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    eBusiness / eCommerceeBusiness / eCommerce

    Innovations in 2002Innovations in 2002

    Discussion led by Bruce Brorson

    June 18th, 2002

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    About this WorkshopAbout this Workshop

    Intended Audience Business and Government Leaders, Entrepreneurs, Internet

    Service Providers and Developers, Individuals interested in theInternet as a business platform.

    Objectives To examine the impact of the Internet on our personal and

    business lives.

    To provide a glimpse of the eBusiness trends and technologyinnovations that will impact individuals and businesses in

    upcoming months.

    To take time to discuss the interests of workshops participantsand examine topics to guide interaction through the workshop.

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    The InternetThe Internet

    Statistics Available atStatistics Available at http://http://www.cyberatlas.comwww.cyberatlas.com

    As of March 2002 603 million household computers were inuse worldwide 50.4% of all US households, 49.9% of WesternEuropean households and 38.3% of all Asian/Pacifichouseholds.

    Number of Internet users worldwide? 533 million - as of May of2002 445 million have access at home. The United Statesalone has 149 million Internet users.

    As of April of 2002, more than 25.2 million surfers at-home in

    the United States accessed the Internet via cable modem, DSL,broadband wireless, or high speed satellite services. Thatnumber represents a 79% growth from April of 2001 and thegrowth is accelerating. 17% of all Internet users in the USaccess by broadband.

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    The Internet the Business NumbersThe Internet the Business Numbers

    IDC recently reported that online ecommerce sales in 2001IDC recently reported that online ecommerce sales in 2001topped $680 billion (a 68% increase from 2000) and thattopped $680 billion (a 68% increase from 2000) and thatprojections for 2002 are that ecommerce transactions will top $1projections for 2002 are that ecommerce transactions will top $1trillion.trillion.

    Most (but not all) top etailers now have their roots in a traditionalMost (but not all) top etailers now have their roots in a traditionalbusiness model.business model.

    1.1. eBayeBay2.2. Amazon.comAmazon.com3.3. Columbia HouseColumbia House4.4. ToysRUsToysRUs

    5.5. Barnes and NobleBarnes and Noble6.6. Apple ComputerApple Computer7.7. Best Buy.Best Buy.

    In 2001, eMarketer found 78 percent, or 5.9 million, of all U.S.In 2001, eMarketer found 78 percent, or 5.9 million, of all U.S.small businesses are connected to the Internet and nearly halfsmall businesses are connected to the Internet and nearly halfhave active purposeful Web sites.have active purposeful Web sites.

    Statistics Available atStatistics Available at http://http://www.cyberatlas.comwww.cyberatlas.com

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    The Internet More Business NumbersThe Internet More Business Numbers

    Of the 501 small business owners/managers with less than 100employees that were surveyed for theOPEN Small Business Network 2002 Monitorfrom AmericanExpress, 66 percent revealed that they have integrated the Internetas a tool to help them run their businesses.

    Common online business activities included:

    Making travel plans / purchasing office supplies, equipment orother business services (tied at 36 percent)

    Conducting industry or market research (34 percent)

    Marketing or advertising (29 percent)

    Networking with other entrepreneurs (24 percent)

    Purchasing goods from wholesalers (22 percent)

    Managing accounts and making payments (16 percent)

    Statistics Available atStatistics Available at http://http://www.cyberatlas.comwww.cyberatlas.com

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.open.americanexpress.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.open.americanexpress.com/
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    Why have companies installed InternetWhy have companies installed Internet

    and eBusiness technologies?and eBusiness technologies?

    Evolving business relationshipsEvolving business relationships To meet increased demands for rapid responseTo meet increased demands for rapid response

    customer service and improved communicationscustomer service and improved communications

    with the sales channelwith the sales channel

    To facilitate accelerated supplier communicationTo facilitate accelerated supplier communication To enhance internal departmental integrationTo enhance internal departmental integration

    Cost effective telecommunicationsCost effective telecommunications

    The need for access to informationThe need for access to information

    (internal and external) for decision making(internal and external) for decision making Expanded marketing opportunitiesExpanded marketing opportunities

    .many others..many others.

