Economic Aspects
A lot of market survey companies and consulting firms forecasted rosy economic society in 2015 boosted by growing usage and applications of internet. However, internet does not have so much impact on our economy as of 2015.
Actually, as of 2015, almost all the companies and consumers have experienced E-commerce and M-commerce because security in internet was enhanced and mobile communication device became reliable. However, though use of E-commerce and M-commerce prevailed, the way of use is still an extension of the initial use in 2005. Though many companies shifted its order placement or payment transaction to web-based E-commerce system, many consumers stick to actual shopping at actual stores for many items excpt some transactions like banking activities.
Companies such as GAP, UNIQLO or Levis created web-sites for consumers to experience virtual reality with their clothes, but customers prefer stopping by shops to actually try on. Part of the reason is that still equipments to realize virtual reality are not advanced well. Many companies have tried to develop those equipments such as smell generators, but those items have not prevailed so far.
Additionally, relatively cooling economic growth in China and stagnated internal consumption in US have negative impact on companies’ profitability. Especially, China still faces serious energy crisis because of shortage of crude oil. China has been running out of domestic oil resources and continues futureless dispute on potential offshore oil fields around boarders between Japan, Vietnam and Taiwan. The tensions caused by energy crisis constrain growth of world economy.
In the context of the tensions caused by growing consumption of oil in China, crude oil price hit record high recently. This is another constraint for further growth of world economy.
The economic slump of both leading markets is not so critical for telecommunication companies and electronics companies, but they do not afford to invest huge money for development of new technology for, among other aspects, virtual reality. Instead, they gear down further investment new technology because they need to collect money that invested to install 3G technology around the world. It is said that the use of 3G services will pick up soon, but it takes time to return to profitability in 3G related businesses. One of the drawing cards from electronic appliance makers are smart home electric appliances that can communicate with mobile tools. Sony introduced walkman-refrigerator, walkman-washing machine or walkman-electric fan, but no consumers want to control such smart appliances through mobile phones. Regrettably, they are still struggling to create new market of smart home appliances.
Some important technologies like voice recognition system developed gradually in past 10 years. Some of them have adopted in internet, but neither of them succeeded to realize drastic change of use on internet. Voice recognition system succeeded in making key board obsolete for mobile tools, but it still needs further development to recognize conversation among multiple people.
Voice recognitions system actually enabled internet to store a lot of information directly through speeches. Information markets are picking up slowly, but the system to deal with huge information through direct voice recognition system is not yet developed. Additionally, governmental ristrictions on flow of information is enhanced to tackle with terorrism. The regulations set by governemns tend to constrain development of information markets. New technologies such as artificial intelligence or artificial neural network are desired to convert huge information through voice recognition system to consistent knowledge, but again, companies do not have enough financial resources as of 2015.
WTO agreed to lift ban on gambling business on internet a couple of years ago. However, as is the case for shopping, consumers prefer face to face gambling with dealers in Las Vegas, Monaco or illegal basement in somewhere in the world. So, internet gambling is only used by some gamble addiction people. Some companies hosting internet gambling think virtual reality could bring about drastic changes on internet gabling, but as explained already, companies do not have resourced for further development right now.
Overall, situation for internet in 2015 is more or less similar to that in 2005. There are many forecast for applications and technologies available in future, but no one knows how soon they become available and how much people utilize them. Many companies become skeptical rosy future of internet, resulting in less investment for further development of technologies.