What's 🔥 in Enterprise IT/VC #229
Why enterprise startups are growing faster than ever out of the gate, Rest In Peace Sparky 😢
Ed Sim | Mar 20 |
What's 🔥 in Enterprise IT/VC #229Why enterprise startups are growing faster than ever out of the gate, Rest In Peace Sparky 😢
Universal laws of truth suck when it comes to investing and building startups and us VCs are guilty of those all the time. For those of you who don’t remember, in the late 90s, early 2000s during the first .com boom, the formula was simple - come up with an idea, raise lots of💰, spend it all on your data center so you could scale to millions of people before proving product market fit. This meant buying servers from Sun Microsystems who the put the dot. in dot.com, databases from Oracle, and storage from EMC. Then along came the dot.com bust and tons and tons of startups went out of business and they couldn’t pay their bills and crushed the growth of all of those companies servicing them. With that, the universal truth amongst venture investors was that you can’t build a real enterprise business selling to other startups and that you need Fortune 500 validation to raise capital. And that was the way for so long…but I truly believe the times have changed. First, AWS was launched 15 years ago and has grown to a pretty nice size first selling to other startups. Secondly, there are more well funded startups with real business models than ever before… Just because a VC says something, you don’t have to believe it. This issue is in memoriam for my bestie, Sparky 😢. Scaling Startups
Enterprise Tech
Markets
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