1. This IS a big deal
60+ million U.S. users (35% + 1998)
30+ million international
Regular web surfers >
National Mag. & newspapers
Netscape, Yahoo!, ESPN > Newsweek,
Forbes or SI
2 years ago 1 million servers, today 5
million+
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The “Big Deal” is getting
Bigger
320 million web pages created in the first
5 years
Each day 1.5 million pages added
The number of web sites is doubling
every 8 months
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2. Overview of the Internet
• What is it?
– Networked computers
– Network of networks
• Who owns it?
– No one
• What can you do with it?
–
–
–
–
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E-mail
Dynamic Information Archive (Web Pages)
Conferencing
Push and/or Pull Info.
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3. Key Historical Moments
 1970’s Defense Department (DARPA) or Defense Agency
Research Project Administration
 National Science Foundation (NSFNet) e-mail
 NSF gets edgy about commercial use and turns to consortium of
networks: UUNet technologies, PSINet, Netcom, On-line
Communications, BBN Planet, and MCI
 1989 - 1990 Web idea proposed by Swiss reseacher, Tim
Berners-Lee at CERN atomic research center (software,
networking protocols
 1993, Marc Andreesen of University of Illinois develops Mosiac
 Graphics
 Windows Program
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History contin.
1994, Andreesen meets Jim Clark
“nobody makes money on the net”
“Who is going to sell the 1st phone?”
Burns up Mosiac
Beat Mosiac!
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History cont.
Names
Info suck for Browser
Info nipple for servers
Netscape
Results
UI sues, settles for $2 million instead of
stock worth $17 million
1993, 130 servers, 1.5% .com
1996, 150,000 servers, 90% .com
Microsoft, IE
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4. Typical Internet Users
Male 60%
More Wealthy ($48)
3 hours/month
Better educated
Leading On-line
Activities
 32% - E-mail
 25% - Research
 22% - News/Info.
 19% - Entertainment
 13% - Education
 8% - Chat lines/
rooms
1996 data
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The Big Web Sites (1-99)
Most popular
AOL.com
Yahoo!
Geocities
Netscape
Excite
Lycos
Microsoft
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News/Info/enter.
Zdnet
Disney Online
MSNBC
The mining Co.
ESPN.com
Pathfinder
CNN Interactive
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5. How do you make
Money?
Lower costs of
comm. with cust.
Postage
800 number
Ex. Fed Ex
Catalogues
Infinite Shelf Space
Amazon.com
1.1 million titles vrs.
170,000
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New Comm. Tools
netradio
$25 million for license
fees
Develop “evergreen”
software
Quicken
Hewlett- Packard
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$ cont.
Advertising
Weighing sacks of
mail vrs. Counting
“click throughs”
Audience profiling
Audience sizing
Banners
Organizing chaos
Yahoo!
Lycos
Infoseek
1996, 70% of
advertising $ from
sites like this
Cheap, accurate,
immediate
$15 -75$/1000 “hits”
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6. One e-business strategy
Create what the customer wants
Remember what the customer wants
Anticipate what the customer wants
Change what the customer wants
Lesson - The price for managing the
enormity of the web is giving up personal
information
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7. Web Page Issues
•
•
•
•
•
•
•
Accessibility of information
Update capability
Clutter
Information vrs. education
Accuracy
Complexity
Control
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8. Yahoo!
It’s “all about lessening the distance
between information and people seeking
it”
Jerry Yang & David Filo
14 top level categories
1000 subcategories
400,000 web sites
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Yahoo! Cont.
People driven categories not computer
parsed
So what? “Oasis”
Avoids editorial comment
KKK - Society & Culture:Alternative: White
Power instead of “hate groups”
60% of hits are hierarchial in nature
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9. Lesson learned (so far)
Shorter is better ( Slate < 1000 words)
Feedback loops are tighter & quicker
Don’t charge end users directly
Hotmailed (free e-mail)
10 million subscribers in a 15
months
Solve the inherent problems
Aggregation
Talent scout
Filtering
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Lessons cont.
The privacy issue remains a concern
What’s worth $1.7 billion?
A database that records customers’ catalogue
purchases, names, phone #, addresses, and your
online habits.
That’s what DoubleClick paid Abacus Direct Corp.
Advertisers are willing to pay 10% -20%
more for this kind of info.
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Privacy cont.
Richard Smith (digital bloodhound)
Microsoft Word digitally stamped each
document allowing access to outsiders
(ceased practice now)
Amazon.com gathered more information
than they “say”
Sprint Cell phones for the web transmit
information that cell number to the web site
(“marketer’s dream)
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Privacy cont.
What they say
What they mean (?)
 We could exchange your name
with other companies whose
products and service might
interest you
 We may use the info. we collect
to enhance your experience
 The seal on this site means we
are part of self-regulated
privacy org.
 We use the information
internally
 We automatically track info.
based on your site behavior
 The site could be selling your
information to anyone - other
sites, advertisers or direct
marketers
 The site could sharing or selling
that info. with all kinds of
marketers
 Membership may no longer be
current, no enforcement rules
 You may never get to see the
data or correct errors.
 The site may record what you
looked at, purchased, and
where you live or work
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10. Comparative Effects
Micro Level
Macro Level
 Amount of physical energy
required
 Confidentiality
 Complexity Capacity
 Time/Space constraint
 Amount of NVC
 Visual Emphasis
 Feedback Potential
 Scanability
 Timeliness






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Task comm. (easy)
Task comm. (complex)
Social Communication
Persuasion/Negotiation
Information Sharing
Consensus building
Crisis management
 Maintenance Comm.
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Close to the truth?
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