Kenneth J. Sousa Effy OzMANAGEMENTINFORMATIONSYST.docx

Kenneth J. Sousa Effy Oz
MANAGEMENT
INFORMATION
SYSTEMS
Seventh Edition
Chapter 6
Business Networks and
Telecommunications
© Cengage Learning 2015
Objectives
• Describe business and home applications of
digital telecommunications
• Identify the major media and devices used in
telecommunications
• Explain the concept of network protocols
• Compare and contrast various networking and

Internet services
© Cengage Learning 2015 2
Objectives (cont'd.)
• List networking technologies and trends that are
likely to have an impact on businesses and
information management in the near future
• Discuss the pros and cons of telecommuting
Telecommunications in Business
• Telecommunications: the transmittal of data and
information from one point to another
– Allows communications over large distances
• Telephone, e-mail, and the web rely on fast,
reliable telecommunications
• Networking technologies have brought about
several improvements to business processes

Telecommunications in Business (cont'd.)
• Telecommunications-supported improvements
– Business communication, including e-mail, voice
mail, instant messaging, faxing, file transfer,
mobile telephony, and teleconferencing
– Greater efficiency: information delivery is
immediate and not constrained by geographical
distance
– Better distribution of data: central storage with
both local and remote access
Telecommunications in Business (cont'd.)
• Improvements (cont'd.)
– Instant transactions, using web and wireless
technologies

– Flexible and mobile workforce: telecommuting
and wireless connectivity for remote workers
– Alternative channels: voice, radio, television now
available via the Web also
• Network security is a challenge
Telecommunications in Daily Use
• Cellular phones
• Videoconferencing
• Wireless payments and warehousing
• Peer-to-peer (P2P) file sharing
• Web-empowered commerce
Cellular Phones
• Name is derived from areas of service, called
cells

• Each cell has a computerized transceiver
– Transmits and receives signals
• Can transmit and receive calls almost anywhere
• Cell phones provide other capabilities, including:
– Email
– Digital cameras
– GPS
• Major advantage is mobility
Videoconferencing
• Videoconferencing: transmitted images and
speech
• Brings together conference rooms that are
thousands of miles apart
• Produces savings in multiple areas, including:
– Travel
– Lodging

– Car fleets
– Employees’ time
Wireless Payments and Warehousing
• Radio frequency identification (RFID):
– Enables rapid transactions and payments
– Used at gas stations for payment at pump
– Used in vehicles for automatic road toll payment
– Used to track and locate items in warehouses
• Near-field communication (NFC): a standard
communication protocol to create a radio
connection between two devices
– Mobile payment
– Electronic wallet
Peer-to-Peer File Sharing
• Peer-to-peer (P2P) file sharing: used to locate

and download files from any online computer
through Internet using applications such as:
– LimeWire
– BitTorrent
– Vuze
• Used extensively to download music and video
files, often in violation of copyright laws
• Concerns include security and malware
Web-Empowered Commerce
• Increasingly fast communication allows
organizations and individuals to:
– Conduct business
– Research
– Market
– Educate and train
– Shop, purchase, and pay

• Entire industries have been created by the web,
such as online exchanges and auctions
Bandwidth and Media
• Professionals should understand technology
concepts:
– To participate in decision making
– In order to select networking equipment and
services
• Bandwidth and networking media are important
considerations
Bandwidth
• Bandwidth: speed at which data is
communicated
– Also called transmission rate or bit rate

• Bits per second (bps): unit of measure for
bandwidth
• Broadband: communications medium that can
carry multiple transmissions simultaneously
– Examples: cable television, DSL (digital
subscriber line), fiber-optic cables, and most
wireless connections
Figure 6.1 Transmission speed measurement units © Cengage
Learning 2015
Media
• Several types of communications media
• Tangible media includes:
– Twisted pair cable
– Coaxial cable

– Optical fiber
• Intangible media includes:
– Microwave radio technologies
Figure 6.2 Networking media © Cengage Learning 2015
Media (cont'd.)
• Twisted pair cable: pairs of insulated copper
wires twisted together
– Flexible, reliable, and low cost
– Connects devices with RJ-45 plug-in connector
• Coaxial cable: for cable television transmission
– Used for Internet connections via cable
• Optical fiber: uses light to represent bits
– Not susceptible to EMI (electromagnetic
interference)

