From my years of investing across asset classes I know that everything is connected. Today we are armed with data sources that did not exist before which helps guys like me invest in a more informed way, if not better.
Yesterday, while staying at The Encore Hotel, another Steve Wynn $WYNN Masterpiece, I holed myself up at the spa and room to watch the last 4 episodes of Season one of ‘Boss’, starring Kelsey Grammer. Download it.
It’s one of the best series of TV I have ever watched. I tweeted that to find out it is cancelled. How can that be?
I woke up this morning to read a post from Fred Wilson entitled ‘What has Changed’.
Fred concludes that the wind is not longer at the back of consumer internet companies. I agree.
It does not mean the end of the world for entrepreneurs or angel investors in the space (I play both).
With Facebook down 50 percent, Apple recovering from a 30 percent drop and conglomerate banks still a messy pile of carnival like ‘Price that Balance Sheet’…it makes sense that the world of investing has changed once again.
As Fred mentions:
So things have changed. As they always do in tech. Those who adapt to the changing dynamics, who see the openings that were not there before and slice through them, will succeed. But the wind that has been at our back for 7-8 years in consumer internet is no longer there. It’s tougher sledding and will likely continue so for some time to come.
The climate has changed, the landcape has changed, the mood has changed, the prices have changed.
If you are an entrepreneur, Fred’s blog post should not be news right now. If you are an entrepreneur starting out today, you better be factoring in all the headwinds.
In fact, I am more concerned about the angel investors and venture capitalists than I am the entrepreneurs in reading all these tea leaves, but as an entreprenuer it is your job to factor in their blindness or lack of expertise.
You are not alone…a great product and brilliant use of the tools of the new social trade are still not enough in November 2012 to guarantee success.