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Rut-Roh-Scooby-Doo in Chart Form: Start-Ups Start Stopping

February 12, 2009 at 7:00 am PT

Here’s a chart from a not-entirely-unexpected story in The Wall Street Journal today chronicling how the “deepening recession is speeding up the shakeout in Silicon Valley, forcing droves of start-ups to shut down or sell themselves at fire-sale prices.”

You knew that was coming, didn’t you?

No really well-known Web 2.0 shooting stars are in the piece, although it really feels like a long time from when BoomTown penned a piece in September titled “Dear Web 2.0: It’s Still the Economy, Stupid!”

It still is, and here is a not-so-lovely pair of charts to show you why:

Tagged with: BoomTown, chart, digital, economy, Internet, Kara Swisher, Rut-Roh, Scooby Do, Silicon Valley, Start-up, The Wall Street Journal, Web 2.0

comments so far. Add yours.

Sam Harrison

companies that build solutions to problems are the winners in any economy
http://blog.mailermailer.com Raj Khera

If you only look at start-ups as being those companies who require third-party funding (venture or bank), then things are indeed slowing down very quickly.

However, people are definitely still looking to start businesses. One of our web sites is a popular small business portal, morebusiness.com. We have noticed our traffic increasing dramatically in the last two months, particularly for pages with start-up information. From what we can see, lots of people are looking to start a new business in this economy (perhaps due to a job loss).