Are we heading for a Dot.com bubble?

We definitely have a technology boom, triggered by the lower cost of entry for budding entrepreneurs, but some would suggest that must mean we are heading for a bubble that will burst.  Chris Anderson has written an insightful piece in the latest Wired which suggests otherwise.  He says:

"Companies are once again minting millionaires, but venture capitalists are investing less than a fifth of what they were at the 2000 peak. About 50 technology companies went public last year, but more than 300 went public in 1999."

And at the end of the piece:

"So there you have the recipe for a healthy boom, not a fragile bubble: a more receptive marketplace, lower costs, and lighter pressure from investors. Today, the typical exit strategy is to sell your startup to Yahoo! for a few million, not to maneuver for a rowdy IPO and an appearance on CNBC. Highway 101 is jammed with Prius-driving engineers, not biz-dev guys in Beemers. And most New York cab drivers are happily ignorant of what's hot in the Valley, just as they should be."

Please go and read the full article, and relax about the characteristics of the current technology market growth.

Technorati Tags : business2.0, web2.0, dot.com, SaaS, entrepreneur, VC

Powered By Qumana