December 21st, 2012. The end is near. Just kidding ;)
I remember hanging out with Jon Teo, a general partner at General Catalyst Partners, a few months back and he was telling me that NY tech won’t be a true competitor to SF tech until consolidation of top talent moves to a few thriving startups. Once this happens, those companies will be big winners, the employees will gain more experience, make some money, and go out and create more awesome companies (with their newfound experience/success).
I personally think we are going to see some major consolidation in the next 6 months. Teams of six or lower that have raised in the million range are going to be acqui-hired in increasing rates. These will be small wins for the angel investors (one friend called it “sticker wins/exits”) and a reprieve for the team that was most likely going to go under (Michael Hershfield is doing these at Sailthru, already two this year).
This is good. There are too many features being built and not enough companies. I welcome the impending end. Or is it just the beginning?