[8804] in Commercialization & Privatization of the Internet

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Using the Internet for/by Business - my $.03

daemon@ATHENA.MIT.EDU (Daniel P Dern)
Sun Dec 5 13:43:16 1993

Date: Sun, 5 Dec 1993 13:42:29 -0500
From: ddern@world.std.com (Daniel P Dern)
To: com-priv@psi.com


The subject of business use of the Internet is hardly new.  It was a 
major factor in the establishment of the "commercial Internet providers" 
(a.k.a. "Public Data Internets" [PDIs - I believe I was the one to coin 
this term, it's analogous to Public Data Networks] like PSI's PSInet and 
Uunet's Alternet, and of the Commercial Internet Exchange (CIX).  Even 
then, it was clear that business uses for IP connectivity and for 
"commerciall zoned" parts of the Internet included (as pasted from my 
original mss on my disk):    

"The CIX will let customers of these networks access the other networks 
directly, for applications such as: 
    o Cooperative program development
    o Customer technical support
    o Participation/awareness of technical standards
    o Access to online news and information
    o Professional and staff development through immediate 
      communications with leaders in the field through email, 
      news groups, and transferring late-breaking information and 
      technology 
    o Inter-office communications and product briefings
    o Working with vendors, suppliers and customers 
      electronically 
    o E-mail and file transfer for price lists, product 
      information, bug fixes, code patches, etc.
    o LAN-class file-serving under NFS
    o Document conferencing
    o Remote login for supercomputer access
    o New services like 'pay for view' databases
    o Remotely-handled system administration and maintenance,
      software porting, etc.
    o File transfer using TCP/IP FTP
    o electronic mail
    o Opening concurrent windows to hosts in multiple offices."

To give credit where due, the above list came largely from discussions 
with John Eldredge, Director of Sales and Marketing at PSI.  One could 
have gotten a similar list from Rick Adams (Uunet), Barry Shein (Software 
Tool & Die/The World), John Curran (NEARnet).  FYI, this was before the 
advent of such creatures as archie, Gopher or WAIS, and back when there 
really was a "physical" NSFnet backbone, which provided the only long-
haul transit among the U.S. 'regionals and midlevels' until direct 
interconnections and the CIX came along.  (How things have 
changed...somewhat.)

(Feel free to check out the articles I wrote for Business Communications 
Review, Datamation, Federal Computer Week, and Interop's ConneXions 
newsletter back in 1991 on these topics.)

Since then, there's been some change -- such as new tools and more 
providers, and a generalization of "business users of the Internet" from 
just folks in the computer and network business and/or the Internet 
community to anyone with information they want to make available to the 
tens of millions of people for whom on-line communication has become as 
natural as the phone, fax, or overnight courier.

Let me share the following excerpts from my own book (_The Internet Guide 
for New Users_, McGraw-Hill 1993).  A condensed version of Chapter 13 was 
printed in a recent issue of LAN Times.

PLEASE NOTE: These excerpts are printed here with my permission as author 
and copyright owner; you may forward this message only in its entirety, 
including the copyright notice, and you may NOT quote more than a "fair 
use" amount of up to four paragraphs in any electronic or print 
publication without contacting me for my permission first.  For more 
information, gopher to the appropriate directory on the Electronic 
Newsstand (enews.com), or contact me.  Thank you.

Daniel P. Dern (ddern@world.std.com)

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FROM: 

THE INTERNET GUIDE FOR NEW USERS, Daniel P. Dern (McGraw-Hill, Oct. 1993); 
608 pages.  Forward by Cheryl Currid; illustrated by Hannah M.G. Shapero.  
Includes coupons for Internet accounts, services and products.  
Paperback $27.95 (ISBN 0-07-016511-4) Hardcover $40.00 (ISBN 0-07-016510-6) 

                (c) Copyright 1993 Daniel P. Dern


>From Chapter 14: Commercial and Other Information Services on the 
Internet: Databases, Libraries and Other Info-mongers 


For many companies, the most immediate motivator for joining and making 
use of the Internet is the continually-growing number of information 
services available, on a pay-for-use or other basis. Cost savings in 
terms of access costs to traditional commercial services can strongly 
justify the monthly costs of an Internet connection; other Internet 
services "follow along for free." 

