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The past ten years of tech have been subsidized with low interest rates, i.e. free money. That is now gone and companies must tighten belts. There really is no
by forward1 3y ago
The past ten years of tech have been subsidized with low interest rates, i.e. free money.
That is now gone and companies must tighten belts. There really is no greater mystery here.
- deleted 3y ago[deleted]
- allturtles 3y agoAFAICT from recent quarterly reports, the big tech companies are still seeing double-digit YoY growth in profits and revenues. So from whence comes the pressure to tighten belts?
- akmarinov 3y agoThose double digits are getting to be single digits
- oceanplexian 3y agoIt wasn’t free money, it was COVID. We had low rates and low inflation for years before 2020. Remember when the government used emergency powers and forced the economy to shut down over health mandates? Remember the thousands of dollars in checks the government mailed to every person or business with a pulse? That whole operation completely distorted and screwed up the economy. It boosted tech companies with unnatural growth. It boosted real estate prices. It increased the cost of grocery staples. The market reacted in the rebound, the Fed reacted to the market, and we are playing out the effects of the bad decisions made in 2020.