At a Microsoft-sponsored Developers Conference in London last December, Bill Gates shared his vision of an MSN led Internet future where wireless, interactive home-entertainment systems deliver real-time communication and a new breed of advertisements.
Addressing the near 200 strong audience, Bill Gates reflected on the evolution of the industry from portal to e-commerce. Commenting on the forthcoming digital era, he said, "At the moment we are just scratching the surface. Microsoft's role is to build the software to drive adoption forward".
Mr Gates believes MSN has fuelled Internet growth through its free services such as Hotmail, Passport and Instant Messenger (which has nearly 5million users in the UK alone). However, future profitability for the MSN Business Unit appears to be integrally linked to developing subscription based services following on from the success of free models such as Instant Messenger and Hotmail as well as relying on a renaissance in online advertising.
Showcasing the new MSN 'Advantage Marketing', an impressive selection of online marketing tools, which enable a more effective targeting of customers, Bill Gates revealed that Microsoft intends to sell advertising space to agencies on its Web sites and MSN Internet Service who use .Net markup technology to design their ads.
Microsoft has invested $1b in annual R&D in the .Net platform, and the technology will be rolled out to users through Windows, Office and MSN. Another area of focus for Microsoft investment is the MSN platform, with Bill Gates calling it, "the centrepiece of Microsoft's push into the consumer space" alongside XBox, Windows and Office.
Bill Gates put full emphasis upon government and corporate leaders to facilitate the rollout of broadband at a price consumers can afford in order for us to realise our digital potential, "In the home wireless will have a dramatic advance. You will be able to share photos and music throughout the house. It will be as simple as buying a cheap screen that has a wireless receiver that will give you real time communication. It will be common sense."