Services such as e-mail, file-transfer, Usenet news, and archives access 
may be valuable--but these are often harder to explain or justify to the 
beancounters in the decision loop.  

Access to on-line databases like DIALOG and NEXIS/LEXIS, on the other 
hand, is something they are familiar with and used to spending money on; 
saying you've found a better, less-expensive way to get to them is easy 
"business case" to make, and the other aspects of Internet service can 
follow as a side-effect. 

For example:

o Established big database and full-text providers like DIALOG, Dow 
Jones and Mead Data are plugging their systems into the Internet. 

o Library services like the On-Line Computer Library Center (OCLC) and 
Research Libraries Information Network (RLIN) have    been 'on the net' 
for years; now many are adding full-text retrieval to their catalog 
searching, and major library institutions like the Columbia Law Library 
and U.S. Library of Congress have started to become Internet-accessible. 

o Daily-generated information such as UPI (from ClariNet Communications) 
and Reuters (from MSEN Inc.) news feeds, stock quotes and on-line 
airline guides (from DELPHI) and the U.S. government's Federal Register 
and Commerce Business Daily (from Counterpoint Publishing), are 
available via the Internet.  Many, notably those from ClariNet, MSEN and 
Counterpoint, can be used via popular, familiar Internet tools such as 
Gopher, WAIS and Usenet Newsreaders.  (Some information services may be 
only available to subscribers in the U.S.) 

o Book publisher catalogues, journal tables of contents, press releases, 
newsletters and other information is available for browsing. 

o Reference books, journals, fiction, and multi-media works are becoming 
available for searching, browsing and downloading (OnLine BookStore). 

Trend-wise, this is a big--although not surprising--additional direction 
for the Internet.  "The Internet has historically been populated by 
programs and services that were largely 'homebrewed' and did not charge 
for their access or use, such as anonymous FTP archive sites, Internet 
Relay Chat (IRC), and Gopher," notes John Quarterman, author of best-
selling "The Matrix," editor of the Matrix News newsletter, and 
Secretary of Matrix Information & Directory Services (Austin, Texas).  
"Now, these are being joined by commercially developed, pay-for-use 
services." 

The concept itself is not new.  Remote login to most facilities has 
always required users have an account; many services, including the 
Supercomputer Centers, have sold accounts, along with or instead of 
availability based on work requirements (e.g., research projects, being 
associated with an appropriate government effort, etc.).  What is new is 
the 'coming on board' as an additional or alternative way to access pay-
for-use services.  

Also, many of these info-purveyers may not otherwise be Internet users.  
I.e., they're plugging in so YOU can access what they sell, not so they 
can also access other services or exchange e-mail with you and me. 
 ...

By early 1993, most of the leading business-oriented on-line information 
and database services had connected to the Internet, allowing users to 
access their accounts via remote-login (telnet) as an alternative to 
other telephone or network methods. 

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>From Chapter 13: Communities of Interest: A Look at Who's Using the 
Internet 

Business Solutions via the Internet:

Thousands of businesses also use the Internet in one way or another.  
Almost every major computer, network company is, you can bet.  The same 
goes for every company in the aerospace industry. * 

  Footnote: Many of these companies and agencies connect for e-mail, 
  but have "firewall" gateways or other preventatives to keep out 
  unwanted, unauthorized users. 

And thousands more businesses large and small are coming "hopping on the 
Internet" as an essential business tool, for activities such as: 

o e-mail with suppliers and customers

o access to on-line database services such as Dialog and Dow Jones, and 
to information such as the Business Wire and Federal Register (See 
Chapter 13) 

o distributing sales information and software updates--and making them 
available for users to retrieve 

o collaborative program and product development

o remote network and system management, and software installation 

o Connecting remote offices for file access.

