Well, anybody who doesn't at this point see that the Internet is not only here to stay but is also the most disruptive technology to have emerged since the printing press would do well to read Morgan Stanley's Meeker report on Internet Trends released May 2004. The major points of the report are outlined below:
Key Underlying Trends
1) We believe the Internet should prove to be the growth distribution channel of the decade
2) Search/find/obtain (SFO) is becoming a global reality and may be the next ‘killer application’ of the Internet
3) Residential broadband (with an estimated 88MM global subscribers as of CQ4:03) has hit critical mass, and pricing continues to decline…
4) The underlying growth rate for global Internet usage remains strong and global markets are ramping
5) Online continues to gain share from offline
6) "Mind share" well above "market share" demonstrates growth opportunity
7) We view Internet momentum/opportunity as compelling compared to other media
8) Consumer appears to be alive and well for key technology-related purchases. Small to medium-sized businesses (SMBs) have benefited
9) Technology platform-driven convenience, low (and transparent) prices/pricing, uniquely strong 24x7 customer service, and extensive selection have been key factors behind growth
10) Online advertising trends could surprise on the upside & online premium services have begun to ramp…
11) Handful of industry leaders gaining share…operating leverage with inherently scalable models is powerful
12) Positive earnings surprises can be, more often than not, followed by more of the same…
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