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Intro to Information Systems

6-1

BUSI 240Introduction to Information Systems

Tuesday & Thursday 8:05am 9:30am

Wyant Lecture Hall

Please sign the roster on the back table.

1

6-2

Current Events Whats going on?

Bill Gates's successor at Microsoft to retire

The Microsoft Corp executive who took over the role of chief software architect from Bill Gates is to step down, following a tenure in which the Windows-maker lost ground to Google and Apple.

http://www.reuters.com/article/idUSTRE69H4Z320101019?type=technologyNews

2

Bill Gates's successor at Microsoft to retire

12:13am EDT

By Bill Rigby

SEATTLE (Reuters) - The Microsoft Corp executive who took over the role of chief software architect from Bill Gates is to step down, following a tenure in which the Windows-maker lost ground to Google and Apple.

Chief Executive Steve Ballmer said Ray Ozzie would not be replaced, raising questions about the leadership and direction of the world's largest software company after a string of high-profile departures.

Ozzie, who spearheaded Microsoft's move toward providing software and computing power over the Internet -- known as "cloud computing" -- had achieved what he set out to do, one person close to the executive said, although others questioned whether he had had ever had much impact.

"Ozzie leaving highlights that Microsoft has been kind of lost in the woods ever since Bill Gates left," said Toan Tran, an analyst at Morningstar. "They let Google solve search, they let Apple figure out smartphones, and Apple is in the process of figuring out non-Windows PC devices with the iPad."

He is the latest in a line of Microsoft executives to exit the company in the wake of Gates' retirement from day-to-day work at the company in 2008, following platforms and services chief Kevin Johnson, Chief Financial Officer Chris Liddell, phones and games chief Robbie Bach and Office unit head Stephen Elop.

It cements control of the company's direction under Ballmer, who said he did not need to replace Ozzie.

"We have a strong planning process, strong technical leaders in each business group and strong innovation heading to the market," said Ballmer in a memo to employees, which Microsoft posted on its website.

Ozzie, 54, who created the groundbreaking Lotus Notes email system early in his career, took on the role of overseeing Microsoft's software direction in 2006. His role became more visible after Gates's retirement.

He had made a splash at the company in 2005, shortly after he joined, with his now-famous "Internet Services Disruption" memo, which pushed Microsoft toward the Internet and cloud computing.

Some saw that as a challenge to Microsoft's core business of getting software installed on as many computers as possible, but the company now says it is "all in" for cloud computing, although it is still far from certain that Microsoft will ultimately realize the change of business model or benefit from it.

Ozzie's key project, the "Azure" platform for developing cloud-based applications, debuted this year to moderate success, and is now part of another unit, Microsoft's Server and Tools division.

The company is now extending beyond Azure, trying to grab a greater share of customers' tech spending by offering to handle their servers, data storage and other computing needs.

Ozzie cut a slightly detached figure at Microsoft, and never fully established himself as a force at the company's campus near Seattle, preferring to spend half his time at his home in Massachusetts.

"I don't think this means much for the future of software development at Microsoft because he didn't leave a stamp," said Fort Pitt Capital Group analyst Kim Caughey Forrest.

Microsoft shares fell 2.2 percent to $25.24 in after-hours trading.

The move signals a new focus on entertainment at the world's largest software company, where it has lost ground to Apple Inc and Google Inc recently.

According to a memo sent by Ballmer on Monday, Ozzie will focus on entertainment efforts at the company and retire after an unspecified time, which people familiar with the matter said would be a matter of months.

Ozzie's move could revitalize entertainment efforts at Microsoft. Its entertainment and devices unit, which includes the Xbox game system and the new Windows 7 phones, has been struggling to win consumers in areas like phones, TV software and tablets, where Apple and Google are charging ahead.

"When you look at consumer market, that is where Microsoft is lagging now," said Gleacher & Co analyst Yun Kim. "That's where they can definitely use some outside help in terms of re-energizing innovations and the whole growth driver around that side of the business."

(Additional reporting by Liana Baker in New York and Alexei Oreskovic in San Francisco)

(Reporting by Bill Rigby. Editing by Robert MacMillan, Bernard Orr)

Apples Jobs goes after Google, tablet rivals

Its not often Steve Jobs shows up on a routine earnings call. And when he showed up on Mondays, he made a splash.

Coincidentally showing up right after the companys shares racked up their largest post-earnings fall in recent memory,Jobsthrashed Googles Android mobile operating system and a clutch of competitors rushing to stake out territory in the explosive tablet markethe helped create. http://blogs.reuters.com/mediafile/2010/10/18/apples-jobs-goes-after-google-tablet-rivals/

6-3

Current Events Whats going on?

