Comments from Edelman Worldwide CEO Richard Edelman to PRWeek's
Reputation.com conference have provoked a tough response from the
dot.com communications sector.
Speaking at the event earlier this month, Edelman told delegates that
the PR industry had been a partner in the 'gold rush' mentality that
drove share prices in the rash of start-ups through the roof.
According to Edelman, whose firm has been the subject of recent takeover
speculation after numerous meetings with Publicis CEO Maurice Levy, the
industry was responsible for creating 'hype and buzz at all cost ...
failing to demand accountability and test the claims.'
He concluded by referring to the effect of PR on investors: 'I'm not
sure that without the hype and press these guys would have spent the
Citigate Technology MD David Joseph disputed the claims, suggesting that
'the media were more than willing to jump on the bandwagon without the
work of publicists'.
He added that he believed a second wave of dot.com firms would follow,
adding: 'Every revolution has casualties, and that has nothing to do
with the hype surrounding it.'