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Debating the Tech Bubble with Steve Blank: Part II

Ben's Blog

In reading my friend Steve Blank’s arguments, I found the bubble definition quite compelling: “A tech bubble is the rapid inflation in the valuation of public and private technology companies that exceeds their fundamental value by a large margin.&#. So I looked to find evidence to support the bubble hypothesis.

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Capital Market Climate Change

Ben's Blog

You probably thought that valuations would be roughly the same as they were the last time you raised money. One would be wrong: 3/31/1995: 21.0. 3/31/1999: 49.7. And those are big companies with real earnings, so you can imagine how a private company’s valuation might fluctuate. But they most certainly are not.

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Capital Market Climate Change

Ben's Blog

You probably thought that valuations would be roughly the same as they were the last time you raised money. One would be wrong: 3/31/1995: 21.0 3/31/1999: 49.7 One would be wrong: 3/31/1995: 21.0 3/31/1999: 49.7 In June of 2000, I raised money at an $820M post-money valuation. 3/29/1996: 22.3 Things change.

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Terry Time at the NVCA

Seeing Both Sides

billion, as the company has successfully “grown into its valuation” and become the leading in the content delivery market).   It is scary to reflect on how few of the 7,000 professionals active in the industry today were general partners before Netscape’s IPO in 1995. (3) 3)      Life sciences.

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The Playbook for Scale Up Nation

Seeing Both Sides

Only a handful of so-called unicorns — companies that have achieved a valuation of over $1 billion in the last 10 years — come from Israel, and only one Israeli firm, Teva, ranks in the world’s 500 largest companies by market capitalization. From 1995–2010, the Israeli startup ecosystem was not focused on creating big companies.