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    What technologies and business models are emergingWhat technologies and business models are emerging

    to reinvigorate the Internet as a business platform?to reinvigorate the Internet as a business platform?

    Email

    The World Wide Web eMarketing Sites

    Business to Consumer Sales Center

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    What technologies and business models are emergingWhat technologies and business models are emerging

    to reinvigorate the Internet as a business platform?to reinvigorate the Internet as a business platform?

    More in 2002

    1. Expanded Broadband Telecommunication Services

    2. Stabilizing Standards for the Exchange of B2B

    data/application Web Services. - XML, ebXML, WSDL, UDDI, and others prepared to deliver Web

    Services applications with the tools of Microsoft.NET and Suns J2EE.

    1. Growth in Outsourced Internet Business Services Everything from secure email, networking and internetworking

    infrastructure, full financial application service, enterprise resource

    planning, sales force automation, customer relationship management,project management, and much more.

    1. Increased Deployment of Unified Messaging Systems Email, voice mail, fax services, instant messaging, peer to peer workflow

    support, plus more..

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    Whats the common thread of theWhats the common thread of the

    current Internet landscape?current Internet landscape?

    Technology applications blending withservices.

    Enhanced cost effectiveness.

    Accelerated business processes. Improved business interaction and

    communications. more

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/
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    More in 2002 Expanded BroadbandMore in 2002 Expanded Broadband

    Telecommunication ServicesTelecommunication Services

    Broadband = a term for high-speed transmission, on asingle line, carrying a multitude of communicationsservices including data, voice, and video.

    transmission speeds of at least 200 kilobits/secondtransmission speeds of at least 200 kilobits/second -as defined by the Advanced Telecommunications inRural America report of the NationalTelecommunications and Information Administrationand the Rural Utilities Service in the Spring of 2000.

    Available at http://www.ntia.doc.gov/reports.html.

    http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.cyberatlas.com/http://www.ntia.doc.gov/reports.htmlhttp://www.ntia.doc.gov/reports.htmlhttp://www.ntia.doc.gov/reports.html
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    Broadband ProvidersBroadband Providers

    Telephone Companies providers of xDigital Subscriber Line (xDSL)service Capable of simultaneous Internet, television, and voice/fax capabilities over

    a single telephone line.

    Ongoing dedicated connection no dial-up and always connected.

    Monthly flat-rate fee for service

    Star-based technologyresults in data security that exceeds competingtechnologies.

    Cable Companies providers of cable/modem/router services

    Capable of simultaneous Internet, telephone, and television over a singlecable line.

    Ongoing dedicated connection no dial-up and always connected.

    Monthly flat-rate fee for service

    Bus-based delivery technology

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    Broadband ProvidersBroadband Providers

    Wireless Companies capable for being rapidly deployed can operateunregulated Ability to deliver into remote locations

    Capable of speeds up to 100 megabit speeds

    Comparatively inexpensive to deploy

    Geostationary (GEO) Satellite Service Companies - begandeployment of 1st generation in 2001. DirectTV and StarBand will add higherspeed services in the years to come.

    Low and Medium Earth Orbit (L/MEO) Satellite Service Companies Holds promise for connection transportability

    http://www.teledesic.com will offer speeds capable of up to 720 megabitdownlink and 100 megabit uplink

    2005 for full deployment 12 original and then 18 satellites to follow

    http://www.skybridgesatellite.com will off the same services with a deploymentof 80 satellites.

    http://www.teledesic.com/http://www.skybridgesatellite.com/http://www.skybridgesatellite.com/http://www.teledesic.com/
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    A Telecommunications and BroadbandTechnology Simulation

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    The new landscape: InterconnectedThe new landscape: Interconnected

    Businesses Governments - HomesBusinesses Governments - Homes

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    More in 2002 Growth in the Use ofMore in 2002 Growth in the Use of

    Outsourced Internet ServicesOutsourced Internet Services

    As information technology requirements become more andmore sophisticated, companies are examining alternatives tocontinued investment and reinvestment in infrastructure.

    Quality and cost effective programs of Application Service

    Providers (ASP) are now more appealing than ever, afterthe .com collapse.

