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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The Cassini Case

In 1997 NASA's Cassini mission to Saturn and its moons led to heated controversies, because it was fueled by plutonium, a substance that could cause serious environmental and health problems if it were released into the atmosphere.

Still no major U.S. news outlet in broadcasting or print reported in depth on the risks of the Cassini mission. Westinghouse-owned media like CBS and NBC (also partly owned by General Electric) for example had only reported that children were invited to sign a plaque inside Cassini. Not surprisingly Westinghouse and General Electric are two of the largest corporations with defense contracts and nuclear interests.

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On-line Advertising Revenues

Although Internet advertising only really started in 1994, revenues showed a steady and fast growth. In 1997 US$ 906.5 million were spent on on-line advertising. Compared with advertising revenue for the television industry in equivalent dollars for its third year, the Internet was slightly ahead, at US$ 907 million compared to television's US$ 834 million. 1998 on-line advertising grew by 112 percent to US$ 1.92 billion in revenues, and is on track to hit US$ 4 billion in 1999, which would put Internet advertising at about 2 percent of the U.S. ad market.

Table: Spending on On-Line Advertising by Category

(first quarter 1999)

Category

Percent

Consumer-related

27 %

Financial services

21 %

Computing

20 %

Retail/mail order

13 %

New media

8 %



Table: Types of On-Line Advertising

(first quarter 1999)

Type of Advertising

Percent

Banners

58 %

Sponsorships

29 %

Interstitials

6 %

E-mail

1 %

Others

6 %



Source: Internet Advertising Bureau (IAB).

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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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Timeline BC

~ 1900 BC: Egyptian writers use non-standard Hieroglyphs in inscriptions of a royal tomb; supposedly this is not the first but the first documented example of written cryptography

1500 an enciphered formula for the production of pottery is done in Mesopotamia

parts of the Hebrew writing of Jeremiah's words are written down in "atbash", which is nothing else than a reverse alphabet and one of the first famous methods of enciphering

4th century Aeneas Tacticus invents a form of beacons, by introducing a sort of water-clock

487 the Spartans introduce the so called "skytale" for sending short secret messages to and from the battle field

170 Polybius develops a system to convert letters into numerical characters, an invention called the Polybius Chequerboard.

50-60 Julius Caesar develops an enciphering method, later called the Caesar Cipher, shifting each letter of the alphabet an amount which is fixed before. Like atbash this is a monoalphabetic substitution.

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The third industiral revolution. Life as a product.

Many years ago, the German philosopher Günther Anders already described the historical situation in which the homo creator and homo materia coincide as the "third industrial revolution". Anders, who spent many years exiled in the USA after fleeing from the Nazis, made issue of the ambivalence of modern science and technology as early as in the 1950s, and many of the concerns which today form part of the debates around the implications of computer technology are already polemically discussed in his work.

The "third industrial revolution" is characterized by men becoming the "raw material" of their own industries. Product and producer, production and consumption, technology and nature are no longer meaningful pairs of opposites. The third is also the last revolution, as it is difficult to think of further revolutions when the distinction between subject and object becomes blurred. The world is becoming a Bestand and the human body and mind are no protected zones. They are something like the last safety zone of human being which is now itself becoming a basis for technological innovation. When the subject is weakened by its technical environment, the use of technical crooks for body and mind becomes an obvious "solution", even if the technically strengthened subject is strengthened at the cost of no longer being a "subject" in the traditional, metaphysical sense. Biological processes are dissected and subjected to technical control. This technical control is technical in two senses: it is not only control through technology but by ttechnology itsself, since it is not carried out by unaided human minds, but increasingly by intelligent machines.

