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The tech bubble, not to be confused with the very different dotcom bubble, is apparently about to burst.

The bubble is arguably going to do a great deal more damage than the dotcom bubble burst in 2000, according to some experts including entrepreneur Mark Cuban.

So what exactly is this tech bubble they speak of?

Financially speaking of course, this bubble refers to technology stocks and the market rise of speculation within them. The highlights are shown by price growth and high valuations within companies, based on standard metrics, such as a price/earnings ratio or price/sales. And, Forbes has a way of explaining it through a five-step process, including displacement, boom, euphoria, profit taking, and last but not least, panic.

Techcrunch reported the industry is in extreme denial about how extreme this can get, with experts from a few different sectors explaining their concerns.

With plenty of sources reporting the tech bubble is about to pop in 2015, some are still leaning towards the fact that the bubble does not really exist, but you should still you know, worry. So what is the real answer for private technology companies, also known as “unicorns?”

Some of these unicorn companies include, Snapchat, Uber and 116 more amounting to an estimated $439 billion, according to CB insights.

Others have reported some similar cases, that we may not actually be in the tech bubble, as they believe technology investments today favor the private market.

are we in a tech bubble

There really isn’t a definitive answer to this tech bubble logic. Will tech industry leaders admit it is on the verge of bursting or will it last a few more years and this is all just speculation? Many will argue that structural changes need to take place because of a high increase in valuations, but who knows if this will happen.

the tech bubble

Either way, the bubble will always burst, and repeat cycles could lead to it popping sooner rather than later.

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