On-line Advertising and the Internet Content Industry

Applied to on-line content the advertising model leads to similar problems like in the traditional media. Dependence on advertising revenue puts pressure on content providers to consider advertising interests. Nevertheless new difficulties caused by the technical structure of online media, missing legal regulation and not yet established ethical rules, appear.

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Individualized Audience Targeting

New opportunities for online advertisers arise with the possibility of one-to-one Web applications. Software agents for example promise to "register, recognize and manage end-user profiles; create personalized communities on-line; deliver personalized content to end-users and serve highly targeted advertisements". The probably ultimate tool for advertisers. Although not yet widely used, companies like Amazon.Com have already started to exploit individualized audience targeting for their purposes.

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Advertising and the Media System

Media systems (especially broadcasting) can be classified in two different types:

Public Media Systems: Government control over broadcasting through ownership, regulation, and partial funding of public broadcasting services.

Private Media System: Ownership and control lies in the hands of private companies and shareholders.

Both systems can exist in various forms, according to the degree of control by governments and private companies, with mixed systems (public and private) as the third main kind.

Whereas public media systems are usually at least partially funded by governments, private broadcasting solely relies on advertising revenue. Still also public media systems cannot exclude advertising as a source of revenue. Therefore both types are to a certain degree dependent on money coming in by advertisers.

And this implies consequences on the content provided by the media. As the attraction of advertisers becomes critically important, interests of the advertising industry frequently play a dominant role concerning the structure of content and the creation of environments favorable for advertising goods and services within the media becomes more and more common.

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PGP

A cryptographic software application that was developed by Phil Zimmerman at the Massachusetts Institute of Technology. Pretty Good Privacy (PGP) is a cryptographic product family that enables people to securely exchange messages, and to secure files, disk volumes and network connections with both privacy and strong authentication.

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Enigma

Device used by the German military command to encode strategic messages before and during World War II. The Enigma code was broken by a British intelligence system known as Ultra.

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Coca-Cola Company

American corporation founded in 1892 and today engaged primarily in the manufacture and sale of syrup and concentrate for Coca-Cola, a sweetened, carbonated beverage that is a cultural institution in the United States and a symbol around the world of American tastes. The company also produces and sells other soft drinks and citrus beverages. Corporate headquarters are in Atlanta, Ga. The post-World War II years saw diversification in the packaging of Coca-Cola and also in the development or acquisition of new products. In 1946 the company purchased rights to the Fanta soft drink, previously developed in Germany. It introduced the lemon-lime drink Sprite in 1961 and the sugar-free cola Tab in 1963. By purchase of Minute Maid Corporation in 1960, it entered the citrus beverage market. In 1982 the company acquired a controlling interest in Columbia Pictures, a motion picture and entertainment company, but sold its interest to Sony Corporation in 1989.

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