I would like to see a version of this chart showing which of the "successful" companies have any kind of significant revenue.
Beiruta
· 6 months ago
Just a small comment:
There are 6 billion people in the world, all doing different things, at different times, in different places... This is why I have to disagree with your title and with your use of "most" unless you are implying that you know all about each and every new start up in the world! :) Thank you
okinawa
· 6 months ago
"The only way they truly fail is to not have tried in the first place!" - I agree with that sentiment, at least they gave it a shot.
jsinkeywest
· 6 months ago
From my experience they FAIl because they forget where they came from and often take visitors for granted. I'm watching one now the guys rolling cause his Alexa is in the 400's but time is against him because he's a jerk. I watch them come and go. If you can't welcome and help people like a real person your history. We won't mention all the useless people these companies hired that's another story :) Didn't see ma.gnolia on there Remember to backup and back up what ever you say and write and you may be around a while :) http://ma.gnolia.com/ < still down great post stumbled
AdamPieniazek
· 6 months ago
Most startups/small businesses fail. Not surprised that the same applies to web companies. Starting and running a business and make it successful is extremely hard work.
This doesn't supprise me one bit, most web startups create little of great significance- create something significant, life changing, and original and success will follow!
Kevin Eklund
· 6 months ago
Yes, kudos to you sir. It's great to hear that not everyone is so pessimistic about everything that is born out of the Web.
Pete: I applaud your optimism towards Web startups. It is refreshing to hear encouraging words in a sea of pessimistic bloggers. Thank you for ending on a good note and inspiring us with this story.
identify_urself
· 6 months ago
I couldn't agree more, love the optimism!
Kevin Eklund
· 6 months ago
FYI: Just posted an update to this that contains success and failure rates for ~200 of these Web 2.0 startups.
Hey guys... help http://www.twibeo.com survive! Twibeo is the service that allows millions of people to see and talk about what’s happening now ... using pictures and videos and - yes! - even text. Because pictures change the conversation. Join! Really cool service and community. http://www.twibeo.com
Carter
· 6 months ago
Twibeo sucks balls.
lelapin
· 6 months ago
Twibeo looks a lot like Twitter. Is there any difference (and by that I mean features that could make the difference)? Twitter has a bird, Twibeo an owl, first 3 letters are the same,.... what is your fail whale, a dolphin?
identify_urself
· 6 months ago
The only way they truly fail is to not have tried in the first place!
Amer Kawar
· 6 months ago
When I looked at the image, I didn't see the failure. I'd like to learn from a failed experience and try to avoid the mistakes these entrepreneurs made. At least they had the courage to try.
I see the image half-full, rather than half empty!
Jay Purcell
· 6 months ago
Another one to add to the heap... Got an email from Yahoo's www.jumpcut.com today saying they are shutting down the site on June 15th 2009.
I like to support new startups if they provide a worthwhile service. I know it was around for a while but I hadn't got a chance to really test out JumpCut yet. Was keeping it in mind for future projects.
Alan Peters
· 6 months ago
Can you post/send me the mail? Been trying to figure out what happened to them. Thanks
Jay Purcell
· 6 months ago
Hey Alan, the email I received was just basically a carbon copy of the statement they now have on their homepage... www.jumpcut.com - No reasons given other than the decision is part of 'Yahoo's!' ongoing prioritization of their efforts?!
Thedigi Talhobo
· 6 months ago
Net-net, was there more money lost on the companies that went under or more money earned/won by companies that were bought? Anyone do the math?
antje
· 6 months ago
JuMpInG uP aNd DoWn - we're still here! :) Actually haven't heard of a lot of those companies but would love to have someone try to aggregate some data into a report. Might even pay for that data.....
Wan-Qi Kim, Investor
· 6 months ago
Pete, 1999 just called. It wants its headline back... (I'm definately putting this in my posterous)
Meg Pickard
· 6 months ago
Pete - Just to be clear, my blogpost and updating of the graphic were inspired by seeing the original (2006-era) collage featured in a recent presentation about social media. I think the presenter's aim was to dazzle people with lots of zippy logos and make them think "ooh, look, web 2.0 is new and booming and everywhere!"
While this may very well be true, I thought it was potentially misleading to use a graphic to make this point which is now three years out of date - as you well know, three years is a long time on the web (especially the last three years!)
