| Trend of 2000 |
What's the biggest Internet Economy trend of 2000? |
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Audience Power |
The rising power of the audience. Online audiences tend to be much savvier than their offline counterparts, and are much less tolerant of traditional advertising and branding campaigns. The disparity between companies that are clueful or clueless in this respect will become glaringly obvious, and will begin to cause substantial shifts in market share. |
Christopher Locke |
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Projection |
Take every number from Forrester, Gartner and Jupiter, add them, multiply by two, and you'll have accurate predictions. That's not just a trend, it's my investment model. |
Larry Downes |
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No Such Thing |
There won't be any such thing as an "Internet company" as we've come to know it. All companies that want to add value to the marketplace will evolve into Internet companies. |
Evan I. Schwartz |
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Machine Processable |
The next decade will see, I hope, the arrival of data (such as catalogs, weather, stock prices) that will be processable and combinable by machine. It'll be the rebirth of knowledge representation, where human meets machine. At last it will be a chance for a search engine to figure out the real, logical answer to a question instead of drowning you in wild guesses. |
Tim Berners-Lee |
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Palmtop Shopping |
The most significant change will take place when people can conveniently use a palmtop computer to search for products online, compare prices and negotiate optional features while walking around normal retail establishments. |
Roy T. Fielding |
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Dot Com-munity |
If 1999 was the year of the dot-com, 2000 will be the year of the dot-community. Grassroots sites based on shared values and common interests will steal market share from the big portals. |
Andrew Shapiro |
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Valuation |
Dot-coms and e-businesses will be valued on the number of repeat customers, the lifetime value of those customers and the retention rate of those customers. Internet advertising revenues will be based on customer acquisition bounties and transaction fees, not eyeballs or click-throughs. |
Patricia Seybold |
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Location Independence |
True location independence for people. Wireless [connections] will allow for physical products - be they packages or pizzas - to be tied to you and your moving coordinates. |
Tara Lemmey |
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Interconnections |
Weaving the right interconnections between the Internet Economy and the plain old economy will become increasingly crucial. Success, in many arenas, will depend upon finding the right mixes of networks and software, brick-and-mortar facilities, and transportation. |
William Mitchell |
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Linux Dominance |
Linux and other open-source software will dominate server computing and make serious inroads into the appliance and desktop markets. The Microsoft (MSFT) monopoly will crumble. |
Eric S. Raymond |
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E-Mail |
Expect e-mail from the younger and older members of your extended family. |
Amy S. Bruckman |
| Top Three Qualities of Success |
What will be the top three qualities of successful Internet companies next year? |
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Luck |
(1) Luck; (2) luck; (3) luck. |
James Fallows |
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Customers |
(1) Enable employees to deal with customers directly, outside of any scripted control; (2) begin opening up at least parts of their intranets to public view and participation; (3) employ personalization technology to better understand and communicate with site visitors. |
Christopher Locke |
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Experiences |
(1) Providing compelling online experiences for their customers; (2) being responsive, and then some, to customer service; (3) getting that it's the marketing (satisfying customer needs at a profit) that makes you a success, not the technology. |
Donna Hoffman |
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Promises |
(1) Keep promises made to customers, employees and the Street; (2) have a real understanding of the underlying lifetime value analyses behind the business; (3) be ahead of the consolidation curve. |
Seth Godin |
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Robustness |
(1) Robustness (rather than speed); (2) rigorous affiliation with the customer (rather than e-merchandising); (3) laser focus (rather than department-store breadth). |
Philip Evans |
| Hoped for Invention |
What Internet technology do you hope will be invented this year? |
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Text to Screen |
I want to be able to think text onto a screen. |
Eric S. Raymond |
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Lightweight Laptop |
A waterproof, lightweight laptop computer with wireless connectivity that I can take to the beach without worrying about getting sand in the keyboard or water in the circuits. |
Roy T. Fielding |
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Streaming |
Streaming taste. |
Larry Downes |
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Personal Agents |
The proliferation of [artificial intelligence-] based personal agents that will free me from having to "surf" the Web. |
Don Tapscott |
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Better Tools |
Better tools for creating, manipulating and deploying metadata. |
Hal Varian |
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Transporter |
A transporter. For a networked society, we're spending too much time on planes. |
Tara Lemmey |
| What Won't Happen |
What won't happen in the Internet Economy in 2000? |
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Bubble Burst |
The bubble won't burst. |
Doc Searls |
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Not Collapse |
Appliances will not collapse the PC market. Human beings like having their own computing power, their own disk space, their own territory. |
Eric S. Raymond |
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Digital Divide |
Though many more people will have access to the Net, the digital divide won't be closed, because it has more to do with socioeconomic and educational inequality than simply whether one has access to the network. |
Andrew Shapiro |
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Profit |
Profit won't happen for anything business-to-consumer that isn't pure entertainment. |
Adam Beberg |
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Success like 1999 |
