1. Instant Messaging (IM) Systems Product Lifecycle and the Case for Interoperability

2. Presentation Overview IM usage statistics History of the telephone History of IM Interoperability Discussion IM usage statistics History of the telephone History of IM Interoperability Discussion

3. 1 http://www.pewinternet.org/pdfs/PIP_Instantmessage_Report.pdf September 2004 2 http://www.silicon.com/research/specialreports/im/0,39024995,39125879,00.htm November 2004 IM Usage Statistics 53 million adults in the US use instant messaging. 1 11 million of them use it at the office. 1 35 % of companies have no official policy regarding instant messaging. 2 53 million adults in the US use instant messaging. 1 11 million of them use it at the office. 1 35 % of companies have no official policy regarding instant messaging. 2

4. History of the Telephone (1 of 4) TechnologyTelephone First to dominate market AT&T (Bell) Original Market Business (1876) Rise to dominance Network Effects Results of competition Dual service Social regulation People’s Party (Omaha, 1892), independent telephone companies

5. History of the Telephone (2 of 4) TechnologyTelephone Attempted Government regulation towards standards Kingsbury Commitment (1913) required AT&T to allow independent companies to access long distance infrastructure and obtain prior approval before acquiring more telephone systems. Results: Independent companies stabilize; competition begins within a market as opposed to for a market.

6. History of the Telephone (3 of 4) TechnologyTelephone Attempted Government regulation towards standards During World War I, the Post Office took control of the telephone wires. Results: Prices skyrocketed and social call for nationalization was squelched.

7. History of the Telephone (4 of 4) TechnologyTelephone Successful Government regulation towards standards Graham Act (1921) allowed AT&T to take over competing companies, exempted them from anti-trust legislation, and called for a unified telephone system. Results: AT&T buys up smaller companies to become telephone monopoly but agrees to rate regulation.

8. History of IM (1 of 3) TechnologyInstant Messaging First to dominate market AOL Original Market Social (1999) Rise to dominance Network Effects Results of competition Multiple IM clients Social regulation Standards committees (IETF, IMUnified, FreeIM), third-party vendors

9. History of IM (2 of 3) TechnologyInstant Messaging Attempted Government regulation towards standards FCC anti-monopoly ruling (2001) required AOL to guarantee interoperability in its IM services before offering advanced features. Results: Other IM companies gain market by focusing on markets not supported by AOL. MSN and Yahoo release advances features to woo AOL subscribers.

10. History of IM (3 of 3) TechnologyInstant Messaging Attempted Government regulation towards standards In 2003, AOL asks the FCC to repeal the enforcement, citing equalization of market share among competitors. FCC agrees. Results: AOL launches advanced features to compete and continues to refuse interoperability.

11. The Internet Engineering Task Force (IETF) international group 2000 - list of 10 proposed protocols that are compatible with existing IM framework 2004 - two protocols, SIMPLE and XMPP international group 2000 - list of 10 proposed protocols that are compatible with existing IM framework 2004 - two protocols, SIMPLE and XMPP

12. Session Initiation Protocol for IM and Presence Leveraging Extensions (SIMPLE) piggybacks off the already existing Session Initiation Protocol (SIP) SIP - initiates a user session that involves multimedia elements evolutionary - compatible with established technology but bound by the limits of this predefined foundation piggybacks off the already existing Session Initiation Protocol (SIP) SIP - initiates a user session that involves multimedia elements evolutionary - compatible with established technology but bound by the limits of this predefined foundation

13. Extensible Messaging and Presence Protocol (XMPP) written specifically for IM with open-source software (XML) flexible and able to be integrated into other programs or forms of communication easily revolutionary - more flexibility for the future, but at the expense of backwards compatibility written specifically for IM with open-source software (XML) flexible and able to be integrated into other programs or forms of communication easily revolutionary - more flexibility for the future, but at the expense of backwards compatibility

14. Discussion It took the telephone eight years to get from the anti-monopoly rulings to government regulation, how long will it take IM? Once interoperability is achieved, how will IM usage change? It took the telephone eight years to get from the anti-monopoly rulings to government regulation, how long will it take IM? Once interoperability is achieved, how will IM usage change?