When a new industry is created, everyone rushes to get on board.  Lots of venture capital gets invested in new ideas.  But most venture capital funded businesses fail.  If they all get started at approximately the same time, it's a good bet that they'll topple over like one long row of dominoes at the first minor economic hiccup.

And they did.

''Investment is supposed to fuel and accelerate promising new industries. However, this time it was way overdone. Telephones and cars had similar bubbles some say.''

{And it happened again in the real-estate market. When pointed out that it looked like another bubble in 2005-2006, people rationalized that since property was "real" unlike dot-com companies, that it was immune. What they failed to realize was that being real didn't prevent them from being overvalued still.}