Startup Boom Goes Bust as Investments Plunge, IPOs Vanish, and Flawed Business Models Crumble
• Startup companies are failing at record rates, with 770 shutting down in 2023, up from 467 in 2022
• Venture capital investments have plummeted, falling from $348 billion in 2021 to just $171 billion in 2023
• IPO market has collapsed, making it difficult for startups to raise money or cash out investments
• Many startups were built on flawed "fake it til you make it" business models that were never sustainable
• Hot new technologies like AI chatbots (e.g. ChatGPT) are generating hype but struggling with accuracy and truthfulness