• zaphod@lemmy.ca
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    11 months ago

    This is essentially admitting that the cheap money dried up as interest rates returned to normal and now they’re in trouble.

    This is basically the story of the last year in tech and while the fed has indicated rates aren’t going to rise further and may start to decline in 2024, we’re unlikely to return to the ultra low rate environment that’s existed for the past 15 years.

    I fully expect we’ll hear a lot more stories like this as Silicon Valley companies are forced to actually operate as profitable businesses.

    • jarfil@beehaw.org
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      11 months ago

      This. People quickly forget about this:

      2008’s free money is gone, COVID-19 free money reprieve is gone, now it’s time to show your work or go bust.