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Completely agreed. Also, this 'bubble' seems to coincide with serious efficiency gains in startups and the sudden ability of startups to a) scale and b) make mo
by vessenes 16y ago
Completely agreed. Also, this 'bubble' seems to coincide with serious efficiency gains in startups and the sudden ability of startups to a) scale and b) make money. I don't see any boo.com's right now.
There may well be a bubble right now. There's certainly a tidal shift toward founders as has been thoroughly discussed on this site and elsewhere. That tide will probably shift back around at some point, who knows? Small dollar placements resulting in mid-size private purchases does not a bubble make; neither does medium-size (500mm) placements in high revenue, profitable, massive growth tech companies.
- stretchwithme 16y agowhy do you say startups scaling and making money is a sudden ability? Are they all doing it? Were they never able to before?
- vessenes 16y agoDuring the bubble 'mindshare' was considered the most valuable thing you could get, more than money. Hence, superbowl commercials for Dotcom startups. Scaling has gotten far, far, far cheaper in terms of hardware, software and staff. This opens up a new class of possible businesses and returns. Remember that Google didn't even exist during the first part of the boom; monetizing with advertising was difficult... Everything cost tens of thousands of dollars back then, phone systems, servers, development environment licenses, ... Anyway, memory lane. Now you can git push to heroku and launch a web app. That's definitely valuable. Heroku probably would have been worth well over $1bn during the boom, though. At the time, you could legitimately spend a year building out a web application.