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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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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How the Internet works

On the Internet, when you want to retrieve a document from another computer, you request a service from this computer. Your computer is the client, the computer on which the information you want to access is stored, is called the server. Therefore the Internet's architecture is called client-server architecture.

A common set of standards allows the exchange of data and commands independent from locations, time, and operating systems through the Internet. These standards are called communication protocols, or the Internet Protocol Suite, and are implemented in Internet software. Sometimes the Internet Protocol Suite is erroneously identified with TCP/IP (Transmission Control Protocol / Internet Protocol).

Any information to be transferred is broken down into pieces, so-called packets, and the Internet Protocol figures out how the data is supposed to get from A to B by passing through routers.

Each packet is "pushed" from router to router via gateways and might take a different route. It is not possible to determine in advance which ways these packets will take. At the receiving end the packets are checked and reassembled.

The technique of breaking down all messages and requests into packets has the advantage that a large data bundle (e.g. videos) sent by a single user cannot block a whole network, because the bandwidth needed is deployed on several packets sent on different routes. Detailed information about routing in the Internet can be obtained at http://www.scit.wlv.ac.uk/~jphb/comms/iproute.html.

One of the Internet's (and of the Matrix's) beginnings was the ARPANet, whose design was intended to withstand any disruption, as for example in military attacks. The ARPANet was able to route data around damaged areas, so that the disruption would not impede communication. This design, whith its origin in strategic and military considerations, remained unchanged for the Internet. Yet the design of the ARPANet's design cannot be completely applied to the Internet.

Routing around depends on the location of the interruption and on the availability of intersecting points between networks. If, for example, an E-mail message is sent from Brussels to Athens and in Germany a channel is down, it will not affect access very much, the message will be routed around this damage, as long as a major Internet exchange is not affected. However, if access depends on a single backbone connection to the Internet and this connection is cut off, there is no way to route around.

In most parts of the world the Internet is therefore vulnerable to disruption. "The idea of the Internet as a highly distributed, redundant global communications system is a myth. Virtually all communications between countries take place through a very small number of bottlenecks, and the available bandwidth isn't that great," says Douglas Barnes. These bottlenecks are the network connections to neighboring countries. Many countries rely on a one single connection to the Net, and in some places, such as the Suez Canal, there is a concentration of fiber-optic cables of critical importance.

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Time Warner

The largest media and entertainment conglomerate in the world. The corporation resulted from the merger of the publisher Time Inc. and the media conglomerate Warner Communications Inc. in 1989. It acquired the Turner Broadcasting System, Inc. (TBS) in 1996. Time Warner Inc.'s products encompass magazines, hardcover books, comic books, recorded music, motion pictures, and broadcast and cable television programming and distribution. The company's headquarters are in New York City. In January 2000 Time Warner merged with AOL (America Online), which owns several online-services like Compuserve, Netscape and Netcenter in a US$ 243,3 billion deal.

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Electronic Messaging (E-Mail)

Electronic messages are transmitted and received by computers through a network. By E-Mail texts, images, sounds and videos can be sent to single users or simultaneously to a group of users. Now texts can be sent and read without having them printed.

E-Mail is one of the most popular and important services on the Internet.

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News Corporation

The News Corporation Ltd., a global media holding company, which governed News Limited (Australia), News International (U.K.), and News America Holdings Inc. (U.S.) was founded by the Australian-born newspaper publisher and media entrepreneur, Rupert Murdoch. Murdoch's corporate interests center on newspaper, magazine, book, and electronic publishing; television broadcasting; and film and video production, principally in the United States, the United Kingdom, and Australia.

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