Internet History and Growth What Was the “Victorian Internet”?

Internet History and Growth

What Was the “Victorian Internet”?

What Was the “Victorian Internet”

• The Telegraph• Invented in the 1840s.• Signals sent over wires that were

established over vast distances• Used extensively by the U.S.

Government during the American Civil War, 1861 - 1865

• Morse Code was dots and dashes, or short signals and long signals

• The electronic signal standard of +/- 15 v. is still used in network interface cards today.

What Is the Internet?• A network of networks, joining many government,

university and private computers together and providing an infrastructure for the use of E-mail, bulletin boards, file archives, hypertext documents, databases and other computational resources

• The vast collection of computer networks which form and act as a single huge network for transport of data and messages across distances which can be anywhere from the same office to anywhere in the world.

The Internet

• The Internet is a global system of networked computers together with their users and data

What is the Internet?

• The largest network of networks in the world.• Uses TCP/IP protocols and packet switching .• Runs on any communications substrate.

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History of the Internet

• Government sponsored goal – to maintain communication via computers even with threat of war– no central authority– Designed to operate while system is broken

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Arpanet, 1969

• Advanced Research Projects Agency Network• Sponsored by DoD• Enable sharing of supercomputer power• 4 nodes• 1971- expanded to 15 nodes• 1972- expanded to 23 nodes

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1970s Telecommunications

• Local Area Networks• Email invented• UNIX developed• Newsgroups emerged

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1980’s Telecommunications

• TCP/IP established• No longer primary research oriented– Business applications added

• Domain Name System developed– Assign names to host computers

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TCP/IP

• TCP – transmission scheme for the internet hosts

• Protocol – rules that govern how different hosts on a network communicate and share resources

• Internet protocol – addressing scheme to distinguish one computer from another

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1990’s Telecommunications

• Many commercial interests

• Advertised on TV

• Ordinary people became publishers

The Internet• Internet history

– 1969: Four-node ARPANET established.– 1972: Vint Cerf and Bob Kahn’s Internet Project – 1973: Development of TCP/IP begins.– 1981: UNIX operating system includes TCP/IP. – 1983: TCP/IP became the official protocol for the ARPANET.– 1986: NSFNET (sponsored by the National Science

Foundation)– 1990: ARPANET retired.– 1991: A high-speed Internet backbone called ANSNET was

build by IBM, Merit, and MCI.– 1995: Companies known as Internet Service Providers (ISPs)

started.

A Brief Summary of the Evolution of the Internet

1945 1995

Memex Conceived

1945

WWWCreated

1989

MosaicCreated

1993

A Mathematical

Theory of Communication

1948

Packet Switching Invented

1964

SiliconChip1958

First Vast ComputerNetwork

Envisioned1962

ARPANET1969

TCP/IPCreated

1972

InternetNamed

and Goes

TCP/IP1984

HypertextInvented

1965

Age ofeCommerce

Begins1995

From Simple, But Significant Ideas Bigger Ones Grow1940s to 1969

1945 1969

We can access information using

electronic computers

We do it reliably with “bits”, sending and receiving data

We can do it cheaply by using Digital circuits etched in silicon.

We can accomplish a lot by having a vast network of computers to use for

accessing information and exchanging ideas

We will prove that packet switching works over a WAN.

Packet switching can be used to send digitized data though

computer networks

Hypertext can be used to allow rapid access to text data

From Simple, But Significant Ideas Bigger Ones Grow1970s to 1995

1970 1995

Ideas from1940s to 1969

We need a protocol for Efficient and Reliable transmission ofPackets over a WAN: TCP/IP

The ARPANET needs to convert to a standard protocol and be renamed to

The Internet

Computers connected via the Internet can be used more easily if hypertext links are enabled using HTML

and URLs: it’s called World Wide Web

The World Wide Web is easier to use if we have a browser thatTo browser web pages, running in a graphical user interface context.

Great efficiencies can be accomplished if we useThe Internet and the World Wide Web to conduct business.

