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December 1999

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DEC. 1999

SECURE SSL SHOPPING ON THE NET SINCE 1996!

 

 

December 1999 News Headlines

Daily
News

Archives
Index

  24-Dec-99 Friday We Go On A Xmas Holiday
  23-Dec-99 Thursday Yahoo Hit With $4B Privacy Suit
  22-Dec-99 Wednesday Australia Sets Digital TV Standards
  21-Dec-99 Tuesday LookSmart Scores Deal With Time
  20-Dec-99 Monday Australian Net Still Growing - ABS
  17-Dec-99 Friday Qantas Sues NZ Domain Squatter
  16-Dec-99 Thursday UK Users Fear Credit Cards
  15-Dec-99 Wednesday US Sites Most Popular With Australians
  14-Dec-99 Tuesday Senate To Look At Mobile Health Risks
  13-Dec-99 Monday Net Fuels Offline Ad Explosion
  10-Dec-99 Friday Tax Office Plans To Be "Big Brother"
  09-Dec-99 Thursday OECD Sets Rules For Eshopping
  08-Dec-99 Wednesday Complaints Against Online Etailers Increasing
  07-Dec-99 Tuesday Microsoft Monopoly Trial Moves Ahead
  06-Dec-99 Monday US Etailers Expect Boom Xmas
  03-Dec-99 Friday Communicator 5.0 Beta In February?
  02-Dec-99 Thursday Microsoft To Release IE 5.5
  01-Dec-99 Wednesday Australian Net Continues To Grow

 

Friday 24th December 1999
WE GO ON A XMAS HOLIDAY
Australian Cybermalls is taking a brief Christmas break between December 24th and January 4th, 2000. During the last year our site hosted 850,000+ visitors (94% of them from outside Australia) and our merchants wrote over $1 million in business. We'd like to thank everyone for their support of what we're doing, and we look forward to returning with an even bigger, better site next year.

 
Thursday 23rd December 1999
YAHOO HIT WITH $4B PRIVACY SUIT


Yahoo has been served with a $4 billion lawsuit by Universal Image (UI), who claim that Yahoo has been using UI videos on their Broadcast.Com site but have refused to share the data with UI (as per an agreement that existed between UI and Broadcast.Com's previous owners). UI claim that before Yahoo acquired Broadcast.Com, UI had made use of user registration deals to obtain information on more than 750,000 site visitors at Broadcast.Com, which it used for direct marketing and to on-sell to other advertisers. Yahoo claim that UI's demands would be in breach of the company's current privacy policy, and will defend the claim. UI is seeking $1 billion in direct damages and up to $3 billion in punitive damages.

 
Wednesday 22nd December 1999
AUSTRALIA SETS DIGITAL TV STANDARDS


The Australian Federal Government announced the new format for digital television today. From 1st January 2001, Australian TV broadcasters will be required to follow a unique "triple-shot" format which will see them broadcasting content in analogue, standard and high-definition digital formats until analogue is phased out completely on 1st January 2008. Although the Government had been inclined towards the High Definition Television (HDTV) format from the outset, the cost of HDTV boxes (around $A10,000 to $A15,0000 at present) impelled them allow broadcasters to offer the lower-grade European Standard Digital Television format (SDTV) as well. Brand new SDTV boxes are expected to retail for around $A3,000, while analogue-to-SDTV conversion boxes are expected to retail for less than $A500. The digital TV changes, announced today by Communications Minister Sen. Richard Alston, will also limit datacasting, preventing datacast operators from offering TV programs other than small news, weather or sports updates.

 
Tuesday 21st December 1999
LOOKSMART SCORES DEAL WITH TIME


LookSmart - the Australian search engine developed for Readers Digest in 1996 - has inked a deal with Time-Warner to provide search facilities and content on the media group's high-profile sites, including all its CNN properties and the Pathfinder site. The move comes as part of a full revamp of the Time-Warner sites, which have been slipping in the ratings over the last twelve months. Under the terms of the deal, LookSmart will sell advertising on the Time-Warner sites and the revenues will be split between both companies. The latest deal follows a recent announcement that LookSmart have been engaged by British Telecom to roll out LookSmart services on its European and Asian properties.

