Global hubs of the data body industry

While most data bunkers are restricted to particular areas or contexts, there are others which act as global data nodes. Companies such as EDS (Electronic Data Systems), Experian, First Data Corporation and Equifax operate globally and run giant databases containing personal information. They are the global hubs of the data body economy.

Company

Sales in USD billions

Size of client database in million datasets





Equifax





1,7





360





Experian





1,5





779





Fist Data Corporation





5,5





260





EDS





18,5









(not disclosed)

(Sales and database sizes, 1998)

The size of these data repositories is constantly growing, so it is only a matter of time when everybody living in the technologically saturated part of the world will be registered in one of these data bunkers.

Among these companies, EDS, founded by the former US presidential candidate Ross Perot, known for his right-wing views and direct language, is of particular importance. Not only is it the world's largest data body company, it is also secretive about the size of its client database - a figure disclosed by the other companies either in company publications or upon enquiry. After all, the size of such a data base makes a company more attractive for potential customers.

For many years, EDS has been surrounded by rumours concerning sinister involvement with intelligence agencies. Beyond the rumours, though, there are also facts. EDS has a special division for government services. EDS does business with all military agencies of the US, as well as law enforcement agencies, justice agencies, and many others. The company also maintains a separate division for military equipment In 1984, the company became a subsidiary of General Motors, itself a leading manufacturer of military and intelligence systems. EDS is listed by the Federation of American Scientist's intelligence resource program as contractor to US intelligence agencies, and prides itself, amongst other things, to respond to the "rise of the citizen as a consumer".

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Global Data Flows

Fiber-optic cables, coaxial cables, copper wires, electric power lines, microwaves, satellite communication, mobile telephony, computer networks: Various telecommunication networks following a variety of standards with bewildering abbreviations - DSL, WAP, GSM, UMTS, Ipv4 etc. - and carrying endless flows of capital and information are the blood veins of modern societies.

In the space of flows constituted by today's global data networks the space of places is transcended. Visualizations of these global data flows show arches bridging seas and continents, thereby linking the world's centres of research and development, economics and politics. In the global "Network Society" (Manuel Castells) the traditional centres of power and domination are not discarded, in the opposite, they are strengthened and reinforced by the use of information and communication technologies. Political, economical and symbolical power becomes increasingly linked to the use of modern information and communication technologies. The most sensitive and advanced centres of information and communication technologies are the stock markets. Excluded from the network constituted by modern information and communication technologies, large parts of Africa, Asia and South America, but also the poor of industrialized countries, are ranking increasingly marginal to the world economy.

Cities are centres of communications, trade and power. The higher the percentage of urban population, the more it is likely that the telecommunications infrastructure is generally good to excellent. This goes hand in hand with lower telecommunications costs. Those parts of the world with the poorest infrastructure are also the world's poorhouse. In Bangladesh for most parts of the population a personal computer is as expensive as a limousine in European one-month's salary in Europe, they have to pay eight annual salaries. Therefore telecommunications infrastructure is concentrated on the highly industrialized world: Most telephone mainlines, mobile telephones, computers, Internet accounts and Internet hosts (computers connected to the global data networks) can be found here. The same applies to media: the daily circulation of newspapers and the use of TV sets and radios. - Telecommunication and media services affordable to most parts of the population are mostly restricted to industrialized countries.

This situation will not change in the foreseeable future: Most expenditure for telecommunications infrastructure will be restricted to the richest countries in the world. In 1998, the world's richest countries consumed 75% of all cables and wires.

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History: Communist Tradition

Following the communist revolutions of the 20th century all "means of production" became the property of the state as representative of "the masses". Private property ceased to exist. While moral rights of the creator were recognized and economic rights acknowledged with a one-time cash award, all subsequent rights reverted to the state.

With the transformation of many communist countries to a market system most of them have now introduced laws establishing markets in intellectual property rights. Still the high rate of piracy reflects a certain lack of legal tradition.

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2000 A.D.

2000
Convergence of telephony, audiovisual technologies and computing

Digital technologies are used to combine previously separated communication and media systems such as telephony, audiovisual technologies and computing to new services and technologies, thus forming extensions of existing communication systems and resulting in fundamentally new communication systems. This is what is meant by today's new buzzwords "multimedia" and "convergence".

Classical dichotomies as the one of computing and telephony and traditional categorizations no longer apply, because these new services no longer fit traditional categories.

