Internet Bubble About to Burst - Researchers (Telegraph)

[DrewWilson]

Dozens of social networking companies could fail next year as digital advertising slows and a new type of dotcom bubble threatens to burst, according to research from consultants Deloitte

Surviving websites may be forced to supplement their revenue with pay-subscriptions, selling members' data or extra financing, the researchers said.

The gloomy forecast comes as growth predictions for digital advertising have halved from 17.2pc to 7.2pc for next year, according to eMarketer.

The Deloitte research shows that as revenue declines, the cost of storing electronic data has soared to more than $100m (£68m) a year for larger sites, as users increasingly want to upload memory-hungry photos and videos.

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What? The world ran out of idiots who are willing to buy "products" from scam sites? When did this happen???