 
Monday 20th December 1999
AUSTRALIAN NET STILL GROWING - ABS


The Australian online population has continued to grow over the last year, according to a new report released today by the Australian Bureau of Statistics (ABS). The ABS estimate that at August 1999, 23% of Australia's 1.6 million households had Net access, up from 18% the year before. In addition, an estimated 5.6 million adults accessed the Net at some time over the last year, which represented 41% of the total adult population. Again, this was up from 32% of the total adult population 12 months previously. The ABS report also noted that 1.2 million of Australia's 1,6 million connections are located in capital cities and that 44% of adults in capital cities had accessed the Net last year, compared with 35% from rural or non-capital locations. However, user growth in rural Net access was stronger over the last year than growth in urban centres.

 
Friday 17th December 1999
QANTAS SUES NZ DOMAIN SQUATTER


Australian airline QANTAS announced today that it had successfully sued a New Zealand cybersquatter, setting a new legal precedent in that country. According to a statement issued to the Australian Stock Exchange today, a firm called the Domain Name Company had registered the domain qantas.co.nz in 1996, then offered to sell it to the airline in 1998. QANTAS had initially entered into negotiations to purchase the domain, but later decided to take the matter to court instead. Last week, the New Zealand High Court decided in favour of QANTAS, setting an important precedent for domain name registrations in that country. The move follows recent laws enacted in the USA which also open the way for companies to sue domain squatters who register domains to which they have no entitlement, such as company and brand names.

 
Thursday 16th December 1999
UK USERS FEAR CREDIT CARDS


According to a study of 50,000 British Internet users conducted by Fletcher Research (FR) in October, consumer fears about online security are the main impediments holding back UK ecommerce. According to FR, only 18% of British people currently trust online vendors with their credit card details. And half of those interviewed for the survey were unhappy at the prospect of using their credit card to shop online. FR found that a typical UK Internet user has a 40% chance of holding a university degree and an 80% chance of being in the ABC1 demographic. Furthermore, the average household income of typical UK net users appears to be 80 percent higher than the national average income. In addition, more women are now using the Net in the UK - up from 33% of the audience a year ago to 40% today. Even so, women are still less likely to buy online, FR found. 36% of male users have purchased at least one item over the Net, but less than 20% of female users have done the same.

 
Wednesday 15th December 1999
US SITES MOST POPULAR WITH AUSTRALIANS


According to a study by IMR Worldwide, Australians still prefer US sites over domestic ones. IMR surveyed 3,000 Australian home and business users last month to discover their preferences and found that a significant percentage of their sample base prefers to visit US-based sites ahead of Australian ones. According to IMR, 13 of Australia's current Top 20 web sites are US-based, and the most-visited US sites are HotMail (1.05 million unique Australian visits in November 1999) and Microsoft.Com (977,000 Australian visits in November 1999). The site that held Australian visitors for the longest time span was Shockwave.com, the multimedia portal from Macromedia. Each visitor spent an average of three minutes and 47 seconds on the site, IMR found. But the major sites least likely to hold an Australian surfer's attention were Amazon.com and the free email site from Yahoo! IMR noted that each of these held a visitor's attention for an average of 46 seconds per visit.

 
Tuesday 14th December 1999
SENATE TO LOOK AT MOBILE HEALTH RISKS


Despite continued protestations about the safety of mobile phones from the telecommunications industry, the Australian Senate has announced that it will launch a parliamentary inquiry into mobile phone safety issues in March next year. The inquiry will examine the allocation of research funding, existing research into the subject of mobile phone safety, the current Australian emission standard and an analysis of efforts to set standards. The move comes in the face of continued public unease about the devices in the light of adverse discoveries in Australian, US and UK experiments in recent years. Australians are currently one of the highest per-capita users of mobile phones in the world, with close to 7 million mobile units for a 19-million population. The inquiry will report its findings in October 2000

