Netscape's Work Culture

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Themes: Organizational Culture
Period : 1994-2000
Organization : Netscape
Pub Date : 2001
Countries : USA
Industry : Information Technology

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Case Code : HROB0013
Case Length : 13 Pages
Price: Rs. 300;

Netscape's Work Culture | Case Study

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Background Note

Netscape was co-founded by Jim Clark (Clark) and Andreessen. Clark was a Stanford University professor turned entrepreneur.4 Andreessen was an undergraduate from the University of Illinois, working with the National Center for Supercomputing Applications.5 In 1993, with a fellow student, Andreessen developed the code for a graphical Web browser and named it Mosaic. In April 1994, Clark and Andreessen founded a company, which was named as Electric Media. The name was changed to Mosaic Communications in May 1994. In November 1994, Mosaic Communications was renamed Netscape Communications.

In December 1994, Netscape introduced Navigator, its first commercial version of its browser.6 By March 1995, six million copies of Navigator were in use around the world. This was without any advertising, and with no sales through retail outlets. Netscape allowed users to download the software from the Internet. By mid 1995, Navigator accounted for more than 75% of the browser market while Mosaic share was reduced to just 5%.

In the same month, Netscape launched Navigator 1.0. During February-March 1995, Netscape launched Navigator 1.1. This new version could be run on Windows NT7 and Macintosh Power PC.8 Within three months, the beta version9 of Navigator 1.2 for Windows 95 was launched. At the same time, Netscape announced its plans to launch the commercial version of Navigator 1.2 in the next August 1995. By launching new versions of browsers quickly, Netscape set new productivity standards in the web browser market.

Numerous Netscape servers were also launched within a short period of time. Netscape Communications Server, News Server, and Commerce Server were launched within a year. In total, within the first 15 months of its inception, Netscape rolled out 11 new products. Within a year of its inception, Netscape made an Initial Public Offering (IPO), which was well received by the investing public.

In 1997, Netscape broadened its product portfolio by developing Internet content services. In June 1997, Netscape launched its Communicator10 and in August rolled out Netcaster.11 In August 1997, Netscape also announced its plans to strengthen its presence in the browser market by forming 100 industry partnerships. In September 1997, Netscape transformed its corporate website into Netcenter website - a site featuring news and chat group services.

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4] Clark's first venture was Silicon Graphics, which produced super fast visual workstations. He had invested US $4 million while another US $4 million came from Kleiner Perkins Caufield & Byers, a venture capital company.
5] The National Center for Supercomputing Applications is one of the five original centers of the National Science Foundation's Supercomputer Centers Program and a unit of the University of Illinois at Urbana-Champaign. It was founded in January 1986. NCSA is involved in high-performance computing and networking and in developing innovative software applications. NCSA broadened the user base of remote supercomputing and the Internet with NCSA Telnet in 1987. In 1992, the center introduced NCSA Mosaic, the first readily-available graphical Web browser.
6] A web browser is a software application for locating and displaying Web pages. The two most popular browsers are Netscape Navigator and Microsoft Internet Explorer. Both of these are graphical browsers, which means that they can display graphics as well as text. In addition, most modern browsers can present multimedia information, including sound and video.
7] A version of the windows operating system. Windows NT (New Technology) is a 32-bit operating system that supports preemptive multi-tasking. There are two versions of Windows NT: Windows NT Server, designed to act as a server in networks, and Windows NT Workstation for stand alone or client workstations.
8] A popular computer model made by Apple Computer with the PowerPC microprocessor.
9] A beta version of the software is the last stage of testing the software, and normally involves sending the product to beta test sites outside the company for real-world exposure.
10] The Communicator was a complete set of tools for browsing dynamic web content and powerful e-mail.
11] Netscape Netcaster dynamically delivers intranet and Internet information to user desktops. Netcaster allows Netscape Communicator users to subscribe to a content 'channel' - a content source much like a broadcast TV or radio channel - and receive content that they can view offline. Netcaster also enabled users to receive constant information updates in the background while they were working on other tasks.