202225 Nov

Techs reality check: How the industry lost $7.4 trillion in one year

Summary

Hiring and investing as if wed forever be convening happy hours on video, working out in our living room and avoiding airplanes, malls and indoor dining was — as it turns out — a bad bet. "It is a poorly kept secret in Silicon Valley that companies ranging from Google to Meta to Twitter to Uber could achieve similar levels of revenue with far fewer people," Brad Gerstner, a tech investor at Altimeter Capital, wrote last month. Companies such as Affirm , Afterpay (acquired by Block , formerly Square) and Swedens Klarna took advantage of low interest rates and pandemic-fueled discretionary incomes to put high-end purchases, such as Peloton exercise bikes, within reach of nearly every consumer. And corporate governance is back on the docket after this months sudden collapse of cryptocurrency exchange FTX, which managed to grow to a $32 billion valuation with no board of directors or finance chief. Intel , Micron and Taiwan Semiconductor Manufacturing Company have already announced expansions in the U.S. Additionally, Golden anticipates growth in health care, clean water and energy, and broadband in 2023.

Source: Cnbc

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