[thebokehwokeh2]

The fundamental problem with capitalism (not just in silicon valley) is that access to capital is what defines winners and losers. Of course I'm being simplistic and there will always be underdog stories, but the reason any company becomes as big as it is, is capital, plain and simple.

The immediate effect of gaining massive capital is tremendous. Outcompeting for both workers as well as getting to market sooner is an obvious benefit. The ability to lobby in government against potential roadblocks of whatever it is that you're doing is another. Just from the word itself, capitalism is rigged for those with capital.

Further down the line though, you are now beholden to this immediate level of investment, and as this article shows, this is where problems arise.

[jiveturkey]

> The fundamental problem with capitalism (not just in silicon valley) is that access to capital is what defines winners and losers.

Well yeah, it's fundamental because that's the definition! So it's not a problem. Capitalism works as designed.

[hannasanarion]

Working as designed is not the same as working as intended or working well.

[mcrad]

So there's no problem with Silicon Valley, just with "capitalism" itself? Yes, access to capital is good business. But I think they are saying that the stock market is what determines winners and losers in a properly functioning piece of the capitalist economy. IPO is supposed to get you started in the game. These blitzkrieg idiots want to declare victory before they even enter the race. Then convincing their minions that's it's "capitalism's" fault. What a joke!