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Generally speaking, Web 2.0 has two main problems, both of which are related to something called state.
Status refers to the information about the client (computer hardware or software used to access the service) retained by the recipient (server).
Due to the simplicity of network construction protocols (such as HTTP and SMTP), in its basic form, the Internet runs on a stateless basis, which means that the server does not retain the user’s interaction data or his conversation history.
To understand why this is a problem, just imagine that every time you want to watch a show on Netflix or listen to your favorite songs on Spotify, you have to create a new account. This is how it works on the stateless Internet.
As the example above illustrates, state adds tremendous value to the Internet, and the Internet needs it to operate efficiently. To this end, service providers began to use cookies, which are small pieces of data stored on the user's device by the web browser, to collect user status and activity information.
Although cookies help the web become stateful, providers are responsible for creating and controlling cookies, which gives them power over the user's state.
In addition, on the road to a stateful network, large Internet companies (such as Google and Facebook) have begun to control the status of users on a central server. Therefore, they have ultimate control over the value created by consumers on their platform.
Since users cannot control their status, they cannot transfer status either. Although information transfer is very easy now due to the development of the Internet, neither consumers nor small businesses can benefit from such value trading activities.
As a profitable alternative, companies have turned to advertising.
Although this business model is feasible in theory, it is very inefficient in practice, because technology giants like Facebook and Google dominate the digital advertising field, and they act as intermediaries to extract a share from each transaction.