‘I believe that many of the dotcom phenomena were in fact examples of fraud, or a really good repackaging of pyramid marketing,’ Brice Clark, Hewlett Packard’s director of strategic planning, told NetEvents delegates in Sintra, Portugal on Saturday.
‘It was, to me, almost like the teenage years. It was a pretty self-centred place for a while, and to a certain extent naive, but the financial community was not,’ Clark added.
3Com’s director of Northern Europe, Bert van der Zwan, also pointed the finger of blame at the financial community, but stressed that technology companies needed to shoulder some of the guilt: ‘I think we are all to blame. We lost ourselves,’ he said.
‘Who is to blame? All of us. We are all mature people, and whether you have a finance or technology background, or you’re somewhere in the middle, we all knew this was not sustainable.’
Independent industry analysts pointed out that unprecedented levels of private wealth derived from the economic boom years of the 1990s, had been placed in the hands of investment specialists who caused the markets to overheat.
Dean Bubley, technology analyst, equities, at Granville Baird, said: ‘One of the underlying factors was that the economic success and prosperity of the 1990s gave more cash to people and institutions than they needed.’
Bubley added: ‘There were disposable incomes for individuals, or sufficient surplus cash in the system to invest, from a private equity point of view, in startups. This was then compounded in the first three years of the 90s with the phenomenon of internet-based share trading.’
HP’s Clark told vnunet.com he believed the industry had matured sufficiently to prevent a rerun of the internet boom and bust.
‘I think we have learnt some things. We have also figured out that the financial market should not be treated as an alternative to Las Vegas.
‘However, on the other hand, we all have to go through those teenage years,’
Clark added. ‘You don’t learn to be an adult without being an idiot for a while first, right?’
If businesses do not take cyber security seriously in their business planning regulators may do it for them, the ICAEW has warned
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Company bosses are considering relocating operations or headquarters away from the UK following the country's decision to leave the European Union