Convergence and Regulatory Institutions

Digital technology permits the integration of telecommunications with computing and audiovisual technologies. New services that extend existing communication systems emerge. The convergence of communication and media systems corresponds to a convergence of corporations. Recently, America Online, the world's largest online service provider, merged with Time Warner, the world's largest media corporation. For such corporations the classical approach to regulation - separate institutions regulate separate markets - is no longer appropriate, because the institutions' activities necessarily overlap. The current challenges posed to these institutions are not solely due to the convergence of communication and media systems made possible by digital technologies; they are also due to the liberalization and internationalization of the electronic communications sector. For regulation to be successful, new categorizations and supranational agreements are needed.
For further information on this issue see Natascha Just and Michael Latzer, The European Policy Response to Convergence with Special Consideration of Competition Policy and Market Power Control, http://www.soe.oeaw.ac.at/workpap.htm or http://www.soe.oeaw.ac.at/WP01JustLatzer.doc.

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World War II ...

Never before propaganda had been as important as in the 2nd World War. From now on education was one more field of propaganda: its purpose was to teach how to think, while pure propaganda was supposed to show what to think.
Every nation founded at least one ministry of propaganda - of course without calling it that way. For example the British called it the Ministry of Information (= MOI), the U.S. distinguished between the Office of Strategic Services (= OSS) and the Office of War Information (= OWI), the Germans created a Ministry of Propaganda and Public Enlightenment (= RMVP) and the Japanese called their disinformation and propaganda campaign the "Thought War".
British censorship was so strict that the text of an ordinary propaganda leaflet, that had been dropped from planes several million times, was not given to a journalist who asked for it.

Atrocity stories were no longer used the same way as in the 1st World War. Instead, black propaganda was preferred, especially to separate the Germans from their leaders.
German war propaganda had started long before the war. In the middle of the 1930s Leni Riefenstahl filmed Hitler best propaganda movies. For the most famous one, "Triumph of the Will" (1935), she was the only professional filmier who was allowed to make close-up pictures of her admirer.

Some of the pictures of fear, hatred and intolerance still exist in people's heads. Considering this propaganda did a good job, unfortunately it was the anti-national-socialist propaganda that failed at that time.

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The Big Five of Commercial Media

After a number of mergers and acquisitions five powerful media conglomerates lead the world's content production and distribution. They operate on an international basis with subsidiaries all around the globe and engage in every imaginable kind of media industry.

Table: The World's Leading Media Companies

Media Company

1998 Revenues

(in US$)

Property/Corporate Information

AOL Time Warner (US)

26,838.000.000*

http://www.timewarner.com/corp/about/timewarnerinc/corporate/index.html

Disney (US)

22,976.000.000

http://www.disney.com

Bertelsmann (GER)

16,389.000.000

http://www.bertelsmann.com/facts/report/report.cfm

News Corporation (AUS)

12,841.000.000

http://www.newscorp.com/public/cor/cor_m.htm

Viacom (US)

12,100.000.000

http://www.viacom.com/global.tin



(* Revenues of Time Warner only (merger with AOL took place in January 2000)

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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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History: "Indigenous Tradition"

In preliterate societies the association of rhythmic or repetitively patterned utterances with supernatural knowledge endures well into historic times. Knowledge is passed from one generation to another. Similar as in the Southern tradition intellectual property rights are rooted in a concept of 'collective' or 'communal' intellectual property existing in perpetuity and not limited to the life of an individual creator plus some number of years after his or her death. Often rights are exercised by only one individual in each generation, often through matrilineal descent.


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Timeline 1900-1970 AD

1913 the wheel cipher gets re-invented as a strip

1917 William Frederick Friedman starts working as a cryptoanalyst at Riverbank Laboratories, which also works for the U.S. Government. Later he creates a school for military cryptoanalysis

- an AT&T-employee, Gilbert S. Vernam, invents a polyalphabetic cipher machine that works with random-keys

1918 the Germans start using the ADFGVX-system, that later gets later by the French Georges Painvin

- Arthur Scherbius patents a ciphering machine and tries to sell it to the German Military, but is rejected

1919 Hugo Alexander Koch invents a rotor cipher machine

1921 the Hebern Electric Code, a company producing electro-mechanical cipher machines, is founded

1923 Arthur Scherbius founds an enterprise to construct and finally sell his Enigma machine for the German Military

late 1920's/30's more and more it is criminals who use cryptology for their purposes (e.g. for smuggling). Elizabeth Smith Friedman deciphers the codes of rum-smugglers during prohibition regularly

1929 Lester S. Hill publishes his book Cryptography in an Algebraic Alphabet, which contains enciphered parts

1933-1945 the Germans make the Enigma machine its cryptographic main-tool, which is broken by the Poles Marian Rejewski, Gordon Welchman and Alan Turing's team at Bletchley Park in England in 1939

1937 the Japanese invent their so called Purple machine with the help of Herbert O. Yardley. The machine works with telephone stepping relays. It is broken by a team of William Frederick Friedman. As the Japanese were unable to break the US codes, they imagined their own codes to be unbreakable as well - and were not careful enough.

