Tech layoffs are creating a new era of scrappy (and humbled) founders

Startups

The onramps into Silicon Valley often include access: to a smart mentor, a well-connected venture capitalist, or even a rocket ship of a startup.

But an emerging class of founders is reminding the ecosystem how collapse can be an activator, as well. Laid-off talent is flocking to build startups within all sectors, from climate to crypto to the creator economy. And they’re hoping to course-correct where their alma maters — both Big Tech companies and small upstarts alike — went wrong.

New data from Day One Ventures, a venture firm backing seed-stage founders, shows how the seedlings are starting to bloom. Founder and GP Masha Bucher, who left her former life in Russia as a politician and TV reporter to become a venture capitalist, spun up a program to help potential founders in the wake of Stripe and Twitter’s recent layoffs.

She said she’s confident that at least 0.1% to 1% of the thousands of tech employees who were laid off this year could become incredible founders.

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