The Rise and Fall of World Wide Web 1993-2001



The Rise and Fall of World Wide Web 1993-2001

Introduction

Humans are altered and encountered by technology every single day of their lives whether they like it or not. The evolution of microprocessors and computers is advancing with a rapid speed which is changing and altering the lifestyles of individuals. This surplus of technology advancement commenced with the creation of abacus that provided the individuals with an easy way to work out basic arithmetic problems. From that point onwards, the simple abacus has been evolved into a multi processing personal computers which are able to solve millions of equations in milliseconds. One of these technology advancements is the internet. The beginning of internet in the 1990s was merely a sphere for the researchers and academics as a commercial usage. The development of the World Wide Web was done at an exponential rate as pre the number of users as well as the number of websites. The emergence and advancement of the World Wide Web changed the potential of the business community as a means of communication as well as created new opportunities for the marketing and sales sector. However, this dot com bubble wasn't handled properly and was crashed resulting in huge loss for numerous companies. This paper discusses the rise and fall of this dot com bubble, the reasons of its collapse, the companies that survived as well as the companies that suffered loss.

Background

The dotcom bubble was a speculative bubble between 1990 and 2001, where Internet companies (called dotcom) saw their value increase rapidly in the stock exchanges. This period is also called the golden age era or the web. The dot come bubble was a stock market bubble which crashed with a devastating effect in 2001 (Lowenstein, 2004). It raised with countless of websites and in general the tech industry and majority of these websites and companies went into loss and learned a valuable lesson at the time when the dot come bubble collapsed finally. Numerous of the investors lost a considerable amount of money on the dot com bubble which helped in triggering a mild economic recession in 2000. Various experts argued that many of the companies were not sobered by the collapse of the bubble at the time when web 2.0 initiated a fresh round of speculation and investing opportunities around 2004. There were many factors which led to the burst of the dot com bubble. The year 1995 marked the commencement of a major increase in the users of the internet. These users were witnessed by countless companies as their potential customers. This resulted in the popping up of numerous internet startups in the middle of the 1990s. These companies were known as the dot coms. The majority of these dot coms indulged in daring and unusual business practices in the hope of dominating and leading the market (Abramson, 2005). Many of them followed the strategy of growth over profit; they believed that through building up strong base of ...