The downvote arrow as slowly become a "truths I don't want to hear" button on HN.
Too much cheap money and a grow at any costs mentality has lead to exactly this is problem where every tech company is very tightly coupled with every other tech company.
I'm in the B2B space for one of the many non-profitable, recently IPO'd companies. As far as companies goes, this one is pretty sane. Healthy growth, a product that makes sense, thoughtful leadership. However when I look at our customers the vast majority are small tech startups, many of which will obviously cease to exist in a down turn.
When I look at our spending, it's mostly to other larger tech companies, those big tech companies everyone wants to work for.
But those small startups, that have weird products that don't make sense, price sensitive customers, unsustainable growth and crazy leadership, they make up a huge amount of our revenue. When they start to collapse, we'll have to downsize, both in headcount and in services we pay for. And we won't be alone.
On top of that, I look at my own spending. My other tech friends and I have no problem paying what would have been crazy amounts for services like Door Dash, or a constant stream of slightly over price but so convenient stuff from Amazon. Why not subscribe to another streaming services, it's only $10/month. So many of these direct to consumer companies mostly exist because of highly paid techworkers that have more cash than they need.
I get laid off I'll just pick up my food myself, I'm not going to be ordering everything of Amazon, I'm cancelling all but my most active subscriptions.
There are a lot of positive feedbacks in the current tech ecosystem what will continue to be triggered and continue to bring down the massive, massive tech bubble we're in.
Granted, we will all have trim the fat moment but I doubt the level of doom and gloom is warranted, as we are not in a "massive, massive tech bubble". If anything, tech hasn't penetrated enough into our lives yet.
Most likely; these services will evolve into a format where it is financially more viable - which might even allow them to reach larger audiences.
Ideally, this should happen in a slow fashion (which it seems to be happening). A sudden crash would be more chaotic, but on the long term I doubt we have much to worry about as a sector; there'll still be plenty of jobs for tech workers.
Too much cheap money and a grow at any costs mentality has lead to exactly this is problem where every tech company is very tightly coupled with every other tech company.
I'm in the B2B space for one of the many non-profitable, recently IPO'd companies. As far as companies goes, this one is pretty sane. Healthy growth, a product that makes sense, thoughtful leadership. However when I look at our customers the vast majority are small tech startups, many of which will obviously cease to exist in a down turn.
When I look at our spending, it's mostly to other larger tech companies, those big tech companies everyone wants to work for.
But those small startups, that have weird products that don't make sense, price sensitive customers, unsustainable growth and crazy leadership, they make up a huge amount of our revenue. When they start to collapse, we'll have to downsize, both in headcount and in services we pay for. And we won't be alone.
On top of that, I look at my own spending. My other tech friends and I have no problem paying what would have been crazy amounts for services like Door Dash, or a constant stream of slightly over price but so convenient stuff from Amazon. Why not subscribe to another streaming services, it's only $10/month. So many of these direct to consumer companies mostly exist because of highly paid techworkers that have more cash than they need.
I get laid off I'll just pick up my food myself, I'm not going to be ordering everything of Amazon, I'm cancelling all but my most active subscriptions.
There are a lot of positive feedbacks in the current tech ecosystem what will continue to be triggered and continue to bring down the massive, massive tech bubble we're in.