So my update is not an indictment of Web 2.0 as a trend or a movement, or intended to be crtitical of any startup during the first flush of web 2.0. Some of my best friends were (and are) involved in some of the startups on that map, and I was closely involved with one, too (though admittedly on the acquisition side).
I think it's important to note that a) the failure rate is lower than the standard failure rate for companies - this is impressive b) many, many more companies, services and applications have started up since that point and become fabulously popular and successful (perhaps it's time someone made a brand new collage of logos?) c) the number of companies which have managed to flip is impressively high
but perhaps most importantly, considering the context
d) the original image wasn't comprehensive, and therefore any update of it is only ever going to be an update of a subjective set, rather than particularly revealing of wider business or economic trends. The original designer left out many startups which are still going strong, whose presence would make the graphic today look very different.
In brief: thanks for featuring my update of a famous graphic, but please don't take it too seriously.
steve mobs
· 6 months ago
DUH
Chris Sel
· 6 months ago
If I am not mistaken, there are more non-X and acquired startups on the poster than the X'd startups.
Jason
· 6 months ago
I'm an entrepreneur with a web 2.0 start up and we just launched in the thick of the R word. We're in the simplification, modification & persistence phase and we know we have a lot of work to do and that success doesn't come overnight.
Your article is really encouraging, thank you so much!!!
I have a startup that I am attempting to market. The site is http://www.freegovtjobs.com. The site houses web links to governmental Human Resources Departments from across the United States. I'm hoping to spread the word because the site is free and can assist people out of work or in need of improved employment.
Karl Rohde
· 6 months ago
Most companies fail in their first few years of operation. Web companies are not different, but probably more visible.
The trick is getting the balance between product development and sales right. It's even harder with self funded businesses, because you know to get more money coming in sometimes you have to either lose equity, or put more focus on sales at the cost of product development.
I'd love to see some stats on whether web company failure rate is on par with traditional businesses. Anyone have any?
Glenn
· 6 months ago
Indeed, it wouldn't be called "against the odds" if it wasn't... more likely to fail than succeed.
Sophie
· 6 months ago
Hi there ! Sorry if I mistake, but I cannot see Ipernity's logo there... And Ipernity won the last Mashable Award for photosharing... :) Moreover, ipernity is opening up its share capital and is preparing to be listed on Euronext stock market :)
rampantheart
· 6 months ago
Fail is not the right word to use. Every app in its own way is a success. Success sadly, these days, is measured in monetary terms. If a person has the knowledge to develop an application, he is successful in his own way.There are a lot of factors that would have gone awry. If they concentrated better on strategic planning and developed everything with a good feasibility study, things would have worked better. The usage of the word "Fail" in my opinion, is arrogant.
Marek Foss
· 6 months ago
You know, it's actually a good thing. I mean, if they all survived, would be there any room for new and better? And this way, it's like natural selection - strong and healthy live, weak and faulty - fail ;)
It's no surprise as most Web 2.0 "ideas" don't solve a problem; they're just a "cooler way of doing stuff". Beyond the hype and after the novelty addicted early adopters have followed the next Mashable headline there's no reason to go back.
Web 2.0 isn't a failure -- far from it. It's just that funky websites are easy to do and you'll find plenty of fans in the press or behind blogs who'll give you your 15 minutes of fame, but it needs legs to make a lasting impact. I am afraid it actually IS like Dot Com Boom all over again. There were many victims there too, but e-commerce (the must have of the time) is still very much with us, as are the best of the ideas from the time. So the same will pan out with Web 2.0.
Failure is perfectly normal and, indeed, healthy. As long as it's the other guy...
sdb
· 6 months ago
i agree. Good on them! at least they had a go at chasing their dreams rather than just sitting around.
Will Mueller
· 6 months ago
Haha...If you go to http://www.noodly.com (ONE OF THE COMPANIES THAT DID NOT MAKE IT), you get redirected to Mashable! Haha
Stephen Arbib
· 6 months ago
Hi all, please check out our web 2.0 site, www.commuto.com. It's a great social bartering site which keeps bartering on a local, micro level. We are still around and growing but can always use all the help we can get. Thanks.
julie goodale
· 6 months ago
The fact is, most new businesses in any form fail - that shouldn't mean that all new businesses are bad ideas! All new ideas take HUGE hard work & perseverance (and a little cheering does help).
Peter J Cooper
· 6 months ago
Great work. Attainable = hope. Hope is the difference.
