Over the past week, Silicon Valley companies have laid off 20,000 employees, a swift ramp-up of the job cuts and hiring freezes that have been ricocheting through the tech industry for months.
A crypto-collapse, layoffs at Facebook and carnage at Twitter are rocking the tech industry. It’s stoking memories of the dot-com crash 20 years ago.
The departures are solidifying a feeling in Silicon Valley that the bull market of the past decade — which created massive amounts of wealth for tech investors, workers and the broader economy — is decidedly over, conjuring an image of what the rest of the economy could experience if a predicted recession materializes.
“It does feel a little like 2000,” said Lise Buyer, a longtime tech analyst, executive and investor, referring to the turn-of-the-century dot-com crash. “Hire engineers, hire engineers, hire engineers, and then suddenly companies get a cold bucket of water in their face.”