[stevefarnworth]

Yes, the story may be written in a slightly sensationalistic way to go along with current sentiment, but that's how most news, from all verticals and from most news sources from TV, newspaper and radio all the way to one person blogs, is presented in modern times.

The fact is that this is an incredibly pertinent tale for startups, especially those launched by these high-profile programmes where the spotlight will be on from day one, and the lessons it brings, along with the negative publicity is extremely important.

Sure, you can bury the story and say that it's the fault of the community (that YC has fostered itself, organically) for taking an interest in a story, that whilst presented as fluff, contains (as far as we can tell from the comments made by all parties) very solid facts that compound those in a current thread of news, but hey, it'll blow over soon.