From: "Swisher, Bob" <bswisher@ou.edu>
To: "'it-fyi@listserv.ou.edu'" <it-fyi@lists.ou.edu>
Subject: it-fyi: Edupage, 14 April 1999
Date: Thu, 15 Apr 1999 09:28:36 -0500
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Edupage is a service of EDUCAUSE, an international nonprofit
association dedicated to transforming education through
information technologies.
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TOP STORIES for April 14, 1999
Computer Age Gains Respect of Economists
Amazon, eBay Announce Acquisitions, Alliances for Online-Auction
Businesses
Firms Adopt Rules to Stem Software Abuse
Cheap PCs Lead to Breakthrough: Computers Now in 50 Percent of
Homes
ALSO
Internet Gap in Sex, Race Narrowing, Study Finds
Windows Conference No Love-In This Time
Is Millennium Bug a Fly in PC Firms' Ointment?
Compaq Steps Up E-Commerce Push Amid Woes
COMPUTER AGE GAINS RESPECT OF ECONOMISTS
For years economists have doubted the economic benefits of information
technology, but recent productivity growth is persuading some skeptics
that technology investments are now paying off. Since 1996 productivity
growth has averaged about 2 percent, approximately twice the rate from
1973 to 1995. Several presentations on the effects of information
technology on the economy will be given tomorrow to Federal Reserve
Chairman Alan Greenspan and other officials. Many experts believe the
electronic links companies are now able to form with customers and
suppliers are promising for productivity growth. Forrester Research
predicts that by 2003, business-to-business commerce online will jump to
$1.5 trillion, from $48 billion in 1998. (New York Times 04/14/99)
AMAZON, EBAY ANNOUNCE ACQUISITIONS, ALLIANCES FOR
ONLINE-AUCTION BUSINESSES
Amazon.com and eBay both announced separate deals yesterday designed to
bolster their positions in the hot online auction business. Amazon,
which entered the online auction business just two weeks ago, announced
that it was buying LiveBid.com for about $50 million. LiveBid lets
users watch auctions all over the U.S. and enables them to bid on any
item. Meanwhile, eBay announced agreements with shipping companies Mail
Boxes and iShip.com. The two firms will provide enhanced shipping
services to eBay's two million registered users. eBay's customers
already account for almost 5 percent of all person-to-person package
deliveries in the U.S. Auction services are one of the hottest areas of
electronic commerce because of their low overhead and ability to
generate profits almost immediately. Auction companies simply provide
an environment for users to sell products to one another, earning a
commission on each sale. (Wall Street Journal 04/13/99)
FIRMS ADOPT RULES TO STEM SOFTWARE ABUSE
Concerns about software abuse have led some companies to create policies
banning unauthorized software in the workplace. Worker productivity,
legal liability, the Y2K bug, and computer glitches are among the issues
that cause companies to implement software policies. Companies can deal
with software abuse by using monitoring tools to detect or prevent
unauthorized installation, or thin-client systems without hard drives.
Other solutions include auditing software regularly and using networks
to deliver applications. Business Software Association's Karine Elsen
says end-user copying is one of the most common forms of piracy, noting
that in 1998 her organization collected over $10 million in settlements
from over 500 U.S. companies. (Investor's Business Daily 04/13/99)
CHEAP PCS LEAD TO BREAKTHROUGH: COMPUTERS NOW
IN 50 PERCENT OF HOMES
The number of U.S. homes with personal computers has surpassed the
halfway mark. Although this development is not a surprise, it has
happened more quickly than many insiders anticipated. While the
increasing popularity of the Internet probably is a factor, figures show
that the introduction of a wider range of PCs costing less than $1,000
has democratized computer ownership. Half of the low-priced PC
customers never previously owned a computer. Households that earned
less than $35,000 in yearly income accounted for 56 percent of
$1,000-or-less PCs sales. The number of PCs sold at retail cost of
$1,000 or less has dramatically risen from 25 percent in the beginning
of 1997 to today's 61 percent. (San Jose Mercury News Online 04/11/99)
=======================================
INTERNET GAP IN SEX, RACE NARROWING, STUDY FINDS
The digital divide is narrowing, according to a new study released by
the nonprofit U.S. Internet Council, as minorities and women
increasingly are getting online. Nearly one quarter (23 percent) of
blacks and slightly more than one third of Hispanics (36 percent) are
now online, with both of those percentages expected to hit 40 percent or
more by next year. Meanwhile, the percent of women using the Internet
likely will hit 50 percent by next year, reaching the same level as men.
