I’ve been thinking a lot about Web 2.1 recently. Yes, Web3 holds promise and the current market crash (2022) looks a lot like Web 1.0. But we’re really only in control of now and what’s in front of us. And there's still a lot of work to do.
Web 2.1 Entrepreneurs have a lot to be thankful for:
- Cheap infrastructure as a service (IaaS)
- Every industry is cloud-first
- IT buyers are now front line Gen-Z info workers. Not CIO gatekeepers.
- Clicks over code. Most core IT functions have 4GL declarative environments
- Long-tail Bootstrapping. Many niches require cloud solutions, but the TAM does not exceed a few million per year, therefore not attractive to VCs. Great opportunities for 3-5 person, employee-owned, small businesses to provide boutique services to niche audiences. Work from anywhere and make six-figure incomes.
Some overlooked Web 1.0 and 2.0 technologies that need to be refactored in Web 2.1:
- B2B Email: for all the messaging apps, SMS, Slack, Teams, and various services available, email is still the lowest common denominator when businesses need to communicate with their customers or other businesses.
- Cookies: Websites have accumulated too much technical debt and dependencies on 3rd party cookies. We all know Google and Apple are going to pull the plug on browser cookies in the name of privacy. Businesses need to reclaim ownership of their direct customer relationships with 1st party cookies.
- DNS: Fortunately Web 2.0 companies like Cloudflare have “fixed” DNS and there is less exposure to DDoS attacks. But the 1st party cookie restructuring will require even more flexibility and delegation of DNS sub-domains to multiple lines of business, such that Marketers can easily spin up domains like events.mydomain.com and Support teams can own support.mydomain.com, and so on.
- Microsites: Monolithic websites are good entry points, but buyers and customer journeys require more personalized micro-site experiences. Mobile-first, responsive design at every opportunity.
- Edge Computing / CDN: Akamai, Cloudfront, and CDNs in general have laid the groundwork for keeping content near the ultimate consumers. B2B apps need to push this boundary even further by securely caching JS apps and data near end users.
- Artificial Intelligence: Rather than re-enter another "AI Winter" and writing off recent attempts, we should embrace what AI is truly good at and apply it aggressively. Particularly in areas related to imagery and text. All of the above refactorings should apply continuous data categorization and analysis with pre-emptive AI to help humans see patterns and approve automated notifications.
Adding Web3 Features to Web2.1
Once the Web 1.0/2.0 technologies have been refactored, then we can take a critical look to the promises of Web3, and possibly even bring crypto, blockchain, smart contract features into Web 2.1.
Trust / Oracles / Escrow Services
The notion of a 3rd party determining if a smart contract criteria has been fulfilled should not be limited to blockchains and crypto. It’s a brilliant idea that really comes down to a trusted 3rd party, regardless of technology used. For example: Musicians and Spotify could agree that BMI, ASCAP or SESAC are the accounting authorities for measuring music streams. Spotify deposits a quarterly sum of money in an escrow account. The royalties are distributed based on 3rd party reports of streams.
Whether or not this type of business model is implemented on Web3 or Web2.0 does not matter. It fundamentally comes down to "trust" of a 3rd party Oracle/Escrow service. And putting aside the stability of currencies held in escrow, it goes without saying the value deposited in escrow should roughly be the same upon royalty distribution 3 months later.
Provenance and Immutable Assets: An NFT should be more than a pointer on the blockchain to some external asset. Again, digital escrow and trusted 3rd parties, or even high end auction houses, can authenticate the origins of digital art and ensure their perpetual storage, access, and transferability.
