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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A Tool for Privacy

The algorithm being the code leads to encryption. When Alan Turing worked on his Turing Machine, he planned a machine where the instruction-code was part of its working, where the binary code was a fixed logic in dispute, in other words the machine turning into its own algorithm, which means nothing else than dialectic.
And exactly here the theoretical work on cryptography touches - as a consequence of the actor always having been part of the technical arrangements - an issue of modern democracy, the question about the private and the public: the terms are changing, do not fit to their original meanings anymore. One might say the Internet is something private. One might state the contrary. Both sentences are wrong. It is neither of them. Maybe we do not all feel it yet, but humans are going through a stage of blurred words, where classic definitions get lost, just like the codes/algorithms of behavior. The meta-narratives break down, not leaving anything but puzzle pieces. We can never be private on the Internet. Nor could we be in public if we were "out there" in virtual reality.

Cryptography, the study pretending to work for privacy, cannot provide us with absolute privacy either, as the danger of losing it through a decryption attack hinders its prospering. At the latest with the quantum computers coming into existence the patterns of the encoded picture will not be visible anymore. At the same time the social relations, its exact and excluding meanings must blur.
Democracy needs something to rely on, something to refer to, just like the private and the public.
Still, our need for privacy on the one hand and curiosity on the other hand create the longing for cryptography of information as well as its decoding.

"Privacy is necessary for an open society in the electronic age. Privacy is not secrecy. A private matter is something one doesn't want the whole world to know, but a secret matter is something one doesn't want anybody to know. Privacy is the power to selectively reveal oneself to the world."
(Cypherpunk's Manifesto)

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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)

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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)

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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.

http://www.digitaldivide.gov/
http://www.digitaldividenetwork.org/
http://www.pbs.org/digitaldivide/
http://news.cnet.com/news/0-1005-200-344552.html
http://racerelations.about.com/newsissues/racerelations/msubdigdivide.htm
http://www.techweek.com/articles/11-1-99/divide.htm
http://www.ntia.doc.gov/ntiahome/net2/falling.html

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: http://www.washington.edu/wto/digital/

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
http://news.cnet.com/news/0-1005-200-341054.html

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Cryptography and Democracy

Cryptography and democracy are clearly related to each other when we talk about teledemocracy. Many answers of civilians to certain state institutions can already be posed on the Internet. Many bureaucratic duties can be fulfilled through the Internet as well. But on February 8th 2000 the worldwide first elections on the Internet were performed. The elections themselves were nothing important, students' elections at the University of Osnabrück, Germany. But the project, called i-vote, with a preparation time of 10 months, wrote history. For a correct result, there existed several different encryption processes at the same time, like the digital signature, a blinding for anonymizing the vote and a virtual election paper that had to be encrypted as well, as simple e-mails could have been traced back.
The question whether teledemocracy can provide us with a more intensive democracy has to be answered within a different field of questions; here the question is rather about the role of cryptography in this area. The use of cryptography in teledemocracy is inevitable, but does it also re-influence cryptography? Or will it influence the different governments' laws again?

The sentence "We are committed to protecting the privacy of your personal information" that can be read as the introduction-sentence at the Free-PC-homepage (http://www.free-pc.com/privacy.tp) poses already the question on how that company can know about personal information. Soon they lift the curtain, telling us that we leave cookies visiting their website - as we do everywhere else. With that information, provided through the cookie, they try to select the appropriate advertisement-sortiment for the individual. Their line of reasoning is that individualized advertisements offer the clients the best and most interesting products without being overruled by not-interesting commercials.
But still we find ourselves overruled by the issue that someone believes to know what is good for us. And our privacy is floating away ...

Human Rights call for the right for privacy. We can go on fighting for privacy but anonymity has disappeared long ago. If we leave cookies and other data by visiting websites, we might be anything but surely not anonymous.
for more information about privacy and Human Rights see:
http://www.privacyinternational.org/survey/
http://www.gilc.org/privacy/survey/

for re-anonymizing see:
http://www.rewebber.de

"The fight for privacy today will always include the fight for unrestricted access to cryptography tools, for at least getting a slight chance that the buying of a book or any other small thing turns into a chain of messages for someone else's purpose, whether it might be governmental or commercial." (Cypherpunk's Manifesto)

for more information on the Cypherpunk's Manifesto see:
http://www.activism.net/cypherpunk/manifesto.html

This year again many conferences on the topic of cryptography take place. For further information see:
http://www.swcp.com/~iacr/events/index.html

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