Mobile app startups are failing like it’s 1999

How things work today:

  • Raise funding with an idea and impressive founders
  • Spend 6 months building up a product
  • Submit to the app store and launch with much PR fanfare
  • Fail to hit product/market fit
  • Relaunch with version 2.0, 6 months later
  • Add Facebook Open Graph
  • Try buying installs with Tapjoy, FreeAppADay, etc.
  • Repeat until you run out of money

Don’t burn 1/2 of your funding to get to a v1!

An interesting post on mobile app startups.


  • In India, the scenario is a bit different. VCs are putting in money NOT because there are great products being built – but because of FOMO (fear of missing out).

    More than 50% of app startups could have scaled better if they had a web presence. But then…that won’t justify the valuations. By blocking channels, the startups are increasing their cost. Right now, it’s a party – but let’s see.

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