In This Issue:
1. Editor's Note: Wishing I Was At The Web 2.0 Conference
2. Today's Top Story
- Author: Google's Patents Reveal Strategy To Beat Microsoft
- Microsoft's Ballmer To Meet With EU Regulators
- Microsoft Vs. Google: Beauty In The Eye Of The Beholder
- Yahoo Accused Of Stealing Trade Secrets
3. Breaking News
- Symantec, Microsoft Duke It Out In Data-Protection Arena
- Some Voluntary Collection Of Internet Sales Taxes Starts Saturday
- Dell Halts Some Free Shipping
- RIAA Sues Another 750 For File Sharing
- Cisco Spending $12.5M To Buy Nemo
- Big Hurdles Remain For VoIP Deployments: Industry Panel
- Sony, SanDisk Push Micro Memory Stick
- U.S. Insists On Keeping Control Of Web
4. In Depth: Security
5. Voice Of Authority: Oracle
6. White Papers: E-Mail Administration
7. Get More Out Of InformationWeek
8. Manage Your Newsletter Subscription
Quote of the day:
"My favorite thing about the Internet is that you get to go into
the private world of real creeps without having to smell them." -- Penn Jillette
1. Editor's Note: Wishing I Was At The Web 2.0 Conference
I am a sad little cowpoke this Monday morning, because my
colleagues Tom Claburn and Aaron Ricadela get to go to the Web
2.0 conference this week and I don't. I will instead feel sorry
for myself, sit in the garden and eat worms ... and read Tom's
and Aaron's articles eagerly as they come in.
I only discovered the Web 2.0 phenomenon recently. I'd heard the
phrase for years, but ignored it because it struck me as one of
those annoying little buzzphrases that the net-heads come up
with. The net-heads are almost as bad as marketing people for
coming up with buzzphrases. The net-heads gave us the word
"blog," which resembles a sound that your mother would slap you
for if you made it at the dinner table.
But my eyes were opened by a conference call a few weeks ago, put
on by O'Reilly Media, the sponsors of the Web 2.0 conference. (We
podcast the call here) The first couple of minutes were
deadly dull, but then things picked up rapidly.
Tim O'Reilly, founder and CEO of the company, explained that the
idea for Web 2.0 was born around the time of the dot-com bust.
"Many technologies have their full flowering after a bust," he
said. The personal-computer industry went through a similar
boom-and-bust cycle in the early '80s, and many people back then
said the personal computer was just a fad.
Companies that survived and prospered after the dot-com bust,
including Yahoo, Google, Amazon.com, and eBay, weren't just
smarter than the companies that went bust. Their business model
was fundamentally different. In the Web 1.0, the user was
consuming content created by someone else. In Web 2.0, the
content is created by the user. 1.0 is an "architecture of
consumption," and "read-only," the Web 2.0 is "architecture of
participation," O'Reilly said. On the old Web, the user is the
audience; in the new Web, the user is participant.
"In Web 1.0, everybody was trying to build 'walled gardens,' find
ways to keep sites 'sticky,' keep people in," O'Reilly said. The
Web 2.0 is about pushing content -- and users -- out to find,
explore, and organize interesting and useful things elsewhere on
the Web. For example, the Flickr photo-sharing sites provides a
platform to allow users to publish photos to other sites.
Now, at this point in the podcast I'm getting very excited,
because I'd written about this stuff a few weeks earlier. I
called it "user-created content". I said: "You
want to know where the big money is coming from on the Internet
nowadays? Look in the mirror. Online businesses are increasingly
finding revenue in capturing content from users like you.
Companies are making money by providing tools and services that
let you write stuff, take pictures, organize your information,
and publish it to the Web." I cited as examples: blogs and the
companies that make the software and services to publish blogs;
photo-sharing services like Flickr, community-bookmarking
services like del.icio.us, online organization services like
Backpack, and social-networking services like LinkedIn and Orkut.
I didn't consciously realize that O'Reilly and a lot of other
people were thinking along the same lines, but it's not really
surprising. Sometimes ideas are just in the air.
