If this is the same Andrew Hyde, then Andrew is actually a pretty respected dude having worked for Techstars, starting startup weekend, Ignite, TedX boulder etc... I think he even worked on a startup that focused on linking people to design companies.
I think in a way though you have hit on a great point that while Spec Work haters may have some good points (Less thought, analytics, design principles go into the designs you get from things like 99designs) however, I think a lot of it is just fear.. "These people are willing to make a logo or book cover that I would normally charge $2000 for, for $350).
I think there is room for both parties and find it funny that someone so focused on innovation would be worried about the innovation in the design area. The people willing to pay $350 for a logo probably aren't the type of customers a design firm would want.
Same situation exists in tech shops today, I feel. In my mind, outsourcing jobs to india and other places is the equiv. of contests on 99designs. you have many options, if you take the time you might find good quality, but it will never be as good as having an in house team with direct communications.
some companies have people in india, and others don't.
I think in a way though you have hit on a great point that while Spec Work haters may have some good points (Less thought, analytics, design principles go into the designs you get from things like 99designs) however, I think a lot of it is just fear.. "These people are willing to make a logo or book cover that I would normally charge $2000 for, for $350).
I think there is room for both parties and find it funny that someone so focused on innovation would be worried about the innovation in the design area. The people willing to pay $350 for a logo probably aren't the type of customers a design firm would want.