Comments on: Counterparties: There is a tech bubble that will never go out

By: MrRFox

MrRFox — Thu, 03 May 2012 12:57:48 +0000

Thanks for the good spread of stuff today, RyanM.

The Hugh Hendry video is chilling, and encouraging if you’re a revolutionary. It’s an hour-15, yet it’s almost a “must watch”.

By: mfw13

mfw13 — Thu, 03 May 2012 06:27:48 +0000

I consider myself to be a fairly well-educated and sophisticated investor, but I would NEVER invest in any company whose primary revenue source is advertising.

Why? Because people generally hate receiving ads, which means eventually the companies/organizations placing all these ads are going to see their ROI drop significantly, at which point the bottom will fall out of any company dependent on ad revenue.

By: KenG_CA

KenG_CA — Thu, 03 May 2012 01:20:40 +0000

“Total spending for online video ads is expected to triple in the next four years, mobile ad revenue may quintuple”

That is entirely possible. However, the total supply of on-line ads will probably increase by an order of magnitude, if not two, if all of those ad-based websites actually succeed. If that happens, none of those websites will realize their alleged potential.

By: ytwod3621

ytwod3621 — Thu, 03 May 2012 00:33:43 +0000

“…chasing a market that’s set to explode”. Markets with real promise are often the basis for bubbles. In 1929, there were such things as radio and aviation. In 1999 there was the Internet. Now’s its social media. Somebody always wins the lottery, but it’s still gambling.

By: BajaArizona

BajaArizona — Wed, 02 May 2012 22:29:09 +0000

If the bubble will not burst, then it is not a bubble. Strictly in the economics definition of the term, of course.

By: Mitchn

Mitchn — Wed, 02 May 2012 21:01:31 +0000

Ad-based revenue model? Genius.