The bubble has burst or what ?  Max Bleyleben over at Technofile Europe feels the party is over. "As I have commented before, most of the $1.5bn VCs have thrown at Web 2.0 startups went into cutesy but useless Web services.  Some went into infrastructure and enterprise services, but most of these didn't have defensible technology and were too easy to replicate"

Eric Schonfeld seems to concur.  "But did Web 2.0 deals peak last year? Take out the $300 million raised by Facebook, and the amount invested was up only 46 percent, a marked slowdown from the 132 percent dollar growth the year before. "

Martin Lamonica of Cnet says "Silicon Valley remains the hotbed of Web 2.0 activity, but the hipness of start-ups with goofy names is starting to cool in the face of economic reality. "

It's amazing how much money chases hype only to have the bubble burst. Yet again. Even the 17'th century had it's own bubble. The Tulip bubble. According to the Wiki "Tulip mania or tulipomania was a period in the Dutch Golden Age during which contract prices for bulbs of the newly introduced tulip reached extraordinarily high levels and then suddenly collapsed." You can read about it here.