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To: Scrapps who wrote (22922)	10/20/1998 2:26:00 PM
From: Moonray	Read Replies (1) \| Respond to of 45548

Internet Market To Top $142Bil By 2001 - Report NewsBytes - October 19, 1998: 6:27 p.m. ET REDWOOD CITY, CALIFORNIA, U.S.A. (NB) -- By Bob Woods, Newsbytes. The total market for Internet and intranet products and services will reach $142 billion by 2001, according to a new report from Zona Research. The market, gauged by Zona's Adjusted Gross Internet Product (AGIP) measure, totaled $49.21 billion in 1997. Breaking down the 1997 numbers into market segments, communications dominated with $32.43 billion or 65 percent of the AGIP market. Containment, which includes hardware servers, software servers and database management systems, came in second place with $11.59 billion or 24 percent of the market. Farther down the line were consumption (applications and desktop client technology), creation (application development, authoring and services), control (encryption/ authentication, firewall/virtual private networks, digital IDs/ certificates), and content (advertising, partnerships, editorial), Zona also said. Using a new framework of analysis for what Zona calls the emerging electronic economy, Zona predicts that this market will grow from $10.4 billion in 1997 to $204.1 billion in 2001. The new emerging electronic economy is predicated on the three waves of opportunity that allow vendors to save, make, and ultimately create new money on the Internet. In 1998, the economy will grow to $31.3 billion, Zona estimated, while it will reach $71.3 billion in 1999 and $134.5 billion in 2000. But, "Despite all the hype about the burgeoning electronic economy, we see that in 1997, Web-based transactions amounted to. . . less than 1 percent of the US GDP (gross domestic product)," said Zona Research Vice President and Chief Analyst Clay Ryder. "Although we believe the electronic economy portends a fundamental reconstruction of value chains, it is clear that this electronic opportunity is in its infancy." Zona's "Internet and Intranet: Markets, Opportunities, and Trends" report also includes profiles of over 200 Internet technology vendors, and presents a new set of issues and opportunities facing the Internet and intranets. Zona Research Inc., which is owned by IntelliQuest Information Group, is located on the Web at zonaresearch.com . o~~~ O