With reports of layoffs and shutdowns, “skepticism” is growing across the startup ecosystem, warns The New York Times.
But will there be another “dot-com bust” as there was two decades ago?
Maybe, The Times warns.
“The pullback will probably not be as severe as the dot-com bust in the early 2000s, when dozens of unprofitable internet firms failed. Today, venture capitalists and other investors still have large pools of money to invest. And certain types of start-ups — like those that make tech for businesses and that typically have steady sales — continue raising large sums of money,” warns Erin Griffith.
“But in an industry known for irrational optimism, skepticism now abounds.”