Intellectually, that is, as opposed to financially. Most people attending South By Southwest Interactive admit that they're there for the chance to hang out in Austin with the same Internet buddies they hang out with in San Francisco and Brooklyn. Without the parties, what's the point? That's always been the case with South By Southwest. It's just that with the economy prostrate and the social-networking bubble thoroughly popped, there's not even money to skim from the froth.

There's still enough money to pay for tickets to Austin, of course. But in good times and bad, SXSW has always suffered from a lack of purpose. The music and film festival which gave birth to it has real songs and real movies to talk about. The attendees of SXSW Interactive have nothing to look at but each other, and nothing to listen to but their own kind. Surely that explains why it ends up being a group grope of self-congratulation over little at all.

Ah yes, the bubbly parties. Facebook threw a party celebrating the launch of a tool for linking Facebook friends to iPhone apps, completing the circle of two recent technological fads. And Dennis Crowley's Foursquare — which may be based on code he sold to Google, his former employer — facilitated so-called "flash parties" at bars for those who couldn't get on the official party invite lists, or didn't care to wait in line. Kevin Rose, the founder of Digg, launched Wefollow.com, a directory of users for Twitter, to help navigate the mess of messages broadcast on the service.

In other words, the best and brightest of Silicon Valley and Silicon Alley are working on iterations of existing software for the most frivolous of purposes. There's not even a fundamental innovation in this round of tweaks meant to help you waste time more efficiently. (Gawker Media, the publisher of Gawker and Valleywag, threw a party of its own — but at least my colleagues were open about their intentions, which seemed to involve getting a bunch of geeks liquored up.)

It all reminds me of Camp Cyprus — the group of 20 Web cognoscenti, a gaggle of Facebookers and startuppers and wantrepreneurs who flew to a rich kid's dad's vacation home on the Mediterranean last fall and created a video of them cavorting in swimsuits to celebrate their own brilliance to the tune of Journey's "Don't Stop Believin'." It was an incredibly tone-deaf gesture at a time when Wall Street was imploding and people were losing their jobs.

Except the economy hasn't gotten any better. And South By Southwest Interactive has more than 10,000 attendees. So doesn't that make its excesses 500 times worse?

A few people had the sense to avoid this particular trainwreck. Ev Williams, the CEO of Twitter, gave it a pass — even though the tech crowd at SXSW did so much to popularize his status-updating service. That the likes of Rose and Crowley are the stars of this year's South By speaks to how far it has fallen.

I first attended South By Southwest a decade ago, when the dotcom boom had 12 months left to run. Mark Cuban, then the head of Broadcast.com, gave a keynote speech about Internet video; he sold his Web-video startup, Broadcast.com, to Yahoo a month later for $5.7 billion. Under Yahoo's ownership, Broadcast.com went on to not be YouTube.

The difference between then and now: Thanks to the delusions of public-market investors, there was actually money to be made from what Internet insiders admitted were inanities. Now there's no money and no hope of making it. There's just the frivolity left.

Videographer Richard Blakeley quizzed bloggers on the highlights and lowlights of this year's South By Southwest.

Scenes from South By Southwest: (photos by Scott Kidder and James Del)

Tumblr founder David Karp has a new Tumblrette, Stephanie Wei! Update: Okay, we've gotten this whole who's-David-Karp-dating thing straight. Stephanie Wei was recently spotted with Karp at a birthday party for Briana Swanson. A tipster explains:

Karp is most definitely dating Stephanie Wei though, to the annoyance of many. Her friends were calling and emailing me asking if he was gay or not a couple of weeks ago, and now they complain that she's always with him.

Karp's sex life sure is confusing!
Pop17's Sarah Austin shows off her intellectual property.

Former Valleywag editor Nick Douglas puckers up to Laughing Squid's Scott Beale.

Lifehacker editor Adam Pash demonstrates how to open a beer bottle with a piece of paper.

Wine Library TV's Gary Vaynerchuk and "friend," which is caption-writer code for "we don't know who this is" very important person Becca Camp.

Facebook employees pop champagne with sparklers, just in case you missed the point that they were drinking champagne.

CollegeHumor's Ricky Van Veen and Tumblr's David Karp attempt to locate South By Southwest's point.

In our world of social networking and high-definition television, Mark Cuban is the 1,000-pound gorilla in every room. But in the boardrooms of professional sports, he's just this punk Internet new money kid who doesn't understand how proper decorum and deals get made. And Mark Cuban is almost 50 years old! He's old enough to be Mark Zuckerberg's dad!

• Don't start a company unless its an obsession you love.
• If you have an exit strategy, its not an obsession.
• Hire people who will love working.
• Know how your company will make money.
• Know your core competencies and pay up for people. Outside core competencies, hire people cheap
• Shoot yourself before you spend money on an expresso machine.
• No offices. There is nothing private in a start up.
• As far as technology, go with what you know.
• Keep the organization flat.
• Never buy swag.
• Never hire a PR firm.
• Make the job fun for employees. Reward them. My first company, I would walk around handing out 100 dollar bills to salespeople.

In his defensive article, Cuban embedded a 1999 video about the site. There's one important shot in that video: A user selects from a range of bandwidths from 14.4K to 56.6K.

That's the first advantage YouTube has over Broadcast.com: Eight years ago, the millions of Internet users now on YouTube didn't have the high-speed connection needed for decent video. Broadcast's streams would come through in slow, stamp-sized video. It was crap, and it was no replacement for TV.

Of course, there was also the problem of formats; until flash video came a couple of years ago, users couldn't reliably view videos without guessing whether their computers would play Quicktime, Windows Media, or Real files. (This problem still hasn't disappeared.)

There are plenty of other reasons that Broadcast failed while YouTube thrives: Viewers weren't ready for video ads on the Internet, Broadcast's sports offerings were unequivocally worse than readily available sports TV, long-play web video still isn't viable eight years later, and Broadcast didn't promote user-created video the way Youtube does. And at YouTube, no one has to deal with a loudmouth boss like Mark Cuban.

On Geek Entertainment TV, the fun video blog hosted by faux-clueless Irina Slutsky (a master at cutting through buzzwords and making tech sound dirty), dot-com billionaire Mark Cuban recaps his talk to the Consumer Electronics Association. Topics include MySpace perverts, drunk e-mail checking, advanced TV tech, and how his startup Broadcast.com was different from YouTube (sure it was: YouTube is actually worth something).

Mark wants you to watch CuTube [Geek Entertainment TV]