The point where this Andersian third industrial revolution reaches an unprecedented logic seems to lie within the realm of genetic engeneering. This example shows that the dissection of humanness - the decoding of genetic information - is tantamount to commodification. The purpose of the commercial genetic research projects is the use of genetic information as a resource for the development of new products, e.g. in pharmaceutics. Genetic products carry the promise of offering a solution to so-far uncurable diseases such as cancer, Alzeheimer, heart disorders, schizophrenia, and others, but they also open up the possibility of "breaking the chains of evolution", of actively manipulating the genetic structure of human beings and of "designing" healthy, long-living, beautiful, hard-working etc. beings. Here, the homo creator and the homo materia finally become indistinguishable and we are being to merge with our products in such a way that it "we" loses the remains of its meaning.

Since 1990 research on human genetics is organised in the Human Genome Project where universities from various countries cooperate in transcribing the entire genetic information of the predecessor of the homo sapiens , composed of 80,000 genes and more than 3 billion DNA sequences. The objective of the project is to complet the transcription process by the year 2003. One of the rationales of organising Genome research in an international fashion has been its extremely high cost, and also an ethical consideration, according to which human genetic information must not be a private property, which would be the case when genetic information becomes patentised.

But exactly this patentising is of paramount importance in the emerging "post-industrial" society where knowledge becomes the most important resource. A patent is nothing else than a property title to a piece of "know-how", and an necessary consequence commodification. When life no longer simply a natural creation but a product, it, too, will be patented and becomes a commodity.

Against the idea of the human genome as a public good, or an "open source", there is a growing competion on the part of private industry. Companies such as Celera deloped deciphering technologies which may allow an earlier completion of the project. In the case that human genetic information actually becomes patentised, then the technical possibility of interfering in human evolution would at leasst be partly in the hands of private business. What has been called a "quintessentially public resource" Iceland. In this nordic country, the government decided to allow the American genetics company DeCode to access and commercially exploit the anonymised genetic information of the entire population of Iceland. The Icelandic population provides a particularly good "sample" for research, because there has been almost no immigration since the times of the Vikings, and therefore genetic variations can be more easily detected than in populations with a more diverse genome. Also, Iceland possesses a wealth of genealogical information - many families are able to trace their origins back to the 12th century. Here modern science has found optimal laboratory conditions. Perhaps, had European history taken a different course in the 1930s and 40s, the frontier of commercial gentetic research would have found optimal conditions in an "ethnically clean" centre of Euorpe? The requirement of "purity", of "eliminating" difference prior to constructing knowledge, inscribed in the modern science since its beginnings, also applies to genome research. Except that in this kind of research humankind itself needs to fulfill laboratory standards of cleanliness, and that the biological transcription of humanness, the biological "nucleus" of the species, becomes the object of research, much like the nucleus of matter, the atom, in the 1940s and 50s.

But the commodification of life is not limited ot the human species. Genetically altered animals and plants are also suffering the same fate, and in most industrialised nations it is now possible to patent genetically engeneered species and crops. The promises of the "Green Revolution" of the 1960s are now repeated in the genetic revolution. Genetic engeneering, so it is argued, will be able to breed animals and plants which resist disease and yield more "food" and will therfore help to tackle problems of undernutrition and starvation. Companies such as Monsanto are at the forefront of developing genetically altered ("enhanced") food crops and promise to solve not only the problem of world hunger, but to improve the safety and even the taste of food. Convinced of the opposite of such high-flown promises, Vandana Shiva from the Indian Research Foundation for Science, Technology and Ecology emphasises the relationship between post-colonial style exploitation of so-called "third world" countries. She also stresses the adverse ecological impact of biotechnology: "Today, the world is on the brink of a biological diversity crisis. The constantly diminishing store of biodiversity on our planet poses an enormous environmental threat"http://www.cnn.com/bioethics/9902/iceland.dna/template.html, 22 February 1999

http://www.indiaserver.com/betas/vshiva/title.htm, 9 February 2000

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Sponsorship Models

With new sponsorship models being developed, even further influence over content from the corporate side can be expected. Co-operating with Barnes & Nobel Booksellers, the bookish e-zine FEED for instance is in part relying on sponsoring. Whenever a specific title is mentioned in the editorial, a link is placed in the margin - under the heading "Commerce" - to an appropriate page on Barnes & Noble. Steve Johnson, editor of FEED, says "We do not take a cut of any merchandise sold through those links.", but admits that the e-zine does indirectly profit from putting those links there.