Internet Growth Trends

Internet Growth Trends

• 1977: 111 hosts on Internet• 1981: 213 hosts• 1983: 562 hosts• 1984: 1,000 hosts• 1986: 5,000 hosts• 1987: 10,000 hosts• 1989: 100,000 hosts• 1992: 1,000,000 hosts• 2001: 150 – 175 million hosts• 2002: over 200 million hosts• By 2010, about 80% of the planet will be on the Internet

The Creation of the Internet

• The creation of the Internet solved the following challenges:– Basically inventing digital networking as we know it– Survivability of an infrastructure to send / receive high-speed electronic

messages– Reliability of computer messaging

c h a p t e r

44THE DIGITAL FIRM:

ELECTRONIC COMMERCE & ELECTRONIC BUSINESS

LEARNING OBJECTIVES

• EXPLAIN HOW INTERNET TRANSFORMS BUSINESS

• COMPARE CATEGORIES OF ELECTRONIC COMMERCE

• EVALUATE PRINCIPAL ELECTRONIC PAYMENT SYSTEMS

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© 2002 by Prentice Hall

LEARNING OBJECTIVES

• DEMONSTRATE HOW INTERNET TECHNOLOGY SUPPORTS ELECTRONIC BUSINESS, SUPPLY CHAIN MANAGEMENT

• EXAMINE CHALLENGES OF INTERNET TO BUSINESS & SOCIETY

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MANAGEMENT CHALLENGES

• EMERGING DIGITAL FIRM• ELECTRONIC COMMERCE• ELECTRONIC BUSINESS• CHALLENGES & OPPORTUNITIES

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MANAGEMENT CHALLENGES

1. ELECTRONIC COMMERCE & ELECTRONIC BUSINESS REQUIRE NEW MIND SET

2. FINDING SUCCESSFULINTERNET BUSINESS MODEL

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INTERNET TECHNOLOGY & THE DIGITAL FIRM

• INFORMATION TECHNOLOGY INFRASTRUCTURE: Information flows seamlessly throughout

• DIRECT COMMUNICATION BETWEEN TRADING PARTNERS: DISINTERMEDIATION removes intermediate layers streamlines process

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INTERNET TECHNOLOGY & THE DIGITAL FIRM

• VENDORS CAN PROVIDE INFORMATION 24 HOURS A DAY

• CAN EXTEND DISTRIBUTION CHANNELS• CAN REDUCE TRANSACTION COSTS

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INTERNET TECHNOLOGY & THE DIGITAL FIRM

• REDUCES INFORMATION ASYMMETRY: Asymmetry exists when one party has more information than other

• INCREASES RICHNESS: Depth & detail of information

• INCREASES REACH: Number of people contacted

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INTERNET BUSINESS MODELS

• VIRTUAL STOREFRONT: Sells goods, services on-line

• MARKETPLACE CONCENTRATOR: Concentrates information from several providers

• ON-LINE EXCHANGE: Bid-ask system, multiple buyers, sellers

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INTERNET BUSINESS MODELS

• INFORMATION BROKER: Provide info on products, pricing, etc.

• TRANSACTION BROKER: Buyers view rates, terms from various sources

• AUCTION: Electronic clearinghouse products, prices, change in response to demand

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INTERNET BUSINESS MODELS

• REVERSE AUCTION: Buyer sets price, submits to multiple sellers

• AGGREGATOR: Group pools orders for volume discount

• DIGITAL PRODUCT DELIVERY: Sell, download software, other digital products

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INTERNET BUSINESS MODELS

• CONTENT PROVIDER: Creates revenue through providing client for a fee, and advertising

• ON-LINE SERVICE PROVIDER: Provides service, support for hardware, software products

• VIRTUAL COMMUNITY: Chat room, online meeting place

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INTERNET BUSINESS MODELS

• PORTAL: Initial point of entry to Web, specialized content, services

• SYNDICATOR: Aggregate information from several sources sold to other companies

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ELECTRONIC COMMERCE

• BUSINESS-TO-CONSUMER (B2C)• BUSINESS-TO-BUSINESS (B2B)• CONSUMER-TO-CONSUMER (C2C): Individuals

use Web for private sales or exchange*

BUSINESS-TO-CONSUMER

• WEB SITES: Provide information on products, services, prices, orders

• CUSTOMER-CENTERED RETAILING: Closer, yet more cost-effective relationship with customers

• INFORMATION BROKERS: Comparison shops to customer’s requirements, reintermediation

