Multimedia

By the mid-1990s the processing speed and memory capacity of computers had advanced considerably, enabling users to do more than ever before on their PCs. It became possible to run applications like video games that combined text, sounds, video, and graphic animation in exciting ways. The combination of these different media elements came to be known as multimedia. In addition to multimedia software, the use of multimedia technology began to increase on the World Wide Web. Consumers were able listen to music and news via Internet audio technology, such as that offered by RealNetworks; and view streaming video clips, films, and Web casts.

Multimedia technology was a powerful tool for companies engaging in e-commerce. First, it allowed marketers to show and describe products on the Web or CD-ROM with static text and pictures. However, it also allowed them to create more exciting promotional efforts that incorporated video and sound. For example, a hotel chain could allow potential visitors to take virtual tours that included previews of rooms, restaurants, and entertainment offerings at different properties. An online music store could provide sample songs from CDs prior to purchase. Multimedia technology also made inroads in the area of e-mail marketing. In the early 2000s, Radical Communications provided technology to leading companies like 20th Century Fox, the National Football League, Dell, Old Navy, and Kraft that allowed them to deliver audio and video to consumers via e-mail. It did this through a product called RadicalMail.

Despite rapid advancements in multimedia technology and the speeds at which consumers connected to the Internet, a survey conducted by Keynote Systems Inc. in October 2000 revealed that the quality of Web-based audio and video was still quite poor. The organization expected conditions to improve as streaming technologies evolved and more users relied on high-speed connections to access the Internet. Bandwidth, or the amount of data that a network connection is able to carry, is important for multimedia transmission quality. According to Dataquest, the number of households with high-speed access was expected to reach 28 million by 2004, increasing from 6 million at the end of 2000.