Big Tech Dominance Makes Creating New Consumer Web Unicorns Difficult
Brad Burnham · 20VC: USV's Brad Burnham on Co-Founding USV with Fred Wilson, What They Look For In Potential Partners & Whether We Are Entering a Period of Consolidation or Expansion · Jul 13, 2016 · at 14:04
Brad Burnham, co-founder of Union Square Ventures, discusses how consolidation around tech incumbents limits growth potential for new consumer startup unicorns.
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“We're now in a world where, you know, we're seeing really dominant market power, Google, Apple, Facebook, Amazon, you know, creating a new set of unicorns in the face of that market power is going to be very difficult, certainly in the consumer-facing web services space, and so I think the ability to continue to finance these in the private capital markets based on the assumption that they will get to those valuations that we saw in the sort of 2006, seven, eight time frame is going to be difficult.”
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