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These companies were always net value destroyers. Consumers being subsidized from the pockets of investors was nice while it lasted, but it doesn't make for a s
by slotrans 4y ago
These companies were always net value destroyers. Consumers being subsidized from the pockets of investors was nice while it lasted, but it doesn't make for a sustainable business. Once they go to zero we'll wonder how it ever even appeared to make sense.
- puranjay 4y agoLook at initial funding rounds of a hot new startup these days. Especially in areas like web3. There will often be participation from dozens of VCs and angels, mostly random names and funds that came up a couple of years ago. There is really way too much cheap and dumb money sloshing around the tech industry. Money that cheap can’t create long term value - it just creates zombie companies and bad operational habits.