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BUSINESS-TO-BUSINESS ELECTRONIC COMMERCE

AUTOMATION OF PURCHASE, SALE TRANSACTIONS FROM BUSINESS TO BUSINESS

• PROVIDES ALTERNATIVE SOURCES• ELECTRONIC HUBS: Online marketplaces,

point-to-point connections, integrated information

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BUSINESS-TO-BUSINESS ELECTRONIC COMMERCE

EXCHANGES: Commercial on-line market, many buyers, sellers

• POTENTIAL FOR INTEGRATING PRODUCT INFORMATION

• PROVIDES SERVICE, VALUE*

ELECTRONIC COMMERCE PAYMENT SYSTEMS

SYSTEM DESCRIPTION

CREDIT CARDS SECURE SITE PRESERVES INFORMATION

ELECTRONIC CASH DIGITAL CURRENCY USED FOR MICROPAYMENTS

PERSON-TO-PERSON SEND MONEY TO SITES UNABLE TO USE CREDIT CARDS

DIGITAL WALLET SOFTWARE STORES CREDIT CARD INFORMATION

ELECTRONIC CHECK CHECK WITH ENCRIPTED DIGITAL SIGNATURE

SMART CARD MICROCHIP STORES ELECTRONIC CASH

ELECTRONIC BILL PAYMENT ELECTRONIC FUNDS TRANSFER

INTRANETS AND ELECTRONIC BUSINESS

• BENEFITS• FUNCTIONAL APPLICATIONS• SUPPLY CHAIN MANAGEMENT

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BENEFITS OF INTRANETS:

• CONNECTIVITY• CAN BE TIED TO LEGACY SYSTEM &

TRANSACTION PROCESSING• INTERACTIVE APPLICATIONS WITH TEXT,

AUDIO, VIDEO• SCALABLE TO LARGER OR SMALLER SYSTEMS

AS REQUIRED*

BENEFITS OF INTRANETS:

• EASY TO USE BROWSER INTERFACE• LOW START-UP COSTS• RICH, RESPONSIVE INFORMATION

ENVIRONMENT• REDUCED INFORMATION DISTRIBUTION

COSTS*

FUNCTIONAL APPLICATIONS:

• FINANCE & ACCOUNTING• HUMAN RESOURCES• SALES & MARKETING• MANUFACTURING & PRODUCTION

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FINANCE & ACCOUNTING:

• GENERAL LEDGER REPORTING• PROJECT COSTING• ANNUAL REPORTS• BUDGETING

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HUMAN RESOURCES:

• CORPORATE POLICIES• EMPLOYEE SAVINGS PLANS• BENEFITS ENROLLMENT• ON-LINE TRAINING• JOB POSTING

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SALES & MARKETING:

• COMPETITOR ANALYSIS• PRICE UPDATES• PROMOTIONAL CAMPAIGNS• SALES PRESENTATIONS• SALES CONTRACTS

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MANUFACTURING & PRODUCTION:

• QUALITY MEASUREMENTS• MAINTENANCE SCHEDULES• DESIGN SPECIFICATIONS• MACHINE OUTPUT• ORDER TRACKING

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SHIPPING INVENTORY

PLANNING & FORECASTING

ORDER PROCESSING

PRODUCTION

PROCUREMENT

ACCOUNTING

SUPPLIERSCUSTOMERS

LOGISTICS SERVICES DISTRIBUTORS

INTRANETINTRANET

SUPPLY-CHAIN MANAGEMENT

CHALLENGES & OPPORTUNITIES

• UNPROVEN BUSINESS MODELS• BUSINESS PROCESS CHANGE REQUIREMENTS• CHANNEL CONFLICTS• LEGAL ISSUES• SECURITY & PRIVACY

*

c h a p t e r

44THE DIGITAL FIRM:

ELECTRONIC COMMERCE & ELECTRONIC BUSINESS

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Internet congestion

• Congestion Control and Quality of service are two issues so closely bound together that improving one means improving the other and ignoring one usually means ignoring the other.

• The main focus of congestion control and quality of service is data traffic. In congestion control we try to avoid traffic congestion. In quality of service, we try to create an appropriate environment for the traffic.

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Internet congestion

• An important issue in a packet-switched network is congestion. Congestion in a network may occur if the load on the network-the number of packets sent to the network-is greater than the capacity of the network-the number of packets a network can handle. Congestion control refers to the mechanisms and techniques to control the congestion and keep the load below the capacity.

• Congestion happens in any system that involves waiting. For example, congestion happens on a freeway because any abnormality in the flow, such as an accident during rush hour, creates blockage.

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Internet congestion

• Congestion in a network or internetwork occurs because routers and switches have queues-buffers that hold the packets before and after processing. A router, for example, has an input queue and an output queue for each interface. When a packet arrives at the incoming interface, it undergoes three steps before departing, as shown in Figure

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Internet congestion

1. The packet is put at the end of the input queue while waiting to be checked.

2. The processing module of the router removes the packet from the input queue once it reaches the front of the queue and uses its routing table and the destination address to find the route.