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acceleration

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Internet Content Providers Perspective

As within the traditional media landscape, Internet content providers have two primary means of generating revenue: Direct sales or subscriptions, and advertising. Especially as charging Internet users for access to content - with all the free material available - has proven problematic, advertising is seen as the best solution for creating revenues in the short term. Therefore intense competition has started among Internet content providers and access services to attract advertising money.

Table: Web-Sites Seeking Advertising


Period

Number of Web-Sites

June 1999

2111

July 1999

2174

August 1999

2311

September 1999

2560



Source: Adknowledge eAnalytics. Online Advertising Report

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Product Placement

With television still being very popular, commercial entertainment has transferred the concept of soap operas onto the Web. The first of this new species of "Cybersoaps" was "The Spot", a story about the ups and downs of an American commune. The Spot not only within short time attracted a large audience, but also pioneered in the field of online product placement. Besides Sony banners, the companies logo is also placed on nearly every electronic product appearing in the story. Appearing as a site for light entertainment, The Spots main goal is to make the name Sony and its product range well known within the target audience.

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The Role of the Media

To be able to participate in community life and make political choices citizens heavily rely on information. They need to know what is going on and the options that they should weigh, debate and act upon. An essential element for a functioning public sphere therefore is information.

Whereas formerly communication mostly happened on a face-to-face basis in large and complex societies (mass) media have evolved as the principal source of information. They act as a transport medium for the information necessary for a citizen's participation in the public sphere. Ideally there should be a wide range of media, that represent the diverse opinions and viewpoints on issues of public interest existent in a society and which are independent of the state and society's dominant economic forces.

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Steganography

Ciphers as well as codes are transmitted openly. Everyone can see that they exist. Not so with steganograms.
Steganography is the art and science of communicating in a way which hides the existence of the secret part in that communication. During the Italian Renaissance and the time of the Elizabethan Age in England cryptography was very popular, for political reasons as well as for amusements (see John Dee).
In literature steganography played an important role. Many steganographs of that period have only been deciphered recently like some of the Shakespearean sonnets, which now seem to proof that the actor William Shakespeare was not the author of the famous poems and dramas, but that the latter' name was, and Francis Bacon, or even Francis Tudor, as some ciphers and other sources talk of him as Queen Elisabeth I.'s secret son.

for further details see:
http://home.att.net/~tleary/
http://www.thur.de/ulf/stegano/
http://www2.prestel.co.uk/littleton/gm2_rw.htm

One kind of steganogram is digital watermarking:
Watermarks protect digital images, videos, but also audio and multimedia products. They are made out of digital signals, put into other digital signals. They try to be invisible on first sight and should be nearly impossible to remove. The process of producing watermarks is to overlay some sort of identifying image over the original image (non-digital watermarks, like on money can be seen by holding the paper against light). Copying the image destroys the watermark, which cannot be copied. Any alteration of the original destroys the watermark, too.

Watermarking is one of the typical inventions of cryptography to assist the biggest content owners, but advertised as something necessary and helpful for everybody. Who in fact gets any advantage out of watermarking? The private user most of the time will not really need it except for small entities of pictures maybe.
But the big enterprises do. There is a tendency to watermark more and more information in the Internet, which until now was considered as free and as a cheap method to receive information. Watermarking could stop this democratic development.

for further information see:
http://www.isse.gmu.edu/~njohnson/Steganography

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Another Question of Security

Even with the best techniques it is impossible to invent a cryptographic system that is absolutely safe/unbreakable. To decipher a text means to go through many, sometimes nearly - but never really - endless attempts. For the computers of today it might take hundreds of years or even more to go through all possibilities of codes, but still, finally the code stays breakable. The much faster quantum computers will proof that one day.
Therefore the decision to elect a certain method of enciphering finally is a matter of trust.

