Netscape failure

Netscape

Developed enterprise software solutions

Description

Netscape, or more precisely, Netscape Navigator, was one of the most significant internet applications in the history of the web. It was launched by Marc Andreessen and Jim Clark. Having built a highly innovative product and having no real competition back in 1995, the company was evaluated at $3 billion since the first day it went public and would go on to become one of the backbones to the Mozilla project.

Stats

Category
Productivity
Country
United States
Started
In 1994
Closed
By 2008
Number of Founders
Three
Name of Founders
James Clark, Jon Mittelhauser, Marc Andreessen
Number of Employees
Between 5001 And 10000
Number of Funding Rounds
1
Total Funding Amount
No Data
Number of Investors
1
Precise Cause of Failure
Poor Product
Business Outcome
Shut Down

Cause of Failure

Despite its early success, Netscape had no real chance to beat Microsoft who released IE 1.0 soon after Netscape and continued on improve on it until they finally took over Netscape and were able to offer a consistently better product than their counterpart.

Netscape eventually becomes obsolete for the most part but was, however, acquired by AOL in November 1998 for $4.2 billion. After the hire, the company tried again to release upgraded versions of the browser but the battle seemed to have already been won by Microsoft. Netscape finally decided to outsource their code which would later give rise to Firefox. AOL finally shut down Netscape in 2008.

Go on Reading

Other Startups

Startup Cemetery

A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.

Netscape

Developed enterprise software solutions

General Information
Category
Productivity
Country
United States
Started
In 1994
Business Failure
Business Outcome
Shut Down
Closed
By 2008
Cause of Failure
Poor Product
Founders & Employees
Number of Founders
Three
Name of Founders
James Clark, Jon Mittelhauser, Marc Andreessen
Number of Employees
Between 5001 And 10000
Funding
Number of Funding Rounds
1
Total Funding Amount
No Data
Number of Investors
1
Description

Netscape, or more precisely, Netscape Navigator, was one of the most significant internet applications in the history of the web. It was launched by Marc Andreessen and Jim Clark. Having built a highly innovative product and having no real competition back in 1995, the company was evaluated at $3 billion since the first day it went public and would go on to become one of the backbones to the Mozilla project.

Cause of Failure

Despite its early success, Netscape had no real chance to beat Microsoft who released IE 1.0 soon after Netscape and continued on improve on it until they finally took over Netscape and were able to offer a consistently better product than their counterpart.

Netscape eventually becomes obsolete for the most part but was, however, acquired by AOL in November 1998 for $4.2 billion. After the hire, the company tried again to release upgraded versions of the browser but the battle seemed to have already been won by Microsoft. Netscape finally decided to outsource their code which would later give rise to Firefox. AOL finally shut down Netscape in 2008.

Go on Reading

Dopplr

Social travel network service

Travel
Shut Down
No Data
Acquisition Flu
Travel
United States
In 2007
Active
Five
Between 1 And 10
No Data
Acquisition Flu
Shut Down
PepperTap

Large and fast grocery delivery service

Food and Beverage
Shut Down
$51.2M
Poor Product
Food and Beverage
India
In 2014
By 2016
Two
Between 1001 And 5000
More Than 50M
Poor Product
Shut Down
MySpace

Social network based on personal user pages

Social Media
Still Active
$37.8M
Multiple Reasons
Social Media
United States
In 2003
Active
Seven
Between 251 And 500
Between 10M 50M
Multiple Reasons
Still Active
Flud

Social news reader for different platforms

Productivity
Shut Down
$3.1M
Multiple Reasons
Productivity
United States
In 2010
By 2013
Two
Between 11 And 50
Between 1M 10M
Multiple Reasons
Shut Down
Fab

Online design marketplace

e-Commerce
Acquired
$336.3M
Multiple Reasons
e-Commerce
United States
In 2009
By 2013
Five
Between 501 And 1000
More Than 50M
Multiple Reasons
Acquired
Monitor110

Real-time internet monitoring services

Analytics
Shut Down
$17.3M
Multiple Reasons
Analytics
United States
In 2003
By 2008
One
Between 1 And 10
Between 10M 50M
Multiple Reasons
Shut Down