Bubble 2.0 is about to burst

or not. What do you think?

[aleksl]

I just looked through catalog of a major internet retailer of computer gadgets in US. And couldn't believe my eyes. A decent PC can be had for $300-$500. A good laptop - under $800. Even servers are all under $2 grand. This hasn't been happenning IMHO since the burst of Bubble 1.0.

Are we about to witness the Bubble Blow 2.0?

[weeks]

There is a glut of equipment on the market. Has been for sometime now. Everyone, large and small, pretty much has what the need. Upgrading is done quietly and slowly. Not a lot of excitement.

But, that is good for webmasters. Everyone can get online now. "New media" is becoming more and more mainstream. Boring is good.

Note, however, that consumers expect more and more. What was "wow" last month is ho-hum today. Videos that show how a product is used, for example, are going to be common. Travel web sites will have to show the actual hotel room you are booking, not just a "typical room," just like the airlines allow you to pick the exact seat on the plane. And all of this extra work isn't going to make the website more money--it will just keep it competitive.

But, it will make webmasters money. That is a good thing.

[Lord Majestic]

Servers are cheap because of AMD/Intel fight - there is no longer need to buy big iron from IBM and Sun, hence the price drops. Same goes for PCs - prices went down big time for sure, but people buy them more often and more people can afford them now.

[weeks]

Interesting story in the WSJ today, saying investment in "so-called Web 2.0 companies, generally ad-supported Web sites in fields like social networking or blogging, is showing signs of maturity."

Investment in Web 2.0 start-ups has skyrocketed in the past two years as inexpensive technology has made it easier for people to communicate through the Internet.

"If you're a venture guy, there are few areas you can look now and find an equally attractive place to put your money," said Scott Raney, partner at Redpoint Ventures, Menlo Park, Calif. "You can't beat an investment of $5 million in a company that could get acquired for hundreds of millions."

I thought it was interesting that the article said that to make money on the web now, firms are delivering targeted advertising to specific demographics. So, maybe the bubble for the easier money is deflating.

[Lord Majestic]

"You can't beat an investment of $5 million in a company that could get acquired for hundreds of millions."

Find a difference: "You can't beat an investment of $5 million in a company that will make profits of hundreds of millions."

[weeks]

Find a difference: "You can't beat an investment of $5 million in a company that will make profits of hundreds of millions."

Well, good lord, you are just no fun at all. LOL.

[aleksl]

weeks: Interesting story in the WSJ today, saying investment in "so-called Web 2.0 companies, generally ad-supported Web sites in fields like social networking or blogging, is showing signs of maturity."

awesome.

someone's going to be holding a few very expensive empty bags.

[Lord Majestic]

Well, good lord, you are just no fun at all.

No, I am not :(

[skibum]

Note, however, that consumers expect more and more. What was "wow" last month is ho-hum today.

Do they really expect more and more or just want to keep things simple? Guess it depends what they are buying to some extent. Technology tends to change very rapidly but the way people think and buy tends to evolve very slooooooooowly.