WHAT YOU WILL LEARN
In this lesson, you will learn the
three factors which assure us of continued exponential Internet growth. These
three factors are: Moore's Law, acceptance of digital environments, and
convergence. You will learn how these principles prove that Internet marketing
will have exponential growth and exponential results for decades to come. You
will learn how to best position yourself as a home-based entrepreneur to take
advantage of the digital opportunities that lie ahead.
MOORE'S LAW
Moore's
Law describes the falling
cost of digital technology. In 1980, the price of the
memory chip for a home PC was $1,000.00 (not the whole PC, mind you,
just the
memory). After one year, the same amount of memory cost only
$500.00. After three years, the price was $250.00. After six years, the
same amount of memory cost only $62.50. In 1998, the price of that same
amount of memory had fallen to
less that $0.25. Now, the cost for
the same amount of memory as in that original PC is just pennies. I
assure you
that nothing else we have purchased over a lifetime has decreased in
cost
anything like that! We, of course, upgraded the amount of memory we used
over
the years. Each time we upgraded, we spent about the same amount of
money but
got more and more computing power. So, what really happened was that our
computing power increased by four times every three years for the same
cost.
Gordon Moore, one of the co-founders
of Intel Corporation, made mathematical observations in the 1960's of the
engineering practices which allowed miniaturization in semiconductor
technology. This miniaturization applies to processors and other computer
components as well as memory chips. What he observed mathematically is that
computers can be made four times more powerful every three years for the same
cost. Some argue that this same formula has held true for a full century, if
you include the mechanical computers of the early 1900's and the old-fashioned
transistors that followed.
If you knew that you could get four
times more raw materials every three years with no increase in cost in a given
business, would you want to get into that business? The overwhelming answer
everywhere is, of course, a resounding "yes!"
All businesses, even traditional
brick and mortar businesses, must market their goods and services. Because
businesses look for the lowest cost to perform their processes, more and more
marketing information and marketing processes, even for brick-and-mortar
businesses, will become digital.
Moore's Law ensures that Internet
businesses, especially Internet marketing, will continue to grow and flourish
at an astounding rate. Will Moore's Law continue to hold true in the future?
Can engineers keep making computer chips cheaper? Intel's engineers assure us
that Moore's Law will continue to operate for several more device generations,
if not indefinitely. (http://developer.intel.com/technology/itj/q41998/articles/art_1.htm)
ACCEPTANCE OF DIGITAL ENVIRONMENTS
The next factor that ensures
continued growth for Internet businesses is the acceptance by consumers of
digital environments. People have taken to Cyberspace. Despite the many
predictions to the contrary, people have warmed up to digital environments with
enthusiasm. Many Web communities have been formed and their participants report
feeling all warm and cozy in those digital environments. Participants have
developed a strong sense of identity with some of the digital communities. As
Moore's Law continues to operate, our technology becomes more and more capable
of producing engrossing digital environments in which even larger numbers of
people will enthusiastically participate. Online communities are forming in
much the same way that communities have formed in the physical world throughout
history—only much faster. The success stories of Yahoo! and eBay and others
make it pure folly to think that brick-and-mortar business will go on as usual,
unaffected by the Internet.
CONVERGENCE
The third factor assuring a
prosperous future for Internet entrepreneurs is convergence. Simply defined,
convergence is the coming together of separate things. Convergence is now
occurring at both the industry level and the consumer level. On the industry level,
computing, communications, and media companies are merging to form such
multimedia ventures as MSNBC and Disney's Go Network. On the consumer level,
new devices are being used to combine computing with phones and televisions. In
the very near future, consumers will replace their phones, TVs, and PCs with
one central media center (which may have several satellite devices for
convenience and portability). Even our money is fast becoming digital, as we
have automatic bank deposits of our earnings while we buy things with credit
and debit cards. What this means is that digital products and processes become
more and more important as the Internet gets closer and closer to people's
everyday lives.
THE POTENTIAL
These three factors—Moore's Law,
acceptance of digital environments, and convergence—assure us that the
potential of the Internet for the home-based entrepreneur is nothing less than
incredible. In fact, the belief in these three factors has been driving our
economy for some time now. Venture capitalists are pouring hundreds of millions
of dollars into purely digital ventures. In the digital world, the large
corporations have to compete, not just with each other but also with the
home-based entrepreneurs. The large conglomerates no longer have the exclusive
advantage. Given the low cost of computing power, individual entrepreneurs now
have at their disposal the raw materials to develop digital products and
processes and make them available to the world. Even more importantly,
individual entrepreneurs can band together in digital environments (such as
SFI's Full-Circle Success) to combine their skills and knowledge and use
convergence to their advantage in a very efficient way, rivaling the large
companies with the results.
HOW TO POSITION YOURSELF
To obtain convergence, you must
bring together computing power, media content, and information processing. To
obtain the economies of scale, you should position yourself within a digital
community where resources can be shared. Despite the low cost of computing,
there is still power in numbers with regard to media content and information
processing. To position yourself as a marketer for one of the fastest growing
digital communities in existence is without doubt the smartest move you could
possibly make right now. Having done that, you can use your individual
creativity, skills, and resources in an environment of freedom employing the
low cost computing power at your disposal to obtain your financial goals. Due
to the three factors discussed in this lesson, there is an unprecedented
opportunity available to you right now as an SFI affiliate. You have but to
take advantage of it.
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