Dot Com Bubble 2.0

[Phlip]

Rubies:

While I join the crowds bubbling with enthusiasm over RoR, AJAX, and our new
version of the Web economy (uh, Web 2.0 to some)...

....I think we might pause to consider how these easy technologies and
low-bid venture capital just might be setting us up for another, smaller
bubble, followed by another, smaller correction.

There. It's over; I stopped considering it. Back to the party!

 

[Francis Cianfrocca]

Rubies:

While I join the crowds bubbling with enthusiasm over RoR, AJAX, and our new
version of the Web economy (uh, Web 2.0 to some)...

...I think we might pause to consider how these easy technologies and
low-bid venture capital just might be setting us up for another, smaller
bubble, followed by another, smaller correction.

You're not going to see real serious money coming into this until the
IPO window opens back up. If it ever does.

 

[Joseph]

Philip,

This bubble is a different creature.

The first bubble had plenty of VC money, and companies had it easy, no
profit, no problem! No business model, who cares!

Most web2 companies have some type of reasonable business model... they
are actually delivering useful products, and some of them have been
profitable from the start, or close to the start! Compare that with
the Web1 Bubble where literally hundreds of companies had NOTHING to
offer, even less a profit!

So yes, there is a bubble, but a different bubble, I would say this one
will have a very small correction, if any at all, mostly because of
competition and over-saturation of some markets like social software
and tag-land. Web2 companies seem to finally have a clue, that a
business is supposed to deliver a service, pay salaries, make sales,
and yes... make a profit too : )


My 2 cents.

Jose L. Hurtado
Web Developer
Toronto, Canada