 
Monday 13th December 1999
NET FUELS OFFLINE AD EXPLOSION


The Internet is fuelling an explosion in offline advertising in the USA, according Competitive Media Reporting (CMR) - a trend starting to be seen in Australia as well. CMR report that advertising spending by dotcoms reached an estimated $US755 million in the first half of 1999. This was close to 300% higher than an equivalent period the year before. In Silicon Valley, CMR found, online retailers were responsible for 17% of all spending on radio advertising and 11% of outdoor advertising in the first half of the year. Similar trends are being widely reflected across other parts of the USA as well. In Australia, many recent Internet floats have invested large amounts of their capital on print and outdoor advertising campaigns. An increasing number of terrestrial advertising campaigns are also being tied to or centred around site launches.

 
Friday 10th December 1999
TAX OFFICE PLANS TO BE "BIG BROTHER"


The Australian Tax Office (ATO) released a report today detailing its latest ideas for monitoring online traders. The document - Tax and the Internet: Second Report - suggests that the ATO should use the new Australian Business Numbers to identify online traders; that it should add extra questions to tax return forms asking for email addresses and URLs; and that it should either implement a real-time monitoring system (which would involve keeping records of the IP numbers of web businesses) or examine the data logs of Australian ISPs which host transactions between customers and web retailers. The ATO is also considering a new set of record keeping standards for onshore ISP which it would then use to covertly check transactions . The ATO's recommendations will ultimately be put to the OECD, which is attempting to formulate a set of uniform policies for member countries to cover Internet-related taxation issues. The final OECD report is not expected until 2002.

 
Thursday 9th December 1999
OECD SETS RULES FOR ESHOPPING


The 29 member nations of the Organization for Economic and Cooperative Development (OECD) adopted guidelines today that they hope will provide broader protection for online consumers. The guidelines are not legally binding and will not be implemented until 2000-2001, but they will be pushed forward by participating countries (including Australia, the USA, and European Union)  over the next year through partnerships with industry self-regulation groups or through legislation. They cover such issues as protection of consumer privacy, dispute resolution procedures in the event of product returns or non-delivery of goods, and accurate disclosures about products and shipping policies. Earlier this year, the Australian Competition and Consumer Commission (ACCC) issued its own guidelines on what sort of information it considered effective online businesses should offer to consumers, and the policies it felt they should adopt.

 
Wednesday 8th December 1999
COMPLAINTS AGAINST ONLINE ETAILERS INCREASING


Complaints against online merchants are increasing in step with the growth of ecommerce, according to the National Consumer League (NCL), a private, nonprofit US organization headquartered in Washington. In 1998 the NCL logged 7,700 complaints on its Fraud.org site. This year, the NCL fielded 6000 complaints between January 1st and June 30th - a rise of close to 64%. According to the NCL, most complaints seem to involve online auctions in which a bidder either never received the item purchased, or received something entirely different than expected. In the USA, the NCL field consumer complaints and send them to the appropriate law enforcement agency - either the US Federal Trade Commission, the FBI or the US Postal Inspector's Office. Susan Grant, director of the NCL's Internet Fraud Watch, said that many old mail order and telemarketing scams have appeared on the Net as digital variants and that common-sense still held true: "If it sounds too good to be true, it probably is."

 
Tuesday 7th December 1999
MICROSOFT MONOPOLY TRIAL MOVES AHEAD


The US Department of Justice (DOJ) and the 19 US states involved in the anti-monopoly case against Microsoft filed "conclusions of law" legal briefs against the company today, further ramping up pressure on the software giant to seek an out-of-court settlement with its prosecutors. In the legal briefs, which Microsoft must respond to by January 17th, the DOJ allege that Microsoft engaged in illegal, anti-competitive conduct in five ways: (1) tying browser sales to sales of its Windows operating system (2) using its market power to illegally maintain a monopoly (3) attempting to monopolize the browser market (4) imposing exclusive dealing arrangements with ISPs and/or developers; and (5) imposing boot-up and screen restrictions on computer manufacturers and/or assemblers. Each one of these charges represents a violation of the USA's strict Sherman anti-trust laws and - if proven - may result in the break-up of the software giant. Microsoft began negotiations with its prosecutors in Chicago last week.

