That's quite an interesting view. To be honest I loved 37Signals approach to web apps and how they initially shunned outside funding to build their business. Granted that they started out as a consulting company? then morphed into a product company(which is an ideal route if you don't take oustide funding) But these days I'm finding it hard to use Basecamp(although they claim they produce easy to use software) I hope that they don't lose their initial focus. Their business model is sound so is their choice of niche market. Hope they don't stray away from that successful formula.