Startups jump the shark (and get their own TV show!)

Internet Boom v2.0 might be coming to a close, as consumer- and entertainment-focused startups complain about VC funding drying up. And now there's that TV show. Heaven help us all, that show.

BravoTV Screenshot by Chris Matyszczyk/CNET

In April, Facebook said it would buy the young but fast-growing, photo-sharing service Instagram for a jaw-dropping $1 billion. By early December, consumer and entertainment startups were complaining they were having a hard time finding early-stage funding. So what happened? It would be easy to blame Bravo's nausea-inducing reality TV show for the reversal of startup fortunes, but the reality is something a little less Hollywood: Lack of good ideas, economic fears, and poor returns from many of the startups that have already been funded.

In other words, an investment cycle obsessively focused on consumer-tech startups may have finally run its course. But that doesn't mean startups are suddenly passe. The venture capital community is doubling down on its investments in less-glittery companies trying to solve the problems of big data, cloud computing, and open-source software. Just don't expect Bravo to delve into the details of open-source efforts like Hadoop and Drupal.

Go back to the CNET 100

Featured Video
6
This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?
Sorry, you are not old enough to view this content.

Jaguar F-type S Coupe is beautiful and impractical

With stunning lines and sharp handling, the F-type S Coupe is an excellent sports car, and as impractical as a true sports car should be.

by Wayne Cunningham