How did tech entrepreneurship become mainstream in the last 10 years? What led to explosive growth of tech startups? Was it the abundance of VC money or was it the spirit of Entrepreneurship? I tried answering this on Quora.
The last 10 years of startups worldwide is influenced by a) the expanding reach of the internet through mobile devices b) tech advancements.
The internet now has reached to almost every corner of the world making it easier to scale a business that’s built on the internet. This started to happen in the late 90s but wasn’t very successful back then. A lot of VCs lost their money in what was called dot-com bubble. Most of this happened due to the ‘growth over profitability’ mentality. Things didn’t work that well back then because of limited reach and access internet. But things changed in a few years,
- Mobile internet became mainstream
- The phone became a multi-gadget with camera, music, GPS etc
- The survivors of the dot-com bubble and post-bubble companies became platforms or enablers for the new age startups – Amazon, Facebook, Google etc.
- Faster, flexible networks around the world – 2g to 3g to 4g all around the world
- The middle class or the mass consumers got comfortable with the internet
- Business policies got liberal and global expansion became easier
- Banks evolved, payment gateways came in – making it easier for people to actually perform transactions online
- The world started discovering new stuff – like APIs, tools built by internet companies, growth hacks etc
- We also advanced in hardware, education and business policies
- Venture capital started flowing and Unicorns were born making it a dream for lots of tech folks to be a unicorn entrepreneur.
Then the world thought, let’s do it. Let’s build a Unicorn. And in a way, what we call the 4th industrial revolution or the digital revolution began and started spreading around the world.