Tech industry experts fear worst is yet to come for Silicon Valley Startups, as many startups are facing a tough market downturn, with plummeting venture capital investment and an increasing number of down rounds due to a lack of investor cash.
Many high-profile companies, including Stripe, Klarna, and Snyk, have already taken valuation cuts.
More startups are expected to run out of money, with down rounds projected to increase in the second half of this year.
Investors are becoming more skeptical and driving harder bargains for every startup, even in the buzzy space of artificial intelligence.