They have no business model. That's the problem they're facing. They expected higher growth and higher user numbers. They expected to heavily displace sites like Answers.com and Yahoo Answers, and that did not happen - both of those are mainstream, have not lost traffic due to Quora, and Quora has never managed to go mainstream in terms of scale.
Quora has to abandon the Q&A space as they've known it (aka pivot). There's no possibility of ever, under any circumstances, justifying a $1 billion valuation, much less say a $3 billion valuation (which their most recent investors have to be hoping for at least), in the traditional Q&A space. Answers.com is three times the size of Quora in terms of traffic, and they're worth maybe 1/5th what Quora is.
Quora has to abandon the Q&A space as they've known it (aka pivot). There's no possibility of ever, under any circumstances, justifying a $1 billion valuation, much less say a $3 billion valuation (which their most recent investors have to be hoping for at least), in the traditional Q&A space. Answers.com is three times the size of Quora in terms of traffic, and they're worth maybe 1/5th what Quora is.