    Services that are often considered for outsourcing:

    1) Email

    2) Website / eCommerce Hosting3) Customer Relationship Management Sales Force Automation

    Human Resource Management Enterprise Resource Planning Financial Systems Applications

    4) Complete Systems (back-end) Infrastructure

    5) much more

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    More in 2002 Growth in the Use ofMore in 2002 Growth in the Use of

    Outsourced Internet ServicesOutsourced Internet Services

    The diversity and specialization in the available of services isincreasing all the time. http://www.asp-directory.com/ is a goodreference on the services that you can examine.

    Advantages of Using as ASP:

    By outsourcing IT services to an ASP, one can connect multipleoffice sites across remote geographies to a comprehensive, high-performance computing and application capability via the Internetor a private network. Best of all, one would generally pay forapplications and information provided on demand with a fixedmonthly subscription bill.

    By utilizing an ASP, a company can reduce the growingmaintenance burden that is placed upon in-house IT staff. InternalIT staff can effectively become more free to focus on delivery anduse of critical management information instead of focusing ontechnology maintenance and upgrades.

    http://www.asp-directory.com/http://www.asp-directory.com/
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    Internet Services - Business to ConsumerInternet Services - Business to Consumer

    eeCommerceCommerce

    Online eTail StoresOnline eTail Stores http://http://www.amazon.comwww.amazon.com -- http://http://www.cdw.comwww.cdw.com http://http://www.crutchfield.comwww.crutchfield.com

    Online auctionsOnline auctions http://http://www.ebay.comwww.ebay.com

    Travel servicesTravel services http://http://www.expedia.comwww.expedia.com -- http://http://www.priceline.comwww.priceline.com --http://http://www.nwa.comwww.nwa.com

    Financial ServicesFinancial Services http://http://www.schwab.comwww.schwab.com -- http://www.ml.comhttp://www.ml.com

    Personal ServicesPersonal Services Employment Employment http://www.monster.comhttp://www.monster.com http://www.techies.comhttp://www.techies.com

    Legal Legal http://http://www.techlawjournal.comwww.techlawjournal.com -- http://www.law.comhttp://www.law.com Medical Medical http://http://www.webmd.comwww.webmd.com

    Publishing -Publishing - http://http://www.ecommercetimes.comwww.ecommercetimes.com

    many others.many others.

    http://www.amazon.com/http://www.amazon.com/http://www.amazon.com/http://www.amazon.com/http://www.cdw.com/http://www.cdw.com/http://www.cdw.com/http://www.cdw.com/http://www.crutchfield.com/http://www.crutchfield.com/http://www.crutchfield.com/http://www.crutchfield.com/http://www.ebay.com/http://www.ebay.com/http://www.ebay.com/http://www.ebay.com/http://www.expedia.com/http://www.expedia.com/http://www.expedia.com/http://www.expedia.com/http://www.priceline.com/http://www.priceline.com/http://www.priceline.com/http://www.priceline.com/http://www.nwa.com/http://www.nwa.com/http://www.nwa.com/http://www.nwa.com/http://www.schwab.com/http://www.schwab.com/http://www.schwab.com/http://www.schwab.com/http://www.ml.com/http://www.ml.com/http://www.monster.com/http://www.monster.com/http://www.techies.com/http://www.techies.com/http://www.techlawjournal.com/http://www.techlawjournal.com/http://www.techlawjournal.com/http://www.techlawjournal.com/http://www.law.com/http://www.law.com/http://www.webmd.com/http://www.webmd.com/http://www.webmd.com/http://www.webmd.com/http://www.ecommercetimes.com/http://www.ecommercetimes.com/http://www.ecommercetimes.com/http://www.ecommercetimes.com/http://www.ecommercetimes.com/http://www.ecommercetimes.com/http://www.webmd.com/http://www.webmd.com/http://www.law.com/http://www.techlawjournal.com/http://www.techlawjournal.com/http://www.techies.com/http://www.monster.com/http://www.ml.com/http://www.schwab.com/http://www.schwab.com/http://www.nwa.com/http://www.nwa.com/http://www.priceline.com/http://www.priceline.com/http://www.expedia.com/http://www.expedia.com/http://www.ebay.com/http://www.ebay.com/http://www.crutchfield.com/http://www.crutchfield.com/http://www.cdw.com/http://www.cdw.com/http://www.amazon.com/http://www.amazon.com/
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    Internet Services - Business to BusinessInternet Services - Business to Business

