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One could also call it a “cash bonfire”
by cudgy 4y ago
One could also call it a “cash bonfire”
- TeMPOraL 4y agoI'd wish. If all that happened was some people setting billions on fire, it wouldn't be that bad. The fracking analogy highlights that 1) those billions are used to eviscerate markets and industries, 2) it's a dirty process leaving a lot of collateral damage, and 3) the parties doing it are actually making a profit, so this process is self-sustaining (as long as there still are markets to frack).
- cudgy 4y agoAgreed. There are definitely adverse effects to the markets from these practices. Could it be that the conglomeration of the startups controlled or at least heavily influenced by a few dominant VC firms essentially creates an oligopoly in the tech startup world? In other words, these startups, which behave like monopolies by razing certain markets with low prices while losing money, are small tentacles of the huge vc firms that are funded by large stockholders of the FAANG oligopolies.