William F. Gollan Senior Vice President

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William F. GollanSenior Vice President
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Agenda

• State of E-Commerce Market
• Key Trends
• Growth Drivers
• Electronic Commerce Segmentation
• B2B Case Study

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Electronic Commerce Defined

• Utilizing electronic means to automate the
  exchange of data and facilitate buying and
  selling.
• Offers both corporations and consumers the
  capability to interact in a convenient digital
  fashion.
• via Internet, intranet, extranets and private
  telecom networks

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State of Electronic Commerce

• Internet usage and commerce expected to explode
  in next 5 years
• North America accounts for 50 of worlds online
  population (98)
• By 2003 40 share, but represent 54 worlds
  commerce revenue
• 1998 37B, 2003 707B
• CAGR 80

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WW e-Commerce Revenue
Source IDC 99
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Key Trends - N. America

• Increased demand for broadband
• Regardless of speed, Internet access is
  commonplace
• DSL offered by AOL Bell Atlantic
• Excite_at_Home for cable modem
• Bundling access with hardware
• CompuServe/eMachines
• MSN / Micro Center
• Prodigy / Best Buy

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Key Trends - N. America

• Alternative devices gaining share
• Network computers will increase from 4 of PC/NC
  Installed Base to 31 in 2003.
• NCs to include NC clients, screen phones,
  handheld devices, Net TVs, game consoles and
  other Internet access devices.

Source IDC 8/99
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Key Trends - N. America

• B2B procurement market is hot
• Ariba, Commerce One, Harbinger
• Solutions that generate and maintain online
  catalog content, manage supplier relationships
  and automate transaction processes
• Forrester estimates 842B market in B2B
  transactions by 2002.

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Growth Drivers for e-Commerce

• Lowers the cost of doing business
• Web-based technology slashed 15.2B from corp.
  cost structures in 1998, 600B by 2002
• 60-80 of savings will reach the bottom line

Source Giga Information Group 99
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Growth Drivers for e-Commerce
Source The Industry Standard 4/99
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E-Commerce Market Segmentation
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Market Segmentation

• E-Commerce Applications
• Buy Side procurement solutions, EDI integration,
  Auction
• Ariba, Harbinger, GEIS, eBay
• Sell Side Online solution sales, customer
  service, marketing
• Microsoft, SilkNet, Flycast

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Market Segmentation

• E-Commerce Tools
• Software to accommodate high Web traffic and
  minimize site downtime
• Optimize network efficiency and performance
• Accipiter, Inktomi, Marimba

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Market Segmentation

• E-Commerce Retailers
• 1st Wave simple online commerce sites, low brand
  affinity or traffic
• 2nd Wave greater innovation in driving traffic,
  personalization and integrating commerce on
  impulse or convenience once at the site
• Amazon, Beyond.com, CDNow

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Market Segmentation

• E-Commerce Security
• Firewalls, data encryption, digital certificate
  authority and end user authentication
• Security Dynamics, InterTrust, Globetrotter,
  Rainbow Tech.

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Market Segmentation

• E-Commerce Content
• Vertical hubs or marketplace communities that
  provide gateways to specialized information for
  business users
• Deja News, VerticalNet, EarthWeb

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B2B Case Study - EarthWeb
EarthWeb is...
The leading provider of business-to-business
online services for the global IT industry.

• Established 1994
• Public company (EWBX)
• First to market
• Unparalleled IT content breadth and depth

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B2B Case Study - EarthWeb

• Content
• 150 million page views in Q2 99
• Hundreds of thousands of technical resources
• Source code, tutorials, articles, certification
• Largest on-line IT book collection
• Commerce
• Leading software, books, auctions
• Community
• Technical bulletin boards, surveys, QA
  services
• User submissions
• Conferences
• Career Management Recruiting
• Dice.com, 140K IT job listings
• Skills assessment, training and certification

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Serving Multiple Verticals in the IT Industry
Total 1997 global IT spending 780 billion
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B2B Case Study - EarthWeb

• ITKnowledge.com
• Developer.com
• Jars.com
• Javascripts.com
• HTMLGoodies.com
• IntranetJournal.com
• Datamation.com
• EarthWebDirect.com
• Crossnodes.com
• CodeGuru.com
• GoCertify.com

• Gamelan.com
• Y2KInfo.com
• Dice.com
• OpensourceIT.com
• Discussions.com
• ITMarketer.com
• EarthWeb Auctions
• ERPHub.com
• SysOpt.com
• PerlJournal.com
• SupportSource.com

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What is ITKnowledge?
The worlds most comprehensive online collection
of technical books, guides, journals, and
reference materials available on the web.
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Who Uses ITKnowledge?

• IT professionals throughout the corporation
• Developers working on complex projects
• Consultants and project managers needing the
  latest information
• MIS managers and CIOs equipping their staffs
• HR managers training employees

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• Current Release
• Licenses to thousands of books from 11 leading IT
  publishers
• Exclusive, full-text, leading-edge content
• Nearly 1,000 books currently available
• Over 40 books added in September
• Over 300 more books to be added within the next
  90 days
• Planning guides, training guides

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Current Publishers

• Sybex
• Sams (Macmillan)
• Artech
• Que (Macmillan)
• Wiley Computer Publishing
• IDG
• The Coriolis Group

• CRC Press / Auerbach
• 29th Street Press
• Wordware Publishing
• ASP
• Digital Press, A Division of Butterworth-Heineman
  n

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William F. GollanSenior Vice Presidentbill_at_eart
hweb.com