    eeCommerceCommerce

    Sales Channel Interfacing Sales Support CentersSales Channel Interfacing Sales Support Centers Dealership Extranet username and password required Dealership Extranet username and password required

    http://www.netledger.comhttp://www.netledger.com Group Selling and Two-way RFP Channels Group Selling and Two-way RFP Channels http://http://www.onvia.comwww.onvia.com

    Virtual Marketplaces - Procurement Aggregators - Supply ChainVirtual Marketplaces - Procurement Aggregators - Supply ChainApplication ServicesApplication Services Integrated, Comprehensive EDI / XML on the Internet Integrated, Comprehensive EDI / XML on the Internet http://http://

    www.rosettanet.orgwww.rosettanet.orgfor document definitions that will be used as standardsfor document definitions that will be used as standards Acquisition Group Buying Acquisition Group Buying http://http://www.buyerzone.comwww.buyerzone.com Requisition Intranet Requisition Intranet http://www.oraclesmallbusiness.comhttp://www.oraclesmallbusiness.com

    Hosted ApplicationsHosted Applications

    Accounting Applications Accounting Applications http://www.quickbooks.comhttp://www.quickbooks.com Project Management Applications Project Management Applications http://www.onproject.comhttp://www.onproject.com

    Technical ServicesTechnical Services Design collaboration Design collaboration http://http://www.toolwire.comwww.toolwire.com Meeting Facilitation Meeting Facilitation http://http://www.placeware.comwww.placeware.com Application Service Application Service http://http://www.greatplains.comwww.greatplains.com

    http://www.netledger.com/http://www.netledger.com/http://www.onvia.com/http://www.onvia.com/http://www.onvia.com/http://www.onvia.com/http://www.rosettanet.org/http://www.rosettanet.org/http://www.rosettanet.org/http://www.rosettanet.org/http://www.buyerzone.com/http://www.buyerzone.com/http://www.buyerzone.com/http://www.buyerzone.com/http://www.oraclesmallbusiness.com/http://www.oraclesmallbusiness.com/http://www.quickbooks.com/http://www.quickbooks.com/http://www.onproject.com/http://www.onproject.com/http://www.toolwire.com/http://www.toolwire.com/http://www.toolwire.com/http://www.toolwire.com/http://www.placeware.com/http://www.placeware.com/http://www.placeware.com/http://www.placeware.com/http://www.greatplains.com/http://www.greatplains.com/http://www.greatplains.com/http://www.greatplains.com/http://www.greatplains.com/http://www.greatplains.com/http://www.placeware.com/http://www.placeware.com/http://www.toolwire.com/http://www.toolwire.com/http://www.onproject.com/http://www.quickbooks.com/http://www.oraclesmallbusiness.com/http://www.buyerzone.com/http://www.buyerzone.com/http://www.rosettanet.org/http://www.rosettanet.org/http://www.onvia.com/http://www.onvia.com/http://www.netledger.com/
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    Internet Services - Business to GovernmentInternet Services - Business to Government

    Information Service CentersInformation Service Centers

    Virtually all City, County, State or Federal Agencies the Internet will be a criticalVirtually all City, County, State or Federal Agencies the Internet will be a critical

    tool for data collection as well as data dissemination.tool for data collection as well as data dissemination.

