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Tech Bubble Watch

Tech Bubble Watch

Despite Tech Bubble Paranoia, NYC Analysts Insist We’re Safe

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A new CB Insights report shows that big corporations are pouring into the tech investment scene. While many might fear this means we’re headed for a second tech bubble, the report’s authors insist that’s not the case.

Major corporations like Intel and Comcast have become a third of the V.C. landscape. The deal sizes are getting bigger and bigger, and the last quarter saw the highest valuations we’ve seen since the last major tech crash. It’s not hard to see why people think history could repeat itself. Read More

Tech Bubble Watch

Oh Sweet Lord, CAA Wants to Set up Shop in Silicon Valley

Jeremy Piven Talks Final Season Of Entourage

All those other warning signs of that the tech bubble cometh? Forget them. Because this is it:  Creative Artists Agency, the same talent-representing behemoth behind stars like Brad Pitt and Oprah, is contemplating moving to the Valley.

Hollywood tried the same thing back in the nineties, but got scared off when the bubble went bust. But it looks like they think this bubble has legs.

According to Reuters, who broke the news, the plans are under consideration and will “proceed slowly,” but the agency already has some bold-faced, internet-famous celebrities on the roster for its Speakers Division, such as Twitter co-founder Biz Stone and former Facebook exec Randi Zuckerberg, sister of what’s-his-face. You remember him? From that movie that one time?

Reuters really brings the point home with this money quote: Read More

Tech Bubble Watch

Will Falling Tech Stocks on Wall Street Dash Start-Up’s IPO Dreams?

This dude just realized he shouldn't have closed his SecondMarket account.

If you followed the downward trend of tech stocks like LinkedIn, Pandora, and Zillow in the media yesterday, chances are, at some point, you had to avert your eyes. USA Today uses no less than four foreboding verbs to describe how all three newly-public tech companies performed Monday after the S&P demoted America’s credit rating down to AA+:

“Shares of professional social network LinkedIn plunged 17%, to $75.47. Internet radio company Pandora tumbled 8% to $12.49. Real estate website Zillow crumbled 7% to $26.09. That came as the Dow skidded 635 points.”

Based on just that day of trading, Geoff Yang, a partner a Redpoint Ventures, told the paper, “The sound you just heard was the IPO window slamming shut.” Read More

Tech Bubble Watch

Jesus Christ, People, How Many Times Does Peter Thiel Have to Tell You It’s Not a Tech Bubble?

Way back in December 2007, a straight-faced Peter Thiel told AllThingsD’s Kara Swisher in no uncertain terms, “There is absolutely no bubble in technology.” For context, this was way back when Facebook’s valuation, currently teetering at $100 billion, was a paltry $15 billion, you know, the kind of chump change Zuck would find in his couch cushions. Since then, Mr. Thiel has repeated his no tech bubble mantra over and over, stopping only to point an accusatory finger at the bubble around higher education. But that hasn’t stopped reporters from going back to the contrarian well. Read More

Tech Bubble Watch

IA Ventures’ Justin Singer: It’s All Humanity’s Fault We Can’t Avoid a Tech Bubble

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Justin Singer, a VC at IA Ventures in New York, has stepped into the ongoing debate between whether we’re all extras in Dotcom Bubble: The Redux or merely in the middle of  “a blubble,” which Michael Arrington loosely defines as that irrepressible whining sound perpetuated by early stage VCs and angels and regurgitated by the press. (We guess that makes Mr. Arrington  part of the press since a month later he took most of it back.) Now, in a post on his Tumblr, Trying and trying again, Mr. Singer predicts a tech bubble will happen in the next 15 years. It would be easy to lump it into our bubble watch, if Mr. Singer’s prediction wasn’t accompanied by a rather alarming graph  . . . and blame an leading indicator that’s unlikely to change: human instinct. Read More

Tech Bubble Watch

The Boy Who Cried Bubble: Job Fairs Are Not Danger Signs

Run Wolfie, it's the big bad Bubble!

Chadwick Matlin has been contributing some great coverage of the local start-up scene to outlets like Fortune and Bloomberg, but his recent piece on the alternative Silicon Alley job fair is the kind of blithe bubble talk that does nobody any good.

“To review: that’s two job fairs in three months, featuring nearly 200 startups combined, all of them looking to hire 3,000 miles away from Silicon Valley. It is time to stop looking for indicators of a tech bubble. We’re not going to get one better than that.”

Two events in a city of eight million people attracting a total of maybe 2,000 candidates. The boy who cried bubble is going to have to do better than that. Read More

Tech Bubble Watch

Fred Wilson Says USV is Paying 25-50% More To Enter Deals Than in 2008

Erick Schonfeld got a quick interview with Fred Wilson today at TechCrunch Disrupt.

“Yes things have gotten very expensive if you’re an investor, but if you’re already in a company, you are benefiting from that,” said Wilson. “Opportunities come along that we like but they just don’t fit our mold anymore. 3 years ago to now, the valuations are up between 25-50% as an entry price. We have to move with the market.” Read More