Sunday, August 07, 2011

Before and After Windows 95

Tokyo...A 634 Meter-High Tower (the world tallest standalone TV tower)


Before and After Windows 95 (vant et après Windows 95) (Ver. 4.0)

I still recall how enthusiastic consumers even in Tokyo looked lining up and waiting at shops for start of sale of Windows 95 in late 1995.

Yet, what I was familiar with was Windows 3.1 at the time.  And, I was sorry that Japanese makers were giving up their own version of Japanese operating systems for personal computers.  I felt that Japan lost a chance for attaining dominance in the PC sector forever.  So, I bought a Japanese-version of Windows 95 mounted PC and then Windows 98 and so on.  But a dial-up modem used in my home was so slow at 9.6k bps.  The Internet was heavy when taking some pictures, say, from a NASA site.  But the era changed in Japan, too, from that of the so-called PC communications network (allowing for e-mail, BBS, and so on) to that of the Internet.

(Indeed before the era of Windows 95, Japan is leading the world in development of electronics, semiconductors, robotics,  mainframe computers if an IBM type, and personal computers if based on Japanese DOS versions.  Japanese makers such as Fujitsu, NEC, Toshiba, Sony, Hitachi, Mitsubishi, Sharp, Sanyo, etc. all developed, manifactured, and sold Japanese versions of DOS PCs.    But, as Windows 95 symbolizes, the era changed to globalization through Microsoft English OS, the English-based Internet communications, and English-based software development.  The U.S. succeeded in securing its position in the new high-technology sphere by leveraging business expansion of Microsoft, Intel, Cisco Systems, Yahoo, and the likes.)


SECTION I: Semiconductor Market Billing

The world really changed around 1995 to 1997 as the statistics on semiconductor market below show:
http://www.sia-online.org/industry-statistics/industry-statistics/

Suppose that Wall Street is generating a huge amount of dollar assets in the middle of Sahara.

Suppose the world is Sahara and Wall Street is generating a huge amount of dollar assets in the middle of Sahara. What value do those dollars have? Wall Street workers and super rich men will soon starve to death in the heat under the sun above Sahara. They cannot eat dollar bills, they cannot live in dollar bills, and they cannot see even TV with just dollar bills in the hands in the middle of Sahara.

It is industrial products that give value to dollar bills, apart from discussions on importance of agriculture. Wall Street must be situated in the most advanced industrial nation or in the most advanced scientific nation, or otherwise at a place with an international financial system that is used by advanced industrial and scientific nations.

In this context, the U.S, must be the most advanced industrial nation or the most advanced scientific nation, so that it can operate Wall Street which generates dollar wealth for rich men who enjoy life full of advanced and high-quality products.

(It should be noted that Intel and other American semiconductor makers led the world in providing CPU chips of personal computers from the begging of the PC era.  Silicon Valley literally means that American hi-tech industry started with aggressive application of semiconductor devices. However, it is Japanese electronics makers, such as Sony, Panasonic, Hitachi, Toshiba, NEC, Mitsubishi, Fujitsu, Sharp, etc., that produced the largest amount of the most advanced semiconductor memory chips and other functional chips through 1980's and 1990's before the Internet boom, though Japanese makers could not take on Intel and Microsoft as well as IBM, since it is an American government policy to keep superiority in the core PC technology.  Therefore, since 1995, the U.S. semiconductor industry recovered their loss to the Japanese industry, riding on the trend of the PC/Internet boom. In this context, too, Windows 95 is symbolic, heralding recovery of the U.S. semiconductor industry.


(Click to enlarge.)

As for the City of London, another financial center of the world, though the U.K. did not have leading power in the semiconductor industry, continental industry of Europe, including Germany, was behind it.  The U.K. was also one of the largest investors in the U.S.  It had also an asset of global financial network having been built all over the world over past centuries.  In addition, they aggressively introduced hi-tech equipment into their business. So, some other factors worked in the City to allow for its prosperity.)

In this context, the basic factor to indicate a trend of wealth is semiconductors in this electronic age.

Accordingly, a trend of the market billing of semiconductors shows a trend of the world in terms of its generation of material wealth. And, it clearly shows that the world really changed around 1995 to 1997 as the above statistics on semiconductor market show.

Indeed, PCs and the Internet connections need semiconductor devices as TV sets need them.  And, around 1995, PCs and the Internet connectivity started to prevail all over the world, including China, India, South Korea, etc.  Even Japanese car makers started to introduce various chips not only into robots for manufacturing cars but also into vehicles they produced, in order to realize high quality of control of operation of a car.

