No one likes to hear the word “bubble” in a real estate blog.
But this isn’t about real estate. This is about Web 2.0. I’ve blogged about what exactly Web 2.0 is in the past, but to summarize for the uninitiated or not-geeky-enough, Web 2.0 is a term used to describe the current trend in Internet companies creating interactive applications that focus on user-generated content, or on using the Web as an operating system, replacing desktop applications with Web applications. For example, a blogging platform like this one is a Web 2.0 element. As are sites like Facebook, YouTube, MySpace, and application suites like Google Docs.
This video is a humourous look at what many in the industry believe is the next dot-com crash. If you remember around 2000-2001, many of the upstart Internet companies that were pioneering ways to cash in on the explosion in popularity of the Internet went belly-up, as investors pulled their funding, realizing that they had overestimated the actual earning potential of these companies.
Facebook was recently valued at $15 billion after Microsoft invested $240 million in a 2% stake in the social networking company. With many other Web 2.0 entities receiving millions of dollars in venture capital, skeptics are failing to see the earning potential of these companies, and fear the bubble might burst, again. This is a clever video: