CHAPTER 6 Networks and Networking: Linking the World
Business-to-Business: B2B
The term B2B is emerging just as Y2K is fading. In contrast to Y2K, B2B, which is short for business-to-business e-commerce, has the potential to save companies substantial amounts of money. Fixing the Y2K problem cost industries over $150 billion during the 1990s. Companies could get all of that back and much more with judicious use of B2B. For example, companies are estimating that B2B via the Internet can reduce purchasing costs by up to 20 percent. Companies are buying direct and using just-in-time strategies to minimize third party involvement and reduce inventories. B2B is also being explored in many other areas, including the matching of unused patents to companies that might benefit from them, thus slashing R&D expenses. Now, almost everything is on the Internet auction block. That is, any excess in services (extra seats in a seminar) or in inventory (two many perishable apples) that might otherwise be wasted can be made available to the highest bidder. The applications for B2B are limitless, so we can expect increasing electronic cooperation between companies in what are usually win-win and even win-win-win situations.
College Students Spoiled with Speed
Currently, 7 million college students have ready access to high-speed Internet connections, usually via Ethernet (up to 10M bps connections). A high-speed Ethernet connection is about 200 times as fast as a standard dial-up link. In contrast to the college environment, only 2 million U.S. homes have high-speed Internet connections. Students use these connections for the sharing of MP3 music files, instant messaging, toll-free videophone links, listening to radio, watching video, shopping, and, of course, playing games. Ethernet availability has emerged as one of the primary criteria by which students choose housing and even a college. Of course, controversy follows technology, even into the dorm. Parents are concerned about ready access to Internet-based pornography. Administrators are concerned that students are copying and redistributing copyright music and movies. At some colleges, the problem is so bad that administrators have established policies that preclude students from downloading or distributing certain types of files, such as MP3 music files.