Apples Jobs goes after Google, tablet rivals

Oct 18, 2010 18:54 EDT

Apple | reuters technology | smartphones | Steve Jobs | tablet computer

Its not often Steve Jobs shows up on a routine earnings call. And when he showed up on Mondays, he made a splash.

Coincidentally showing up right after the companys shares racked up their largest post-earnings fall in recent memory,Jobsthrashed Googles Android mobile operating system and a clutch of competitors rushing to stake out territory in the explosive tablet markethe helped create.

Tablets with 7-inch screensare too small for adult-sized handsand would flop with consumers, he argued.

While one could increase the resolution of the display to make up for some of the difference, it is meaningless unless your tablet also includes sandpaper so that the user can sand down their fingers to around one quarter of their present size, Jobs said.

The excitement of Jobs appearance on the conference call deflected some of the analysts attention from Apples weaker-than-expected iPad shipments and margins in the quarter, which had sent the companys stock down 6 percent.

Jobs also defended Apple from criticism its closed proprietary system is at a disadvantage to open-source systems like Googles Android, which is grabbing market share quickly and is expected to eventually catch up with iPhone sales.

Google loves to characterize Android as open and iPhone as closed. We find this a bit disingenuous and clouding the real difference between our two approaches, Jobs said.

He said that having Android available in multiple versions and on smartphones made by HTC and Motorola creates confusion for customers. And, he said, Apples iTunes is an ideal one-stop shop for customers and application developers, compared to multiple sales points for Android Apps.

We think the open versus closed argument is just a smoke screen to try and hide the real issue, which is whats best for the customer, fragmented versus integrated. We think Android is very very fragmented and becoming more fragmented by the day, he said.

He warned that manufacturers rushing to sell affordable, 7-inch tablets this holiday season and next year would eventually realize their mistake and return to the drawing board to create products with larger displays abandoning customers who bought smaller devices and developers who have written applications for them.

The current crop of 7-inch tablets are going to be DOA, dead on arrival, Jobs said.

3

6-4

Current Events Whats going on?

Internet users to exceed 2 billion this year

The number of Internet users will surpass two billion this year, approaching a third of the world population, but developing countries need to step up access to the vital tool for economic growth, a United Nations agency said on Tuesday.

http://www.reuters.com/article/idUSTRE69I24720101019?type=technologyNews

4

Internet users to exceed 2 billion this year

9:21am EDT

GENEVA (Reuters) - The number of Internet users will surpass two billion this year, approaching a third of the world population, but developing countries need to step up access to the vital tool for economic growth, a United Nations agency said on Tuesday.

Users have doubled in the past five years, and compare with an estimated global population of 6.9 billion, the International Telecommunication Union (ITU) said.

Of 226 million new Internet users this year, 162 million will be from developing countries where growth rates are now higher, the ITU said in a report.

However, by the end of 2010, 71 percent of the population in developed countries will be online compared with 21 percent of people in developing countries.

The ITU said it was particularly important for developing countries to build up high-speed connections.

"Broadband is the next tipping point, the next truly transformational technology," said ITU Secretary-General Hamadoun Toure, of Mali. "It can generate jobs, drive growth and productivity and underpin long-term economic competitiveness."

Access varies widely by region, with 65 percent of people online in Europe, ahead of 55 percent in the Americas, compared with only 9.6 percent of the population in Africa and 21.9 percent in Asia/Pacific, the ITU said.

Access to the Internet in schools, at work and in public places is critical for developing countries, where only 13.5 percent of people have the Internet at home, against 65 percent in developed countries, it said.

A study last week by another U.N. agency showed that mobile phones were a far more important communications technology for people in the poorest developing countries than the Internet.

(Reporting by Jonathan Lynn; Editing by Stephanie Nebehay/ David Stamp)

6-5

Assignment #2

Due Tuesday, February 24th before 8:05am (correction from Tuesdays slide)

Submit via DropBox at online.apu.edu

5

Quiz #3

Covers Chapter 5 & 6

20 questions, 1 point per question

Available Tuesday, February 22, 2011 at 9:30am

Due Thursday, February 24, 2011 at 8:00am

6-6

6

Mid-Term

Covers Chapter 1 thru 6

50 questions, 2 points per question

Available Tuesday, March 1, 2011 at 9:30am

Due Thursday, March 3, 2011 at 8:00am

6-7

7

6-8

An Intranet

A network inside an organization

That uses Internet technologies (such as Web browsers and servers, TCP/IP protocols, HTML, etc.)

To provide an Internet-like environment within the organization

For information sharing, communications, collaboration and support of business processes

Protected by security measures

Can be accessed by authorized users through the Internet

8

6-9

Enterprise Information Portal

9

Intranets provide an enterprise information portal.

