Following up from my last post about bubbles, this time from people who know what they're talking about - VCs (hah) - are joining in the discussion.
Check out the Wall Street Journal's discussion between VCs.
Here's a quote from Todd Dagres about why he thinks we are indeed in a bubble.
There are some great arguments for and against. In the end though, as I said previously. If you have a business plan and are solving a real pain then you can worry... less.
Check out the Wall Street Journal's discussion between VCs.
Here's a quote from Todd Dagres about why he thinks we are indeed in a bubble.
Web 2.0 is a bubble for 3 reasons: 1) There is far too much money chasing Web 2.0 deals. Too much money means too many companies getting funded at higher valuations. 2) There are virtually no barriers to entry in Web 2.0 and therefore the ability to develop a unique solution and sustain a competitive advantage is virtually nil. Therefore, it's difficult for Web 2.0 companies to build long term value. 3) There is very little liquidity in the market for Web 2.0 companies.
There are some great arguments for and against. In the end though, as I said previously. If you have a business plan and are solving a real pain then you can worry... less.