Network Effects Accelerate
Metcalf’s Law
- The value of a network grows with the square of the number of its users
How many connections are made?
- 1 user: no utility
- 100,000 users: a few contacts
- 1 million users: many on Net
- 1 billion users: everyone on Net
Networked services
- Ebay, ICQ, Hotmail, Napster