Remember how everyone lost their mind over Silicon Valley Bank earlier this year?

That was largely symptomatic of venture capital increasingly pulling out of tech. Partially because of the ongoing “are we in a recession or are we just acting like it?” mess. Partially because signs are good that we are going to have another Pandemic and are likely to handle it even more poorly. And partially because it has increasingly been clear that one company trying to pivot to become profitable means another startup takes their place.

And that means that a lot of the tech companies that have been operating at a loss for years/decades need to get their shit together.

Some of it is just frantic attempts to stem the bleeding resulting in bad will that will likely blow over (Reddit a few months ago… and twitter every week at this point). Some of it is a focused effort to start horrible so that the “compromise” is still favorable (MAYBE Unity?).

But expect more of this. Because it is largely the difference between existing and going bankrupt within the next year or two.