6-10

Extranet

Network links that use Internet technologies

To connect the Intranet of a business

With the Intranets of its customers, suppliers or other business partners

10

6-11

Extranet Uses

11

6-12

The Origins of the Internet

Project: Department of Defenses Advanced Research Projects Agency (DARPA) in 1969.

Goal: develop a wartime digital communications network

Specifications: The network must be able to quickly reroute digital traffic around failed nodes.

Worse Case Scenario: Be able to communicate during/after nuclear attacks on multiple metropolitan areas

Users: Government offices and educational institutions

12

- The Internet traces it origins back to a Department of Defenses Advanced Research Projects Agency (DARPA) project in 1969.

- The project was to develop a wartime digital communications network that would be independent of traditional telephone switching stations that could be easily targeted during an attack.

- The network must be able to quickly reroute digital traffic around failed nodes.

- The worse case war time scenario was nuclear attacks on multiple metropolitan

- Government offices and educational institutions were the first institutions linked to the internet

6-13

The Origins of the Internet

Initial Name: ARPANET

First Node: UCLA

2nd & 3rd Nodes: UC Santa Barbara and University of Utah

Concept: the idea that there would be multiple independent networks connected through an Internetworking Architecture.

13

- Internet was based on the idea that there would be multiple independent networks of rather arbitrary design, beginning with the ARPANET as the pioneering packet switching network, but soon to include packet satellite networks, ground-based packet radio networks and other networks.

- The Internet as we now know it embodies a key underlying technical idea, namely that of open architecture networking. In this approach, the choice of any individual network technology was not dictated by a particular network architecture but rather could be selected freely by a provider and made to interwork with the other networks through a meta-level "Internetworking Architecture".

6-14

Timeline of the internet

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6-15

Challenges of building the Internet

Flexible and platform agnostic communication protocols did not exist

The internet would not be possible without a set of communication protocols called TCP/IP

TCP/IP was developed in 1972 by Robert Kahn and Vincent Cerf at Stanford Univ.

The basic premise of TCP/IP is to join almost any networks together, no matter what their characteristics were/[are]

15

6-16

A Brief Summary of the Evolution of the Internet

1945

1995

Memex

Conceived

1945

WWW

Created

1989

Mosaic

Created

1993

A

Mathematical

Theory of

Communication

1948

Packet

Switching

Invented

1964

Silicon

Chip

1958

First Vast

Computer

Network

Envisioned

1962

ARPANET

1969

TCP/IP

Created

1972

Internet

Named

and

Goes

TCP/IP

1984

Hypertext

Invented

1965

Age of

eCommerce

Begins

1995

16

6-17

By January 2009The Internet Reached TwoImportant Milestones:

> 625,226,456 IP Hosts

> 6,767,805,208 Users

17

6-18

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

2008 (July): over 500 million hosts

By 2009 (January): over 600 million hosts

By end of 2010, about 80% of the planet will be on the Internet

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19

Number of Hosts

August 1981 to January 2009

Number of Hosts28337286102906729494298592998230255306503086330955310473122831320316853177731958320503214232233323243241632508325983268932781328733305433146332383341933603337853396934150343343451534699348803506435246354303561135795359763616036525367073689137072372563743737621378023798638168383522132355621024196123085089281743300056000800001300001590003130003760005350006170007270008900009920001136000.0000000002131300014860001776000.0000000002205600022170003211999.999999998138640005846000820000014351999.999999993167290002181900026053000296700003673900043230000562180007239809293047785109574429125888197147344723162128493171638297.00000003233101480.99999997285139107317646084353284186.9999997394991609439286364433193199489774269541677360.00000012570937778.00000012625226456

Internet HostsTop 10 Countries

6-20

United States316,000,000Japan39,909,000Germany22,606,000Italy17,702,000China14,306,000France14,256,000Australia11,134,000Netherlands10,983,000Mexico10,653,000Brazil9,573,000

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6-21

Statistics from the IITF Report The Emerging Digital Economy *

To get a market of 50 Million People Participating:

Radio took 38 years

TV took 13 years

Once it was open to the General Public, The Internet made to the 50 million person audience mark in just 4 years!!!

http://www.ecommerce.gov/emerging.htm

Released on April 15, 1998

* Delivered to the President and the U.S. Public on April 15, 1998 by Bill Daley,

Secretary of Commerce and Chairman of the Information Infrastructure Task Force

21

6-22

Internet Applications

Surf and

E-mail

Internet Chat

and

Discussion Forums

Social Networks

Download and

Computer

Search Engines

E-Commerce

Transfer

Protocol (FTP)

and Telnet

Popular Uses

of the

Internet

22

The Internet is the largest "network of networks" and the closest model of the information superhighway to come. The Internet is accessible to anyone with a modem and the proper communications software on their computer.

