This is just an advert. Can we please stop supporting all of these "XYZ is Dead" articles with no real solutions provided and an obvious unlying financial agenda.
This is quite confusing. "A brief summary, the hacker created a proxy on the credential page to log the credentials of Facebook employees. These logged passwords were stored under web directory for the hacker to use WGET every once in a while".
So they were grabbing creds, but it's ok it was just a researcher? Pretty sure that's crossing the line and indicative of an actual compromise of employee credentials.
Found the problem! "It is going to be hard (or impossible) for many of today’s startups to raise funds." You don't need to take on millions in debt to start a company.