Economic structure; introduction "Globalization is to no small extent based upon the rise of rapid global communication networks. Some even go so far as to argue that "information has replaced manufacturing as the foundation of the economy". Indeed, global media and communication are in some respects the advancing armies of global capitalism." (Robert McChesney, author of "Rich Media, Poor Democracy") "Information flow is your lifeblood." (Bill Gates, founder of Microsoft) The usefulness of information and communication technologies increases with the number of people who use them. The more people form part of communication networks, the greater the amount of information that is produced. Microsoft founder Bill Gates dreams of "friction free capitalism", a new stage of capitalism in which perfect information becomes the basis for the perfection of the markets. But exploitative practices have not disappeared. Instead, they have colonised the digital arena where effective protective regulation is still largely absent. Following the dynamics of informatised economies, the consumption habits and lifestyles if customers are of great interest. New technologies make it possible to store and combine collected data of an enormous amount of people. User profiling helps companies understand what potential customers might want. Often enough, such data collecting takes place without the customer's knowledge and amounts to spying. "Much of the information collection that occurs on the Internet is invisible to the consumer, which raises serious questions of fairness and informed consent." (David Sobel, Electronic Privacy Information Center) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
1800 - 1900 A.D. 1801 Invented by Joseph Marie Jacquard, an engineer and architect in Lyon, France, punch cards laid the ground for automatic information processing. For the first time information was stored in binary format on perforated cardboard cards. In 1890 Hermann Hollerith used Joseph-Marie Jacquard's punch card technology to process statistical data collected during the US census in 1890, thus speeding up US census data analysis from eight to three years. Hollerith's application of Jacquard's invention was used for programming computers and data processing until electronic data processing was introduced in the 1960's. - As with Paper tapes are a medium similar to Jacquard's punch cards. In 1857 Sir Charles Wheatstone used them for the preparation, storage, and transmission of data for the first time. Through paper tapes telegraph messages could be stored, prepared off-line and sent ten times quicker (up to 400 words per minute). Later similar paper tapes were used for programming computers. 1809 With Samuel Thomas Soemmering's invention of the electrical telegraph the telegraphic transmission of messages was no longer tied to visibility, as it was the case with smoke and light signals networks. Economical and reliable, the electric telegraph became the state-of-the-art communication system for fast data transmissions, even over long distances. Click 1861 The telephone was not invented by Alexander Graham Bell, as is widely held, but by Philipp Reiss, a German teacher. When he demonstrated his invention to important German professors in 1861, it was not enthusiastically greeted. Because of this dismissal, he was not given any financial support for further development. And here Bell comes in: In 1876 he successfully filed a patent for the telephone. Soon afterwards he established the first telephone company. 1866 First functional underwater telegraph cable is laid across the Atlantic 1895 Invention of the wireless telegraph | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advertisers and Marketers Perspective With the rapid growth of the Internet and its audience advertisers now have a new medium at their disposal. The placement of the first banner ads in 1994 marks the birth of Internet advertising. Although the advertising industry at first hesitated to adopt the new medium, two facts brushed away their doubts: Migrating Television Audiences: The increased use of the Internet led people to redistribute their time budget. Whereas some cut down on eating and sleeping, more than a third reduced watching television and instead uses the WWW. Interesting Internet Demographics: While methodologies and approaches of research organizations studying the demographic composition of the Internet vary, the findings are relatively consistent: Internet users are young, well educated and earn high incomes. Considering those findings, the Internet in the first place seems to become inevitable to be included in media planning, as part of the audience shifts from TV to the WWW, and secondly, because demographics of the Internet user population are irresistible for marketers. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acessing the Internet The Net connections can be based on wire-line and wireless access technolgies.