Nature of the Internet. The Internet developed from a US Defense Department network called ARPANET, established in 1969. One of the extraordinary features of the Net is its decentralized nature. No one "runs" the Net, it is not controlled either from a central headquarters nor governed by a single business or government agency. Like a real highway, it is "there" maintained to some degree by those who use it. But travel on it is pretty much up to the end users themselves.

Business of the Internet. By 1995, over 1.5 million host networks on the Internet belonged to businesses. Businesses on the Internet are there in part to take advantage of the easy, world-wide communications available through email and file transfer protocols (FTPs). But business is also on the Net to help shape the network as a channel for conducting business transactions -- buying and selling goods and services in Cyberspace to distant customers linked by computers and modems.

Teaching Tips

This slide corresponds to Figure 6.5 on pp. 179 relates to the material on pp. 179-180.

6-23

23

http://www.internetworldstats.com/stats.htm

6-24

24

http://www.internetworldstats.com/stats.htm

6-25

25

6-26

26

6-27

Challenges for the future

TCP/IP, the underlying protocol that enables the internet has flaws

There are multiple proposals to fix the flaws

Study Predicts Internet Users Face Bandwidth Drought by the end of 2010

Infrastructure investments

Projected traffic patterns

Video

Peer-to-peer

Mobile computing

27

The study, The Internet Singularity Delayed; Why Limits in Internet Capacity Will Stifle Innovation on the Web, separately assessed infrastructure investments planned by service providers as well as projected traffic patterns. It found that exponential bandwidth demand growth driven by video, peer-to-peer file transfer and other Web content will exceed planned capacity upgrades at the access portion of the Internet, rather than the core.

Telecommunications and Networks

Business value of networks

The Internet

Network components

Chapter

6a

McGraw-Hill/Irwin

Copyright 2007 by The McGraw-Hill Companies, Inc. All rights reserved.

28

6-29

Network Concepts

Network

An interconnected chain, group or system

Number of possible connections on a network is N * (N-1)

Where N = number of nodes (points of connections on the network)

Example, if there are 10 computers on a network, there are 10 * 9 = 90 possible connections

29

6-30

Metcalfes Law

The usefulness of a network equals the square of the number of users

On a small network, a change in technology affects technology only

On a large network like the Internet, a change in technology affects social, political and economic systems

30

If there are only 2 users on the network, its not very useful; if there are 200 its much more useful.

So the Internet with millions of computers is incredibly useful.

6-31

Telecommunications

Telecommunications

Exchange of information in any form (voice, data, text, images, audio, video) over networks

31

6-32

Trends in Telecommunications

32

6-33

Open Systems

Information systems that use common standards for hardware, software, applications and networks

Internet networking technologies are a common standard for open systems

Connectivity:

Ability of networked computers to easily access and communicate with each other and share information

Interoperability:

The ability of an open system to enable end user applications to be accomplished using different varieties of computer systems, software packages, and databases provided by a variety of interconnected networks

33

Open systems provide greater connectivity.

Open systems also provide high degree of interoperability.

6-34

Middleware

Any programming that serves to glue together two separate programs

34

6-35

Digital Network Technologies

Rapid change from analog to digital network technologies

Analog: voice-oriented transmission, sound waves

Digital: discrete pulse transmission

Digital allows:

Higher transmission speed

Larger amounts of information

Greater economy

Lower error rates

Multiple forms of communications on same circuit

35

6-36

Internet2

Next generation of the Internet

High-performance network

In use at 200 universities, scientific institutions, communications corporations

36

Internet2 may never replace the Internet. May remain a scientific and government network.

6-37

Business Value of Telecommunication Networks

37

6-38

The Internet

Over 46 million servers (2004)

710 945 million users (2004)

No central computer system

No governing body

No one owns it

38

With all these users, Metcalfes law suggests the possible connections are extraordinary

6-39

Internet Service Provider

ISP

A company that specializes in providing easy access to the Internet

For a monthly fee, you get software, user name, password and access

ISPs are connect to one another through network access points

39

6-40

Popular uses of the Internet

40

6-41

Using the Internet for business

41

6-42

Business value of the Internet

42

6-43

An Intranet

A network inside an organization

That uses Internet technologies (such as Web browsers and servers, TCP/IP protocols, HTML, etc.)

To provide an Internet-like environment within the organization

For information sharing, communications, collaboration and support of business processes

Protected by security measures

Can be accessed by authorized users through the Internet

43

6-44

Enterprise Information Portal

44

Intranets provide an enterprise information portal.

6-45

Extranet

Network links that use Internet technologies

To connect the Intranet of a business

With the Intranets of its customers, suppliers or other business partners

45

6-46

Extranet Uses

46