There are a lot of VC backed companies that are likely very upside down. You know the types with tons of money raised with very little revenue and little to no

There are a lot of VC backed companies that are likely very upside down. You know the types with tons of money raised with very little revenue and little to no profit and an unclear vision on how the entity becomes a real business with a solid profit steam that justifies its valuation. The old model of “it doesn’t matter because we’ll always be able to offload this thing to others and cash out” is dead now. What we’re seeing unfolding now in the market isn’t a bubble per say but it is the market asserting that revenue matters. Profit matters. Real business plans based on reality matter. Ultimately that’s a very good thing for the innovation industry but things are going to get real ugly for these upside down companies.