Tuesday, September 20, 2005

Learning from .com past

This post is about the area we usually call .com boom. There are plenty of lessons to be learned over that period. First and foremost I was astonished that how come hard nose investors (I don't have right to say this, but making a statement with general sentiment) made so much huge investments in these companies. Last week, I saw a very good movie called startup.com . In general movie came out great. May be a old movie but I certainly enjoyed it. Then I started my search over internet about the relative posts and topics. Of course, basic lesson for every company here is that they were not able to make their revenue projections in first place. There could be other side reasons but inability of generating revenue is foremost. Sometime companies have idea which has potential to make the revenues but they just could not because of execution, marketplace or infrastructure condition (less % having high bandwidth connections). There is very good list of these companies available on the cnet. You can check it out at this page. I guess all this spending whoop has given guys like me who lost nothing in that boom, pretty valuable lessons. Now my next task is to compile this information. There is recent spring of acquisitions in market and every investor whether in form of funds, VC, Angel, individual etc are trying to cash in. Magzines like businesses are trying to put a value by article to each of these companies. Sometime perception is that the company will work with some event such as Katrina. (Article which tried to sell the idea that satellite phones will work and company will make revenues). But some IPOs are gone be interesting. I always wonder whether market is causious in its approach at least now after this web spring. But after Google zoomed up, people expect the same from baidu, that is shit. That is right there tells us that there are some fools down there who still don't get it. Google on other hand, a amazing story defining revenue heights and expanding, making itself more valuable each day with technology and getting away from the path of being saint. I will continue to write on this and post my further findings soon. Between any of you who read this, know any other movies or books please post them in comments.