The Sky is Falling: Report Predicts Dot Com Bust

Dang it bloggers, don't you understand that when you write about a dot com bust you are writing yourself out of a job? Duh.

Dow Jones VentureSource released a report on venture capital investment in Web 2.0 companies reporting that "investment boom may be peaking" and Eric Schonfeld of TechCrunch just charted the trend and spread the report's findings far and wide.

A BRIEF HISTORY OF BUST
On March 15, 2000 the NASDAQ opened at 4580, down nearly nine percent from the week before. Sell orders on billions in bellwether stocks were processed over the March 10 weekend and by the following Monday, 30-year-old CEOs had started folding their khakis and heading home or to MBA programs.

When the market panics, it panics big. Companies get creative in their accounting, investors get squeamish and the funding you thought would dilute your company is off buying gold or real estate.

Said Jessica Canning, Director of Global Research for Dow Jones VentureSource, "2008 may be a make-or-break year for many Internet companies with business models relying on advertising. The slumping economy, coupled with a slowdown in click-through rates for online advertising is going to pose a real challenge to generate revenues and position for an exit."

A GRACEFUL EXIT
People, we're going to be fine. I'm going to be writing even when no one gives a shit about the tech industry. My partner will be coding and our friends will be designing. The reality is that alot of us will lose our jobs, but at the end of the day, the people we love have no idea what our valuation is.

You know what's great about being a humble Canadian townie? We've never known money and we're no stranger to Kraft dinner.

Maybe this is ridiculously optimistic, and maybe that's what being Canadian is about, but when you're following your heart you don't need an exit strategy. I'm honestly just pretty happy to be here.

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The Sky is Falling: Report Predicts Dot Com Bust

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