Avinash
· 6 months ago
Great article for going to start a startup.
Veronica M
· 6 months ago
This was a very interesting article. Life is all about taking risks and following your dreams. Even if the end result isn't what you hoped for, dreaming is what keeps us alive. One cool website that is just starting up and I want people to check out is www.cyiexist.com . This is a social networking website that gives back to the community and helps represent who you are. I'd like to help support this one and encourage others to do the same!
PETER
· 6 months ago
I have just read " Wikinomics " authored by Don Tapscott and Anthony D Williams. I would recommend it as a "must read" for everyone in business, not just those "web 2.0 " era companies
Gops
· 6 months ago
I am deal hunter and poster. I am waiting for this little site www.dealmer.com to shine where I can post the deal and discount information and earn affiliates bonus. I think, this site can catch up the market once it has launched public.
Like me, people work very hard to find the cheap products and sales across the globe. Lets see.
All Comments
There are 6 billion people in the world, all doing different things, at different times, in different places... This is why I have to disagree with your title and with your use of "most" unless you are implying that you know all about each and every new start up in the world! :) Thank you
We won't mention all the useless people these companies hired that's another story :)
Didn't see ma.gnolia on there Remember to backup and back up what ever you say and write and you may be around a while :)
http://ma.gnolia.com/ < still down
great post stumbled
Thanks.
http://technbiz.blogspot.com
Pete:
I applaud your optimism towards Web startups. It is refreshing to hear encouraging words in a sea of pessimistic bloggers. Thank you for ending on a good note and inspiring us with this story.
Here's the new one: http://tomuse.com/tracking-web-30-startup-seman...
Join! Really cool service and community.
http://www.twibeo.com
Twitter has a bird, Twibeo an owl, first 3 letters are the same,.... what is your fail whale, a dolphin?
I see the image half-full, rather than half empty!
I like to support new startups if they provide a worthwhile service. I know it was around for a while but I hadn't got a chance to really test out JumpCut yet. Was keeping it in mind for future projects.
Thanks
Actually haven't heard of a lot of those companies but would love to have someone try to aggregate some data into a report. Might even pay for that data.....
While this may very well be true, I thought it was potentially misleading to use a graphic to make this point which is now three years out of date - as you well know, three years is a long time on the web (especially the last three years!)
So my update is not an indictment of Web 2.0 as a trend or a movement, or intended to be crtitical of any startup during the first flush of web 2.0. Some of my best friends were (and are) involved in some of the startups on that map, and I was closely involved with one, too (though admittedly on the acquisition side).
I think it's important to note that
a) the failure rate is lower than the standard failure rate for companies - this is impressive
b) many, many more companies, services and applications have started up since that point and become fabulously popular and successful (perhaps it's time someone made a brand new collage of logos?)
c) the number of companies which have managed to flip is impressively high
but perhaps most importantly, considering the context
d) the original image wasn't comprehensive, and therefore any update of it is only ever going to be an update of a subjective set, rather than particularly revealing of wider business or economic trends. The original designer left out many startups which are still going strong, whose presence would make the graphic today look very different.
In brief: thanks for featuring my update of a famous graphic, but please don't take it too seriously.
Your article is really encouraging, thank you so much!!!
http://melbourne.at9t.com/
The trick is getting the balance between product development and sales right. It's even harder with self funded businesses, because you know to get more money coming in sometimes you have to either lose equity, or put more focus on sales at the cost of product development.
I'd love to see some stats on whether web company failure rate is on par with traditional businesses. Anyone have any?
Sorry if I mistake, but I cannot see Ipernity's logo there... And Ipernity won the last Mashable Award for photosharing... :)
Moreover, ipernity is opening up its share capital and is preparing to be listed on Euronext stock market :)
http://twitter.com/f055
Web 2.0 isn't a failure -- far from it. It's just that funky websites are easy to do and you'll find plenty of fans in the press or behind blogs who'll give you your 15 minutes of fame, but it needs legs to make a lasting impact. I am afraid it actually IS like Dot Com Boom all over again. There were many victims there too, but e-commerce (the must have of the time) is still very much with us, as are the best of the ideas from the time. So the same will pan out with Web 2.0.
Ian Hendry
CEO, WeCanDo.BIZ
http://www.wecando.biz
Thank you
Like me, people work very hard to find the cheap products and sales across the globe. Lets see.