You bet your life it does.
.COM is the gold standard. It's the front door on Main Street. Everything else is an alley, a side street, or a back entrance. Can you run a business on .net, .co, or some random new gTLD? Sure. People run businesses out of basements too, but don't pretend it's the same as having the prime corner lot.
Trust isn't just about your service, it's about perception before they even know your service exists. A .COM says you're established, serious, and here to stay. A lesser extension makes people wonder if you couldn't get the .COM, if you're small‑time, or if you'll be gone next year. That's human nature, and you can't market your way out of it completely.
Now, there are exceptions. Strong ccTLDs like .de, .co.uk, .ca, .com.au, in their home markets, can carry just as much trust as .COM, sometimes more. They're local, they're familiar, and they signal you're part of the neighborhood. And then there's .AI, right now it's riding a global wave because of the AI boom. In certain niches, it's not a compromise, it's a statement. But those are the exceptions, not the rule.
Can you overcome the extension gap? Yes, with killer branding, relentless marketing, and delivering so much value people forget the extension. But that's swimming upstream. With .COM (or a trusted ccTLD in its market), the current is with you.
Bottom line: You can build on anything, but if you want instant credibility, global recognition, and the least resistance, you plant your flag in .COM, or in a ccTLD your market already trusts. Everything else is a calculated compromise, and compromises cost you, whether you see it today or five years from now.