nerdfight
Having made her name on a cover story about
Digg's Kevin Rose and a $60 million fortune he has yet to make, tech columnist Sarah Lacy has paused to
sniff dismissively at (questionably accurate) reports that Twitter has raised $20 million in venture capital. Lacy has a point: It should not surprise anyone that Twitter is raising venture capital; there are few obvious companies which can use the money, and Twitter, whose microblogging service is growing in popularity but not, measurably, in revenues, is one of them.
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venture capital
Microsoft is asking News Corp. to help it buy Yahoo. Yahoo wants AOL and Google to help it remain independent. Meanwhile,
writes VC blogger Fred Wilson, websites and services acquired by these companies like Flickr, AIM, Del.icio.us, Yahoo Groups, and FeedBurner continue to languish. Which is why Wilson thinks venture capitalists need a new path to liquidity besides flipping startups to a big company (too easy) and going public (too hard). He'd like to see a private-equity marketplace, where entrepreneurs can cash out without selling out. His 1,104-word argument cut down to size, below:
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bubble 2.0
Are we in a bubble? Far too late to be asking that question, says Chris Nolan, a former Valley newspaper gossip who now runs a startup, Spot-On. She
weighs in on the current market crisis and its effects on the tech business. Her thesis: New regulations will on investment banks will bring an end to the tech-stock bubbles on which Valley VCs have feasted. (I asked if this meant she was back in the tech-gossip game; Nolan's column served as one of this website's inspirations. "I'm writing about business and politics," she demurred.) Nolan compares sketchy mortgages approved by banks to the wafer-thin startups taken public by stockbrokers a decade ago. A brief version of her 887-word argument, followed by my take on where Nolan goes wrong:
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ashkan karbasfrooshan
Mojo Supreme President Ashkan Karbasfrooshan took pity on the rest of us yesterday and explained "
Why Most VC-Backed, Ad-Supported Companies Are Doomed to Fail." "Because they are not Ashkan," is the 5-word version, but here's another 100, if you want more glorious detail. (Note to readers: Most startups fail because most startups fail. Nine out of ten VC-backed companies end ingloriously, industry lore has it; Sand Hill Road makes its money on the big hits.)
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100-word version
VC blogger Fred Wilson isn't pleased with his firm's position on VC ratings site TheFunded.com. Specifically, Wilson doesn't think Union Square Ventures should be ranked so high. "I am flattered by it to some degree," Wilson
writes on his blog. "But it bothers me." Here's 100-word version of how Wilson would fix TheFunded.
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