It's mostly making real stuff, too. The US suffers from ad-based companies, especially Google and Facebook, dominating "tech". YC recognizes this; most newer YC startups are not ad-funded. But it's going to take a while to turn this around.
It's like that strange period in the 1990s when 40% of US corporate profits came from financial activities, and every big company had to have a finance subsidiary with a trading desk. That's so over.
It's like that strange period in the 1990s when 40% of US corporate profits came from financial activities, and every big company had to have a finance subsidiary with a trading desk. That's so over.
I realize that you're refering finance activities contribution to the profits of perhaps non-financial firms, but the contribution to GDP from financial services firms has been growing steadily since the 50s and shows no sign of slowing [0].
Yea, that ad bubble is one of my favorite topics right now. Part of it is that the US economy has been mostly based on debt (to generate growth) since the 1970s though, with the Japanese being first (after US manufacturing lost dominance). As a side note: https://www.zerohedge.com/sites/default/files/images/user330... Notice the period where debt was not increasing but stocks were going up. I suspect this was not a coincidence.
The examples you chose in particular are strange. Yes, they're ad-supported but they're both still "making real stuff" and both still "tech".
Isn't the turn away from ad funded user-count business models more about attention saturation and the fact that those markets have stabilized around a set of incumbent platforms by now?
It's mostly making real stuff, too. The US suffers from ad-based companies, especially Google and Facebook, dominating "tech".
This is an odd criticism. Newspaper, Cable and TV companies have always been financial giants. It would be more surprising if ad-based companies hadn't remained big players.
It's like that strange period in the 1990s when 40% of US corporate profits came from financial activities, and every big company had to have a finance subsidiary with a trading desk. That's so over.