IQ News: Cydoor Opens Gate To Browser-less Internet

Your software knows when you are sleeping and it knows when you’re awake. It will now also be able to sell you stuff-that is, if the application is OnSoftware-enabled.
OnSoftware, created by San Francisco-based Cydoor Technology, will allow software developers to include Internet-based activities on their user interfaces, even when users are not online.
By pushing Internet content to each user’s computer during downtime while the user is logged on, as interstitials are, the OnSoftware component can offer most Web activities, including playing sound, animation and video files and running utilities. The multimedia content is cached and runs when the OnSoftware-enabled application is launched.
Cydoor is betting that OnSoftware’s ability to deliver rich media ads will make advertising an attractive enough revenue stream for software publishers that they could offer their products free. OnSoftware-enabled applications will also be able to offer “browserless e-commerce,” thanks to a partnership contract with CyberCash, Reston, Va., that Cydoor will announce today. The partnership will allow Cydoor to provide CyberCash’s Internet payment solutions via a window within the program, instead of the user having to browse the Web.
“Cydoor was originally a pure banner model,” said president and CEO Meir Zohar. “The next obvious step was adding e-commerce.” Software makers with large customer bases can now tap into some of those customers’ online spending.
For example, the software vendor could send an upgrade offer, and immediately take payment for it from within the application window. The vendor could also use the OnSoftware component to take registration, keep in touch with customers, issue patches and updates, and hawk other products.
OnSoftware reports tracking information back to the Cydoor server, such as how often the application was opened, what features were used, how well it performed or how it was configured by the user.
OnSoftware also facilitates banner-like third-party ads. These can be targeted based on IP analysis and opt-in profiling. “When users are waiting to do something else,” explained Haim Mashiah, vice president of business development, “like a virus scan, we use this time to expose them to ads or commerce opportunities. They can impulse buy without being connected.” Advertisers can choose the frequency, sequence and exposure time for each advertisement.
This ad-supported software model could eliminate piracy concerns, Mashiah pointed out, since OnSoftware charges advertisers per ad exposure.
“You don’t need to worry about piracy when the software is free,” he said. “It’s like the shareware model-everyone wants it to be distributed as much as possible.”