– Can carry signals for long distances
Media (cont'd.)
• Radio frequency (RF) technologies: use radio
waves to carry bits
– Popular examples: Wi-Fi and Bluetooth
• Microwaves: high-frequency radio waves that
can carry signals over long distances with high
accuracy
– For outside transmission, weather conditions may
degrade the quality
• Microwave signals can be transmitted by
satellite links
Media (cont'd.)
• Electrical power lines: electrical power grid can
be used for telecommunication

– Broadband over Power Lines (BPL) or Power
Line Communication (PLC)
• Network media acquisition considerations
– Availability
– Current and potential bandwidth
– Vulnerability to EMI or radio frequency
interference (RFI)
Networks
• Network: combination of devices (or nodes)
connected through a communication media
• Any compatible device that can transmit and
receive on a network can be part of a network
Types of Networks
• Computer networks are classified by reach and

complexity
• Basic types of networks: LANs, MANs, and
WANs
• Local area networks (LAN): established by a
single organization and shared among
employees
– Server-based LAN: central server controls
communications
– Peer-to-peer LAN: no central device
Types of Networks (cont'd.)
• Wireless LANs (WLANs) offer advantages
– Easier installation
– More scalable
– More flexible: equipment is easily moved
• Scalability: ease of expanding a system
• WLAN drawback: wireless networks are less

secure than wired LANs
• Metropolitan area network (MAN):
– Links multiple LANs within a large city
– Uses fiber optic or wireless broadband
connections between LANs
• Wide area network (WAN): far-reaching system
of networks composed of LANs or MANs
– May be public or private
• Value-added networks (VANs):
– Are networks with enhanced services offered by
outside vendors
– Provide reliability, management, and

maintenance of networks for an organization
• Internet service providers (ISPs)
– Preferred method of conducting e-commerce
– Less costly than VANs
PANs
• Personal area network (PAN): wireless network
designed for handheld and portable devices
– Used by one or two people
– Transmission speed is slower
– Maximum distance is about ten meters
Networking Hardware
• Networks use a variety of devices to connect
computers and peripheral devices
• Network interface card (NIC) connects a

device to a hub, switch, bridge, or router, which
connects to a LAN or WAN
• Switch: a common device often used as a
central location to connect computers or devices
to a local network
• Bridge: connects two networks
Networking Hardware (cont'd.)
• Router routes data packets to the next node on
the path to the final destination
• Repeater amplifies or regenerates signals
• Modem translates communication signals from
analog to digital and vice versa
• Dial-up connection: a slower type of
connection through modem, usually no faster
than 56 Kbps

Virtual Private Networks
• Virtual private network (VPN): a public network
connection that creates the illusion of a private
network connection
– Does not require leasing of lines
– Utilizes the Internet to simulate a private network
that only authorized users can access
– Enables the use of intranets and extranets
Protocols
• Protocol: set of rules governing communication
between computers
• Separate protocols are designed for:
– WANs
– LANs
– Wireless communications

• Most important set of protocols for
telecommunications and networks is called
TCP/IP
TCP/IP
• TCP/IP (Transmission Control Protocol/
Internet Protocol): a set of related protocols
– TCP ensures packets arrive accurately and in
proper order
– IP ensures efficient delivery of packets from node
to node
• Internet backbone: highest speed channels
• Host: a computer connected directly to a
backbone
• IP address: unique ID for each network device

TCP/IP (cont'd.)
• DNS (Domain Name System): associates a
character-based name with an IP address
• Static IP address: a permanent address
assigned to a device
• Dynamic IP address: temporary IP number
assigned to a device for the duration of the
connection
– Provides flexibility when the number of IP
addresses is limited
Ethernet
• Ethernet: LAN protocol using coaxial or Cat 5 or
6 twisted pair cable
• Gigabit Ethernet: faster Ethernet connection of
one Gbps or greater

Wireless Protocols
• IEEE 802.11: a family of wireless protocols
known as Wi-Fi (Wireless Fidelity)
– Supports wireless communication within 100
meters of router
– 802.11 subtypes support various distances and
speeds up to 248 Mbps
• Access point (AP): connection between
wireless device and a wired network
– Hotspot allows Internet access within range of
equipment
Figure 6.3 An example of a home using a wireless network ©
Cengage Learning 2015

