It’s Only a Bubble if the Price Goes Up - Traffic.com IPO
Posted by Mike Bijon January 20, 2006
While checking traffic for my drive home tonight I noticed a small dialog at the bottom of the Traffic.com website. It turns out Traffic.com is going public via OpenIPO and trying to raise between $69-82 million in the process. …isn’t Traffic.com built around largely free municipal traffic data? What’s all the cash for - the AJAX map interface?
Despite all the talk about whether Web 2.0 is turning in to “Bubble 2.0″ there is no way to confirm it unless bubble prices start hitting the markets. Om’s Babble not Bubble 2.0* points out that startup costs, VC investments, and market exits are all low, a good sign that there isn’t a bubble. Regardless, even if VCs and M&As heat up and start throwing money around it still won’t be a bubble until the “regular Joe’s” start throwing cash into the pot so the big players can cash out.
I’ll stop this speculation of my own - and just wait to see if Traffic.com, the next guy, or the next guy go big.
Mike Bijon: I work as senior technology manager and technologist for 
[…] Understandly, sceptics cry Bubble 2.0, although one blogger has already pointed out that it’s only a bubble if the price goes up. […]