Wired magazine did a brief article recently on the Garage Economy, when the economy is in turmoil, the time is ripe for innovation. Conditions do seem ideal for opertunistic entrepreneurs. In slowdowns such as what we’re experiencing, many companies often concentrate on in-house cost cutting instead of exploring new markets, which can explode with the next turn of the business cycle.
The article went on to reference Tom Siebel, who launched Siebel Systems back in July of 1993, in a similar down economic market and his product was new and untested. In other words, the timing couldn’t have been better. After having sold Siebel Systems to Oracle in 2005, he’s been rumored to be working on “personal projects” and recently has been starting to collect resumes and locating space in Silicon Valley for a new startup.
Is now the time to launch your next big idea? There has certainly been a lack of IPOs of late, now might just be a great time to round up some inexpensive, underworked software engineers and pull off some all night coding parties to get your version 1 product ready for a market up tick. Who knows, if you’re able to secure a niche or exploit a void in the marketplace, you’re little idea could fall upon very welcome investors in the next couple years – heck, all it takes is one great idea, some momentum and before you know it consumer confidence is growing and we’re on to the next bear market! Take this downtun as an opportunity, the cycle only occurs every so often.. in the words of Tom Siebel “the timing couldn’t be better.”