


If one word could serve as a prevailing theme for 2003, it would be "survival."
As the technology economy continued to suffer, companies searched for creative ways to cut costs and experiment in new areas without losing their competitive edge or abandoning their core businesses. The result was a partial roadmap that began to show what a recovery would look like in coming years.
Computer, Internet and service companies of all sizes were forced to reassess their future in response to a fundamental change in the way the high-tech industry viewed itself: After years of leading the charge into the digital age by peddling the next big things, companies instead found themselves under close scrutiny by customers fed up with hype and demanding concrete results for their purchases.
Products that once promised revolution gave way to boring but practical technologies such as Web services, utility computing and supply chain systems. Many companies looked for new opportunities outside their primary information technology markets, ranging from life sciences to digital entertainment.
Others made sweeping changes in their business plans--such as utilizing wireless networking or corporate instant messaging--or adopted entirely redrawn strategies, such as finding new ways to sell music, experimenting with search engine advertising or attacking market leaders in a different field, as Microsoft is doing with Google.
Not surprisingly, the industry's most visible changes were reflected in leading companies such as Microsoft Oracle, Sun Microsystems, eBay, Time Warner and Yahoo.
Some businesses looked for answers either in previous technological trends or in future breakthroughs. A few went as far back as the 18th century in search of areas to develop, while others revisited more contemporary ideas such as datacasting and application services. Perhaps wistfully, the industry also observed the anniversaries of various technological milestones, including the creation of the first computer virus, the Web browser and the Extensible Markup Language.
Forward-thinking players turned to ideas such as radio frequency chips that can track the life of practically any type of product and, farther out, technologies like carbon nanotubes, which some believe will become a miracle material for making everything from paint to computer screens.
At the same time, crossing all businesses and technologies were the
perennial issues of security and the law. The first issue took some
familiar forms in fighting
viruses and controlling their damage, but the legal battles
broke new ground in areas as diverse as browser patents, Web log technologies,
spyware,
Linux,
--Mike Yamamoto