Virtual cartels, oligopolistic structures Global networks require global technical standards ensuring the compatibility of systems. Being able to define such standards makes a corporation extremely powerful. And it requires the suspension of competitive practices. Competition is relegated to the symbolic realm. Diversity and pluralism become the victims of the globalisation of baroque sameness. The ICT market is dominated by incomplete competition aimed at short-term market domination. In a very short time, new ideas can turn into best-selling technologies. Innovation cycles are extremely short. But today's state-of-the-art products are embryonic trash.
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Actual Findings on Internet Advertising Although Web advertising becomes a significant portion of marketing budgets, advertisers are still unsure on how to unlock the potential of the Internet. Current findings show that: - Consumer brands spend only a fraction of their advertising budget on on-line advertising. - Technology companies spend five times more on advertising in the WWW. - While banner campaigns are still popular, there is no standardized solution for on-line advertising. - Ad pricing is based on CPM (costs per 1.000 visitors), rather than on results. - Personalized targeting has not yet taken hold. Instead advertisers mainly target on content. At the moment three dominant models are used for Internet advertising: Destination Sites: They use entertainment, high production values and information to pull users in and bring them back again. Micro Sites: Content sites or networks host small clusters of brand pages. Banner Campaigns: Those include other forms of Web advertising like sponsorships. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Virtual cartels; mergers In parallel to the deregulation of markets, there has been a trend towards large-scale mergers which ridicules dreams of increased competition. Recent mega-mergers and acquisitions include SBC Communications - Ameritech, $ 72,3 bn Bell Atlantic - GTE, $ 71,3 AT&T - Media One, $ 63,1 AOL - Time Warner, $ 165 bn MCI Worldcom - Spring, $ 129 bn The total value of all major mergers since the beginnings of the 1990s has been 20 trillion Dollars, 2,5 times the size of the USA's GIP. The AOL- Time Warner reflects a trend which can be observed everywhere: the convergence of the ICT and the content industries. This represents the ultimate advance in complete market domination, and a alarming threat to independent content. "Is TIME going to write something negative about AOL? Will AOL be able to offer anything other than CNN sources? Is the Net becoming as silly and unbearable as television?" (Detlev Borchers, journalist) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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What is the Internet? Each definition of the Internet is a simplified statement and runs the risk of being outdated within a short time. What is usually referred to as the Internet is a network of thousands of computer networks (so called autonomous systems) run by governmental authorities, companies, and universities, etc. Generally speaking, every time a user connects to a computer networks, a new Internet is created. Technically speaking, the Internet is a What constitutes the Internet is constantly changing. Certainly the state of the future Net will be different to the present one. Some years ago the Internet could still be described as a network of computer networks using a common communication protocol, the so-called Also, the Internet is not solely constituted by computers connected to other computers, because there are also point-of-sale terminals, cameras, robots, telescopes, cellular phones, TV sets and and an assortment of other hardware components that are connected to the Internet. At the core of the Internet are so-called Since these networks are often privately owned, any description of the Internet as a public network is not an accurate. It is easier to say what the Internet is not than to say what it is. On 24 October, 1995 the U.S. What is generally and in a simplyfiying manner called the Internet, may be better referred to as the Matrix, a term introduced by science fiction writer Strictly speaking, the Matrix is not a medium; it is a platform for resources: for media and services. The Matrix is mainly a very powerful means for making information easily accessible worldwide, for sending and receiving messages, videos, texts and audio files, for transferring funds and trading securities, for sharing resources, for collecting weather condition data, for For a comprehensive view of uses of the Matrix, especially the World Wide Web, see " | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Public Relations and Propaganda Public relations usually is associated with the influencing of public opinion. Therefore it has subsequently been linked with propaganda. Using one of the many definitions of propaganda "... the manipulation of symbols as a means of influencing attitudes on controversial matters" (Harold D. Lasswell), the terms propaganda and PR seem to be easily interchangeable. Still many authors explicitly distinguish between public relations, advertising and propaganda. Unlike PR, which is often described as objective and extensive information of the public, advertising and propaganda are associated with manipulative activities. Nevertheless to treat public relations and propaganda as equivalents stands in the tradition of PR. Also institutions like the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Hill & Knowlton Although it is generally hard to distinguish between public relations and propaganda, It furthermore played a central role in the Gulf War. On behalf of the Kuwaiti government it presented a 15-year-old girl to testify before Congress about human rights violations in a Kuwaiti hospital. The girl, later found out to be the daughter of Kuwait's ambassador to the U.S., and its testimony then became the centerpiece of a finely tuned PR campaign orchestrated by Hill & Knowlton and co-ordinated with the White House on behalf of the government of Kuwait an the Citizens for a Free Kuwait group. Inflaming public opinion against Iraq and bringing the U.S. Congress in favor of war in the Gulf, this probably was one of the largest and most effective public relations campaigns in history. Running campaigns against abortion for the Catholic Church and representing the Accused of pursuing potentially illegal proxy spying operation for intelligence agencies, Richard Cheney, head of Hill & Knowltons New York office, denied this allegations, but said that "... in such a large organization you never know if there's not some sneak operation going on." On the other hand former (Source: Carlisle, Johan: Public Relationships: Hill & Knowlton, Robert Gray, and the CIA. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Public Relations and the Advertising Industry The public relations industry, the same as advertising, is concentrated in the hands of few dominant firms. Still, the striking element about corporate public relations is that PR firms are tightly related to advertising companies. Nine out of the ten biggest international PR agencies have close ties with the advertising industry. Also, looking at the largest acquisitions involving U.S. PR firms from 1997 to 1999 it is apparent that money coming from advertising agencies has played an important role. Table: Top 10 PR Firms 1998
