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When investors throw their money away in startups like 'color', that is not a bubble, just sheer stupidity. When joe sixpack 'invests' his house in facebook's

When investors throw their money away in startups like 'color', that is not a bubble, just sheer stupidity. When joe sixpack 'invests' his house in facebook's ipo, then borrows some money to invest in groupon's; that, my friends, is a bubble. We'll be there in a couple of years, nobody can escape from that. The hype machines will be in full swing with ten posts per day on the front page feeding the frenzy, tv shows, newspapers headlines about the best initial day for an IPO since google, everybody making millions overnight and nobody wants to be left behind. We all know that feeling. Then joe sixpack enters the party, and the bubble pops.

Alex3917 16y ago
"We'll be there in a couple of years, nobody can escape from that." The difference is that today, thanks to the Internet, the people who were saying the Internet wasn't going to change everything have much more of a voice. The peaks and troughs are going to be less extreme, and the cycles will be longer. The little picture stuff we're getting better at understanding and predicting, while the big picture stuff just keeps getting more and more broken as society collapses in slow motion.
- Kilimanjaro 16y ago
  The easiest way to make money, is to take it from the fool. When millions of fools are manipulated into investing in get-rich-quick schemes of hot IPOs in a new glamorous era, they all end up without money. There is nothing we can do, fools will be fools. (I was in the fools pack too in early 2000) If there is only one advice we can give to our family and friends is this: do not invest in hype. Plug your ears with wax or tie yourself to the mast to keep your sanity.
pedalpete 16y ago
The same investor who 'threw their money away' on color also threw money away on Google, Yahoo, Paypal, YouTube, LinkedIn, Admob and Zappos. Of course, they've invested in many companies that didn't return on the investments. Just because you don't believe they made a good investment decision, I would think it wise to respect their very good track record.
- Kilimanjaro 16y ago
  Color was picked just to name one investment that 'looks' stupid from the outside, nothing else. No need to put your gloves on.
  - pedalpete 16y ago
    The gloves aren't on, sorry if it came across that way. I just think as start-ups we shouldn't single out large investments as unreasonable until/unless they are proven so. With the odds stacked against us already, it may be in our best interest to not be the naysayers of our own industry.
  - gruseom 16y ago
    You didn't say "'looks' stupid from the outside". You said "sheer stupidity". pedalpete's comment was mild and sensible. He has nothing to apologize for.

Alex3917 16y ago

"We'll be there in a couple of years, nobody can escape from that." The difference is that today, thanks to the Internet, the people who were saying the Internet wasn't going to change everything have much more of a voice. The peaks and troughs are going to be less extreme, and the cycles will be longer. The little picture stuff we're getting better at understanding and predicting, while the big picture stuff just keeps getting more and more broken as society collapses in slow motion.

Kilimanjaro 16y ago
The easiest way to make money, is to take it from the fool. When millions of fools are manipulated into investing in get-rich-quick schemes of hot IPOs in a new glamorous era, they all end up without money. There is nothing we can do, fools will be fools. (I was in the fools pack too in early 2000) If there is only one advice we can give to our family and friends is this: do not invest in hype. Plug your ears with wax or tie yourself to the mast to keep your sanity.

pedalpete 16y ago

The same investor who 'threw their money away' on color also threw money away on Google, Yahoo, Paypal, YouTube, LinkedIn, Admob and Zappos. Of course, they've invested in many companies that didn't return on the investments. Just because you don't believe they made a good investment decision, I would think it wise to respect their very good track record.

Kilimanjaro 16y ago
Color was picked just to name one investment that 'looks' stupid from the outside, nothing else. No need to put your gloves on.
- pedalpete 16y ago
  The gloves aren't on, sorry if it came across that way. I just think as start-ups we shouldn't single out large investments as unreasonable until/unless they are proven so. With the odds stacked against us already, it may be in our best interest to not be the naysayers of our own industry.
- gruseom 16y ago
  You didn't say "'looks' stupid from the outside". You said "sheer stupidity". pedalpete's comment was mild and sensible. He has nothing to apologize for.