| SUPPLY CHAIN
---- Report Says Web Hacks To Cost $1.2B Losses related to this week's distributed denial
of service attacks that temporarily shut down several of the most popular websites
could total more than $1.2 billion, according to a report from the Yankee Group. Sony's plan to sell online shocks dealers Electronics giant Sony Corp.said on Tuesday
it will start selling its consumer electronic products online in Japan, sending
shock waves through the nation's closely knit dealer networks. Music retailers charge Sony with unfair competition A retail industry group is suing Sony Music
Entertainment, alleging that the company is strong-arming retailers to point their
customers toward its online shops. Webvan adds bookshelves to grocery site Webvan is giving its online grocery store the
look of a local supermarket by adding popular fiction and other books to its virtual
aisles. GroceryWorks: Smaller, cheaper, faster? Is the Webvan Group business model, with its
heavy reliance on massive, highly automated central warehouses, out of style even
before it takes root? Kelby Hagar and Gary Fernandes think it's ripe for attack
-- right down to the claim that it can reliably deliver goods the same day they're
ordered. Can Webvan Deliver? Webvan is in hot pursuit of the Holy Grail
for online retailers: same-day or next-day delivery of everything from groceries
to videos to appliances. It wants to be the company that conquers the other "last
mile" problem of the Internet: how to quickly get goods ordered out of the
ether to customers' doors when they have no stores. Webvan: Return of the Milkman Until now, e-commerce has been based upon a
national distribution model -- an electronic mail-order service. But personal
courier services take a radically different approach: They guarantee prompt delivery
of locally stored, frequently requested items, such as groceries, video rentals,
or beer. FTC questions eToys about practices The Federal Trade Commission is questioning
the company's marketing of 'mature' video games and problems with shipping delays. Distributing The Goods. Now, The Hard Part Selling stuff is easy; shipping it isn't. Are
sites better off outsourcing the function A New Breed of Virtual Storefronts While most dot-coms are busy disintermediating
your local merchant, Affinia and Vstore are trying to become a new breed of intermediary
-- coming between customers and dot-coms. Business e-commerce set for big increase Business-to-business Internet transactions
were expected to show a 25-fold increase between 1998 and 2003 and dramatically
change the way companies manage supply chains, according to a European study released
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