Dot-com bubble 2.0: The cloud build-up

Dot-com bubble 2.0: The cloud build-up



Here is a fantastic article on why the new dot.com businesses will not fail like the ones in 2000.  The computer and internet boom of the 90s was built on one-time purchases, and computer software and hardware became so dependable that people did not need to upgrade constantly after 2000.  Hence, Intel and others fell unexpectedly.



Now that many companies are cloud-based, we are not in an era of one-time expenses.  Instead, we have companies built on recurring revenue.  Amazon just had its 2nd consecutive profitable quarter.  Cloud revenue is the same for Facebook, Google, and Netflix.  So, the new dot.com era is built on a stronger foundation than the first one.