This kind of growth cannot be predicted, nor can it be maintained forever, said Raj Shah, analyst at digital transformation consultancy“Revenues are down, costs are up, and tech companies are going to do what every other company in this situation would do – cut costs through freezing hiring, get rid of costs like unused real estate, push for higher productivity and re-examine investments,” he said.Pandemic recovery is not the only component slowing tech companies’ runaway growth, experts say.
“There’s an overwhelming sense of fear and concern a lot of decision makers have around all things economic right now,” he said. “The war certainly catalyzed a lot of it, but inflation and supply chain issues were already a problem.” “A major concern is that many retail traders have invested in bitcoin and cryptos in an effort to receive higher returns in a low interest rate environment,” he said. “Now, as price pressures mount and the cost of living continues to soar, fears [have raised] that a systemic shock may occur if large institutions continue to withdraw funds from their crypto portfolios.”