational journey began at Memphis University School, where he likely developed a strong academic foundation that would later support his endeavors.
He pursued higher education at Stanford University, where he earned a Bachelor of Arts in economics in 1994.
This academic background provided him with essential knowledge and skills relevant to the business world.
Following his undergraduate studies, Sacks continued his education at the University of Chicago Law School, where he received his Juris Doctor in 1998.
This law degree not only equipped him with legal expertise but also refined his analytical thinking, preparing him for the challenges of the entrepreneurial landscape.
His educational achievements and early experiences laid the groundwork for his future successes in various ventures, ultimately establishing him as a prominent figure in the tech industry and beyond.
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David Sacks Business Career
David Sacks’ entrepreneurial journey took a significant turn in 1999 when he left his position as a management consultant at McKinsey & Company to join the e-commerce startup Confinity, co-founded by Max Levchin, Peter Thiel, and Luke Nosek.
Sacks quickly became an integral part of the team, serving as the inaugural product leader for Confinity’s flagship product, which would later evolve into PayPal.
His expertise and leadership were pivotal in transforming PayPal into a major player in the online payment industry.
Promoted to Chief Operating Officer, Sacks was responsible for building essential teams across various functions, including product management, design, sales and marketing, business development, international operations, customer service, fraud operations, and human resources.
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Under his guidance, PayPal experienced remarkable growth, culminating in its initial public offering in February 2002.
This IPO was particularly notable as it occurred shortly after the September 11 attacks, with PayPal’s stock soaring more than 54% on its first day, reflecting investor confidence in the company’s future.
After PayPal was acquired by eBay for $1.5 billion in October 2002, Sacks became a member of the “PayPal Mafia,” a term used to describe a group of former PayPal employees who went on to establish other successful technology ventures.
This network played a crucial role in shaping the landscape of Silicon Valley and is credited with inspiring the rise of Web 2.0 and the resurgence of consumer-focused internet companies following the dot-com bust of 2001.
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Following the acquisition, Sacks ventured into the film industry, producing and financing the political satire Thank You for Smoking, which premiered at the 2005 Toronto International Film Festival and received critical acclaim, including two Golden Globe nominations.
Sacks continued to make a mark in both technology and entertainment. In 2006, he founded Geni.com, a genealogy website that would later be acquired by MyHeritage in 2012.
He co-founded Yammer in 2008, an enterprise social network that revolutionized internal corporate communications.
Under Sacks’ leadership, Yammer rapidly gained traction, becoming one of the fastest-growing Software-as-a-Service (SaaS) companies in history and ultimately attracting around $142 million in funding.
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Microsoft recognized Yammer’s potential and acquired it for $1.2 billion in 2012, integrating it into its broader cloud and social strategy.
In 2014, Sacks made a significant investment in Zenefits and was soon appointed as interim CEO amid a regulatory crisis that led to the ousting of the previous CEO, Parker Conrad.
Sacks’ leadership during this tumultuous time was marked by his successful negotiations with insurance regulators and efforts to restructure Zenefits’ product offerings, transitioning the company to a Software-as-a-Service model.
Despite his efforts, Zenefits continued to face financial challenges, and Sacks stepped down after ten months in the role.
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Throughout his career, Sacks has established himself as a prominent angel investor, contributing to a wide array of technology companies, including Addepar, Airbnb, Facebook, and SpaceX, among others.
In late 2017, he co-founded Craft Ventures, raising an initial fund of $350 million, which eventually grew to $2 billion in assets under management.
The fund has seen success with several unicorns, including Bird, Reddit, and SourceGraph.
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In 2021, Sacks launched Glue, a workspace chat company that leverages artificial intelligence to enhance communication in virtual environments.
Glue’s AI tool, designed to assist employees during meetings on platforms like Google Meet and Zoom, reflects Sacks’ continued commitment to innovation in the tech industry.
With the public launch of Glue in May 2024, Sacks continues to shape the future of workplace communication and collaboration.
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David Sacks’ Wife and Children
On July 7, 2007, David Sacks married Jacqueline Tortorice, marking a significant personal milestone in his life.
Together, they have built a family that includes two daughters and one son, emphasizing the importance of family in Sacks’ life.
Balancing a successful career as an entrepreneur and investor with family responsibilities, Sacks often highlights the value of support from his loved ones.
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His commitment to family life is reflected in his approach to work, where he seeks to create a positive impact not just in the tech industry but also in the lives of those closest to him.
Sacks’ marriage and family life provide a foundation that complements his professional achievements, illustrating his belief in the importance of nurturing personal relationships alongside career ambitions.
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David Sacks Now
David Sacks is currently 52 years old and is recognized as a prominent South African-American entrepreneur, author, and investor, particularly in the realm of internet technology firms.
With a career spanning over two decades, Sacks has established himself as a leading figure in the tech industry.
His journey began with his involvement in successful startups, including his pivotal role in PayPal, where he contributed to transforming the online payment landscape.
Sacks’ entrepreneurial spirit and innovative mindset have led him to engage in various ventures, showcasing his versatility and expertise.
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In late 2017, Sacks co-founded Craft Ventures, a venture capital fund aimed at investing in early-stage technology companies.
As a general partner, he plays a crucial role in identifying and nurturing promising startups and guiding them toward growth and success.
Craft Ventures has gained significant traction, raising substantial funds to support a diverse portfolio of companies.
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Sacks’ vision for Craft Ventures emphasizes not just financial investment but also mentorship and strategic guidance, reflecting his commitment to fostering the next generation of innovators.
His ability to blend investment acumen with entrepreneurial experience positions him as a vital player in shaping the future of technology and the startup ecosystem.
Through his work at Craft Ventures, Sacks continues to influence the tech landscape, paving the way for innovative solutions that address contemporary challenges.
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David Sacks Net Worth
David Sacks has an estimated net worth of $250 million, a testament to his successful career as an entrepreneur and investor in the technology sector, particularly through his pivotal roles at PayPal, Yammer, and Craft Ventures.
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FAQs
David Sacks amassed his wealth primarily through his roles at successful companies like PayPal and Yammer, as well as through investments in various tech startups, leading to an estimated net worth of $250 million.
Sacks is known for being a prominent entrepreneur, investor, and author in the technology sector, particularly for his leadership roles at PayPal, and Yammer, and as a co-founder of Craft Ventures.
Yammer was co-founded by David Sacks and Adam Pisoni in 2008.
Jacqueline Sacks is the wife of David Sacks; they married on July 7, 2007, and have three children together.
Sacks has been involved with several companies, including PayPal, Yammer, Geni.com, and Craft Ventures, which he co-founded. He is also an investor in numerous tech startups.
At PayPal, Sacks served as the Chief Operating Officer (COO), where he was responsible for product management, marketing, business development, and various other key functions.
David Sacks has three children: two daughters and one son.
While specific contact details are not publicly available, you may reach out to him through professional networking platforms like LinkedIn or through Craft Ventures, where he is a general partner.