Wireless Protocols (cont'd.)
• Encryption: function of protocols that scrambles
and encodes messages
– Encryption keys are shared only between sender
and receiver
• Bluetooth allows devices to communicate within
10 meters
– Transmits voice and data
– Considered a PAN technology
Wireless Protocols (cont'd.)
• Worldwide Interoperability for Microwave
Access (WiMAX) increases the range and
speed of wireless communication
– Works with metropolitan area networks (MANs)
– Would enable Internet connection while in a
moving vehicle

• Long-Term Evolution (LTE): a standard method
of wireless communications, specifically for high-
speed data transmission for mobile phones
– Also known as 4G LTE
Figure 6.4 How a WiMAX network works © Cengage Learning
2015
Figure 6.5 Wireless networking protocols © Cengage Learning
2015
Generations in Mobile Communications
• Networking professionals refer to generations of
mobile communication technologies
– First generation (1G): analog
– Second generation (2G): provided digital voice

encoding
– Third generation (3G): increased speeds that
support video, videoconferencing, and full
Internet access
– Fourth Generation (4G): digital only, with packet
switching and tighter security
Internet Networking Services
• Variety of options when subscribing to network
services
• Downstream: speed of receiving from network
• Upstream: speed of transmitting to network
• Services with lower rates for upstream than
downstream are suitable for most individuals
and businesses

Figure 6.6 Typical features and costs of Internet services ©
Figure 6.6 (cont’d.) Typical features and costs of Internet
services © Cengage Learning 2015
Cable
• Internet links provided by television cable firms
• Cable connected to Internet server
• At residence, cable is split into TV set and
computer via a bridge called a cable modem
• Cable shared by all subscribers connected to
the node
– Communication speeds may slow during peak
times and as more subscribers join the service

Digital Subscriber Line (DSL)
• Digital subscriber line (DSL): data remains
digital through entire transmission
• Uses telephone lines connected to DSL bridge
(DSL modem)
• Transmission bit rates
– Closely related to distance from telephone
company’s central office
T1 and T3 Lines
• T1 and T3 lines: point-to-point dedicated digital
circuits provided by telephone companies
– T1 line is made up of 24 channels of 64 Kbps
each
– T3 line is made up of 672 channels of 64 Kbps
each
• T1 and T3 service is expensive

• Used by universities and large companies for
backbone and Internet connections
Satellite
• Satellite services use microwave radio
transmission
• Service provider installs dish antenna that is
tuned to a communications satellite
• Speeds up to 45 Mbps
• Used for private homes and for mobile uses
such as shipping and trucking
• Global positioning system (GPS): a free satellite
service that provides location information
Fixed Wireless
• Fixed wireless: point-to-point transmission

between two stationary devices, typically
between buildings
• Wireless Internet service provider (WISP)
– Specializes in fixed wireless service
• Highly modular
• Suitable for both rural and urban areas
Fiber to the Premises
• Connects a building to the Internet via optical
fibers
• Fiber to the Home (FTTH)
– Optical fiber reaches the subscriber’s living or
work space
• Subscribers connect computers or LAN routers
to an optical fiber socket

Optical Carrier
• Optical carrier (OC) provides services through
optical fiber lines
– Expensive
– Very high connection speeds
• Provides speeds in multiples of 51.84 Mbps (the
base rate bandwidth)
• Typically used by:
– ISPs
– Providers of search engines
– Content-rich or high-traffic Web sites
Broadband over Power Lines (BPL)
• Broadband over Power Lines (BPL) uses electric
power lines to carry digital signals
• Utility companies partner with
telecommunications companies to provide the
service

The Impact of Networking Technologies
• Trends likely to have a significant impact on
businesses and management of information
– Broadband telephony
– Radio frequency identification
– Convergence of digital technologies
Broadband Telephony
• Voice over Internet Protocol (VoIP): uses
Internet connection to conduct telephone
conversations
• Examples of companies offering IP telephony
– Vonage and Comcast
• Free services offered by Skype or iCall
• Cost effective for businesses and homes

• Experts predict convergence of cell phone and
VoIP phone
Radio Frequency Identification
• RFID tags are tiny and need little power
• Objects are embedded with tags that contain a
transponder (a radio transceiver activated by a
signal transmitted to it)
• Tags are encoded with electronic product code
(EPC)
• Readers decode data stored in tag’s memory
and pass the data to a host computer
• Efficient for large companies, but expensive for
smaller companies

