Many tech companies have been insulated as they were funded (therefore not relying on revenue for survival).
There will be no new funds for many of these companies - so they need revenue - and they have to achieve revenue in a contracting economy.
I had hoped we'd see an uptick in activity in H2 2009, but I fear it's going to 2010 or 2011 before we start to see real recovery - the history of the 1930s indicates it may be even later than that. Many economists are saying comparisons with 1930s are wrong, which could be true, but in the 1930s the economies outside the US were unaffected and exports to those economies dragged the US out of depression - this time it's global.
It's possible we will see some fake recoveries, some may last a year or so, but the problems this time are so vast it's going to take many years to heal.
These massive spending measures that are being put in place all have consequences and we've got to deal with those before we get back to stable growth.
Some companies, for instance those doing business apps that save money, will be counter cyclical and may do well. For the rest it's going to be hard times.
"...and exports to those economies dragged the US out of depression"
If by "exports" you mean all the bullets and bombs and tanks and so forth that the US sent out to blow up everybody else's stuff, then I agree with this statement. You also need to include all the stuff that was then sent over to rebuild that blown up stuff to account for why the depression didn't continue after the war was over.
On the other hand, I heartily agree with your statement that today's problems are vast and that it may take years to heal. It's going to be painful to reduce production now that people will not be able to continue to borrow to fund lifestyles that are beyond their means. It will be even more painful when everybody figures out that the government can't do the same.
Many tech companies have been insulated as they were funded (therefore not relying on revenue for survival).
There will be no new funds for many of these companies - so they need revenue - and they have to achieve revenue in a contracting economy.
I had hoped we'd see an uptick in activity in H2 2009, but I fear it's going to 2010 or 2011 before we start to see real recovery - the history of the 1930s indicates it may be even later than that. Many economists are saying comparisons with 1930s are wrong, which could be true, but in the 1930s the economies outside the US were unaffected and exports to those economies dragged the US out of depression - this time it's global.
It's possible we will see some fake recoveries, some may last a year or so, but the problems this time are so vast it's going to take many years to heal.
These massive spending measures that are being put in place all have consequences and we've got to deal with those before we get back to stable growth.
Some companies, for instance those doing business apps that save money, will be counter cyclical and may do well. For the rest it's going to be hard times.