Success within the same markets as 1999. Anyone seeking to repeat the successes of this past year should be looking at new markets and unforeseen opportunities. |
Roy T. Fielding |
| Next Big Idea |
What will be the next big idea for business-to-business e-commerce? |
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Accounting |
Accounting-to-accounting relationships. |
Doc Searls |
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Cross-company |
Cross-company "undernets." |
Christopher Locke |
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XML |
Standardized product descriptions using XML. |
Hal Varian |
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Data Dictionary |
An industrywide data dictionary for MRO (the thousands of minor and irregular purchases that amount to a half-trillion dollars in industrial procurement). |
Philip Evans |
| What is Wanted? |
What will the customer of 2000 want? |
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Demand |
Respect. Demand is in charge now, not supply. People on the demand side are not "eyeballs" any more. And they'll ignore you if you treat them like body parts. |
Doc Searls |
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Integrated Experience |
An integrated customer experience: Browse and comparison-shop online, buy in the physical store; browse and purchase online, return mistakes at the physical store; browse the physical store, including the Web from the store, then buy it online at the store kiosk and pick it up at the store. All the various combinations of the above. |
Donna Hoffman |
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Not Product, Place, Price or Promotion |
The four "p"s of marketing are dead. Rather than products, customers value experiences. Rather than place, they will create relationships in the marketspace or the clicks-and-bricks interface - the "marketface." Prices can no longer be defined by sellers with the new price-discovery mechanisms. And promotion is being replaced by the forging of interactive relationships. |
Don Tapscott |
| What threatens normal business |
What threats do clicks-and-mortar businesses face that they don't know about yet? |
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Benchmarking |
The benchmarking that goes on online is ruthless. You don't have to be the best in your neighborhood; you have to be best in the world. |
Seth Godin |
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Lose People |
They will lose their key people even faster in 2000. |
Larry Downes |
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Differences |
Because real-world and Internet marketing techniques differ radically, these companies will run into the problem of sending mixed messages: one style of communications via broadcast media, and another via the Web. Increasingly, these markets overlap, and the overlapping elements of both will become either confused or angry. |
Christopher Locke |
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Business Webs |
The threats posed by unforeseen "business webs," enabled by changes in the regulatory regimes. For instance, if regulations prohibiting manufacturers from selling cars directly to consumers in the United States are repealed, what's to stop a first-tier supplier from manufacturing an exclusive CarPoint or CarsDirect vehicle that consumers order, configure and buy on the Web, and take to a business partner like Midas (MDS) for service and maintenance? |
Don Tapscott |
| E-Commerce Models |
What e-commerce business models will take hold in 2000? |
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Next Day Delivery |
Net customers will no longer be satisfied with two-day or next-day delivery. They'll frequent outlets that can deliver an order placed in the morning that afternoon. |
Patricia Seybold |
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Pay For Performance |
Pay-for-performance revenue models will be huge. |
Donna Hoffman |
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TiVo WebTV |
I think that we'll see a growing market for Replay/TiVo/WebTV technologies that will provide an interesting infrastructure for TV-based e-commerce. |
Hal Varian |
| How to Foster Innovation |
What's the best way for companies to foster innovation: acquire, invest, incubate from within, or some combination? |
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Incubate |
Incubate from within. Many companies already have tremendous talent, but they're sitting on it, preventing people from doing what they want to do. |
Christopher Locke |
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Function-rich Infrastructure |
None of the above. Because the Net provides a function-rich infrastructure, transaction costs between business entities are plummeting, enabling companies to acquire resources without owning them. |
Don Tapscott |
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Separation |
Start with a high measure of separation: new people, new entities, new business models. Then do a reverse takeover: Give the best of the innovators pillaging rights to the old-line assets. Omit the first, and you will never escape the chill hand of organizational conservatism. Omit the second, and you throw away your only competitive advantage. |
Philip Evans |
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Attitude |
Create an attitude - from the top and the bottom - that "zooming" (the art of embracing the new) is the only way. Too many Net companies zoomed with one good idea, but are now stuck by their success. They've become the companies they worked so hard to replace. |
Seth Godin |
| Impact of Globalization |
How will the globalization of business change the way Internet companies compete? |
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Fulfillment |
It will bring fulfillment to center stage. Information may flow freely across the world, but things are still stuck in old-world economics. Local fulfillment for offshore information-centric companies will be a huge opportunity. |
Philip Evans |
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Venture Capitalists |
U.S. venture capitalists will multiply their funding of local companies in Europe, Asia and developing countries. But we will find that language and cultural differences will emerge as a big barrier to cross-border commerce over the Net. Only local companies, or U.S. companies highly adapted to the local environment, will thrive. |
Evan I. Schwartz |
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Globalization |
Globalization pressure will not come from First World countries, or even from emergent Third World countries, but rather from a kind of digital Fourth World represented by the explosive proliferation of the Web itself. |
Christopher Locke |
| Impact of Appliances |
Will we see an online world centered on such devices as Internet appliances this year? If we are, what will it be like? |
