Riding web2.0 up and down
By now I’m sure many others noticed that TechCrunch bought FuckedCompany. This is just brilliant thinking by Mike Arrington. He got lucky and caught a trend on the web2.0 train and now he’s realized that this fragile bubble may have just as much upside on the way down. He’s planning on resurrecting FuckedCompany to start to create a dead pool of web 2.0 He states:
“The market moves in cycles, and its clear that we are at the tail end of the current boom (disregard recent statements I’ve made to the contrary). Thousands of startups launched in the last year and a half, and well over a billion dollars was invested in them. Even in good times, 90% of startups fail. But recent events make me believe that even a 10% success rate might be optimistic going forward. ‘
He goes on to say “With the combination of these two companies, we can now effectively cover a startup from the idea stage, through the hype and funding stage, and then cover its inevitable bankruptcy and liquidation as well.”
Geez. This is pretty brutal.
Go positive. Go negative. Just go whatever editorial direction it takes to make a buck??
He closes with this:
“Entrepreneurs with new ideas will always have a way to reach potential users and customers. They just won’t be able to do it here any more.”
Here’s my advice to tech entrepreneurs in this regard.
Forget this crap.
Focus on building a company that is done well and meets customers needs in an already existing market. Do it better than anyone else. Charge a fair price. Don’t spend a dime more than you need to. Be in it for the long haul. Don’t confuse your online hobby with an online business. It could be a business. But may not be. It usually isn’t. Hobbies are for fun. Work is work and you can enjoy that too. TechCrunch was never the reason for a single entrepreneurs success. Except for Mike Arrington.
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