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Definition: dot-com bubble


Throughout the late 1990s, countless Internet companies were riding an enormous wave of enthusiasm that pushed their stock valuations into the stratosphere even though they never earned a penny. In the dot-com bubble, billions of dollars in venture capital were given to entrepreneurs with little or no experience to fund ideas that were ludicrous. It was an emotional time, and people were very excited. In spite of the nonsense, many dot-coms did survive, and concepts and techniques were developed that continue today in other companies and other forms. See dot-com company, dot-com bust and New Economy.