For what it's worth, I work with a number of design agencies and partners right 
now (large and small) in the US and around the world. I've yet to see a sign of 
slowdown in the current pace of work or the pipeline that many partners have. I 
think many design and technology firms are not as vulnerable as they were the 
last time around due to more thoughtful staffing and management of growth. We 
also need to remember that the fixed costs of running a business are much more 
flexible now then they even were 8 years ago.

If I were running a studio right now though and I realized I had extra cycles 
I'd consider started a lab or that tries to productize some of my services or 
ideas into some type of annuity. Think 37 Signals or firms like Thirteen23.com 
and Cynergy Systems that have built labs for their ideas. Or even Adaptive 
Path, which has done a brilliant job of monetizing their intellectual capital.

Chris Bernard
Microsoft
User Experience Evangelist
[EMAIL PROTECTED]
630.530.4208 Office
312.925.4095 Mobile



Blog: www.designthinkingdigest.com
Design: www.microsoft.com/design
Tools: www.microsoft.com/expression
Community: http://www.visitmix.com

"The future is already here. It's just not evenly distributed." William Gibson


-----Original Message-----
From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Ari Feldman
Sent: Tuesday, March 25, 2008 12:33 PM
To: Tim Lynch
Cc: [EMAIL PROTECTED]
Subject: Re: [IxDA Discuss] can you please discuss the effect of the US 
recession

staffing in tech in general was going great in 2000 too and many of us know
what happened there.

the credit issue is a big problem. it means startups will have problems
finding funding to keep operating and existing businesses will have harder
times finding the money they need to expand their businesses. credit fuels
the economy. things are now getting aggravated by the prospect of inflation
as the fed is now printing money like water.

while i don't see signs of hyper-inflation ala Wiemar Republic Germany c.
1930, it's not looking pretty.

what's more, many internet businesses are directly involved in or heavily
reliant on advertising and related services for revenue. ad spending tends
to dry up in slower economic times, which ultimately leads to fewer projects
or cut backs altogether.

i've been through 2001 and 2002 - very lean years. there are quite a few
differences in the marketplace between now and then (a lot of the chaff is
now gone) but i fear that the stench of those days is starting to waft
again.


On Tue, Mar 25, 2008 at 11:17 AM, Tim Lynch <[EMAIL PROTECTED]> wrote:

> On Tue, Mar 25, 2008 at 11:04 AM, Raminder Oberoi <[EMAIL PROTECTED]>
> wrote:
>
> > Report: Despite Economy, Web Will Grow in '08
> >
> >
> http://www.mediaweek.com/mw/news/recent_display.jsp?vnu_content_id=1003727162
>
>
> I can't speak directly to the impact the current economic "situation" is
> having on the contractors, but in the Boston area reports are that the
> general IT industry is doing ok (in terms of jobs and hiring):
>
> What Recession? Region's IT Economy is Booming (3/13/08)
>
> http://www.xconomy.com/2008/03/13/what-recession-regions-it-economy-is-booming/
>
> Talent Wars: How Boston-Area IT Companies Are Dealing With A Severe
> Staffing
> Crunch (12/5/07)
>
> http://www.xconomy.com/2007/12/05/talent-wars-how-boston-area-it-companies-are-dealing-with-a-severe-staffing-crunch/
>
> - Tim
>
> --
> http://www.clampants.com
> http://clampants.tumblr.com/
> http://www.flickr.com/photos/clampants/
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