I think a healthy industry eco system requires life long investing from insiders. People starting and creating the business. The people shaping the landscape are the insiders creating and investing in ideas they believe in. This model was the way that was done in the past so why can't it be done again. Especially when the alternatives don't look that good or aren't available like they were.

I interpret the article saying if you don't have a profitable business then you don't have a business. Work on getting real sustainable profits together then apply this model.