This document discusses the evolution of the internet and rise of Web 2.0 technologies that allow for greater user participation and connectivity. It notes that while 550 million people were online in recent years, Web 2.0 saw the rise of social networks, user-generated content, and people connecting with one another. Examples mentioned include social networks like Hyves and LinkedIn as well as massively multiplayer online games. The document also discusses how these new technologies and virtual spaces are influencing marketing strategies through viral marketing, co-branding, and proximity marketing using technologies like RFID and Bluetooth.