    Commerce Business Daily Commerce Business Daily http://www.fedbizopps.gov/http://www.fedbizopps.gov/

    Federal Electronic Commerce Program Office Federal Electronic Commerce Program Office http://http://ec.fed.govec.fed.gov

    Small Business Administration Small Business Administration http://http://www.sba.govwww.sba.gov

    Online Sales Centers Online Sales Centers licenses, tickets, assorted governmental products.licenses, tickets, assorted governmental products.

    eProcurement Centers -eProcurement Centers -http://http://nais.nasa.gov/fedproc/home.htmlnais.nasa.gov/fedproc/home.html

    Application ServicesApplication Services Internal Revenue Service Internal Revenue Service http://http://www.irs.govwww.irs.gov

    http://www.fedbizopps.gov/http://www.fedbizopps.gov/http://ec.fed.gov/http://ec.fed.gov/http://ec.fed.gov/http://ec.fed.gov/http://www.sba.gov/http://www.sba.gov/http://www.sba.gov/http://www.sba.gov/http://nais.nasa.gov/fedproc/home.htmlhttp://nais.nasa.gov/fedproc/home.htmlhttp://nais.nasa.gov/fedproc/home.htmlhttp://nais.nasa.gov/fedproc/home.htmlhttp://www.irs.gov/http://www.irs.gov/http://www.irs.gov/http://www.irs.gov/http://www.irs.gov/http://www.irs.gov/http://nais.nasa.gov/fedproc/home.htmlhttp://nais.nasa.gov/fedproc/home.htmlhttp://www.sba.gov/http://www.sba.gov/http://ec.fed.gov/http://ec.fed.gov/http://www.fedbizopps.gov/
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    More in 2002 Increased DeploymentMore in 2002 Increased Deployment

    of Unified Messaging Systemsof Unified Messaging Systems

    Unified messaging is the integration of several communicationsmedia, so that users will be able to retrieve and send voice, fax,and e-mail messages from a single interface, whether it be awireline phone, wireless phone, or an Internet-enabled PC.

    Companies are now understanding they must meet the needs ofboth PC-centric and Telephone-centric users. UM seeks tobring a common interface to:

    Email with calendaring and scheduling Telephone Fax Pager Instant Messaging others???

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    More in 2002 Unified and InstantMore in 2002 Unified and Instant

    Messaging SystemsMessaging Systems

    While market delivery of many UM systems may be months andsome cases years away, telecommunications technologies arerapidly moving to consolidate Internet communications services.

    Todays leading trend Instant Messaging

    Problem still no Internet/IETF standard. Products from AOL,Microsoft, Yahoo and others are often not interoperable.

    Security is still a concern IM uses Port 80

    Enterprise class systems are under development Exchange 2000and Lotus Notes already include components.

    Offers Powerful Real-time Customer Support and EmployeeInteraction capabilities

    Is being deployed on a variety of devices from a full PC to a cellulartelephone.

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    More in 2002 Unified and InstantMore in 2002 Unified and Instant

    Messaging SystemsMessaging Systems

    Tomorrows trend Voice over IP Protocols are becoming more stable. Both H.323 and SIP (Session

    Initiation Protocol) have gained a significant acceptance and SIP isincluded as a standard protocol in Windows XP as well as the newestversions of Linux.

    Will be integrated with existing PBX systems and local/wide areTCP/IP data networks.

    Has the potential to significantly reduce overall telecommunicationscosts while at the same time improving service.

    The novelty appeal of current Voice over IP products will disappear

    one telecommunications providers begin to package this service.

    Unified Messaging Systems will be built around todays corporatemessaging platforms from IBM Lotus Notes, Novell Groupwise,and Microsoft Exchange.

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    Additional ThoughtsAdditional Thoughts

    an eBusiness growth stage is just around

    the corner

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    Additional InformationAdditional Information

    Bruce BrorsonBruce BrorsonUniversity of Minnesota, CrookstonUniversity of Minnesota, Crookston

    Center for Business and Technology Information TechnologyCenter for Business and Technology Information TechnologyManagementManagement

    Dowell Hall 217 2900 University AvenueDowell Hall 217 2900 University Avenue

    Crookston, MN 56716Crookston, MN 56716

    On the Web On the Web http://www.brucebrorson.nethttp://www.brucebrorson.net

    By phone at 1-218-281-8196 Fax at 1-218-281-8457By phone at 1-218-281-8196 Fax at 1-218-281-8457

    Bruce Brorson Email Address Bruce Brorson Email Address mailto:[email protected]:[email protected]

    http://www.brucebrorson.net/http://www.brucebrorson.net/mailto:[email protected]:[email protected]:[email protected]://www.brucebrorson.net/