???? Web3, the Next Internet Generation: Are You Ready? ????

???? Web3, the Next Internet Generation: Are You Ready? ????

By Anke Hsu

I remember my first interactions with static web pages and emails in the early 90s. While some people like me were excited about the opportunities (I was joining one of the earliest OTAs, flights.com ????), others remained skeptical. The "dotcom" bubble in early 2000 was corrected, with most of the projects going to zero. Yet, 20+ years later, internet pioneers like Amazon, eBay, Google, and booking.com (all founded in the 90s and survived the wash-out) continue to grow and today dominate their domains. ????

Ultimately, we as an industry have adapted to the new wave of digital technologies, building careers, products, and companies on the Internet, on what we call today Web1. ?????? We all know that OTA platforms like Expedia and booking.com prevailed, accumulating significant market shares using internet-enabled "platform effects." ????

Today, traditional travel agencies also grow through online channels, facilitated by the introduction of Web2 social media platforms where we can directly interact with each other. ???? Web2 also brought disruption to our industry from outside entrepreneurs like Airbnb and Uber, who benefitted from Web2 platform technology in an innovative way, connecting supply and demand. ????

Now, being curious, ambitious, and taking entrepreneurial risks is key to reaping the benefits of a first mover such as booking.com or Airbnb did, for example. ???? New technologies always bring disruption and, thus, new opportunities for revenue, efficiency gains, and personal advances. The playing field is leveled again. ????

Today, we are living through another digital transformation and important enhancement of the current Internet. It is called Web3 and tackles the status quo by providing data ownership to users, e.g., each person owning their digital identity data and deciding when to share. ???? Chris Dixon explains this in his "Read. Write. Own." book. I sincerely recommend reading it. ??? In short:

• Web1 was the Internet where we could mostly "read" (static web pages, emails) ????
• Web2 is the Internet where we can "write" things (Instagram posts, YouTube videos, travel reviews) ??????
• Web3 is the Internet where we can do both and digitally "own" data we produced or purchased ?????

When Web3 blockchain-based technology enables the digital ownership of data, we can also protect and trade digital assets such as travel bookings much more efficiently, opening new opportunities in our industry. ??????

I was drawn to Web3 technology while working for InteRES, an air aggregator company partially owned by TUI. I saw how costly and time-consuming it was to integrate/maintain even one supplier (API) connection. ??? Not to speak about time to market. Selling travel online created a myriad of 1:1 connections between suppliers, intermediaries, and customers, which are costly to implement and maintain and prevent customer experience innovation. ????

Web3 enables a whole new way of travel distribution, connecting to each other enabled by blockchain networks that are managed by communities or consortiums to control transaction fees. Imagine the rise in productivity in our margin-thin industry when you only connect once to such a blockchain network and can sell to/source from all participants already connected. ???? Throw in applications such as ultra-efficient (instant) payments, extended gamified loyalty programs with a new level of customer/fan engagement and easy addition of partners, B2B trading of charter seats, (baggage) tracking, and many more. ??????

I can see the technological growth of blockchains and the growth of industry-specific Web3 applications across industries, especially for travel. ???? Most forward-thinking companies have already heavily invested in research and development of Web3 infrastructure and products to be early in the game, just like today's top internet companies were in the 90s. ????

Thus, in the coming five years, we will see a growing demand for marketers, business analysts, strategists, community managers, and, of course, software engineers with strong Web3 knowledge and experience. This exciting shift will happen in many industries, including travel. ????

So, start with an online course on Web3/blockchain like the Berkeley course, watch keynotes and interviews, read blog posts, and join related communities. ????????

Last but not least, I won't neglect AI in this newsletter, a technology that is also on everybody's mind. ???? In my opinion, Web3 technology goes hand in hand with AI, with Web3 being the enabling infrastructure and AI the frontend tech. A topic for one of my next newsletters. ????

#Web3 #Blockchain #TravelTech #Innovation #DigitalTransformation #AI #FutureOfTravel #Entrepreneurship #Technology #BusinessGrowth #TravelIndustry

by: Anke Hsu

Contact: https://www.dhirubhai.net/in/anke-hsu/