Fred Wilson: Time to stop spending money
Venture capitalist and blogger Fred Wilson reports that "there is no IPO market right now for venture backed companies to speak of. M&A buyers are wary and while deals are getting done, a lot of deals are blowing up too." Deepak Kamra, a partner at Canaan Partners, suggests the freeze means "Companies that are built on having lots of users but no real revenues won't last." Wilson disagrees.
In my mind, the single most important thing is not revenue in a time like this. The most important thing is cost structure. Thomas Cole says "smart companies are battening down the hatches". That's right.