The 1990s technology-sector crash that followed the bursting of a speculative internet-stock bubble was the Dot-com crash.
During the late 1990s, investors poured money into internet companies, many of which had little revenue or no profits. Technology shares rose rapidly, and the Nasdaq Composite reached a peak of 5,048.62 on March 10, 2000.
The bubble burst as investors reassessed company valuations, interest rates rose, and many internet businesses failed to meet expectations. The Nasdaq then lost roughly 78 percent of its value from its peak to its October 2002 low. Numerous start-ups closed, while a smaller group of companies survived and later became major firms.
The crash is sometimes confused with the broader 2000–2002 bear market, which also affected established technology and telecommunications companies. The dot-com label specifically highlights the internet-focused speculation that drove the preceding boom.