@hn_throwaway_99 well yes, but for the purpose under consideration, a bubble bursting, implying the presence of industry-wide forces or conditions, you do need

@hn_throwaway_99 well yes, but for the purpose under consideration, a bubble bursting, implying the presence of industry-wide forces or conditions, you do need to consider things like who their customer and competitors are, conditions in their market, availability of financing, manufacturing costs...in all these ways I think Tesla is going to have a lot more in common with Ford or Volkswagen than Microsoft. Pure software companies have some highly desirable attributes for investors, namely practically non-existent marginal costs, that have driven up their valuations. As a result, many companies that are not primarily in the business of selling software have tried to position themselves to investors as "tech companies". Nothing against these companies, manufacturing, real estate, food delivery, vacations rentals, and taxi services are all perfectly fine business, but they're not in the software production industry, they're software consumers.