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The Payoff from Cheaper Web Tech

February 13th, 2004 · No Comments

[via Corante] E-Commerce News writes:

Call it the perfect tailwind for the Internet. Demand for goods and services delivered over the Web has continued to grow rapidly even as the dot-com bust lowered the cost of Web technology. And it helps that the number of Web visitors keeps rising.

Take bandwidth. The telecom meltdown has spawned a downward spiral in prices for delivering data over high-speed networks. Pourzanjani of Pricegrabber says he pays $300 per megabit of bandwidth today vs. $800 in 1999.

Consider software used to create virtual versions of data centers — facilities where big chunks of data for, say, banking transactions are stored — which once required a roomful of computers. The modern version is created by software that can divvy up space on existing computers.

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