8 Best WordPress Hosting Solutions on the Market In this post we take a closer look at the paradigm shifts of the web, especially forthe near future. What approaches have dominated the web over the years and which ones failed; and why?Also, since Facebook is already widely accepted as the next big thing, the new questionis: what is the next “next big thing”? Is it already out there? To start withcheck out the graph below, summarizing the Web’s stages up till now and our vision for the future: A Web Developer’s New Best Friend is the AI Wai… Tags:#Analysis#web Related Posts Why Tech Companies Need Simpler Terms of Servic… Top Reasons to Go With Managed WordPress Hosting As you can see, the current trend is for social interactions to take oversearch as the pivot of the internet. But if you’re not convinced, here are a few examplesof why:Google and Microsoft’s billion dollar ad partnerships with MySpace and Facebookrespectively;Yahoo and Viacom’s bets on Facebook;Yahoo’s rivals.com acquisition and rumors of Fox offering to sell MySpace to Yahoo! in exchange for a 25% stake.The Eras of the WebAge #0 – eCommerceE-commerce is the most primitive way of making money online. It’s identical to the realworld, where you have some products (real or virtual) and you sell them to consumers andpocket the money. The only difference from the world we live in is that the “e” prefixeliminates some frictions and allows this process to get completed faster and easier eachyear. That’s why the first age of the Web was full of online sellers; companies gotfunded to sell and specialize in a variety of things. Some of them have become successfulbecause what they sold was aaleable (e.g. Amazon with books), but others failed becausetheir motivation was “everything can be sold over the internet” – which turned out to bewrong in some cases. Overall, e-commerce is still a very important component of theinternet’s revenue stream – albeit not as mighty as we once thought it could be.Age #1 – Single Sign-onWhile everyone was building and investing in e-commerce sites, two Stanford studentsfigured out a new way of making money online. Yahoo started out with a simple webdirectory, but their idea was to port traditional media business models to the onlinespace. They weren’t focused on selling goods, but they brought great services togetherand glued them with a single sign-on mechanism. Consequently, they created some sort ofvendor lock-in; because signing up has been the biggest friction that awaits web surfers.Remember the old tedious sign up processes – they even asked you how much money you makeper year! And note that there was no such thing as OpenID at that time.The motivation of Yahoo at that time was to keep the visitors as long as they could ontheir properties (actually not much has changed). After all, the longer users stay, themore ads they can view. This seemed like a perfect business model at first, because itallowed people to get great services for free. Everyone liked it and Yahoo became theposter child company of the late 90’s.Age #1.5 – GeocitiesWhile Yahoo was rising, a new service emerged and started to take the lead slowly –Geocities was one of many sites that provided free web hosting and web site creationservices. However GeoCities was different in some ways. It was more like the socialnetworking sites of today; the self expression level was high and the weird naming schemebased on city names gave it a human touch. That’s why we can call GeoCities the firstutterly successful social interaction platform. However, after it was acquired by Yahooit became yet another web hosting service provider – and it lost its soul and failed. Noone can blame Yahoo for that though, because that was the first of its kind and at thattime everyone was unaware of the social impact of such a big web acquisition.BoomThe Boom period (aka Dot Com) is not an age like the others, but is worth looking into.The reason of the boom was the lack of calibration between the pace of internetapplications and the internet infrastructure. VC firms invested heavily in web sites,with the dream of being the next Hotmail, eGroups, Viaweb – but the internetinfrastructure didn’t scale well to the increasing production. People were not spendingenough time on the internet and download speeds were slow – therefore the demand couldn’tsatisfy the production. Moreover, there wasn’t any adequate monetization method of thecontent spread over the web. As a result, revenues fell short and the market crashed verybadly.Age #2 – SearchWhile Yahoo was trying to get people to spend as much time as possible on theirproperties in order to maximize their advertising revenues, 2 other Stanford students –this time Larry Page and Sergey Brin – came up with the idea of excelling at search.Because