For the average user of computers it is rather difficult to understand or even realize the dangers and/or the technological background of electronic transmission of data. For the majority thinking about one's own necessities for encryption first of all means to trust others, the specialists, to rely on the information they provide.
The websites explaining the problems behind (and also the articles and books concerning the topic) are written by experts of course as well, very often in their typical scientific language, merely understandable for laymen. The introductions and other superficial elements of those articles can be understood, whereas the real background appears as untouchable spheres of knowledge.

The fact that dangers are hard to see through and the need for security measures appears as something most people know from media reports, leads directly to the problem of an underdeveloped democracy in the field of cryptography. Obviously the connection between cryptography and democracy is rather invisible for many people. Those mentioned media reports often specialize in talking about the work computer hackers do (sometimes being presented as criminals, sometimes as heroes) and the danger to lose control over the money drawn away from one's bank account, if someone steals the credit card number or other important financial data. The term "security", surely connected to those issues, is a completely different one from the one that is connected to privacy.
It is especially the latter that touches the main elements of democracy.

for the question of security see:
http://www-db.stanford.edu/pub/gio/CS99I/security.html

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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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The Rocky Horror Picture Show

The story of Frank-N-furter, Brad and Janet ... Don't dream it, be it!

http://www.rockyhorrorpictureshow.com/

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Günther Anders

Born in Germany in 1913, Günther Anders spent the Nazi period exiled in the USA where he stayed until 1950. His chief work Die Antiquiertheit des Menschen is an extensive analysis of human existence in a technised world. Among the most outstanding theses of Anders is the concept a permanent gap between the potential of technical artefacts and the human mind's power to imagine the consequences of technology. Men think of themselves as "antiquated" in comparison to their artefacts, and feel "promethean embarrassment". Anders was among the first thinkers to react to the Holocaust and the dropping of the Atomic bomb. The ethical quandaries resulting from the latter are documented in an exchange of letters between Anders and Claude Eatherly, the pilot of the Hiroshima plane, in Burning Conscience.

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The World Wide Web History Project

The ongoing World Wide Web History Project was established to record and publish the history of the World Wide Web and its roots in hypermedia and networking. As primary research methods are used archival research and the analysis of interviews and talks with pioneers of the World Wide Web. As result a vast of collection of historic video, audio, documents, and software is expected. The project's digital archive is currently under development.

http://www.webhistory.org/home.html

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NSFNet

Developed under the auspices of the National Science Foundation (NSF), NSFnet served as the successor of the ARPAnet as the main network linking universities and research facilities until 1995, when it was replaced it with a commercial backbone network. Being research networks, ARPAnet and NSFnet served as testing grounds for future networks.

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Sputnik

At the beginning of the story of today's global data networks is the story of the development of satellite communication.

In 1955 President Eisenhower announced the USA's intention to launch a satellite. But it was the Soviet Union, which launched the first satellite in 1957: Sputnik I. After Sputnik's launch it became evident that the Cold War was also a race for leadership in the application of state-of-the-art technology to defence. As the US Department of Defence encouraged the formation of high-tech companies, it laid the ground to Silicon Valley, the hot spot of the world's computer industry.

In the same year the USA launched their first satellite - Explorer I - data were transmitted over regular phone circuits for the first time, thus laying the ground for today's global data networks.

Today's satellites may record weather data, scan the planet with powerful cameras, offer global positioning and monitoring services, and relay high-speed data transmissions. But up to now, most satellites are designed for military purposes such as reconnaissance.

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cryptoanalysis

the study of breaking others' codes to transform a message back into a legible form without knowing the key from the beginning

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John Dee

b. July 13, 1527, London, England
d. December 1608, Mortlake, Surrey

English alchemist, astrologer, and mathematician who contributed greatly to the revival of interest in mathematics in England. After lecturing and studying on the European continent between 1547 and 1550, Dee returned to England in 1551 and was granted a pension by the government. He became astrologer to the queen, Mary Tudor, and shortly thereafter was imprisoned for being a magician but was released in 1555. Dee later toured Poland and Bohemia (1583-89), giving exhibitions of magic at the courts of various princes. He became warden of Manchester College in 1595.

