On a macro level, a likely hypothesis for this trend is that there is nothing better to invest in than tech. But tech isn't moving fast enough (value is hard to create, not in a gold rush period), so we try to translate money into growth much more. Because otherwise that money's just sitting around!
In an ideal world that money might somehow be invested in long-term societal growth than can yield high tech growth in the future, like education, or maybe investing in individuals for some long-term return on their income. More R&D at all levels. Just random ideas. Point is, it'd be nice to see some creative thinking with investment money rather than see it pumped into companies trying to sabotage each other's ride sharing apps, or out-sell their fundamentally identical crm services, etc.
> On a macro level, a likely hypothesis for this trend is that there is nothing better to invest in than tech.
I think folks are missing a bigger part of the macro picture: It is not just tech. Low interest rates and easy monetary policy have inflated many types of assets.
In an ideal world that money might somehow be invested in long-term societal growth than can yield high tech growth in the future, like education, or maybe investing in individuals for some long-term return on their income. More R&D at all levels. Just random ideas. Point is, it'd be nice to see some creative thinking with investment money rather than see it pumped into companies trying to sabotage each other's ride sharing apps, or out-sell their fundamentally identical crm services, etc.