Kleiner: Web 2.0 is so over, dude

by Mathew on November 5, 2007 · 6 comments

So a partner at Kleiner Perkins, one of the premier Silicon Valley investment firms, has apparently told Tom Foremski of Silicon Valley Watcher that they have “no interest in funding Web 2.0 companies any more.” For Web 2.0 devotees, this is a little like King Arthur telling you he’s really not that hot on the whole Grail thing any more, and you can stop looking now.

I wasn’t really aware of Kleiner Perkins doing all that much investing in Web 2.0 companies, actually. I always thought of them as playing in the big leagues — the Googles, the Ciscos, etc. But whatever. I guess the party is over now, right? Kleiner has taken away the punch bowl. All those startup CEOs hoping to get rich quick can go back to working at Kinko’s or whatever they were doing before Web 2.0 came along.

As far as I’m concerned, if KP’s comment means less money flowing into questionable startups with no business plan and a stupid name that’s missing a bunch of vowels, I’m all for that. I’m going to side with Tim O’Reilly, who posted a comment on Tom’s blog saying:

“If a company needs to identify itself as a “Web 2.0″ company rather than describing the problem they are solving, or the opportunity they are creating, then they are just playing the buzzword game, and aren’t worth investing in.”

If that’s what the Kleiner Perkins guy meant when he told Tom that they’re not interested in financing Web 2.0 companies any more, then I think he’s into something.

  • http://www.livedigitally.com Jeremy Toeman

    Did they say anything about Web 3.0? Cuz I’ve got this killer Twitter-meets-semantic-Web social networking video sharing platform I’m building…

  • http://www.onebigu.com Eric

    “Web2.0″ may be a little dry now, but the Web in general sure isn’t. Online advertising is still posting healthy gains, and hypertargeted ads (or ‘social ads’) in social networks is just going to further drive the growth rate upwards.

  • http://rickmahn.com/ Rick Mahn

    Mathew, what’s with all the “dude” references? :-D

    Agreed on the web 2.0 financing stuff tho!

  • Mathew

    Hey — I haven’t used the word “dude” in a headline since February!

  • http://joeduck.com Joe Duck

    startup CEOs hoping to get rich quick can go back to working at Kinko’s ….

    … where they’ll work hard for 3000 years making 3 trillion copies to repay their 5 million round of VC funding. That’s a virtuous cycle, right?

  • Tom Foremski

    The interesting thing about my post about funding Web 2.0 companies is that we don’t have a definition of the term Web 2.0. Which doesn’t really matter, because we are now in a 2.5ish transition to something new… Come to our 2.5 Web conference in SF in December :-)

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