Figure 6.7 Various examples of RFID applications in businesses
Figure 6.7 (cont’d.) Various examples of RFID applications in
businesses © Cengage Learning 2015
Converging Technologies
• Convergence occurs in networking technology
• Cell phones can act as Web phones using VoIP
• New television sets will connect to Internet,
cable, and satellites concurrently
• Single device to connect to any type of network
• “Smart appliances” interact with their owners
• Opportunities for businesses to provide new
information services and better manage the
salesforce

Converging Technologies (cont’d.)
• Portable music/video players communicate with
PCs via Wi-Fi to download files and transmit to
wireless earphones
• Cell phones read RFID tags on products
– Compare prices and make purchases
Summary
• Telecommunications is communication over
distance
• Telecommunications technology has changed
the business environment
• Different media have different bandwidths
• Networks are classified according to reach and
complexity
• Public network can be turned into a virtual
private network (VPN)

Summary (cont'd.)
• Network protocols are sets of rules to which all
devices on a network must adhere
– The Internet adheres to the TCP/IP protocol
• Wireless technologies make it easy and
affordable to create wireless LANs and hotspots
• Organizations and individuals have variety of
choices when subscribing to networking services
• As Internet links become faster, Internet
telephony, also known as Voice over Internet
Protocol (VoIP), is gaining in popularity
Summary (cont'd.)
• Wireless technologies support the increasingly
popular RFID technologies

• Much like hardware, telecommunications
technologies are merging
• Increasing numbers of employees now
telecommute
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Kenneth J. Sousa Effy Oz
MANAGEMENT
INFORMATION
SYSTEMS
Seventh Edition
Chapter 5
Business Software

Objectives
• Explain the difference between application
software and system software
• Enumerate the different generations of
programming languages and explain how they
differ
• Cite the latest major developments in application
and system software
• Identify and explain the roles of Web
programming languages
Objectives (cont'd.)
• Explain the types and uses of Web site design
tools
• Clarify the differences between proprietary
software and open source software
• List characteristics that are important in

evaluating packaged software applications for
business use
• Understand the problem of software piracy and
how it affects businesses and consumers
Software: Instructions to the Hardware
• Applications: computer programs that
contribute to productivity
• Software: a series of instructions to a computer
to execute processes
• Two major categories of software:
– Application software: enables task completion
– System software:
• Enables applications to run on a computer
• Manages components and devices

Programming Languages
and Software Development Tools
• Programs are needed for every computer
operation
• Programming: process of writing programs
• Machine language: the only language that
hardware understands
– Consists of long strings of 0s and 1s
• Assembly language: easier to program than
machine language using “words” for commands
• High-level programming languages: use English-
like statements
Programming Languages and Software
Development Tools (cont'd.)
• Software development kits (SDKs): tools to
develop software with little knowledge of

• Third-generation languages (3GLs): known as
“procedural” languages
– Programmer must detail logical procedure
– Includes languages such as COBOL, FORTRAN,
BASIC, RPG, Pascal, and C
– One 3GL statement = five to ten assembly
language statements
Programming Languages and Software
Development Tools (cont'd.)
• Fourth-generation languages (4GLs): use more
English-like statements
– Speed up the development process
– Built around database management systems
– Include many preprogrammed procedures
– One 4GL statement = several 3GL statements

– Structured Query Language (SQL) is an example
• Debugging: process of locating and fixing
program errors
Figure 5.1 The evolution of programming languages
Figure 5.2 Advantages and disadvantages of using higher-level
Visual Programming
• Visual programming languages: create
graphical screen objects by selecting icons from
a palette
• Common visual programming languages
– Microsoft Visual Basic

– Embarcadero Delphi
– Micro Focus COBOL
– ASNA Visual RPG
– Visual C++
• Developer can still work at the code level
Object-Oriented Programming
• Object-oriented programming (OOP)
languages provide a modular approach to
programming
• Advantages:
– Ease of maintenance
– Efficiency in application development
• Object: contains data elements (data members)
and the methods to manipulate that data
– Data members can only be accessed through the
object’s methods

