Looking at creating a startup company?

An article about What VCs Are Investing In has two interesting couple paragraphs:

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Enthusiasm for Web startups has, however, clearly changed since the height of the Web 2.0 boom. This is due partly to tighter economic constraints, but also to plummeting costs of starting Web businesses as cloud-computing infrastructure has spread. Since less capital is required to start a company, there is less need to turn to outside investors.
"I think most [Web] startup companies should not take venture-capital money," said Jeff Fagnan, a partner at Atlas Venture, during a panel discussion. He cited, in particular, companies building lightweight Web applications or software for portable devices like the iPhone. In some cases, Fagnan said, venture capital may damage a startup by creating conditions that push the company to aim too high from the outset.
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I wonder if Venture Capitalists will have less impact as more people realize that Paul Graham is right, Moore's Law means startups are much cheaper.

If you, or your children, are looking at creating a technology company, now may be a good time.


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