Tech Start-ups are About to Start Dropping Like Flies
An article on a new report out called "Series A Crunch" on the flood of seed funding for startups that has not translated into an increase in investment that can turn a promising start-up into a real company."The hardiest will find a way to survive on their own". The focus, worldwide, but especially in Jordan will need to be on sustainability -- not only in funding but in local staff, creativity and long terms vision. 2012 was the year of ideas and many had a chance. 2013 will be about who will survive.
"As PandoDaily's Sarah Lacey points out, the Series A crunch shows that big investors are proceeding with due caution, rather than hurling millions at anything with a ".com" in its name like they did in the late 1990s. A few big flameouts like Groupon and Zyngaaside, Lacey is right that "the bulk of the froth in the Web 2.0 world was mostly just in the private hands of insiders, not the public markets or broader economy." The coming year may be a brutal one for startups, but those left standing will be better off than before."
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