Figure 5.3 Advantages of object-oriented programming (OOP)
over procedural languages
Object-Oriented Programming (cont'd.)
• Objects are reusable and are combined to
create complex programs
• Popular OOP languages include Java, C++/C#,
and Visual Basic
• Increasing amount of software developed for the
Web using languages such as Java, JavaScript,
and PHP
• Applet: code produced by a Web programming
language
– Runs same way on different operating systems

Language Translation:
Compilers and Interpreters
• Source code: program as originally written by
the developer
• Object code: program in machine language that
can be run by the computer
• Types of programming language translators
– Compilers
– Interpreters
Language Translation:
Compilers and Interpreters (cont'd.)
• Compiler: translates entire source code to
object code but does not execute the code
– Scans for syntax errors
– Generates error messages if syntax errors found

• Interpreter: scans one statement at a time
– If error-free, interprets and executes the
statement
– Goes through the program until an error or end of
program is encountered
Figure 5.5 A compiler converts higher-level language code
(source code) into machine language (object
code), which the computer can execute © Cengage Learning
2015
Application Software
• Application software allows nonprogrammers to
develop their own tools
• Application-specific software: programs
designed to perform specific jobs
• General-purpose application software:

programs that serve multiple purposes
– Usually comes as packaged software
• Packaged software: software that is ready to
install from external storage media such as CDs
Office Productivity Applications
• Productivity tools assist normal office work
– Include word processors, spreadsheets,
presentation tools, file/database software,
graphics programs, desktop publishing tools, etc.
• Word processors create text documents
• Spreadsheets store numbers and perform
complex mathematical, statistical, and financial
analysis functions
Office Productivity Applications (cont'd.)

• Presentation tools develop impressive
presentations quickly
• File/database management tools create and
manipulate local or shared databases
• Graphics programs create intricate graphical
images and manipulate digital photographs
• Desktop publishing tools develop items for
publication, such as pamphlets, newsletters,
cards, calendars, etc.
Office Productivity Applications (cont'd.)
• Project management tools help plan projects
and track progress
• Suite: collection of various applications that
perform multiple interrelated functions
– Examples include Microsoft Office, IBM Lotus
SmartSuite, and the free Apache OpenOffice.org

Hypermedia and Multimedia
• Hypermedia: a feature that enables users to
access information by clicking text or graphics
• Web authoring tools enable hypermedia
features
– Often part of other applications such as word
processors and presentation tools
Hypermedia and Multimedia (cont'd.)
• Multimedia software handles many different
types of data
• Often used in:
– Education: lessons presented in multimedia
– Research: data compiled and integrated
– Training exercises: simulated real-world situations

– Business situations: compound documents filed
and used electronically; and interactive websites
Hypermedia and Multimedia (cont'd.)
• Mashup: an integrated application containing
some or all features from several applications
– Provides enhanced features for the end user
Web Site Design Tools
• Used to develop and change the content of Web
pages
• Popular packages include
– Microsoft SharePoint Designer and Expression
Web, Avanquest WebEasy Professional, and
Adobe CS2/Dreamweaver
• Newer software enables websites implemented

using a blog environment
Groupware
• An application that enables sharing of ideas and
information resources among group members
– Supports real-time collaboration via web
technologies
– Allows for remote collaboration
– Eliminates travel times and facilitates expression
and exchange of ideas
• Examples: Wiggio and Google Drive
3D Geographic Software
• Used to develop three-dimensional models of
geographic locations
• Models are created from land and aerial

photographs
• Helps with navigation when tied to global
positioning system software
• Can create virtual existing tangible items or
create new ones
System Software
• System software: deals with essential operations
between the user and computer such as:
– Loading, copying, and deleting files
– Managing memory resources
– Operating peripheral equipment
– Encompasses compilers and interpreters
• Applications must be compatible with system
software

Operating Systems
• Operating system (OS): most important
program on the computer
– Recognizes input from keyboard and mouse
– Sends output to computer display
– Keeps track of files and directories
– Runs applications
– Manages memory
• Usually developed using low-level programming
languages such as assembly languages
• Also known as “platforms”
Figure 5.6 The operating system mediates the computer
system’s resources and application software as
well as controls peripheral and network devices © Cengage
Learning 2015
Operating Systems (cont'd.)