Another component of Web 2.0 is the "Long Tail," where merchants make money
online with products for which demand is too small to be carried
by brick-and-mortar stores. EBay sells products for every
microscopic niche you can imagine. Google brought that
mentality to advertising using AdSense, allowing tiny little Web
sites to carry advertisements by making signing up for the
AdSense network a self-service process.
The Web 2.0 philosophy extends into the software industry, by
providing software as a service over the Web. Google tries out
new features without a revenue model, by posting new services to
the Web. If users like the service, they figure out a way to
build a business out of it, O'Reilly said.
That model leaves companies like Microsoft, which churns out
huge, monolithic software apps every couple of years, struggling,
Then, with a magisterial sweep of his hand, O'Reilly categorized
multibillion-dollar Internet companies by whether they fit into
the 2.0 model. Google, he said, is definitely a 2.0 company -- it
built its business on cataloging how users cross-linked sites on
Yahoo, he said, is a 1.0 company that understands that 2.0 is the
next big thing, and it's scrambling to fit the new world without
breaking their business model. "It's a rigorous company when it
comes down to business model. They don't do things unless they
can make money, which is the opposite of Google, which makes
something and then sees if the business model exists," O'Reilly
said. Yahoo bought Flickr as much for the Web 2.0 expertise of
its creators as for its existing technology.
America Online was a pioneering Web 1.0 company in the mid-'90s,
but never really fully embraced the Web. They have a long way to
go to catch up.
Here at InformationWeek we've been struggling with what
this all means for us and other online journalism practicioners.
The traditional journalism process is a mix of 1.0 and 2.0. For
the past century, journalism has consisted of a participatory
element, which is very Web 2.0-ish, where the journalist
synthesizes comments and information from everyone involved in
the story. Journalism is also like Web 1.0, in that the
journalist then writes up an article, which is consumed by the
reader acting as audience. We're currently working on a site
redesign and a few new projects which should liven up
InformationWeek online and make it more useful and
interesting to our community of readers and participants, and
we'd like to apply some of the best principles of Web 2.0 to what
we're doing. We've already got some easy ideas: Improving the
discussion technology for the blogs and discussion forums, and
improving RSS feeds. We're working on them, along with some other
things we're not ready to talk about yet. Got any of your own
ideas? Let us know.
According to "The Google Legacy," history is about to repeat
itself. Microsoft today is where IBM was years ago. And Google is
in a position to do to Bill Gates what he did to IBM. The result
could be a new industry kingpin.
Cisco Spending $12.5M To Buy Nemo
Cisco Systems on Friday said it plans to acquire Nemo Systems in
a deal that will add network memory technology to its portfolio
and enhance its core switching platforms and service modules.
U.S. Insists On Keeping Control Of Web
Some countries have been pushing for the United Nations to take a
bigger oversight role, but a U.S. government official calls that
notion "unacceptable." The question now: How can developing
nations get their share of the Internet?
A Week's Worth Of Dailies--All In One Place
Have you missed an issue or two of the InformationWeek Daily? Or
want to check out some recent quotes of the day? Check out our
all-new Daily newsletter archive page and get caught up quickly.
Lonesome PCs pose a security risk that enterprises underestimate,
a research firm said this week. Making matters worse,
corporations just don't pay attention to the major security
hazard of unattended workstations, according to Gartner research
vice president Jay Heiser.
Red Hat To Seek Trusted OS Status
Red Hat Enterprise Linux 5, due at the end of 2006, is expected
to become the first "trusted" Linux, a high-level security certification
that could open partners' Linux business with the government.
Larry Greenemeier says: After four years in the middleware
business, Oracle came to New York to tell everyone that they're
in the middleware business. Sound confusing? No more confusing
than re-branding their middleware products under the banner
"Fusion Middleware," which is not the same thing as "Project
Fusion." Clever wordplay aside, Oracle is looking for a new
growth engine and has locked in on middleware that can integrate
all of the applications it offers as well as the one or two it
hasn't yet bought. Oracle executives also had some interesting
things to say about open source and Salesforce.com. And there is
absolutely no truth to the rumor that Oracle is buying IBM and
Microsoft ... yet.
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