Google, Amazon, and Microsoft are the landlords. Amidst the Coronavirus economic crisis, startups need a break from paying rent. They’re in a cash crunch. Revenue has stopped flowing in, capital markets like venture debt are hesitant, and startups and small-to-medium sized businessesf are at risk of either having to lay off huge numbers of employees and/or shut down.
Meanwhile, the tech giants are cash rich. Their success this decade means they’re able to weather the storm for a few months. Their customers cannot.
Cloud infrastructure costs area amongst many startups’ top expenses besides payroll. The option to pay these cloud bills later could save some from going out of business or axing huge parts of their staff. Both would hurt the tech industry, the economy, and the individuals laid off. But most worryingly for the giants, it could destroy their customer base.
The mass layoffs have already begun. Soon we’re sure to start hearing about sizable companies shutting down, upended by COVID-19. But there’s still an opportunity to stop a larger bloodbath from ensuing.
That’s why I have a proposal: cloud relief.
The platform giants should let startups and …read more
Source:: TechCrunch – Startups