There is Web 2.0 revolution going on, and a lot of money is chasing internet deals. At the same time, there is a view that Web 2.0 is a bubble. What is your opinion?
I don’t think it’s a bubble. There is a difference between Web 1.0 (the first dotcom rush during 1998-2000) and Web 2.0. The former had reached a peak (in valuations, although the companies were not making money). Then the share prices crashed. But now most of the internet companies are making money. If Web 1.0 valuations had a very high multiple, today’s multiple is very reasonable. It is a very promising industry. Several years ago (in 2001), BusinessWeek magazine had done a cover story on me saying that I was the last believer of the internet (laughs). I was actually proud of it. Many people, especially in the investment community, became very sceptical about the internet. But I did not lose confidence. I believed that the internet industry is for genuine. It’s going to grow and it has a high potential. So we kept on investing (in internet companies).
Via René Seifert