Truly, from 1980s to 1990s, the world started to include semiconductor devices as one of basic elements of its material civilization, in addition to crude oil and iron.  The explosion of needs for PCs, Internet use, cellular phones, and other high-tech controlled products such as cars ignited the semiconductor boom in the world.  The material landscape of the world changed forever, say, with flat panel TV sets everywhere.  And, it was Japan that led this trend, though China and South Korea started to follow so well Japan around 2000, since many Japanese makers moved their factories and facilities to China and many Japanese engineers moved to South Korean companies.

Anyway, remember that the modern wealth is based on the three elements: iron, crude oil, and semiconductors (chips).


SECTION II: Internet Revolution and China

The Industrial Revolution changed the world forever starting from England in the late 18th century.

The Internet Revolution started to change the world forever starting from the G7 (the U.S., JAPAN, Germany, France, the U.K., Italy, and Canada) countries around 1995.

But note that the Internet technology is supported by electronics, semiconductor technology, and modern physics.

The power of the Internet was released to the world with sale of the Windows 95 operating system to be used in an Intel processor-based computers. Windows 95 is accompanied by an Internet connectivity function. Any user who bought a PC with Windows 95 could access the Internet from his home or office. It paved the way for a flourishing era of venture business.

(Click to enlarge.)

Also, around 1997, mobile phones came to be widely used first in the G7 countries and then all over the world. This system is also based on semiconductor technology. Especially Japanese carriers started to allow a cellular phone to access the Internet, leading the trend to today's Internet use on mobile phones.

It is as if Pandora's box had been opened. The earliest beneficiary is Mr. Clinton's America. Then, China started to leverage the Internet to get information about and funds for development of advanced technologies. Indeed, it is Japanese money and technology as well as the Internet that made China get promoted economically to multiply its GDP.

It should be also noted that since late 1990's many Japanese engineers have been recruited by Chinese companies and South Korean companies. A great amount of technological information and know-hows has been transferred to China and South Korea from Japan. Even today, 40% of exporting companies in China are founded with foreign capital mostly from Japan and the U.S.



As the Industrial Revolution that started in the late 18th century launched the U.K. to the leading position in the global economy, the Internet Revolution that started around 1995 opened the door for China to the global stage and had it get prepared for higher growth of its GDP, though with huge technological and financial support from Japan.

Yet, this Internet made it easy for China to unlawfully steal and capture information on advanced technology.  The amount of patent infringements by Chinese companies against Japanese companies is estimated to be over hundreds of billion dollars per year.  Put simply, China's economic success is based on illegal activities leveraging the Internet and other channels, mainly targeting the Japanese high-tech industry.  For example, every Chinese high-speed train is based on stolen Japanese technology, presumably allowing Japan to request $1 million per train per operation on Chinese railroad networks.

Put extremely, fools, namely professional investors, in Wall Street have been just mesmerized by the economic expansion of China without understanding why it could be possible for China.  As if it had been a great magic, a big economy China suddenly appeared before them.  But you must well understand that the decisive factors for China's economic rise are Japan's great help and support for China over decades and power of the Internet.


SECTION III: Internet Revolution and 2001 Terror

Everybody uses a telephone, including CIA, FBI, a narco-trafficking cartel, and terrorists.  Telecommunications have further proved their usefulness in the Internet era, though such a large scale, complicated, high-quality telecommunications network as the Internet was once only in the hand of the government, big enterprises, and authentic R&D bodies.
Al Qaeda and the Internet:
The Danger of “Cyberplanning” 
TIMOTHY L. THOMAS 
From Parameters, Spring 2003, pp. 112-23. 
We can say with some certainty, al Qaeda loves the Internet. When the latter first appeared, it was hailed as an integrator of cultures and a medium for businesses, consumers, and governments to communicate with one another. It appeared to offer unparalleled opportunities for the creation of a “global village.” Today the Internet still offers that promise, but it also has proven in some respects to be a digital menace. Its use by al Qaeda is only one example...
Evidence strongly suggests that terrorists used the Internet to plan their operations for 9/11. Computers seized in Afghanistan reportedly revealed that al Qaeda was collecting intelligence on targets and sending encrypted messages via the Internet. As recently as 16 September 2002, al Qaeda cells operating in America reportedly were using Internet-based phone services to communicate with cells overseas. These incidents indicate that the Internet is being used as a “cyberplanning” tool for terrorists. It provides terrorists with anonymity, command and control resources, and a host of other measures to coordinate and integrate attack options... 
Since 9/11, US sources have monitored several websites linked to al Qaeda that appear to contain elements of cyberplanning: 
- alneda.com, which US officials said contained encrypted information to direct al Qaeda members to more secure sites, featured international news on al Qaeda, and published articles, fatwas (decisions on applying Muslim law), and books.
- assam.com, believed to be linked to al Qaeda (originally hosted by the Scranton company BurstNET Technologies, Inc.), served as a mouthpiece for jihad in Afghanistan, Chechnya, and Palestine.
- almuhrajiroun.com, an al Qaeda site which urged sympathizers to assassinate Pakistani President Musharraf.
- qassam.net, reportedly linked to Hamas. 
- jihadunspun.net, which offered a 36-minute video of Osama bin Laden.2 
- 7hj.7hj.com, which aimed to teach visitors how to conduct computer attacks.3 
- aloswa.org, which featured quotes from bin Laden tapes, religious legal rulings that “justified” the terrorist attacks, and support for the al Qaeda cause.4 
- drasat.com, run by the Islamic Studies and Research Center (which some allege is a fake center), and reported to be the most credible of dozens of Islamist sites posting al Qaeda news. 
- jehad.net, alsaha.com, and islammemo.com, alleged to have posted al Qaeda statements on their websites. 
- mwhoob.net and aljehad.online, alleged to have flashed political-religious songs, with pictures of persecuted Muslims, to denounce US policy and Arab leaders, notably Saudi.