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Access Devices |
There will be different sizes and shapes of access devices, and the Web will have to be engineered so that it is just as accessible from any of them. |
Tim Berners-Lee |
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Activity |
Where people should expect more Internet activity is in the simplification of existing communication products: games and e-mail. Enhancing games with more Internet features will be the norm. Likewise, special e-mail units that simply plug in to the phone or cable TV system, at a price point near that of regular phones, will become the primary access method by the end of 2000. |
Roy T. Fielding |
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Embedding |
Increasingly, intelligence and telecommunication capacity will be embedded in a wide range of everyday objects and devices. We will not think we're going online or interacting with computers when we use these devices; it will just seem [like] our everyday surroundings are more intelligently responsive to our needs. |
William Mitchell |
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Prevalence |
The first prevalent things will be set-top boxes and cell phones on the Internet, then more automobile Internet-enabling technology will show up, then much more wireless. |
Vint Cerf |
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Cheaper Hardware |
The desktop will migrate to cheaper hardware that is cost-competitive with (and coexists with) supplementary special-purpose hardware like PDAs and Web toasters. |
Eric S. Raymond |
| Impact of Always-on? |
How will the rise of "always-on" connectivity change the way the average consumer interacts with the Internet? |
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Not Conscious of Interaction |
Most of the time, we will not even be conscious that we're interacting with the Internet, just as we're not particularly conscious of interacting with the electrical supply grid. |
William Mitchell |
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Connection |
It will mean that most people will at last be able to use the Net under the same assumptions as the academics who spread it: that a computer is constantly connected and can send a packet whenever it wants. It will mean we will want our computers to be instantly on so that we can push an icon and get the weather within a second. |
Tim Berners-Lee |
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Threshold |
It lowers the threshold of how valuable a site has to be in order for people to visit it. The always- on model is more forgiving in what a site must offer to get your attention; it just takes a second to go there and see if anything is new. This should produce a more varied Net niche culture. |
James Fallows |
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Casual and Convenient |
It makes interaction more casual and more convenient, rather like the Star Trek "Computer!" commands. |
Vint Cerf |
| Impact on Video / Audio |
Even with advances in video and audio technology, the Internet is largely a words-on-screen interface. Will that change substantially in 2000? |
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Words Have Advantages |
It won't. Words have compelling advantages over point-and-click; they're a much richer mode of communication. And communication, of course, is what the Internet is about. |
Eric S. Raymond |
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Map to Thoughts |
Nothing will replace words, as they map to thoughts so well. I see the future as a wide range of media from pure text (may it live forever) to the wildest 3D and live video media. |
Tim Berners-Lee |
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Words and Images |
Words and images on screen are the most efficient way to transfer information. Entertainment will continue to occur in appliances. The computer may become part of the TV, but the TV will not become part of the computer. |
Adam Beberg |
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Waste of Resources |
It is a waste of resources to use the Internet as a broadcast medium. What will change is better control of traditional communication channels through the Internet, such that a browser control panel can "tune in," or record in advance of viewing, specific broadcasts over a traditional medium. |
Roy T. Fielding |
| Privacy Threats |
What future privacy threats should people start to think about now? |
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Location profiling |
Location-based profiling: cars, cell phones and other wireless devices that allow their location-specific information to be combined with other personal data. And biometrics: The real question in 2000 is who owns your identity and your wake. |
Tara Lemmey |
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Digital Certificates |
People should think about how increasingly ubiquitous digital certificates, depending on their design and use, can cause us to reveal more information than we intend. |
Andrew Shapiro |
| Self-governance |
Will self-governance work in the near-term? |
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Only Option |
It has to, since it's all we have. It's just a question of which "self" is acting through which mechanism of collective "governance." Is it industry regulating itself through best practices and codes of conduct? Or Internet users shaping the network through new global entities such as ICANN? Or citizens governing themselves through traditional lawmaking? In different circumstances, different forms of self-governance will be appropriate, but all must be responsive to public needs. |
Andrew Shapiro |
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Self-governance misnomer |
Self-governance is a misnomer. This period is one of testing. Not testing self-governance, but testing systems. The question will be to see where these systems have failures and how to shore them up either within the system or via technical and legal frameworks. |
Tara Lemmey |
| How can Government Help? |
How can government help rather than hurt the development of the Net? |
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Lawmakers and Officials can... |
Lawmakers and government officials can - if they act carefully - protect consumers, preserve competition, safeguard fundamental rights and ensure that the benefits of the Internet reach as many people as possible. If they don't, it's doubtful that anyone else will. |
Andrew Shapiro |
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Innovation |
By continuing to open the path for innovation - not just technical innovation but business and governance innovation - I think we'll find the courts leading in making sure we don't allow old thinking and models to get in the way of advancement, as well as [making sure] we don't let new models infringe on important rights. |
Tara Lemmey |