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Richard Barbrook and Andy Cameron, The Californian Ideology

According to Barbrook and Cameron there is an emerging global orthodoxy concerning the relation between society, technology and politics. In this paper they are calling this orthodoxy the Californian Ideology in honor of the state where it originated. By naturalizing and giving a technological proof to a political philosophy, and therefore foreclosing on alternative futures, the Californian ideologues are able to assert that social and political debates about the future have now become meaningless and - horror of horrors - unfashionable. - This paper argues for an interactive future.

http://www.wmin.ac.uk/media/HRC/ci/calif.html

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Aeneas Tacticus

Supposedly his real name was Aeneas of Stymphalus. He was a Greek military scientist and cryptographer. He invented an optical system for communication similar to a telegraph: the water-clocks.

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Polybius

Polybius was one of the greatest historians of the ancient Greek. he lived from 200-118 BC. see: Polybius Checkerboard.

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Satellites

Communications satellites are relay stations for radio signals and provide reliable and distance-independent high-speed connections even at remote locations without high-bandwidth infrastructure.

On point-to-point transmission, the transmission method originally employed on, satellites face increasing competition from fiber optic cables, so point-to-multipoint transmission increasingly becomes the ruling satellite technology. Point-to-multipoint transmission enables the quick implementation of private networks consisting of very small aperture terminals (VSAT). Such networks are independent and make mobile access possible.

In the future, satellites will become stronger, cheaper and their orbits will be lower; their services might become as common as satellite TV is today.

For more information about satellites, see How Satellites Work (http://octopus.gma.org/surfing/satellites) and the Tech Museum's satellite site (http://www.thetech.org/hyper/satellite).

http://www.whatis.com/vsat.htm
http://octopus.gma.org/surfing/satellites
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Newsgroups

Newsgroups are on-line discussion groups on the Usenet. Over 20,000 newsgroups exist, organized by subject into hierarchies. Each subject hierarchy is further broken down into subcategories. Covering an incredible wide area of interests and used intensively every day, they are an important part of the Internet.

For more information, click here ( http://www.terena.nl/libr/gnrt/group/usenet.html ).

http://www.terena.nl/libr/gnrt/group/usenet.h...
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atbash

Atbash is regarded as the simplest way of encryption. It is nothing else than a reverse-alphabet. a=z, b= y, c=x and so on. Many different nations used it in the early times of writing.

for further explanations see:
http://www.ftech.net/~monark/crypto/crypt/atbash.htm

http://www.ftech.net/~monark/crypto/crypt/atb...
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to decipher/decode

to put the ciphers/codes back into the plaintext

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codes

an algorithm for bringing a legible message into an illegible form. There has to exist some sort of code book to encode/decode it.

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Industrial design

Industrial design refers to the ornamental aspect of a useful article which may constitute of two or three-dimensional elements. To be qualified for intellectual property protection the design must be novel or original. Protection can be obtained through registration in a government office and usually is given for 10 to 15 years.

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plaintext

the original, legible text

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Censorship of Online Content in China

During the Tian-an men massacre reports and photos transmitted by fax machines gave notice of what was happening only with a short delay. The Chinese government has learned his lesson well and "regulated" Internet access from the beginning. All Internet traffic to and out of China passes through a few gateways, a few entry-points, thus making censorship a relatively easy task. Screened out are web sites of organizations and media which express dissident viewpoints: Taiwan's Democratic Progress Party and Independence Party, The New York Times, CNN, and sites dealing with Tibetan independence and human rights issues.

Users are expected not to "harm" China's national interests and therefore have to apply for permission of Internet access; Web pages have to be approved before being published on the Net. For the development of measures to monitor and control Chinese content providers, China's state police has joined forces with the MIT.

For further information on Internet censorship, see Human Rights Watch, World Report 1999.

http://www.dpp.org/
http://www.nytimes.com/
http://www.hrw.org/worldreport99/special/inte...
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