3. The packet is put in the appropriate output queue and waits its turn to be sent.

We need to be aware of two issues. First, if the rate of packet arrival is higher than the packet processing rate, the input queues become longer and longer. Second, if the packet departure rate is less than the packet processing rate, the output queues become longer and longer.

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Congestion Control

Congestion control refers to techniques and mechanisms that can either prevent congestion, before it happens, or remove congestion, after it has happened. In general, we can divide congestion control mechanisms into two broad categories: open-loop congestion control (prevention) and closed-loop congestion control (removal) as shown in Figure

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What is Internet computing?

• Internet Computing (IC) is the area that studies the technologies of the Internet and Internet-based computing systems and applications.

• Internet is at the core of information revolution which changes the way we:– communicate: email, e-conferencing, Internet

telephony– do business: electronic commerce – learn: distance learning, digital library– work: Internet-supported collaborative work– play: video-on-demand,

network-based multi-player games

• A major trend in Internet computing is to use the Internet to enhance human-to-human interaction and communication.

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What is collaborative computing?

• Collaborative Computing (CC) is the area that studies how to support human-to-human interaction and collaboration using computing technology.

• Collaborative computing represents a shift in emphasis from using computers to support the work of individual users to using computers to support interaction and collaboration of a group of users. In other words, CC is about how to use computers to support people working together.

• A major trend in collaborative computing is to develop Internet-based applications to support collaboration among geographically dispersed people. Representative systems: – Email– Collaborative editors(W.P)

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What is collaborative Internet computing?

• Collaborative Internet Computing (CIC) is the area that studies the technologies and applications at the intersection of collaborative and Internet computing. In other words, CIC is about how to support people working together online.

• Three characteristic components of a CIC system:– Multiple collaborating users – Human-computer interaction interfaces– The Internet

Internet

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One significant challenge

Consistency maintenance under the following constraints:

• High responsiveness:– response to local operations

is as short as single-user editors

– maximum delay is 100ms

• High concurrency:– concurrent edit any object at

any time– concurrent undo any

operation at any time

• Internet communication :– non-negligible (often over

100ms)

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Internet Service Provider (ISP)

• An Internet service provider (ISP, also called Internet access provider or IAP) is a company that offers its customers access to the Internet. The ISP connects to its customers using a data transmission technology appropriate for delivering Internet Protocol datagram's, such as dial-up, DSL, cable modem or dedicated high-speed interconnects.

• ISPs may provide Internet e-mail accounts to users which allow them to communicate with one another by sending and receiving electronic messages through their ISPs' servers. (As part of their e-mail service, ISPs usually offer the user an e-mail client software package, developed either internally or through an outside contract arrangement.) ISPs may provide other services such as remotely storing data files on behalf of their customers, as well as other services unique to each particular ISP.

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End-User-to-ISP Connection

ISPs employ a range of technologies to enable consumers to connect to their network.

• For home users and small businesses, the most popular options include dial-up, DSL (Digital Subscriber Line), broadband wireless, cable modem, fiber to the premises (FTTH).

• For customers with more demanding requirements, such as medium-to-large businesses, or other ISPs, DSL (often ADSL), Ethernet, Metro Ethernet, Gigabit Ethernet, Frame Relay, ISDN , ATM, satellite Internet access and synchronous optical networking (SONET) are more likely to be used

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End-User-to-ISP Connection

Typical home user connection Dial Up• DSL• Broadband wireless access• Cable Internet • FTTH • ISDN • WiFi Typical business type connection • DSL• Ethernet technologies

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ISP Interconnection

Just as their customers pay them for Internet access, ISPs themselves pay upstream ISPs for Internet access. An upstream ISP usually has a larger network than the contracting ISP and/or is able to provide the contracting ISP with access to parts of the Internet the contracting ISP by itself.

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ISPs

Virtual ISP (VISP) is an operation which purchases services from another ISP (sometimes called a "wholesale ISP") which allow the VISPs customers to access the Internet using services and infrastructure owned and operated by the wholesale ISP.

Free ISPs are Internet Service Providers (ISPs) which provide service free of charge. Many free ISPs display advertisements while the user is connected; like commercial television, in a sense they are selling the users' attention to the advertiser. Other free ISPs, often called freenets, are run on a nonprofit basis, usually with volunteer staff. There are also free shell providers and free web hosts.

