I want to talk today about a little bit about information technology and a little bit about what we see in the marketplace
and the trends that we're seeing

and kind

of take it up a level to sort of the 50,000 foot view. The last 25 years of information technology
has really been shaped by, fundamentally by three revolutions which I'll touch on. The
first one is a microprocessor. So we all know the story, in 1978 Intel came out with the 8086 micro
processor. A year later Motorola subsequently came out with the 6800 microprocessor
and these two microprocessor and all the related products really fundamentally shaped and created
the PC industry and as we all know the story microprocessors and the evolution
there of really radically transformed the computing industry, right, exponentially bringing
down the cost of computing to the point where it can be distributed on everybody's desktops, eventually
on everybody's devices and then freeing up the computing from the mainframe from being locked to a
mainframe where, where it can only be time shared and being used by the richest corporation to the point
where everybody can use it. Now if you look at that trend. You play it all out. We're seeing sort of it get continued to
play out, so computing power really is finding it's way into all our lives. Into everything we do and touch. So you're seeing
it in appliances, you're seeing it in phones, you're seeing it in cars and if you take that trend out and look at some of the
things that are going on, eventually it feels like we are going to start seeing it furniture. We're
going to start seeing it in cloths and we might even start seeing it, if we haven't already, on body parts and so
everything that you touch really will have this key computing capability. Now the second big trend is 1994,
So in 1994 Netscape was founded as Mosaic Communications and that really put a face, a friendly
face and an easy of navigation onto this thing called the internet that before was really locked up in Universities and
research institutions and that's really what allowed the internet to blossom and grow
If you look at that and you see sort of the information, the services that all of a sudden that sprouted
on the Internet and the hunger for those information and services from just the consumer community,
that really is what drove the subsequent buildup in bandwidth and computing and network capacity,
really globally, right, wire line and wireless. And so now we are hitting a world where we are quickly approaching a point
where all the devices that we talked about, the devices that are going to be on your desktop, on your devices, in your
furniture on your body parts, they're all going to have, they're all going t be connected to the Internet and they're all going to be able to access
any information as needed in order to perform their functions. That's kind of interesting mental exercise that we do sometimes is say
what would have happened if the microprocessor came later. Would have happened if the network
capability came up much, much earlier than the microprocessor and we actually have a real world case of that.
If you look at the mini-tail devices in France you'll see that that's exactly what happened. Right, network computing was
everywhere and the whole society was able to access a set of services and if you look at the mini-tel as really a dumb computer
with limited computing power we have today. I for one an grateful that the microprocessor revolution
really came before the network revolution. Now there is a third revolution that's going on and
how many people recognize these devices. Ok, the readers

of Gizmoto probably but these are called Nimbots. They are really nothing more than
USB keys but I think these are 2GB USB keys. The story goes I think the inventor was reaching
into her purse one day looking for a USB key and she pulled out a toy and that's when the
epiphany came on. She said wouldn't it be great if this was the USB key and I didn't have to go dig around for
something else and that's what they created. And they are selling like hot cakes. You can go to mimbot.com. Each one of
these devices has a story associated with it. You can see the profiles. You can see what the planet their from, what their
lifestyles are like and so there is a whole culture and a whole story around what is simply a
2GB device so this revolution of storage is really complimenting the revolution that we saw in computing
and the revolution at we saw in network bandwidth. So if computing and network bandwidth and connectivity
is now ubiquities and pretty much free everywhere, we're seeing really storage happens that as
well. Now with this revolution I don't have the luxury of 20/20 hendsight so it's hard to boil out the
impact of this revolution in just a few words but you can see it. You can see it in the resurgence
of popularity for digital photography and videography. Right, things that were a really big hassle
to do. You had to use dark rooms and you had to produce your own films or send it out. Now the of use of digital cameras
there is really, really spawning an entire revolution there. We also see that with time shifting devices
like Tivo that are becoming increasingly popular as well. So finally we are kind of seeing this explosion
of contend creation, contend creation and archiving and we're getting to the point where every picture in your
life, every email, every letter, every video, every conversation, every voicemail is being recorded,
archived and immediately accessible whenever and wherever you want. So if you play this out,
in the next 50 years you can kind of imagine a world where computing power is free and ubiquitous,
where you have access really to the worlds knowledge at your fingertips because it's all connected
to you and we can sort and organize that knowledge into your own taste and preferences and store it on
a device that carry with you and so imagine that world if you will and I would wonder what you guys
visualize. To kind of give you my visual. I kind of imagine a world where each of us are walking around and
we'll have these devices that hover over us recording every moment in our lives and these devices
will be recording every moment in everybody else's lives so that at any given moment, you can go ahead and
instantly recollect any fact, any scene across your entire life. Across your love ones entire life, those
that grant you access to that information across entire public lives really instantly whenever you need
it. In that world who knows, maybe long term memory really starts to deteriorate and disappear. Now as
consumers we see this affect on a day to day basis. Right, we kind of. They say that people hate change but
when you look at the last few years. You look at the last 10 years. You look at the last 20 years, it seems
like consumers absorb change actually very readily and as an example of that, at salescource.come we were founded
early 1999, about 6 1/2 years ago and we track pretty well what we do. We track pretty well the innovations that we created
and how we think those innovations have changed the world, created new capabilities and so on and so forth. But I did
and interesting exercise where I just polled some of our employees in the hallway and asked them to kind of visualize
what the rest of the world looked like in 1999 and how that world really changed in the last six years and it's
pretty interesting. I skipped this slide. The world in 1999, kind of a trip down memory lane if

you will. I don't think I need this. So there was no broadband. I think some our, our CTO had DSL
in his home and no one else really did. There were no cable modems. Very, very few people had DSL.
It really was just starting getting built out so when we coded the application back in 1999, we coded it
to a 56K line because that's how people accessed the internet at home, in hotel rooms and everywhere
where not in the office if you will. It made us come up with simply HTML interfaces. So if we look
back at what Yahoo looked like in 1999. What Amazon looked like in 1999. There is a really simple
HTML