In regards to incubators...
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Ive recently been contracting with a large media/design company that among other things incubates web businesses and other ideas. Besides thier own internal ideas they also bring in alot of VC backed companies that need development/design work. These are all web businesses that are essentially outsourcing thier entire product/service frontend/backend development to a third party. This seems flawed right off the bat to me because of the development loop being so large (client -> proj. manager -> my proj. manager -> me) but also it sort of makes sense that there are companies that can charge an arm & leg for work like that and people actually pay it - the clients do not understand the nature of software development and the need for a fast turn around on functionality. Anyways, just wanted to comment on this point of view.