Is a boom in Chinese start-ups creating a bubble of dotcom-disaster proportions? An interesting article has been posted by the US website Salt Lake Tribune on Chinese start-ups and over-valuations that are taking place there.
The article begins by describing a dotcom start-up that provides free videos which already has 15 million users a month. But it has had $30m of investment, has 95 staff but no profits. It begs the question: is there a Chinese dotcom bubble just waiting to burst?
The article goes on to say Chinese start-ups are not limited to dotcom companies but that there are chip firms, medical device makers and telecoms equipment designers.
The article quotes David Chao, co-founder of a venture-capital firm that has invested in China:
Many domestic Chinese companies that have recently gone public are getting crazy [valuations]. No matter how you see it from the outside, it certainly looks like a bubble.
Comments (2)
Hello,
How can I read the whole article about Chinese start-ups from The Salt Lake Tribune? I called their archive and they told me they don't have it in their archieve.
If you have the copy is it possible for you to send it? Thanks in advance.
Regards,
Ozgu Gill
Posted by Ozgu Gill | March 5, 2008 7:54 PM
Posted on March 5, 2008 19:54
Hi
It looks like the newspaper has taken it down from its site, but Google's cache is handy in such cases - I could find it here:
(made into a tiny url)
http://tinyurl.com/2enc8s
Alun Williams
Web Editor, ElectronicsWeekly.com
Posted by Alun Williams | March 10, 2008 2:33 PM
Posted on March 10, 2008 14:33