In an interview with Politico, Henry Blodget—the founder and editor of Business Insider—gave his thoughts on the digital media bubble, or lack thereof.
His take isn’t groundbreaking, but it’s interesting nonetheless. Blodget said that the bubble is more of a cycle, and yes, it’s probably going to give. Also, some digital media companies will prevail over legacy companies.
Blodget is in a good place to discuss this subject, as his company was recently purchased by Axel Springer for $343 million.
“I don’t think we’re in a ‘bubble,’ per se, but this industry is cyclical, and I think we’re near the peak of this cycle,” Blodget explained. “At some point, boom will turn to bust, and then there will be a lot of consolidation. That consolidation will include legacy media, too, by the way. In fact, at some point, I expect digital leaders to absorb some of the legacy companies.”