The study also says that just 7.5 percent of the U.S. population lives
in an area with no local Internet service provider (ISP), while over 75
percent live in area with four or more ISPs to choose from. (Washington
Times 04/13/99)
WINDOWS CONFERENCE NO LOVE-IN THIS TIME
Microsoft's Windows Hardware Engineering Conference (WinHEC), which in
the past has demonstrated the unity of the PC industry, this year showed
the diverging interests of some companies, particularly Microsoft and
Intel. The two companies offered different views of how digitally
enhanced devices will be supported. Microsoft says its Universal Plug
and Play initiativewill allow users connectivity to a range of
electronics devices, even without a PC or a traditional operating
system. However, Intel says digitally enhanced consumer electronics
devices will not be successful unless they are connected to PCs.
Although Microsoft will benefit from new information appliances if
phones and televisions, for example, use the company's software code,
Intel wants the next generation of this technology to generate a demand
for more powerful processors. (San Jose Mercury News Online 04/12/99)
IS MILLENIUM BUG A FLY IN PC FIRMS' OINTMENT?
The effects Y2K will have on PC makers are still uncertain, leaving PC
companies unsure of whether to increase inventories.One theory suggests
that businesses will solve Y2K problems by purchasing more computers,
since new computers will not be affected by the bug. Another theory
argues that companies will have spent so much time and money on Y2K
fixes that they will postpone buying new computers. If a flood of
orders results fromY2K, PC makers may not be able to supply the demand
for machines. Inventories held by PC makers, dealers, and parts
suppliers are now at a five-year low, according to a Deloitte Consulting
survey. Intel reports that some PC makers are stockpiling chips, and
the company is maintaining a reserve of microprocessors in case demand
surges. Other chipmakers, in addition to Intel, may stock up on chips.
(Investor's Business Daily 04/14/99)
COMPAQ STEPS UP E-COMMERCE PUSH AMID WOES
Compaq Computer yesterday announced plans to focus on larger companies
that need equipment, software, and services to engage in electronic
commerce. Compaq CEO Eckhard Pfeiffer says the company will help large
businesses with e-commerce by refocusing the service expertise Compaq
gained in the acquisition of Digital Equipment. The announcement --
which follows the news that Compaq's first-quarter profit will be less
than half what Wall Street Predicted -- indicates Compaq's awareness
that to return to historic growth rates, the company will have to
progress beyond PCs. Dropping prices for desktop computers and strong
competition from direct sellers such as Gateway and Dell caused Compaq's
business to suffer. (Los Angeles Times 04/14/99)
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If you have questions or comments about Edupage, send e-mail to:
edupage-editors@educause.edu
Edie Clark, Editor
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UPCOMING EDUCAUSE CONFERENCES AND MEETINGS:
Networking '99 Conference on Advanced Networking
April 28-30, 1999, Washington, DC
http://www.educause.edu/netatedu/contents/events/apr99/
Information Resources for the 21st Century
May 5-7, 1999, Portland, Oregon
http://www.educause.edu/conference/regional/nwacc/1999/
CUMREC '99 Breaking Through: 2000 and Beyond
May 9-12, 1999, San Antonio, Texas
http://www.cumrec.com/cumrec99/
For additional information on these conferences see
http://www.educause.edu/conference/conf.html
For information on other technology related
educational conferences see
http://www.educause.edu/ir/events.html
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OTHER EDUCAUSE PUBLICATIONS
EDUCOM REVIEW is a bimonthly print magazine on information technology
and education. U.S. subscriptions are $18 a year.
CAUSE/EFFECT is a quarterly practitioner's journal about managing and
using information resources on college and university campuses. U.S.
subscriptions are $52 a year.
For additional information on these and other EDUCAUSE Publications see:
http://www.educause.edu/pub/pubs.html
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COPYRIGHT INFORMATION
News abstracts Copyright 1999, Information Inc., Bethesda, MD
Edupage Copyright 1999, EDUCAUSE
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EDUCAUSE, an international nonprofit association dedicated to
transforming education through information technologies
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