Web 2.0 On The Ropes? Dan Farber and Caroline McCarthy

By Tom Foremski - April 30, 2008

Here is an interesting interview over on ZDNet.

Is the Web 2.0 economy in limbo? | Videos on ZDNet

CNET News.com Editor-in-Chief Dan Farber interviews reporter Caroline McCarthy about Web 2.0 bubble mania versus Web 1.0 dotcom mania.

It would have been better for Caroline to interview Dan, since Caroline was too young for the dotcom dotbomb, while Dan lived through it all, and more . . . :-)


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By Tom Foremski - April 30, 2008 | Permalink | Category: Web 2.0
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Comments (2)

There seems to be some confusion here. A tech bubble would be one of inflated pricing, while it appears that the bubble has already been discounted over the past several months. In addition, unlike the 1999, the valuation of startups then was held by the stock markets, but these days it is based on angel / vc / company acquisitions. In addition, there are no problems with access to capital (as was the case in the past bubble, since these large pools of vc money were still available). There are so many differences here, it appears that the only thing that seems similar is that there are a lot of startup energy and pre-profitability valuations. I agree that the long-term (and short-term) advertising revenue model is the key to this, since the "get eyeballs and the money will come" is still prevalent.


Tom Foremski:

Jeff: It seems that the bubble-to-bubble comparison is currently in terms of the parties :-)
The parties today are still not on the scale of the dotcom dotbomb days, imho.


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