These patterns are to be expected. What's different in this case is the speed at which the shakeout is happening. What might have taken a decade in another industry has been compressed into just a few months. And economists stress that we're by no means done yet. This is a very natural consequence of the whole Internet bubble phenomenon.
Shakeouts are common.
When you have low barriers to entry, tremendous amounts of people crowd in and many times lots of them shouldn't be there. It just so happens that most of the people pausing here are investors. Inc. All Rights Reserved. Copyright and reprint information.