Tuesday, July 28, 2009

Tech Bubble Prediction

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Are you seeking answers to economic fundamentals for Tech?
There is this all too boring issue Logic has and will share with our readers today about a pair of keyword, words not often exploited but it is these words that control all economies of scale.


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Introducing Catnip aka VL CTO
Look for true economic stability only when you clearly see it through the fundamentals
Fundamentals are what allow us the ability to strip the hype and guesstimating out of any companies stock. What Logic and our Viper Logic CTO (Chief Technology Officer) Patrick E. Lara Catnip, have uncovered clears the way for our most risky prediction to date.

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The Technology Sector has an anticipated tech bubble burst coming we have a cause and a date.


Making Predictions about the technology industry
We at Viper Logic live breath and eat all components of the technology industry and our own CTO Patrick E, Lara has concluded that the tech industry has been floating on a few top names, too much buzz and lacks any true new technologies.


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1970’s CB Radio user popularity was about wattage
Related article on Tech Bubble from the 1990’s looks back to the CB (Citizens Band) Radio it could not be monetized either, it became to busy, so it eventually failed as a useful service for the masses.


Our largest prediction advantage
Mainly and most importantly is not being located anywhere near a technology center like say the Irvine Spectrum in Southern California or the Silicon Valley in Northern California and all tech centers USA.


We are located in the Southern California Desert Region in the Coachella Valley within a city named Palm Springs and though we have a lot of silica here in our desert we do not have a single technology company, other then our own Viper Logic.

We are not able to predict any individual stock nor should we, our abilities are to look into the tech industry as a whole and calculate how much of a bubble, and when a the tech bubble going to burst.


We will share what has lead to this bubble and when the bubble will arrive, so let’s get started shall we.


The cause of the tech bubble
For several years all of the talk in technology has been centering on Apple, Google, Facebook, Youtube, Myspace and recently Twitter. One makes products that are expensive and preparatory and the others are online ad agencies in terms of their business models thus far.

The two major chip manufacturers and the number one operating system manufacturer are failing in the sells, consumers and businesses alike are fixing what they have, postponing growth, creating no demand for new PC’s.

The masses (consumers) today do not care what size or how many cores the computer in front of them has for a processor, this used to be a bigger ego discussion then an actual usage discussion.

We are at a time when good is good enough when fast is faster then the human causing this loss of interest into the size the PC processor.


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Through these two companies lots of popup startups and the likes have come onto the scene making widgets and apps for I-phones and YouTube, Myspace, Twitter, Facebook for social networks and companies and individuals building sites to display colorful advertising even PPC ads for the top search engines.


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The Internet for the most part is built 100% on an advertising for revenue model, that did not see the end of mass consumption coming, that time is now upon us.

Look at Yahoo and Google for search, their quarterly revenue reporting, the actual numbers only looked good through cost cutting not through advertising revenue growth and this downward trend is showing no reason “Economic Fundamentals” of letting up before a time range of 2012 through 2014.

It is tough looking forward, however not tough enough to see that though the technology industry will survive, it will not return to these prior easy revenue models of the past without retooling for the next big economic wave.

The only way to solve this issue set forth is to create new technologies that require true software and hardware engineering not just ad space.

The technology industry has been built in this past decade on advertising, being the final result for all of these companies except Apple and Microsoft that makes things.


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Apple Builds Products
Apple with a product line that is really geared more towards consumers then business, more towards being cool rather then actual technological breakthroughs. This works for Apple but it does not work for Logic.


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Microsoft Builds Products
Microsoft produces a great and reliable operating system, equally important for consumers and businesses.


Why continue to fund ad revenue business models
Large funding via VC and Angel funding into operations that are ultimately only able to use advertising as the business model not actually building products or offering any internally created services is going to end up being a dead investment.

This ad revenue approach has lead to what looks to be a workable business model but only on paper especially when consumers were consuming. This is no longer true.

We feel that the global economy that is clearly still falling has the consumer converting from a must do this or must have that type to a pay down debt and increase saving type.


The masses on our planet mainly in America are no longer consuming and borrowing just to continue consuming, more of what we call STUFF.


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Too Much Stuff
STUFF is the new word for consuming and borrowing, to get more STUFF has come full circle with the tightening of the credit markets and with the fears of not having a job, while personal net worth’s have mainly lost 50% across the board for average consumer globally, this on top of the continually falling housing values.

Buying STUFF is very yesterday as far as mass marketers should be concerned. 


Viper Logic Technology Sector Failure Prediction


When the tech bubble will burst
We know the year, it is our favorite sounding year 2010 and we feel stronger about the first quarter then the second or third quarter of 2010 being the time of the tech sector bubble bursting event.

We see the largest tech bubble as a massive disintegration to levels well beyond the bursting tech bubble of the late 1990’s, mainly in part to this overall global economic slowdown, the size of the slowdown today across all sectors did not exist during that bursting bubble time of the 90’s.


No New Creations
Lacking new technologies that would drive a real business model, not a social network built in (IM) Instant Messaging and looking at the gold rush that was to be built through Cloud Computing again, no new technology required of any proportion, has also added to the massive down grading of the computer industries importance. 


There is a solution looking forward into technology

Quality of Software Development and Software Engineers
This is not Logic writing to be disrespectful towards anyone, that is any human that is working for a living, we are happy you are contributing to the world even as engineers but what is a software engineer today is not what built or can build the technologies needed for tomorrow breakthroughs.

HTML, WEB 2.0, widget and apps are not going to do it folks we need to go into the computer again, look under the hood of today known as Windows and find the (c:>) C-Prompt, that is how Logic builds its products and that is what built the tools we are all enjoying today right down to these social networks popular only through being free.

Only through the building of actual product and services created through software development and engineering devoted to the betterment of man kind will the technology again gain its tech advantage needed for a better economic recovery.


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Web Based Software Product
Viper Logic builds products, it has a product that is beyond saving a business money it makes business money and does it for the lowest known online “Return On investment” currently in existence, meet Viper Mailer an email marketing service not the total solution but a correct step in the right Internet direction.


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Buy Hardware Download Instant Software
We wish more companies would think like Logic about building true value for the Internet when thinking up what their business model is going to become. Kindle from Amazon is another great example of providing goods and service to benefit humankind.

Ironically Kindle shares a common interest with Viper Mailer as far as them both being GREEN products, reducing paper, print and transportation waste.


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