The Dot Com Bubble occurred due to a combination of factors. The advent of the Internet created a frenzy of investment in new technology and e-commerce companies. Investors believed that these companies would revolutionize the economy and lead to unprecedented growth. The low interest rates of the late 1990s made capital more accessible, encouraging investments in speculative ventures. The lack of understanding of the actual business models of these companies, coupled with the overvaluation of their stocks, contributed to the bubble.