The dot-com bubble was the U.S. speculative bubble that burst in 2000 after technology stocks surged.
Investors poured money into internet and technology companies, often valuing businesses on expected future growth rather than profits. The Nasdaq Composite reached its peak close of 5,048.62 on March 10, 2000.
Many companies had limited revenue, weak business models, or no path to profitability. When confidence changed, technology shares collapsed, venture funding dried up, and numerous internet companies failed or were acquired.
The crash did not make every technology investment worthless. Companies with durable products, strong cash flow, or useful infrastructure eventually recovered and helped drive later technology growth. The dot-com bubble is distinct from the 2008 housing and credit crisis.