Given the large amounts of money that VCs have begun to pour into the so-called Web 2.0 Startups, the question of whether we are heading for another tech bubble burst is once again on the lips of many tech analysts.
Personally, I feel that we aren't exactly back in the days of indiscriminate funding of every company whose name ends with ".com" and that tech founders aren't exactly stocking up on those Herman Miller chairs before they see their first cent in revenue. However, it still seems to me that many a startup has not found a solid revenue model and are still in the "burn zone".
Eric Chabrow seems to think that we aren't going to face another tech burst from the reasons he lists in his article - 5 Reasons We're Not in a Tech Boom. However, it does feel that the reasons listed seem based more on the financial aspects of IT businesses.
Seems like only time can tell if there will a deja vu in store.
3 comments:
I personally view this not as a bubble burst.Currently IT startups are just slightly more than half of the quantity of 1990s. And now,some players who have survived the burst has adopted the right way, e.g. approaching their customers.
Even though most start-ups didn't adopt good revenue models, they do twist some ideas into somehow unique solutions, which is different from the copycat golden rush in 1990s.
Anyway, we have another advantage nowadays because we have experience one burst, which make industry more alert and adjust their way to prevent the bubble and burst.
I realized I left a lot of grammar mistakes in the above posting.
In a rush just now, sorry :)
Currently IT startups are just slightly more than half of the quantity of 1990s.
->in term of both quantity and fundings
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