they realized that search was the start point of the web. Even though people werelikely to spend time on Yahoo properties, they still needed long tail sites to getinformed and reach other stuff that Yahoo couldn’t offer. What Google did was to offer abetter search service with absolutely no clutter. Their sparse but highly efficientservice opened the doors to big deals and hugely profitable online advertising.Eventually they became the center of the web. Now, Google’s new purpose is to bringdesktop applications to the internet too.Age #2.5 – On-demand VideoIt’s a fact that humans are born lazy. Yes, we love spending time on the internet andinteract with many things; but still many of us prefer spending our free time on TV andwatching meaningless shows. What the new high speed internet infrastructure did was, insome sense, bring TV to the internet. And what YouTube and others did, was to bring it tous. Yes, Google was the center and we were still using it, but YouTube grew sharply tooduring this time. We started to spend more time watching videos than mining the internetfor more information. That didn’t only steal time from Google and the long tail sites,but also stole from the traditional TV networks – because we prefered on-demand TV overthe old linear one.What happened then is Google saw the potential at YouTube and bought it. This cost$1.65 B (an amount that Yahoo couldn’t or wouldn’t risk). But actually the number wassurprisingly low for a paradigm shifting company. Couldn’t YouTube become the new Googleby itself, couldn’t they make an IPO and become a billion dollar company? The answer isunexpectedly “no”. The reason was YouTube’s legal hassles. They knew that they wouldconfront legal problems sooner or later and that’s why they chose the quick exit and getunder the wings of a well established company. Google could protect them and spend therequired money to fight in courts. In fact, YouTube got sued almost immediately after theacquisition – Viacom wanted Google to pay $1 B for the illegal videos YouTube published.This was a big threat, that could’ve allowed other content producers to demand the sameas well.Age #3 – SocialActually social interactions have always played an important role in the internet.GeoCities, Friendster, ICQ, IRC were all signs of the fact that social interactions cancontrol the destiny of the web. But all of these products had problems and couldn’t makeit to the end. For example acquisitions finished GeoCities and ICQ. Friendster had badmanagement problems. MySpace kept growing, but it couldn’t take the necessary steps tobecome a real big thing. IRC became obsolete with ICQ. Only one company figured out theway of putting social interactions to the center of the web and it was Facebook.Facebook, for the first time, opened the gate and merged all social services into itself.Now you can integrate your IM (meebo), Twitter, and other services into Facebook easily.Thus Facebook became a true platform company and is increasingly many peoples startpage.Bigcos had already realized that social networking sites would eventually become ourstart pages and that all of our internet actions will get reshaped there. On the likes ofFacebook, our actions will be shaped by our friends and trusted communities. That’s whyGoogle signed a billion dollar deal with News Corp to become the default search providerof MySpace. Their thought was that hopefully this would give them some time before theyneeded to reorganize themselves and make an attack in the social world as well. Yahootried to buy Facebook, as it didn’t have this Platform feature yet, but failed. Theyended up by buying a niche site Rivals.com, to create their own Facebook and possibly try toexplore opportunities with News Corp’s MySpace.Age #4 – Joost ???It’s hard to guess the 4th phase of the web because we don’t even have the3rd one yet, fully. But what the past eras (see ages 1.5, 4 and 2.5) show isthat we will end up with the rebirth of online TV. Since we are all born lazy, video ondemand is the way to go. And what Joost is offering is higher quality content (thanks totheir collaboration with big content providers), higher quality watching experience(thanks to P2P technology) and a legal hassle-free alternative to YouTube, which hasalready shown tremendous success.ConclusionThis is an open ended article. You may not share the same ideas as me, especiallyabout my Age #4 estimation, because it’s completely subjective. For example some of youmay think that Second Life, meebo or NetVibes is the next next big thing. Please shareyour thoughts in the comments. I’m stopping here for the sake of keeping the articleshort(ish), but I am ready to discuss in the comments other possibilities. emre sokullu 1
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