1. LIFE ONLINE How the Internet is Changing Consumer Behavior and Expectations 5.9.06 Lee Rainie SOCAP Washington, D.C.

2. Life Online May 9, 20062 Who’s blogging this? Writings of a Loud Librarian Indiana Librarian Marissa Priddis http://theloudlibrarian.net/2005/10/monterey-learning-stuff.html

3. Life Online May 9, 20063 “Rainie was funny, at ease, informative and we found ourselves do a lot of ‘Huh...I didn't know that’ during his speech. Very, very cool.”

4. Life Online May 9, 20064 Who’s blogging this? Stephen Downes Stephen’s Web http://www.educause.edu/content.asp?page_id=666&ID=ECR0509& bhcp=1

5. Life Online May 9, 20065 “Good crisp presentation … backed with some actual research and drawing out the implications for educators, a list of which should be posted on the wall of every school ….”

6. Life Online May 9, 20066 “He’s a lot older than I imagined.” -------------------- “Looks like a typical Foundation suit.”

7. Life Online May 9, 20067 “While he may look older than some expected, and appears to be just another Foundation suit, he's a very intelligent man, and worth paying attention to.”

8. Life Online May 9, 20068 Home media ecology - 1975 Product Route to home Display Local storage TV stations phone TVCassette/ 8-track broadcast TV radio broadcast radio stereoVinyl album News mail Advertising newspaper delivery phone paper Radio Stationsnon-electronic Tom Wolzien, Sanford C. Bernstein & Co

9. Life Online May 9, 20069 Home media ecology – now Product Route to home Display Local storage cableVCR TV stations phone/DSLTV Info wirelessradioDVD “Daily me” broadcast TVPCWeb-based storage content iPod /MP3server/ TiVo (PVR) Cable Nets broadcast radiostereoPC Web sites satellitemonitorweb storage Local news mailheadphonesCD/CD-ROM Content from express deliverypager individuals iPod / storageportable gamerMP3 player / iPod Peer-to-peer subcarriers / WIFIcell phonepagers - PDAs Advertising newspaper deliveryphonecable box Radio stationsPDA/Palmgame console game console paper Satellite radionon-electronicstorage sticks/disks Adapted from Tom Wolzien, Sanford C. Bernstein & Co

10. Life Online May 9, 200610 Ball State: Media use on average day

11. Life Online May 9, 200611 Mobile devices 73% of adults own cell phones 45% of teens own them

12. The communications Swiss Army knife Percentage of cell owners who use this feature now on their mobile phones Don’t use it now, but would like to have it Send and receive text messages35%13% Take still pictures28%19% Play games22%12% Access the internet14%16% Send / receive email8%24% Perform internet searches for things like movie listings, weather and stock quotes 7%24% Trade instant messages7%11% Play music6%19% Record their own video clips6%17% Get mobile maps4%47% Watch video or TV programs2%14%

13. Life Online May 9, 200613 Mobile devices 55% of adults own digital cameras 43% of teens own them

14. Life Online May 9, 200614 Mobile devices 43% of adults own video cameras 37% of teens own them

15. Life Online May 9, 200615 Mobile devices 30% of adults own laptops 32% of teens own them

16. Life Online May 9, 200616 Mobile devices 20% of adults own MP3 players 47% of teens own them

17. Life Online May 9, 200617 Mobile devices 11% of adults own a PDA or Blackberry 7% of teens own them

18. Life Online May 9, 200618 Internet and broadband adoption 1996-2006 All internet - 147 mill. Broadband - 83 mill.

19. Life Online May 9, 200619 Download music – 51% Share own creations – 33% Activities of young greatly outpace their eldersActivities of young are not as great as their elders For a full list of activities tracked by PIP please go to: http://www.pewinternet.org/trends/Internet_Activities_4.26.06.htm

20. Life Online May 9, 200620 Multitasking and attention deficits: What else were you doing when you last… Watched TV Listened to radio Read a newspaper Used the internet Talked on the phone Watched TV*9%38%17%54% Listened to radio 13*211630 Read a newspaper 4321*214 Used the internet 20172*19 Talked on the phone 57251418* Source: Forrester Research, 2004

21. Life Online May 9, 200621 Kaiser Family Foundation, Generation M, March 2005

22. Life Online May 9, 200622 Kaiser Family Foundation, Generation M, March 2005

23. Life Online May 9, 200623 33% of online teens share their own creations online, such as artwork, photos, stories, or videos Content creation

24. Life Online May 9, 200624 32% have created or worked on webpages or blogs for others, including those for groups they belong to, friends or school assignments Content creation

25. Life Online May 9, 200625 22% report keeping their own personal webpage Content creation

26. Life Online May 9, 200626 19% have created their own online journal or blog Content creation

27. Life Online May 9, 200627 Content creation 19% say they remix content they find online into their own artistic creations

28. Life Online May 9, 200628 Steve Bartman’s journey

29. Life Online May 9, 200629

30. Fragmented media environment (% of all Americans who “regularly” go to news source: PRC People/Press)

31. Getting News on the Typical Day: Elite Broadband Users Versus the Rest (% of who say they get news from specific source ‘yesterday’) “High-powered” home broadband All other home broadband Local TV 59%54% National TV 5246 Radio 5347 Local paper 4335 Internet 7124 National paper 2114 Average no. of sources 3.02.2 Number of cases 395619 Source: Pew Internet Project December 2005 survey.

32. Total who used internet % relevant internet users who say int. played crucial / important role Overall growth > 2002 Bought a car (62.5 mill.) 29 million27% 17 million 21% Got more education / training for career (53 mill.) 35 million39% 21 million 50% Chose a school for me / my child (39.5 mill.) 27 million45% 17 million 55% Helped another with a serious illness (66.5 mill.) 33 million24% 17 million 55% Made major investment (56 mill.) 29 million29% 16 million 77% Internet use at major life moments

33. Total who used internet % relevant internet users who say int. played crucial / important role Overall growth > 2002 Found a new place to live (32.5 mill.) 16 million33% 11 million 25% Changed jobs (34 mill.) 14 million25% 8 million 17% Dealt myself with a major illness (26 mill.) 12 million26% 7 million 16% Got married (7 mill.) 3 million24% 1.6 million 63% Internet use at major life moments

34. Life Online May 9, 200634 Expectations of internet users– 2002 Expect to find online Up-to-date news85% Basic government info82% Health / medical info81% Products and services info79% Locate a person58%

35. Industrial Age Broadcast Model Walter Cronkite New York

36. Industrial Age Broadcast Model Information Age Many-to-many model Gary Brolsma New Jersey Walter Cronkite New York

37. The Internet’s Role in Making an Important Decision What specific role did the internet play in the event for which the internet played an important or crucial role? For respondents who said the internet played a crucial or important role in buying a car, making a major investment, getting additional career training, choosing a school for self or child, or helping someone with a major illness or health condition. Help you find advice and support from other people 34% Help you find information or compare options 30 Help you find professional or expert services 28 Source: Pew Internet & American Life Project March 2005 Survey. The margin of error ±5% for the 560 respondents to this question.

38. Life Online May 9, 200638 The J-curve laws Computing power doubles every 18 months – Moore’s law Communications power doubles every 9 months with improvements in fiber optics and compression – Gilder’s law –Spectrum power is enhanced with efficiency improvements in spectrum allocation and use Storage power doubles every 12 months – disk law

40. Life Online May 9, 200640 Thank you! Lee Rainie Director Pew Internet & American Life Project 1615 L Street NW Suite 700 Washington, DC 20036 Lrainie@pewinternet.org 202-419-4500