Could the tech layoffs spark a surge in tech entrepreneurship? A sort of upside to the downturn? The answer is muddled.
Could this spark a surge in tech entrepreneurship? A sort of upside to the downturn? The answer is muddled.There are plenty of would-be founders now on the proverbial street. If you've always had the itch to launch a company, perhaps because your ex-employer was making an obvious mistake, what better time than when you're already unemployed?
Particularly if you get to cash severance checks for the next few months, and know of potential co-founders in the exact same position?Today's job market is much tighter than what we saw after past market messes like the dotcom bust or Great Financial Crisis. Even if tech is shedding headcount, there are plenty of non-tech companies that will salivate over the prospect of hiring former Google or Facebook engineers.
There also can be a flip side to relative financial security, in terms of the drive to start something new. And perhaps negative perceptions from venture capitalists, since being part of a 10% layoff is viewed differently than being unemployed because the entire company went under.They are a major variable.
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