YouTube disallowing adblockers, Reddit charging for API usage, Twitter blocking non-registered users. These events happen almost at the same time. Is this one of the effects of the tech bubble burst?

  • Rinox@feddit.it
    1·
    3 years ago

    I think it’s a consequence of higher interest rates drying up VC money, meaning that tech companies now have to actually be profitable, rather than just grow.

    If the plan was grow now, profit later, then later has come

    • InverseParallax@lemmy.world
      1·
      3 years ago

      Nailed it, investors are demanding profit increases, it’s not just interest rates (though they’re the main reason) but also the corporate tax cuts in 2018 basically dumped a ton of profit onto corporations because they repatriated all their offshore cash they’d been hoarding.

      That bump lasted 2 years, but the expectation of higher revenue is still there, it doesn’t matter if you got lucky at slots last month, if you make your normal salary this month investors will be absolutely pissed.