It might pop again, but some say that may not be a bad thing
Eric Janszen, an entrepreneur and investor who runs the economics investing site iTulip.com, doesn’t believe we’re seeing another bubble like the dot-com one, but he foresees “a long and relatively deep recession” sparked by the crashing housing market.
“Advertising gets hammered in a recession,” he says, as does consumer spending. And acquisitions of small Internet companies, a favored cash-out strategy for entrepreneurs, could be hurt, too.
“Nothing slows down the acquisition pace more than falling stock prices, and the falling perceived valuations of companies that might be acquired,” Janszen says. “The acquirers think, ‘Why not wait until they get cheaper?’” (Janszen’s site, as it happens, is also supported by ads.) >>>>
The Internet bubble: Part II?
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