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What is DNS?

• DNS (Domain Name Service) is primarily used to translate human readable names into machine usable addresses, e.g., IP addresses.

•DNS goal:– Efficiently locate resources.– Scale to many users over a large area– Scale to many updates

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Domain Name System Goals

• Basically a wide-area distributed database (The biggest in the world!)• Decentralized maintenance• Robustness

• Global scope Names mean the same thing everywhere– Strong consistency• Do need: distributed update/query & Performance

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DOMAIN NAME SPACE

To have a hierarchical name space, a domain name space was designed. In this design the names are defined in an inverted-tree structure with the root at the top. The tree can have only 128 levels: level 0 (root) to level 127

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Domain Name

Each node in the tree has a domain name. A full domain name is a sequence of labels separated by dots (.). The domain names are always read from the node up to the root. The last label is the label of the root (null). This means that a full domain name always ends in a null label, which means the last character is a dot because the null string is nothing. This Figure shows some domain names

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Domain

A domain is a subtree of the domain name space. The name of the domain is the domain name of the node at the top of the subtree. Note that a domain may itself be divided into domains (or subdomains as they are sometimes called).

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DNS IN THE INTERNET

DNS is a protocol that can be used in different platforms. In the Internet, the domain name space (tree) is divided into three different sections: generic domains, country domains, and the inverse domain

inverse domain generic domains country domain

Internet Address

The identified in the network layer of the Internet model to identify each device connected to the internet is called the Internet address or IP address. An IP address, in the current version of the protocol, is a 32-bit binary address that uniquely and universally defines the connection of a host or a router to the Internet.

An IP address is a 32-bit address.

Internet Address

IP addresses are unique, They are unique in the sense that each address defines one, and only one connection to the Internet. Two devices on the Internet can never have the same address at the same time. However if a device has two connection to the Internet, via two networks, it has two IP address.

The IP addresses are unique and universal

Internet Address

There are two common notation to show an IP address:Binary NotationDotted-Decimal Notation

Modems

• The need to communicate between distant computers led to the use of the existing phone network for data transmission. Most phone lines were designed to transmit analog information - voices, while the computers and their devices work in digital form - pulses. So, in order to use an analog medium, a converter between the two systems is needed. This converter is the MODEM which performs MODulation and DEModulation of transmitted data.

It accepts serial binary pulses from a device, modulates some property (amplitude, frequency, or phase) of an analog signal in order to send the signal in an analog medium, and performs the opposite process, enabling the analog information to arrive as digital pulses at the computer or device on the other side of connection.

CLASSIFICATION OF MODEMS

The modems can be classified according to their characteristics:1. Range 2. Line Type

Dial-upLeasedPrivate

3. Operation Mode Half DuplexFull DuplexSimplex

4. Data Rate

Types of Modems

•External vs. Internal Modems

•Standard vs. Intelligent Modems

•Short-Haul and Wireless Modems

communications softwareSoftware that makes it possible to send and receive data over telephone lines through modems. ORCommunication software is used to provide remote access to systems and exchange files and real-time messages in text, audio and/or video formats between different computers or user IDs. This includes, file transfer programs, chat and instant messaging programs.

What is IPv6?

IPv6 is short for "Internet Protocol Version 6". IPv6 is the "next generation" protocol designed by the IETF to replace the current version Internet Protocol, IP Version 4 ("IPv4").

Most of today's internet uses IPv4, which is now nearly twenty years old. IPv4 has been remarkably resilient in spite of its age, but it is beginning to have problems. Most importantly, there is a growing shortage of IPv4 addresses, which are needed by all new machines added to the Internet.

IPv6

IPv6 has a much larger address space than IPv4. This results from the use of a 128-bit address, where IPv4 uses only 32 bits. The new address space thus supports 2128 (about 3.4×1038) addresses. This expansion provides flexibility in allocating addresses and routing traffic and eliminates the need for network address translation (NAT).

What is IPv6?

IPv6 fixes a number of problems in IPv4, such as the limited number of available IPv4 addresses. It also adds many improvements to IPv4 in areas such as routing and network autoconfiguration. IPv6 is expected to gradually replace IPv4, with the two coexisting for a number of years during a transition period.

Internet toolsVarious types of operations may be desired by the information seeker on the internet. There are numerous tools to perform the specified task on the Internet

•Telnet•WAIS(Wide area Information service)•FTP•Gopher•Archie•Veronica•Web Chat