When Mike Malone started rooting around the dark corners of the Silicon Valley in the mid 1970s, computer hobbyists were toying with what would become personal computers. They never dreamed that the software at the heart of their inventions would become a million-dollar asset called intellectual property.
Accounting is a slow process that looks backwards.
In fact, the intangible assets of dot-coms are worth 95 percent of the value of the company. Malone reported that, according to early results of a study by Forbes and The Wharton School, although CEOs say that customers are the most important factor in the value of a company, when looking at stock performance, innovation and employees had far more impact on a company's value than either customers or technology. The pace of change is so great, technology doesn't matter so much today. Young people will be taking the rings out of noses and sending out their resumes. The next round of dot-coms will emerge next summer.