Maybe it's just me spending too much time here on "Startup News", but I think the author has a fair point. There are a million startups with no real chance of profitability in the near future (few years) or without really reworking their idea once they gain traction that seem to be gaining huge amounts of investment capital.

If VCs pour tons of money into startups that fail (one form of "exit"), the bubble will burst. VCs don't like losing money, and if they see their money going down the drain, they will pull out. We might not see a complete withdrawl that causes an Internet collapse like in 2000, but at the very least VCs will demand short term profitability realization, and that will put the kibosh on a great number of MVPs and "like X but with Y" ideas.

Speculative, yes, but speculation is what the market is all about.