dot-com company

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dot-com company

An organization that offers its services exclusively on the Internet, either via the user's Web browser or a client program that must be installed in the user's computer. Amazon.com, Yahoo, Google and eBay are examples of dot-com companies. Telecom companies that offer voice or video services over the Internet also fit into the dot-com company umbrella.

But, Doesn't All Software Access the Internet?
Today, almost all software accesses the Internet for some purpose, if only to look for updates that can be downloaded. However, that does not necessarily make the company a dot-com company. The software or service must be hosted on the company's computers and accessed by users over the Internet. See dot-com.
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In this case, investors overlooked fundamentals, causing valuations of dotcom companies to double or triple overnight, which eventually led to the bubble bursting and the Nasdaq falling 63 per cent in the subsequent 24 months.
The turn of the decade came replete with stories about extravagant parties, unabashed flogging of dubious names by investment professionals and startup CEOs, and tales of cash outlays that boggle the mind today, including a Super Bowl 2000 that saw nearly 20 dotcom companies spending about $1.
More bad news followed as most dotcom companies folded up.
Yet Wall Street has been all smiles with dotcom companies, lavishing price-praise upon professional social media network Linkedin and online music platform Pandora in recent initial public offerings.
Morrisons will launch a small chain of convenience stores along the M62 corridor, and has been buying up dotcom companies as it looks to move into internet shopping.
Fred Wilson, a New York-based venture capitalist with Union Square Ventures who has invested in dozens of dotcom companies, including Twitter, said: "The internet is this huge network with over a billion people worldwide on it.
Earlier this week, I was asked whether I believed the poker boom was going to end up being a shortlived phenomenon similar to the skateboarding craze or buying shares in dotcom companies.
Spectacular failures have been witnessed in recent times as many dotcom companies have failed to live up to the hype and glamour projected by the advertising agencies.
The new generation of dotcom companies are treading very carefully indeed, focusing from the outset on one very important business basic: profit.
Go back to the basics: During the tech-happy boom of the late 1990s and 2000, the venture capital market moved away from fundamentals, hoping to strike it rich on dotcom companies with no cash flow measures in place and little regard for burn rates.
While many of those silly dotcom companies have faded away, mainstream retailers are now fully exploiting the advantages of the Internet to drive incremental growth.