• Application program interfaces (APIs):
software included in the OS that can be used by
application program developers
• OS’s position in the computer’s logical operation
– User interacts with user interface using menus,
icons, and application commands
– Application converts user input into commands
– OS commands the CPU to carry out the operation
– OS allows applications to use the CPU, memory,
input and output devices, and the file system
• Utilities perform other OS functions, e.g.,
hardware diagnostics, file comparison, and file
sorting

Figure 5.7 Computer systems operate on a number of layers,
beginning with the user interface and moving
into the computer’s hardware © Cengage Learning 2015
• OS must manage the system by allocating
hardware resources to applications
• OS provides several services, including:
– User interface
– Memory allocation, including the use of virtual
memory (hard disk used as an extension of
RAM)
– Plug-and-play (PnP): recognize and run a device
as soon as it is physically attached

• Driver: software that enables OS to control a
device
• Additional OS services include:
– Database management
– Networking
– Security
• Different computers and types of
microprocessors use different OSs
• Popular PC operating systems
– Windows
– Linux
– Mac OS
• OSs for mobile environments used with
smartphones and tablets
• OSs noted for stability include UNIX, Mac OS X,

and Linux
Figure 5.8 Popular operating systems for various hardware
platforms © Cengage Learning 2015
Figure 5.8 (cont’d.) Popular operating systems for various
hardware platforms © Cengage Learning 2015
Other System Software
• Other types of system software include:
– Compilers and interpreters
– Communications software
– Utilities
– Database management systems
• Communications software supports transmission
and reception of data across computer networks
• Utilities include antivirus programs, firewalls, and

other programs that detect and remove
unwanted files and applications
Open Source Software
• Proprietary software: sold/licensed for profit
– Source code is private and not available
– Developer retains all rights to the software; user
purchases a license to use the software
• Open source software: free source code
– Developed through voluntary collaboration of
programmers
– Reviewed by many programmers → fewer bugs
• Examples includes Mozilla Firefox, Drupal,
MySQL, PERL, and OpenOffice.org suite
Open Source Software (cont'd.)

• Linux: best known open source OS
– Includes free versions and versions that charge
for support and additional features
– Disadvantage: limited number of applications that
run on it
– Popular because of its stability and versatility
• Runs on mainframes, PCs, handhelds, and
electronic devices
Software Licensing
• Software is usually licensed
• Licensed software: provides limited permission
to use the software
– Time-limited license requires annual fees
Software Licensing

• Software licensing models
– Permissive model: anyone can use and sell
modified versions of the software
– General Public License (GPL): anyone can use
and make modified versions, but cannot sell
modified versions for profit
– Proprietary: code is owned by someone who has
the right to sell or license it to us
Software as a Service (SaaS)
• Provides application software developed and
maintained by a third-party provider
– Offered to organizations for a recurring fee
• Third-party provider: also referred to as
application service provider (ASP)
– Develops and maintains the software on their
hardware

– Provides maintenance, support, and hardware
operations
Considerations for Packaged Software
• Factors when purchasing large software
packages are complex, including:
– Cost
– Time to implement
– Cost of interrupting operations
– Modification costs to customize the software
Figure 5.9 Sample software evaluation form © Cengage
Learning 2015
Figure 5.9 (cont’d.) Sample software evaluation form ©

Summary
• Software: a collective term for computer
programs
• Two categories of software: system or
application
• Programming languages and software
development tools are used to develop software
• Increasing amount of software is linked to the
Internet
• Code written in non-machine language must be
translated by compilers or interpreters
Summary (cont'd.)
• Some application programs are custom-
designed; many are packaged

• Office productivity tools such as word
processors and spreadsheets help improve
worker efficiency
• Hypermedia and multimedia technology are
useful for training, education, research, and
business
Summary (cont'd.)
• Groupware combines hypermedia and
multimedia with web technologies for
collaboration
• Three-dimensional geographic software helps
model maps and locations
• Many applications support web services and
access to information on the web
• Most important system software is operating
systems

Summary (cont'd.)
• Open source software is distributed freely via the
web
• Nearly all software is licensed; SaaS is an
alternative to traditional software licensing
• Ready-made software purchase decisions
should evaluate many factors, e.g., suitability,
ease of learning, ease of use, vendor reputation,
expected quality of vendor support, etc.
• Software piracy is still a significant problem

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