10 Steps to a Hugely Successful Web 2.0 Company

Some good points from New York based VC. The most interesting thing is the recognition of the fundamental differences between a Web 1.0 and 2.0 company. The most important facts:

• Hardware is cheap. Bandwidth is cheap. The price of a good one-server datacenter with 1TB traffic starts at $69/month.
• Software platform is so high that you can build pretty much anything relatively easily with a handful of people. This comes from the fact that so many tools are either open-source (so that you can use and improve) or open API (so that you can just call instead of build (examples: Feedburner for feed management, Technorati for feed search and ranking, etc.)).
• Communities can form quickly.
  

Joe Krause has many other good points on the same subject. This is a very exciting time again.