Newchip, a startup accelerator, promised introductions to investors and other resources, but instead filed for bankruptcy, leaving over a thousand startups in jeopardy. The warrants Newchip held in these startups are now being auctioned off by the bankruptcy court. Some founders have lost their companies as a result, since now their cap tables have unknown investors.

Hacker News commenters detail various reasons why their startups failed. Some were too ambitious with their MVPs, while others tried to compete on price in a market that wasn't as price-sensitive as expected. Other people built something that people didn't want, while others hired people too early.

Purely Internet-based startups are approaching a saturation point. A new breed of startups that are willing to take on a lot more tech risk are starting to supplant the currently dominant species. The new startup era coming up will be heavier on technology and have longer incubation periods and likely higher capital intensity to fund ultra-specialized research that won't be easily commoditized. Investors will need to be more comfortable with tech slides and do more scientific due diligence.