WeWork's competitors are scrambling to distance themselves from the co-working giant - and many are following the same script

Jackal Pan/Getty Images; Jacqueline Larma/AP Images; Samantha Lee/Business Insider

WeWork has shelved its IPO after contemplating drastic valuation cuts to make it more palatable to investors.

• Business Insider spoke to execs at four coworking and flex-space providers in recent weeks as WeWork's valuation came under fire. Then came news that WeWork was postponing its IPO.
• The executives were largely singing the same tune - they were quick to point out the differences between their companies and WeWork, but still highlighted WeWork's growth.
• Some said that recent negative media attention on WeWork and a "frothy news cycle" were distorting the public image of the underlying industry.
• Read all of Business Insider's WeWork coverage here.

As Band-Aid is to bandage, WeWork is to flexible office space and coworking. At least, that's how flex office providers describe the public perception of the industry.

When WeWork was valued at $47 billion in its a SoftBank-rolled fundraising round and expanding into education and residential real estate, the association was welcomed, and competitors themselves have been benefiting from hefty venture funding.

But now WeWork has shelved its IPO after contemplating drastic valuation cuts to make it more palatable to investors, and CEO Adam Neumann has said he is 'humbled' by the company's collapsing valuation, according to media reports.

Ahead of news that WeWork was postponing its IPO, Business Insider spoke to executives at four coworking providers about their reactions to WeWork's suddenly unsustainable-seeming valuation.

The execs have been quick to point out differences between their business and WeWork's, though they highlighted WeWork's role as a growth driver in the flex-office space. Several also blamed a frothy news cycle for casting doubt on the industry. The most common argument? WeWork doesn't stand for the entire space.

All of these competitors are substantially smaller than WeWork. Knotel, which raised $400 million in a funding round last month, is the closest to catching up to WeWork's $1.7 billion Series G round. WeWork is the largest tenant in New York City, and only competes with much-older Regus in global square footage. WeWork is also looking to push its business towards asset-light management deals, similar to some of the competitors quoted in this article.