With many PR agencies sold to advertising companies, the advertising industry's influence further increases; enabling them to offer their clients not only advertising services, but also know-how in marketing, public opinion, crisis and issues management and political lobbying. Table: Acquisition of PR Agencies (1997 - 1999)
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Transmission Control Protocol/Internet Protocol (TCP/IP) TCP and IP are the two most important protocols and communication standards. TCP provides reliable message-transmission service; IP is the key protocol for specifying how packets are routed around the Internet. More detailed information can be found | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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The Internet Engineering Task Force The Internet Engineering Task Force contributes to the evolution of the architecture, the protocols and technologies of the Net by developing new Internet standard specifications. The directors of its functional areas form the Internet Society: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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DMCA The DMCA (Digital Millennium Copyright Act) was signed into law by U.S. President Clinton in 1998 and implements the two 1996 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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America Online Founded in 1985, America Online is the world's biggest Internet service provider serving almost every second user. Additionally, America Online operates CompuServe, the Netscape Netcenter and several AOL.com portals. As the owner of Netscape, Inc. America Online plays also an important role in the Web browser market. In January 2000 America Online merged with Time Warner, the worlds leading media conglomerate, in a US$ 243,3 billion deal, making America Online the senior partner with 55 percent in the new company. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Microsoft Corporation Founded by Bill Gates and Paul Allen and headquartered in Redmond, USA, Microsoft Corporation is today's world-leading developer of personal-computer software systems and applications. As MS-DOS, the first operating system released by Microsoft, before, Windows, its successor, has become the de-facto standard operating system for personal computer. According to critics and following a recent court ruling this is due to unfair competition. For more detailed information see the Encyclopaedia Britannica: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Internet Exchanges Internet exchanges are intersecting points between major networks. List of the World's Public Internet exchanges ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Chappe's fixed optical network Claude Chappe built a fixed optical network between Paris and Lille. Covering a distance of about 240kms, it consisted of fifteen towers with semaphores. Because this communication system was destined to practical military use, the transmitted messages were encoded. The messages were kept such secretly, even those who transmit them from tower to tower did not capture their meaning, they just transmitted codes they did not understand. Depending on weather conditions, messages could be sent at a speed of 2880 kms/hr at best. Forerunners of Chappe's optical network are the For more information on early communication networks see | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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German Bundeswehr The German contribution to the Western defence system, apart from playing host and contributing to the continued presence of allied troops on its soil, takes the form of its combined arm of defence known as the Federal Armed Forces (Bundeswehr). Constituting the largest contingent of NATO troops in Europe, the armed forces are divided into an army, navy, and air force. From its inception it was envisioned as a "citizens' " defence force, decisively under civilian control through the Bundestag, and its officers and soldiers trained to be mindful of the role of the military in a democracy. Conscription for males is universal, the military liability beginning at 18 and ending at 45 years of age. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Optical communication system by Aeneas Tacitus, 4th century B.C. Aeneas Tacitus, a Greek military scientist and cryptographer, invented an optical communication system that combines water and beacon telegraphy. Torches indicated the beginnings and the ends of message transmissions while water jars were used to transmit the messages. These jars had a plugged standard-size hole drilled on the bottom side and were filled with water. As those who sent and those who received the message unplugged the jars simultaneously, the water drained out. Because the transmitted messages corresponded to water levels, the sender indicated by torch signal that the appropriate water level has been reached. It is a disadvantage that the possible messages are restricted to a given code, but as this system was mainly used for military purposes, this was offset by the advantage that it was almost impossible for outsiders to understand these messages unless they possessed the codebook. With communication separated from transportation, the distant became near. Tacitus' telegraph system was very fast and not excelled until For further information see Joanne Chang & Anna Soellner, Decoding Device, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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