So says Sevin Rosen, which VentureBeat discovers will return the money it raised to investors. Is this a sign? From the story:
…in a letter sent to its investors Friday, a copy of which was obtained by VentureBeat, the firm made a surprising about-face. It told the investors it had decided there is “too much money,” “too many deals funded in almost every conceivable space,” and a “terribly weak exit environment.” Moreover, it sees no changes in the foreseeable future.
The story was broken by the Times (covered here by Stowe) and used as a peg to wonder aloud: is VC model working anymore?
That’s obvious. Look, even YouTube is not doing an IPO. The “big” internet has been pretty much divided now, in web 2.0 the fight is for the niches. Some greedy founders like Mena from Six Apart or people with illusion of grandeur like Evan from Odeo took a bunch of VC money. I think they were wrong. The right strategy now is that of Flikr, Userplane, Weblogs.com.
Pretty soon google will own everything. Well almost everything.
Pretty soon google will own everything. Well almost everything.
Only one thing is certain in cyberspace as in life
Star … Supernova … Black Hole