1930's the Sigaba machine is invented in the USA, either by W.F. Friedman or his colleague Frank Rowlett

- at the same time the British develop the Typex machine, similar to the German Enigma machine

1943 Colossus, a code breaking computer is put into action at Bletchley Park

1943-1980 the cryptographic Venona Project, done by the NSA, is taking place for a longer period than any other program of that type

1948 Shannon, one of the first modern cryptographers bringing mathematics into cryptography, publishes his book A Communications Theory of Secrecy Systems

1960's the Communications-Electronics Security Group (= CESG) is founded as a section of Government Communications Headquarters (= GCHQ)

late 1960's the IBM Watson Research Lab develops the Lucifer cipher

1969 James Ellis develops a system of separate public-keys and private-keys

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Core copyright industries

Those encompass the industries that create copyrighted works as their primary product. These industries include the motion picture industry (television, theatrical, and home video), the recording industry (records, tapes and CDs), the music publishing industry, the book, journal and newspaper publishing industry, and the computer software industry (including data processing, business applications and interactive entertainment software on all platforms), legitimate theater, advertising, and the radio, television and cable broadcasting industries.

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Vacuum tube

The first half of the 20th century was the era of the vacuum tube in electronics. This variety of electron tube permitted the development of radio broadcasting, long-distance telephony, television, and the first electronic digital computers. These early electronic computers were, in fact, the largest vacuum-tube systems ever built. Perhaps the best-known representative is the ENIAC (Electronic Numerical Integrator and Computer, completed in 1946).

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Bruce Schneier

Bruce Schneier is president of Counterpane Systems in Minneapolis. This consulting enterprise specialized in cryptography and computer security. He is the author of the book Applied Cryptography and inventor of the Blowfish and Twofish encryption algorithms.

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Josef Goebbels

Josef Goebbels (1897-1945) was Hitler's Minister for Propaganda and Public Enlightenment. He had unlimited influence on the press, the radio, movies and all kind of literary work in the whole Reich. In 1944 he received all power over the Total War. At the same time he was one of the most faithful followers of Hitler - and he followed him into death in 1945.

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Economic rights

The economic rights (besides moral rights and in some cases also neighboring rights) granted to the owners of copyright usually include 1) copying or reproducing a work, 2) performing a work in public, 3) making a sound recording of a work, 4) making a motion picture of a work, 5) broadcasting a work, 6) translating a work and 7) adapting a work. Under certain national laws some of these rights are not exclusive rights of authorization but in specific cases, merely rights to remuneration.

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Central processing unit

A CPU is the principal part of any digital computer system, generally composed of the main memory, control unit, and arithmetic-logic unit. It constitutes the physical heart of the entire computer system; to it is linked various peripheral equipment, including input/output devices and auxiliary storage units...

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Roman smoke telegraph network, 150 A.D.

The Roman smoke signals network consisted of towers within visible range of each other and had a total length of about 4500 kilometers. It was used for military signaling.

For a similar telegraph network in ancient Greece see Aeneas Tacitus' optical communication system.

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Robot

Robot relates to any automatically operated machine that replaces human effort, though it may not resemble human beings in appearance or perform functions in a humanlike manner. The term is derived from the Czech word robota, meaning "forced labor." Modern use of the term stems from the play R.U.R., written in 1920 by the Czech author Karel Capek, which depicts society as having become dependent on mechanical workers called robots that are capable of doing any kind of mental or physical work. Modern robot devices descend through two distinct lines of development--the early automation, essentially mechanical toys, and the successive innovations and refinements introduced in the development of industrial machinery.

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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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National Science Foundation (NSF)

Established in 1950, the National Science Foundation is an independent agency of the U.S. government dedicated to the funding in basic research and education in a wide range of sciences and in mathematics and engineering. Today, the NSF supplies about one quarter of total federal support of basic scientific research at academic institutions.

http://www.nsf.gov

For more detailed information see the Encyclopaedia Britannica: http://www.britannica.com/bcom/eb/article/0/0,5716,2450+1+2440,00.html

http://www.nsf.gov/
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International Standardization Organization

ISO (International Organization for Standardization), founded in 1946, is a worldwide federation of national standards bodies from some 100 countries, one from each country. Among the standards it fosters is Open Systems Interconnection (OSI), a universal reference model for communication protocols. Many countries have national standards organizations that participate in and contribute to ISO standards making.

http://www.iso.ch

Source: Whatis.com

http://www.iso.ch/
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Ross Perot

Ross Perot, founder of EDS, is one of the richtest individuals of the US, and former presidential candidate of the Reform Party. A staunch patriot, Perot has been know for his aggressive business practices as well as for his close relationships to the military and other US governmental bodies. Perot reached 19 % in the 1992 presidential elections, but dropped to less than 10 % in 1996.

Official website: http://www.perot.org/

Unofficial website: http://www.realchange.org/perot.htm

http://www.eds.com/
http://www.perot.org/
http://www.realchange.org/perot.htm
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