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Digital goods refer to intangible products or services that exist in digital form and are delivered electronically, such as software, e-books, music, videos, virtual currencies, online courses, and digital art. With the development of information technology, digital goods have become an important part of the global economy. This report explores the origin of digital goods, traces their technological, cultural, and economic background, and analyzes the key stages of their early development.

Early beginnings of digital goods (1960s to 1980s)

The origin of digital goods can be traced back to the rise of computer technology and the early development of the Internet. The following are the key stages in the formation of digital goods:

1. The emergence of computer software (1960s) The prototype of digital goods began with the development of computer software. In the 1960s, software began to separate from hardware and become an independent product. Early software was mainly distributed on tape or perforated cards for use by enterprises and research institutions. For example, IBM began selling operating systems and applications as independent products in the 1960s, marking the initial commercialization of software as a product. Software distribution in this period was still dominated by physical media, and "digital" delivery had not yet been fully realized.

2. The popularity of personal computers (late 1970s to early 1980s) The emergence of personal computers (PCs) laid the foundation for the widespread dissemination of digital goods. In 1977, Apple Inc. launched the Apple II, followed by IBM's IBM PC in 1981. These devices enable ordinary consumers to access computing technology, driving the rapid growth of the software market. Products such as VisiCalc (the first spreadsheet software) and WordStar (an early word processing software) became representatives of early digital goods, meeting the productivity needs of individuals and businesses.

3. Distribution of digital content (1980s) In the 1980s, the scope of digital goods expanded to the entertainment and information fields. For example, the video game industry commercialized digital content through home consoles such as the Atari 2600 and Nintendo NES. Games were usually distributed on cassette tapes or floppy disks, but their essence was digital code, foreshadowing the future of fully digital distribution. In addition, early databases and digitized reference materials (such as Encarta Encyclopedia) began to enter the market in digital form.

Internet catalytic effect (1990s)

The popularization of the Internet is the watershed of the development of digital commodities. Here is how the Internet has driven the evolution of digital goods:

1. The rise of online distribution In the 1990s, the commercialization of the Internet made it possible for digital goods to be delivered directly through the network. The release of the Mosaic browser in 1993 marked the popularization of the World Wide Web and provided the technical basis for the distribution of online content. Early digital goods included software patches, electronic documents, and simple digital media files downloaded via FTP or websites. For example, the release of the Netscape Navigator browser in 1994 demonstrated the potential of software distribution via the Internet.

2. The birth of e-commerce The emergence of e-commerce platforms further accelerated the commercialization of digital goods. In 1995, Amazon started as an online bookstore and later expanded to sell e-books and other digital content. At the same time, the predecessors of iTunes (such as MP3.com) began to try the business model of online music distribution. These platforms provide infrastructure for the sale of digital goods through convenient payment systems and digital rights management (DRM) technology.

3. Digital music and media breakthroughs In the late 1990s, the popularity of the MP3 format marked a major breakthrough for digital goods in the entertainment field. The emergence of Napster (1999) and other file-sharing platforms, although it caused copyright disputes, showed the huge demand of consumers for digital music. In 2001, Apple launched the iTunes Music Store, officially bringing digital music to the market as a product, and established the business model of purchasing and downloading digital content through the Internet.

Diversification of digital goods (2000s to present)

In the 21st century, the types and distribution methods of digital goods have expanded rapidly, covering the following areas:

1. Mobile Internet and the Application Economy The release of the iPhone in 2007 and the launch of the App Store in 2008 opened the mobile application economy. As digital goods, applications are distributed through app stores and cover a wide range of fields such as games, productivity tools, and social media. The addition of platforms such as Google Play has further propelled this trend, making digital goods a part of the daily lives of mobile device users.

2. Streaming and subscription model In the mid-2000s, Netflix transitioned from DVD rental to a streaming service, marking an important milestone in the digitization of video content. Spotify (2008) and other music streaming platforms have replaced traditional single-song purchases with subscription models, providing consumers with a way to access digital content on demand. These services redefine the way digital goods are consumed, shifting from "ownership" to "access."

3. Virtual goods and blockchain technology In the 2010s, virtual goods (such as in-game items and virtual currencies) became an important branch of digital goods. For example, the trading of virtual items in games such as World of Warcraft and Fortnite has spawned a multi-billion-dollar market. In addition, the rise of blockchain technology has led to the emergence of non-fungible tokens (NFTs), making digital art and collectibles an emerging category of digital goods. In 2021, the rapid growth of the NFT market (such as the auction of Beeple's digital artwork for $69 million) further highlighted the economic potential of digital goods.

Driving factors of technology and culture

The origin and development of digital goods cannot be separated from the following key factors:

· Technological progress: From personal computers to high-speed internet, to cloud computing and blockchain technology, the creation, distribution, and consumption of digital goods rely on evolving digital infrastructure.

· Changes in consumer behavior: Consumers are gradually accepting intangible products and willing to pay for convenience and immediacy