http://www.iwar.org.uk/cyberterror/resources/cyberplanning/al-qaeda.htm


(to be continued...)



SECTION IV: Internet Revolution and 2008 Financial Crisis

The Windows 95 gave great traction power to the U.S. households economy.

Americans all started to use Windows 95-equipped PCs to connect to the Internet for their individual business and financial activities. It resulted in acquisition and accumulation of assets in U.S. households.  

Now let's check what researchers discussed on New York Stock Exchange in terms of Information Technology.
INFORMATION TECHNOLOGY AND
THE NEW YORK STOCK EXCHANGE’S
STRATEGIC RESOURCES FROM 1982-1999

...
From about 1988 until 1994, investments in IT showed little increase, matching an economy that was not growing. See Figure 1. The Exchange’s IT strategy at the time was to maintain the status quo with its major initiative being broker booth support. After 1994, the NYSE invested more heavily in IT as trading volume accelerated, and it faced competition from the Nasdaq, which was becoming known for the IPOs of attractive new technology listings, and the ECNs. The Exchange also saw transactions rising dramatically in the buoyant capital markets and the expanding economy of the 1990s. In this period continuing to the present, the NYSE’s IT strategy has been to use technologically aggressively to meet competition from a number of sources as well as demands for trading capacity.
...

(Click to enlarge)
http://cisnet.baruch.cuny.edu/papers/cis200208.pdf

The effect of Windows 95 in the money industry is so clear in the above figures.  Manual operation was replaced with computer-based handling of orders.  And the computers were not a mainframe but handy PCs easily introduced on the floor and office rooms of NYSE.  The era clearly started with a drastic change in NYSE when it found the schedule of sales of, and specifications of, Windows 95.


(to be continued...)




SECTION V: Internet Revolution and 2008 Presidential Election

(to be continued...)




*** *** *** ***



Appendix I. Nagasaki on August 9, 1945

It is said that the U.S. Government selected Hiroshima, Kokura, Nagasaki, and Niigata as target cities for atomic bomb attacks at the last stage of WWII.

On August 9, as the crew of a bombing B29 failed three times to correctly set their sights on a target in Kokura while Japanese fighter planes were approaching, they left Kokura for Nagasaki. It is believed that there would have been more casualties if Kokura had been attacked.
A map showing mission runs of August 6 and August 9, with Hiroshima, Nagasaki, and Kokura (the original target for August 9) displayed.
http://en.wikipedia.org/wiki/Atomic_bombings_of_Hiroshima_and_Nagasaki


Appendix II. Imperial Army of Japan (1871 - 1945)

Type 4 Heavy Bomber: capable of carrying a hydrobomb or a 800 kg bomb (otherwise 15 of a 50 kg bomb), flying at 537 km/h within a flying range of 3,800 km. The total production volume of this Type 4 is 635 between 1943 and 1945.

(http://en.wikipedia.org/wiki/Mitsubishi_Ki-67)

An engineer (of course a Japanese) of this bomber became a professor of engineering faculty of a university in Japan after WWII. The design of this bomber was applied to design of the shinkansen express train, since the professor joined develoment of the advanced high-speed train after the Second World War.

(http://blog.kyushu-heritage.jp/?eid=545824)