Here's some examples from some Internet users:

Midnight Networks (Waltham, MA), a small startup in doing smart tools 
for TCP/IP network administrators, considers its 10Mbit Internet 
connection "vital to our strategy and operations," according to Peter 
Schmidt, President of the company.  "For example, to do alpha-testing of 
our first product, we used anonymous-ftp to distribute copies to six 
sites in the U.S. and Canada, taking feedback via e0mail. As another big 
example: we routinely use archie to locate public-domain software tools 
that would represent as much as a week's worth of development each.   
The savings we realize from finding and getting even one such program 
more than pays for the cost of our Internet connection for the month!  
And we do that sort of thing all the time." 

Andrew Karp, Program Manager for the Quality of Service Evaluation 
System at Pacific Gas & Electric Company (San Francisco, CA), says: 

"I participate in the Statistics and SAS Users bulletin boards 
extensively.  Membership on both lists gives me instant access to 
thousands of other statisticans and/or users of the SAS software product 
around the world, and there is a phenomenal amount of sharing of ideas 
among list participants.  It's like having immediate access to a wide 
array of programming and methodological experts without having to leave 
my office in San Francisco.  

"For example, I needed some input about a particular type of measurement 
scaling system to present at a meeting here at Pacific Gas & Electric 
Company a few months ago.  I posted my question to the STAT-L board, and 
within two days had a dozen responses from around the world.  Needless 
to say, my co-workers were very impressed with the quality and diversity 
of viewpoints I was able to share with them on this topic." 
 
For Michael Stein Associates (Washington, D.C.) who develop custom LAN 
applications, the Internet provides an easy, affordable way to exchange 
program files with the company's one-person "field office" in Germany.  
"I'm a big CompuServe fan for a lot of my US-oriented needs, but 
Internet service seemed better for this," says Stein. 

Rohm and Haas Company, a multi-national specialty chemicals company 
headquartered in Philadephia, PA, first connected to the Internet in 
1988.  At the time, their use consisted mostly of a few people sending 
occasional e-mail and connecting to the Minnesota Supercomputer Center 
to run molecular modeling codes. Today, according to Scientific 
Programmer/Analyst Thomas J. Cozzolino, R&H is also using archie, Gopher 
(including local VERONICA searches), WAIS, and WorldWideWeb with the 
XMosaic client, for internal information as well as to access archives 
and databases on the Internet. 

"Nearly all of the internal customers who have seen these Internet 
Discovery Tools have been interested in learning more," reports 
Cozzolino.  "Everyone is intrigued by the idea of WAN-based information 
services that provide cost-effective and reliable access to internal and 
external information. 

Adam Gaffin, a reporter at the Middlesex News (Framingham, Mass.) 
  [ now at Network World, as of Dec 1993 -- DPD ]
is one of a growing number of reporters who use the Internet for stories 
or sources. "It lets reporters at small newspapers cover things they 
could never do otherwise,'' he said. "Through the Internet, we've been 
able to provide first-person accounts of everything from the Gulf War to 
the San Francisco earthquake. It's also a great place to ask the sort of 
oddball questions reporters sometimes have to answer, such as whether 
Passover wine was kosher during Prohibition -- it was.'' 


The Internet as Marketplace and "Delivery Tool":

Dozens, perhaps hundreds, of businesses are springing up based largely 
on use of the Internet.  These range from organizations like Dialog and 
MEAD Data using the Internet to provide an alternative access method, to 
electronic information publishers/deliverers like American Cybercast, 
ClariNet, and Counterpoint using the Internet to provide sophisticated 
new delivery and access to on-line information.  (See PART III: Internet 
Navigators and also Chapter 13: Communities of Interest: A Look at Who's 
Using the Internet.)

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