Tech veteran Tim O’Reilly criticizes “blitzscaling”

I wanted to share a link to this fantastic article written by veteran technology entrepreneur and thinker Tim O’Reilly on Quartz called “Blitzscaling: The fundamental problem with Silicon Valley’s favorite growth strategy.”

The piece insightfully reviews and critiques LinkedIn founder Reid Hoffman’s new book of the same name. More than that, it takes the reader on a fascinating journey through the history of technology entrepreneurship and investing, going back to Microsoft in the 1980s. O’Reilly convincingly argues that the winner-take-all approach to technology investing is neither the only model nor necessarily a sustainable one, from the perspective both of a particular business and of our society as a whole.

Whether you are an entrepreneur, an investor, or simply a citizen who is interested in understanding the growth of technology companies that profoundly shape our world, I advise you to spend some time reading and thinking about this article.

In my next post, I will describe the alternative to blitzscaling that O’Reilly lays out – “sustainable scaling” – and explore the alternative forms of financing that sustainable models require.

Update 11/19/19: Wired magazine columnist criticizes Softbank’s chief Masayoshi Son as “blitzscaling’s enabler-in-chief” in light of the WeWork collapse.

Categorised as: Entrepreneurship, Startup Stuff

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