I don't think you should condemn every company that raises material capital.
However, I know first hand that some companies definitely should not have raised capital, and were resting on the laurels of a previous success and a well-known name. These companies really haven't thought enough about what problem they're actually solving, and are almost arrogant about what the market really needs. "Of course the market will want this, because I'm awesome" syndrome.
In short, don't throw the baby out with the bathwater... there are plenty of companies that need that kind of capital that are doing great things. And if I had to guess, I'd bet that Scribd was one of them.
However, I know first hand that some companies definitely should not have raised capital, and were resting on the laurels of a previous success and a well-known name. These companies really haven't thought enough about what problem they're actually solving, and are almost arrogant about what the market really needs. "Of course the market will want this, because I'm awesome" syndrome.
In short, don't throw the baby out with the bathwater... there are plenty of companies that need that kind of capital that are doing great things. And if I had to guess, I'd bet that Scribd was one of them.