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Tuesday
Mar292011

Another Technology Bubble?

The valuations recently placed on private companies like Facebook, Groupon and Zynga have caused some to use the word "bubble" to describe what's currently going on in the tech world.  Below are charts of the Nasdaq 100 index and the number of US IPOs by month going back to the start of the 1990s.  Here you can see what the last tech bubble looked like compared to what's currently going on in at least the publicly traded tech world.  We realize that bubbles can come in all shapes and sizes, but the term may be getting thrown out a little too prematurely these days.      

 

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