Usually several kinds of network connections are employed at once. Generally speaking, when an E-mail message is sent it travels from the user's computer via copper wires or coaxial cables Satellite communication Although facing competition from fiber-optic cables as cost-effective solutions for broadband data transmission services, the space industry is gaining increasing importance in global communications. As computing, telephony, and audiovisual technologies converge, new wireless technologies are rapidly deployed occupying an increasing market share and accelerating the construction of high-speed networks. Privatization of satellite communication Until recently transnational satellite communication was provided exclusively by intergovernmental organizations as Scheduled privatization of intergovernmental satellite consortia:
When Intelsat began to accumulate losses because of management failures and the increasing market share of fiber-optic cables, this organizational scheme came under attack. Lead by the USA, the Western industrialized countries successfully pressed for the privatization of all satellite consortia they are members of and for competition by private carriers. As of February 2000, there are 2680 satellites in service. Within the next four years a few hundred will be added by the new private satellite systems. Most of these systems will be so-called Low Earth Orbit satellite systems, which are capable of providing global mobile data services on a high-speed level at low cost. Because of such technological improvements and increasing competition, experts expect satellite-based broadband communication to be as common, cheap, and ubiquitous as satellite TV today within the next five or ten years. Major satellite communication projects
Source: Analysys Satellite Communications Database | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
An Economic and therefore Governmental Issue While the digital divide might bring up the idea that enterprises will be able to sell more and more computers during the next years another truth looks as if there was no hope for a certain percentage of the population to get out of their marginalization, their position of being "have nots". Studies show that the issue of different colors of skin play a role in this, but more than "racial" issues it is income, age and education that decides about the have and have nots. There exist ~ 103 million households in the USA. ~6 million do not even have telephone access. Why should they care about computers? The digital divide cuts the world into centers and peripheries, not into nations, as it runs through the boarder between the North and the South as well as through nations. The most different institutions with various interests in their background work in that field; not rarely paid by governments, which are interested in inhabitants, connected to the net and economy. see also: Searching information about the digital divide one will find informations saying that it is growing all the time whereas other studies suggest the contrary, like this one | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Economic structure; transparent customers Following the dynamics of informatised economies, the consumption habits and lifestyles if customers are of great interest. New technologies make it possible to store and combine collected data of an enormous amount of people. User profiling helps companies understand what potential customers might want. Often enough, such data collecting takes place without the customer's knowledge and amounts to spying. "Much of the information collection that occurs on the Internet is invisible to the consumer, which raises serious questions of fairness and informed consent." (David Sobel, Electronic Privacy Information Center) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Kessler Marketing Intelligence (KMI) KMI is the leading source for information on fiber-optics markets. It offers market research, strategic analysis and product planning services to the opto-electronics and communications industries. KMI tracks the worldwide fiber-optic cable system and sells the findings to the industry. KMI says that every fiber-optics corporation with a need for strategic market planning is a subscriber to their services. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
United Brands Company American corporation formed in 1970 in the merger of United Fruit Company and AMK Corporation. United Fruit Company, the main company, was founded in 1899 producing and marketing bananas grown in the Caribbean islands, Central America, and Colombia. The principal founder was Minor C. Keith, who had begun to acquire banana plantations and to build a railroad in Costa Rica as early as 1872. In 1884 he contracted with the Costa Rican government to fund the national debt and to lay about 50 more miles of track. In return he received, for 99 years, full rights to these rail lines and 800,000 acres of virgin land, tax exempt for 20 years. By 1930 it had absorbed 20 rival firms and became the largest employer in Central America. As a foreign corporation of conspicuous size, United Fruit sometimes became the target of popular attacks. The Latin-American press often referred to it as el pulpo ("the octopus"), accusing it of exploiting labourers, bribing officials, and influencing governments during the period of Yankee "dollar diplomacy" in the first decades of the 20th century. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Chrysler Corporation American automotive company first incorporated in 1925 and reorganized and newly incorporated in 1986. It has long been the third largest automaker in the United States (after General Motors and the Ford Motor Company). Founded by Walter P. Chrysler, it took over the business and properties of Maxwell Motor Company, Inc. (first formed in 1913). Today its major subsidiaries include Chrysler Automotive Operations, Inc., which manufactures Plymouth, Dodge, and Chrysler passenger cars, Dodge trucks, and auto parts and accessories; and the Chrysler Financial Corporation. Headquarters are in Highland Park, Mich., U.S. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Local Area Network (LAN) A Local Area Network is an office network, a network restricted to a building area. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Automation Automation is concerned with the application of machines to tasks once performed by humans or, increasingly, to tasks that would otherwise be impossible. Although the term mechanization is often used to refer to the simple replacement of human labor by machines, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CIM To perform manufacturing firm's functions related to design and production the CAD/CAM technology, for computer-aided design and computer-aided manufacturing, was developed. Today it is widely recognized that the scope of computer applications must extend beyond design and production to include the business functions of the firm. The name given to this more comprehensive use of computers is computer-integrated manufacturing (CIM). | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||