dot-com

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Dot-Com

A business, especially a publicly-traded company, that conducts most or all of its business over the Internet. Dot-coms may conduct business in one or more of the following areas: Content, Commerce, and Connection. Content companies provide information, either for free or for a charge, and earn most of their operating income from advertising. Commerce companies sell new and/or used goods directly over the Internet. Connection companies provide Internet services directly to customers.

Dot-coms were hugely popular investments in the 1990s, with IPOs of hundreds of dollars per share, even if a company had never produced a profit and, in some cases, had never earned any revenue. This came from the theory that Internet companies needed to expand their customer bases as much as possible and thus corner the largest possible market share, even if this meant massive losses. While this worked for some dot-coms, notably Google, which did not produce a profit for its first several years of operation, the theory was unsustainable because, in a given industry, only one or two companies could corner large market shares, meaning most dot-coms were doomed to failure. This dot-com bubble burst in 2000.

dot-com

1. Of or relating to a company or the stock of a company engaged primarily in a business associated with the Internet. Amazon.com is the most obvious example of a dot-com company.
References in periodicals archive ?
With the burst of the dot-com bubble and shaky confidence in mutual funds last year, the investment climate for mining exploration has never been better.
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Though the dot-com bubble has burst, IA lives on with important lessons for those involved in the continuing struggle to structure complex information on Web sites and intranets.
At the height of the dot-com bubble, when they had won the highest status American culture awards--that of "role model" and even "icon"--we hastened to offer them our adoration and, via the stock market, our life savings, as well.
The dot-com bubble was in large part due to a bunch of callow young men with dollar signs for eyeballs, whose greed and naivete effectively created and destroyed an entire industry in the span of less than five years.
The bursting of the dot-com bubble as evidenced most by the disappearance ot-many high profile dot-com start ups, and the subsequent decline in the market value of its survivors should not be mistaken for the end of e-business, according to the annual PricewaterhouseCoopers Technology Forecast 2002-2004, Volume 1 entitled Navigating the Future of Software.
The dot-com bubble may have burst, but e-business continues to transform companies in profound ways.
But worse, even, were the non-pierced and hence supposedly more trustworthy stock analysts, who didn't stop trying to inflate the dot-com bubble after it had already popped.
THE dot-com bubble has finally burst with millions of investors turning their backs on high-tech stocks.
In 2008, it was the mortgage crisis, in 2001, it was the dot-com bubble, in 1994, it was the Fed raising interest rates quickly," he explained.
The last time the index was higher was March 28, 2000, during the heady days of the dot-com bubble.