During the gold rush, the people that made the real money were not miners, it was the pick and shovel makers, the same is true about the internet. The above is one of the reason I'm bought the stocks I bought last week. Below is nice article that goes right along with my thinking.
Internet Builders Lead Market Recovery
hit the below link for the rest of the story.
dailynews.yahoo.com
Furthermore, you can compare the Internet to the restaurant industry of all things. I have from time to time invested in the restaurant industry. Nearly every single restaurant stocks that gets hot flames out, from over building, failure to carry out the plan, saturation of the market, or just plain old story getting stale. I see the same thing happening in the dot.com shake out for the retailers with the added problem of the old economy companies going online. I said a two years ago, that soon the term Internet company would disappear, that is happening now, since all companies will be on the net. I'm saying now the term old economy will also go to the wayside. So it's a now brainer. Why not invest the companies that will be making the Internet infrastructure, be it software, semiconductors or hardware, and not bother with the actual users of the infrastructure? Furthermore, most of us know how fast outdated high-tech gear becomes just by looking at how far PCs have come and still need to go. So as every company, (you can add household to this thinking, becomes more integrated to the Internet, the amount of equipment the become included in the constant upgrade cycle will only grow exponentially, feeding on itself. simple, very simple to see. most si'rs should know this by now....
Greg |
