Wired Magazine's latest issue was just released with a truly cutting edge article-The Web is Dead, Long Live the Internet. The article looks at the history and future of the web. They make some really bold statements regarding the future of web advertising, search, Google's decline, the rise of Apple and devices based around applications rather than web browsing.
The article states, "Over the past few years, one of the most important shifts in the digital world has been the move from the wide-open Web to semiclosed platforms that use the Internet for transport but not the browser for display. It's driven primarily by the rise of the iPhone model of mobile computing, and it's a world Google can't crawl, one where HTML doesn't rule. "
Wired goes on to examine the fact that pay per click and banner advertising on web pages hasn't resulted in a profitable business model for the newspaper or magazine and hasn't been effective in reaching new audiences. The article states, "Content companies, which depend on advertising to fund the creation and promulgation of their wares, appeared to be losing faith in their ability to do so online. The Web was built by engineers, not editors. So nobody paid much attention to the fact that HTML-constructed Web sites — the most advanced form of online media and design — turned out to be a pretty piss-poor advertising medium.....Unfortunately, what you got wasn’t much. Consumers weren’t motivated by display ads, as evidenced by the share of the online audience that bothered to click on them. (According to a 2009 comScore study, only 16 percent of users ever click on an ad, and 8 percent of users accounted for 85 percent of all clicks.) The Web might generate some clicks here and there, but you had to aggregate millions and millions of them to make any money (which is what Google, and basically nobody else, was able to do). And the Web almost perversely discouraged the kind of systematized, coordinated, focused attention upon which brands are built — the prime, or at least most lucrative, function of media."
The article goes on to talk about the future of mobile devices and apps as king using the web but not the internet, accessing the web through downloaded apps rather than web browsing. Interesting to say the least, something you need to check out. http://www.wired.com/magazine/2010/08/ff_webrip/all/1