In economics, a “bubble” describes a period of rapid growth, which is followed by a dramatic period of loss. And in the late 1990s, this is what happened on the world wide web.
Having discovered that there was money to be made on the internet (which was correct), investors started ploughing millions of dollars into the market. But the problem was, they’d overestimated the value of the market at that time. This led to disastrous investments with significant drops in shares and even bankruptcy. In this infographic, we’ll explore some of the biggest bubble bursts in dot com’s history, looking at individual cases and where they went wrong.
Within each section you’ll discover what the website was tailored towards and how much their shares changed over time. For example, in one case, a company’s shares reached a height of $26 before plummeting to just 34¢ in just a few months!
However, not all of these stories end in disaster, as many of the companies featured have been taken over by larger e-tailers, which has allowed them to brush over the initial disaster of their entry into the online world!