 
Monday 6th December 1999
US ETAILERS EXPECT BOOM XMAS


US internet-based retail sales could account for as much as $US12 billion of the expected $US180 billion that American consumers will spend on holiday season shopping this month, according to a new study by Deloittes. While web-based consumer sales will still only account for 7% of total seasonal sales this year, Deloittes point out that this is a 7% slice of the market that didn't exist as little as 3 years ago. Their study also found that up to 63% of consumers who use the Net expect to be conducting at least part of their gift shopping online this year. And since 75% of US consumers with incomes of $US70,000 or more already use the Net, Deloittes suggest this could indicate that traditional brick-and-mortar retailers may be finding their most affluent customers drifting away from them as online buying gathers momentum.

 
Friday 3rd December 1999
COMMUNICATOR 5.0 BETA IN FEBRUARY?


Netscape Communicator 5.0 is expected to release a beta in February, with a full release possibly scheduled for August 2000. The popular browser, now owned by AOL, has been in open source development for two years. The new Communicator 5.0 is expected to feature full compliance with Web standards and include a user interface technology called Extensible User Interface Language (XUL) to provide a fully-featured environment for both users and web developers. Communicator 5.0 will also merge mail and instant messaging functions, taking advantage of AOL's spectacularly successful Instant Messenger technology. According to AOL, delays in releasing the new version of the browser have been caused by the need to completely rewrite large portions of the source code. The end result is expected to be a very high quality product, a spokesman said, but the need to rework large parts of the code base - coupled with AOL's buyout of Netscape a year earlier and the loss of some of Netscape's original staff - had induced delays.

 
Thursday 2nd December 1999
MICROSOFT TO RELEASE IE 5.5


Microsoft plan to release an updated 5.5 version of Internet Explorer early next year in conjunction with their impending Windows2000 operating system. As with all prior releases of Explorer, the browser is expected to be integrated with the new operating system. However, following the company's recent exposure as a monopolist in its trial with the US Department of Justice (DOJ), it is unlikely that the browser will be as tightly locked into Windows2000 as was the case with both Windows95 and Windows98 - a factor which proved to be a particularly sore point with the DOJ prosecutors. Improvements slated for the new release include better support for open Web standards such as cascading style sheets and SMIL, as well as more Microsoft proprietary technology (such as DHTML behaviours) which render most sites which adopt them completely or partially inaccessible to Netscape users. The 5.5 release will also address significant omissions in the current 5.0 version (such as print previewing) and attempt to remedy long standing defects in the browser's printing reliability, printing speed, and security.

 
Wednesday 1st December 1999
AUSTRALIAN NET CONTINUES TO GROW


The number of Australian web sites expanded once again last month according to our monthly Australian Internet Growth Index, which has been attempting to estimate the number of Australian web sites on the Net (as opposed to the number of registered domains) since 1996. This marks the 5th consecutive month of growth our index has recorded. During November, this growth appeared to be equally spread across almost all capitals, though Sydney - and, to a degree, Canberra - lead the national output on a per-capita basis. The December 1st figures (with November 1st figures in brackets) are as follows:

  Australian Internet Growth Index November 1999
  (Figures Show Estimated Live Sites)
  • Brisbane - 2,895 (2,716)
  • Sydney - 9,316 (8,522)
  • Melbourne - 6,657 (6,118)
  • Adelaide - 2,984 (2,721)
  • Perth - 3,023 (2,851)
  • Hobart - 1,096 (1,035)
  • Canberra - 2,531 (2,216)
  • Darwin* - 2,236 (2,006)

NB: The Darwin figure includes rural Australian sites

During November 1999 Australian Cybermalls hosted 74,999 visitors, a rise on October's 73,412. This was equivalent to 255,344 page displays and consumed 7.47Gb of bandwidth. Our November 1999 traffic summary can be viewed here.
 

December 1999 News Headlines
Last updated 31-Dec-99

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