Tech Bubble Does Not Exist, Says Marc Andreessen
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Get Alerts HPQ Hot Sheet
Price: $22.03 +0.41%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 5.4%
EPS Growth %: -12.0%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 5.4%
EPS Growth %: -12.0%
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The so-called 2012 'tech bubble' is a fallacy, in the view of Netscape co-founder and venture capitalist Marc Andreessen. At a conference in New York today, Andreessen, who sits on the board of directors of said Hewlett-Packard Co (NYSE: HPQ) and Facebook (Nasdaq: FB), said "If it's a bubble, it was a bubble that was limited to four companies, that was limited to the private side."
Far from being in a tech bubble, we are in a tech depression, he said. "The public right now hates technology, just hates technology. We're in a tech depression."
The tech bubble chatter began around the time of the Facebook IPO, and has resulted in hefty losses in several internet names, including Facebook, Groupon (Nasdaq: GRPN), and Zynga (Nasdaq: ZNGA).
While Facebook stock stabilized after it reported improvements in mobile ad revenue, for the most part Groupon and Zynga remain under pressure. Lately, tech heavyweights Apple (Nasdaq: AAPL) and Google (Nasdaq: GOOG) have felt the sting, with shares significantly off their highs.
Andreessen pointed out that many of Google key businesses, such as YouTube and browser Chrome, are being valued at zero. The bubble, in his view, simply doesn’t exist.
Far from being in a tech bubble, we are in a tech depression, he said. "The public right now hates technology, just hates technology. We're in a tech depression."
The tech bubble chatter began around the time of the Facebook IPO, and has resulted in hefty losses in several internet names, including Facebook, Groupon (Nasdaq: GRPN), and Zynga (Nasdaq: ZNGA).
While Facebook stock stabilized after it reported improvements in mobile ad revenue, for the most part Groupon and Zynga remain under pressure. Lately, tech heavyweights Apple (Nasdaq: AAPL) and Google (Nasdaq: GOOG) have felt the sting, with shares significantly off their highs.
Andreessen pointed out that many of Google key businesses, such as YouTube and browser Chrome, are being valued at zero. The bubble, in his view, simply doesn’t exist.
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