"There are three kinds of investment," says Microsoft's Reeves. "There's an investment that's correctly priced, that everybody agrees on. There's an investment that's exuberantly priced, so most people think that the price is good but perhaps not the majority and then there's the overpriced investment. That's the investment where only one person thinks the price is right and usually spends rest of his or her life explaining why."
"I think we're in the exuberance phase," he continues. "But I don't think we're heading for a crash."
Opinions are great, but what about the justification. Reeves outlines his argument. "Remember Yahoo!?" he asks. "Microsoft offered $31 a share in 2008. Now the share price has slid down to $10. But was it over-valued? No. Back then, it delivered real economic value. It was a totally unique way or ordering the web. Pre-Google, it was the only way to get access to the assets of the web.
"I believe that the LinkedIns, Groupons, Facebook are also doing something different. I don't think they are priced exactly right but they are delivering value."
So there you have it. The Microsoft line on the possibility of a dotcom bubble.