Apr. 1, 2011 at 8:23pm with 11 notes
“
I think it’s a good thing that the speculation on large private tech companies is happening in secondary markets where the risks are being taken by institutions or wealthy individuals. This is in stark contrast to the dot-com bubble of the 90s where many of the people holding the bag when bubble popped were non-rich people who bought stocks through public markets. Obviously this could change if we have a bunch of tech IPOs.
—

cdixon.org – chris dixon’s blog / A few points about the “tech bubble” debate

Agree on this point. It’s a completely different scenario than last time for a variety of reasons, but there’d be more pressure to IPO (and more risk to civilians) without the secondary markets.

I have no evidence to cite for my theory that those same secondary markets are driving up funding levels, which as @tedr has pointed out repeatedly, creates a resourcing clusterfuck for both existing and emerging players in the startup economy.

  1. rickwebb reblogged this from secondverse
  2. secondverse posted this