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Date: Wed, 22 Mar 1995 15:56:38 +0100
To: hol-announce@hungary.yak.net
From: carlson@odin.net (Steven Carlson)
Subject: (HOL-A) Internet: you aint seen nothin yet
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hungary-online
Internet: you aint seen nothin yet

By Steven Carlson


These days you can hardly turn on the TV or lift a newspaper without being
smacked in the face by the information revolution.

Not long ago it was bad to be called a "nerd" or a "geek." Suddenly it's
hip. Now politicians have email addresses and rock stars produce CD-ROMs
and write Web pages. Every new startup company is called "cyber-this,"
"compu-that," or maybe "something-net."

It seems everyone's jumping on the Internet bandwagon. Yet it's happening
so fast we can't keep up. Hell - we haven't even got the jargon down. Ever
had someone ask you for your email number? (address). I've also has some
interesting discussions about Internet billboards (bulletin boards). Are
you online yet?

The hype has to have a limit. Every media sensation inevitably has a
backlash, and you can already see the first signs of this one. I was
surprised recently to see an old acquaintance named Cliff Stoll has come
out with a book called
_Silicon_Snakeoil:_Second_Thoughts_About_the_Information_Superhighway_.

In his book, Stoll makes a good argument that the Internet is not the
panacea we all hope it is. Getting on the Net is still hard for the
non-tech user. The Net is difficult to navigate - it needs better searching
engines and a Dewey decimal system to organize the chaos. Finally, with so
many folks scrambling to get online, Stoll points out, Internet performance
is suffering. The Net is slowing down.

I agree with Stoll's points. But I also see Internet developing at such a
pace that these problems will be overcome. The pace of technical
development going on at present is matched only by the frenzied dealmaking
among telecoms, cable companies, content providers and wildcard startups.
There's more going on here than just slick PR. Here's just two reasons why
the info boom is bigger than the hype:

The bandwidth explosion
When you talk about PCs, you measure performance in terms of chip speeds.
When you talk about telecommunications the yardstick is bandwidth - the
amount of data you can move across a network in a given time. Bandwidth is
required to speed up the Net. Bandwidth, and lots of it, is required to
move full-motion video feeds that will make possible real-time
videoconferencing, video on demand, and who knows what else. All across the
Internet, the cry is out for more bandwidth.

And it is bandwidth we shall have. New switching technologies are coming
online soon that will dramatically increase the data carrying capacity of
fiber optic lines. Telecom pundits are saying the bandwidth explosion will
parallel the exponential leaps in chip speeds that have come to
characterize the computer industry. This year MCI is offering its corporate
clients a 10 GB/sec connection. That's 10 billion bits per second - 10
times faster than the backplate of a Pentium computer. Numbers like that
mean prices will be dropping and performance increasing on the consumer
end.

The pace of innovation
These days the pundits speak glibly of a second Renaissance. Actually, I
don't think that's so outlandish. After all, the first Renaissance was all
about the flow of goods and ideas that sprang forth from the Crusaders'
campaigns in the Palantine. What else is the Internet, but a fantastic
meeting of minds?

If you don't buy that, you'll at least agree the pace of innovation is
accelerating. Here's one tidbit from this month's news that just could blow
the lid off of long distance prices. It's called the Internet phone:

VocalTec Inc. of Northvale, N.J. is now selling a product that allows PC
users to "telephone" each other over the Internet. Called Internet phone,
the software costs $50 and is available over the Internet. Motorola, which
has a 42% share of the high end modem market, has just signed a deal with
VocalTec to bundle the software with its product.  For modems, says a
Motorola spokesman, "The next wave of features is to add voice
functionality."

Excuse me? And what do you think the phone companies will say to this?
Telecom officials interviewed by AP scoffed at the idea that they would
lose business. But I suspect they'll soon change their minds. Internet
access is much cheaper than long distance telephony (even in Hungary) and
as the Net grows the idea is sure to catch on. The Hungarian PTT is
currently trying to crack down on callback services which offer cheaper
long distance service. A similar effort in the Czech republic failed.

Revolutionary? This kind of news is getting old hat. Just as I was
preparing to send away this column I noticed another item in the news. AT&T
has just announced a technology called VideoSpan_Plus that will allow the
phone companies to send cable TV over a copper telephone line. Add to that
another piece of the puzzle from yesterday's news: Federal District Court
Judge Harold H. Greene, who oversees the seven Bell regional operating
companies, has ruled that Bell Atlantic can compete directly with cable
operators and TV broadcasters in transmitting video programming anywhere in
the country. That pretty much opens the US cable market to competition from
the Baby Bells. What next?

There's so much going on it hurts my head trying to follow it all. Sure,
there's plenty of hype and hot air about cyberspace these days. But the
information revolution will prove itself more than just a fad. If anything,
this is only the beginning. You ain't seen nothin' yet.




---
Steven Carlson                          Moderator/Publisher - hungary-online
Critical Mass Media Inc.                        Internet trainer, consultant
[+361] 133-4647                                         in Budapest, Hungary
carlson@odin.net
                    



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