Will Web 2.0 trigger another Dot Com Bust?

Question

Every day a new app comes online and companies write big checks to own them...

Answer 1

No, and here's why.

First of all, before the first Dot com bubble bursted, the internet itself was an entirely new concept altogther. It was a sudden change that transformed the concept of marketing into eBusiness. It was an easy trap that lured companies who didn't have the budget to invest in it like it was the "holy grail" hoping it would return 10-fold the amount they invested. This led to irresponsible "borrowing" from other department budgets which tanked a lot of companies.

Fast-forward to the concept of "Web 2.0". Although the potential is great, it's not even in the same ballpark in terms of impact that "Web 1.0" presented. This isn't a sudden change that companies need to leap for. Instead, you will see the bigger companies move first, and smaller ones may never have to. What you see out there now will be sufficient for a long time to come.

You can compare it to the impact Windows NT had. Many small businesses hung onto it long enough for Windows 2003 Server, skipping the jump to Windows 2000 Server. Companies could be thinking along the same lines here regarding the Web 2.0 concept.

You bring up a good question though, and thumbs up for that...

Answer 2

No, because everybody knows that "Web 2.0" is just a meaningless buzz-phrase used by people who understand nothing about IT who are trying to sell some rubbish nobody needs.

The boom is here, and it concerns:
- IP Telephony
- IT security, including filtering, biometrics, and identity management.

In other words - real stuff, not web-development nonsense.

Answer 3

Although some of the companies will certainly sink, we don't see the massive stock boom this time around. This won't be anything near the dot com bust.

Answer 4

1) Same as the period character (.). In DOS, Windows, and OS/2 systems, the dot is used to separate a filename from its extension. For example, the filename CONFIG.SYS is pronounced config-dot-sys.
(2) In bit-mapped representations, a dot is a single point, the smallest identifiable part of an image. Laser printers, for example, create characters and images by printing patterns of dots. Likewise, monitors display images as arrays of dots. The resolutions of devices are often measured in dots per inch (dpi ).

Answer 5

It's possible. Everything comes in cycles.