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CNET News Video: SXSW: A boon or bust for startups?
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CNET News Video: SXSW: A boon or bust for startups?

2:09 /

The South-by-Southwest Festival has become a mecca for startups. But is this famed-Texas hotspot more hype than substance? Our CNET experts give you the inside take.

South by Southwest is hoping to attract and even bigger slice of the red hot start up scene. Ever since Twitter broke out in 2007, the 20 year old festival of music film and interactive media has been as proving ground for (flagelling?) business. Since then the party, the pitches and the products have come fast and furious , but some experts wonder just how valuable the South by Southwest Experience really is. For the most part, I think, a lot of these companies come there expecting to kinda break out and they really don't because they get lost in, you know, a midst the noise, of you know, hundred of other companies, but then there are the parties. You have to schmoozed , that's what you have to do. If you need customers, you need partners, if you need to meet engineers or you need to raise money, you have to be there. I mean, you just... why would you avoid the possibility that its some drunken night at three in the morning, you will... you know, you might just run into that person that will cut you the check that's so important or introduce you to the partnership that you need. Cashing in on networking opportunities isn't an easy formula in most trade shows. Even big ones like CES , the problem with being a start up at CES is not one cares about you. You're just in the shadow of these big companies making big product announcements of shiny new TV's and home audio systems and really large well financed, you know, splashy project. As for South by Southwest, its still the hottest ticket in town. This year, it will launch start up village. A one stop shop for entrepreneurs offering pitch sessions and networking events. CNET 6 years, South by Southwest veteran speculates if the festivals best years could be behind it. That were if its seen kind of like gone, you know, jump the tracker or gone pass the point of no return and just keeps getting bigger and bigger and I think that, you know, its, you know, I always ask the question, do these companies know why they are going and apparently they get some return because, you know, it just keeps getting bigger each year. For CNET news, I'm Sumi Das.

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