I think a lot of people are missing the big picture. For the past few decades, the economy has been transforming to be increasingly technological, moving away f

I think a lot of people are missing the big picture. For the past few decades, the economy has been transforming to be increasingly technological, moving away from oil and unnecessary manufacturing, transport, and administration. Several technology companies are now worth more than many oil giants. This part of the economy is experiencing an enormous growth, with large companies routinely showing annual revenue growths of 20-40%. They are now making massive investments in technology not seen since the days of Bell Labs and NASA. With such amazing growth comes a form of competitive inflation. To successful investors such as Sequoia, $40 million is simply not that much money these days. It's what you need to be able to get ahead of the competition and be successful, yet small enough for a VC to be willing to take the risk. The .com bubble was the moment people first started to realize what was about to happen. Being completely inexperienced with this new phenomena, they overvalued garbage and undervalued treasures. Nonetheless, inside the bubble was a core of solid gold. In 2010, Mark Zuckerberg was chosen man of the year, only 11 years after Jeff Bezos was man of the year in the midst of the greatest "bubble" the world has ever seen. A few years later, he had revolutionized shopping, computing, publishing, and became one of the richest people in the world. I'm also reminded by the tulip bubbles, which preceded the Netherlands becoming the world's dominant flower exporter for the next 400 years. I think bubbles are a whole lot more rational than people realize.