http://www.salon.com/tech/feature/2005/08/10/37signals/print.html

Technology The next Web revolution

The Web celebrates its 10th anniversary today and it's still a pain to use
-- clunky, slow and unresponsive. But thanks to creative small companies
like Chicago's 37 Signals, the Web is finally becoming as fun and flexible
as your favorite software.

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By Farhad Manjoo

printe-mail

Aug. 10, 2005  |  Odes to the World Wide Web inevitably burst with
superlatives. The Web is the biggest, the fastest, the most addictive thing
ever. The Web will revolutionize this, supplant that. The Web will set you
up on the best date you ever had and the sex will be out of this world. Just
now, as we celebrate the 10th anniversary of the day the letters "WWW" hit
the big time -- Netscape went public on NASDAQ on Aug. 9, 1995 -- the
superlatives are flying particularly fast. In the August issue of Wired,
founding editor Kevin Kelly predicts that 3,000 years from now, people will
regard the development of the Web as a pivotal moment in human history, as
important as the advent of American democracy and the world's major
religions. "This will be recognized as the largest, most complex, and most
surprising event on the planet," he writes.

Boosters like Kelly are no doubt on to something; taking the long view, the
Web may well alter the course of history. But let's cast a frank eye on the
present day's surf report, shall we? The Web at age 10 is a pain. Precious
little online works as well as it should. Compared to the speed of desktop
software -- such as your e-mail program, or iTunes -- using many Web sites,
even the biggest and most popular, is like swimming through mud. Think about
the features you take for granted in iTunes: buttons that respond as soon as
you click them (not five seconds later), a search bar that begins to work at
the instant you type, playlists that can be rearranged by dragging and
dropping. Almost nothing online works as naturally; you wouldn't even dream
of managing your music with a Web tool. On the Web, to attempt anything
complex -- even to write a blog post -- is to flirt with disaster, or at
least annoyance.

Yet I aim not to gripe, but to offer hope. In recent weeks, I've been
talking to many clever people who are using creative programming techniques
to build a better World Wide Web. The online experience they envision is
more responsive than the Web we use today, and it's more useful and fun,
too. On this better Web, you can drag and drop items to rearrange them, see
a search box fill up while you type a query, and prompt an action as soon as
you press a button. The model works, in other words, as intuitively as the
best software in our lives. You've likely seen bits of it already. These new
techniques power Gmail, Google's fine Web e-mail system, allow you to drag
maps in Google Maps, annotate pictures in Flickr, and use your mouse to
reorder your movie queue in Netflix.

In addition to better software, I discovered something else about the new
Web: Creativity is back. The idea that the Web is a giant get-rich-quick
vehicle no longer pervades the business. Instead, recalling the mid-1990s, a
host of truly talented people are looking at the Web as a canvas for their
creativity. And there's one small company that's emblematic of this effort
to build better applications, and, indeed, is pioneering an entire business
philosophy designed to make the Web great. The firm is called 37 Signals,
and if you've never heard of it, don't worry. You're likely to start using
its software any day now.

37 Signals is named after the number of radio waves we've received from
space that scientists consider potential signals of intelligent life. Its
creators build the kind of applications you didn't know you needed until you
use them for the first time, at which point you wonder how you ever did
without. Last year the company created Basecamp, a Web-based
project-management tool unlike any project-management tool before it. If
you've got a many-person task to do -- any big project, from redecorating
your house to redesigning your home page, planning your wedding to planning
your wake -- Basecamp gives all participants a central spot on the Web in
which to plan and discuss the endeavor. The software has been adopted by
hundreds of advertising firms, law firms, Web designers and book publishers.

More recently, 37 Signals launched Backpack, a program that does just what
its name suggests -- it gives users an easy, casual storage location on the
Web, a place to scratch down important notes, draw up to-do lists, and store
important files organized around specific tasks (say, all the stuff you need
for a business trip). The Wall Street Journal has praised Backpack as the
best tool of its kind, and perhaps more important, bloggers have been
jumping for joy over it. Lifehacker, a blog that offers tips to help keep
your life in order, calls the software "a perfect online replacement (or
supplement) to that fancy notebook you've been scribbling in."

Basecamp and Backpack represent the future of software on the Web not just
because they're elegant, easy-to-use programs that will likely make your
life better. The two applications are also interesting because they were
created in a novel way, using a new programming model that allowed 37
Signals to build each program very quickly, and with very few people.
Indeed, this method of creating applications -- doing it fast and on a tight
budget -- might well be called 37 Signal's animating philosophy, its central
mission.

"We have this big thing about embracing constraints," says Jason Fried, the
company's founder. "When you have constraints -- less time, less money --
people care about every dollar they spend. Customers ask us, 'How does
Basecamp compare with other project-management tools?' We say it does less.
Our products do less, and that's why they're successful. People don't want
bloated products, and constraints force us to keep our products small, and
to keep them valuable."

Fried founded 37 Signals in Chicago in 1999, which, for the coast-dominated
tech industry, is known as a long time ago in a galaxy far, far away. At
first, the company worked on Web design. Given its distance from the
epicenter of the industry, it brought a novel sensibility to the business of
creating Web pages. The company's own site from the time suggests that even
during the boom -- a time when nobody in the tech world advocated
minimalism, when even the Pets.com sock puppet had a book deal -- 37 Signals
was devoted to less is more. The company's home page was mostly white space,
the main feature a list of links to 37 "nuggets of online philosophy and
design wisdom." Here's one representative nugget: "What drives us is the
knowledge that the everyday person is seeing only the smallest glimpse,
1/100th at best, of the full potential of interactive media today. To most
folks, the Web is a scary place. Our mission is to change that perception."

The story of how 37 Signals morphed from a Web design firm that built sites
for businesses into a Web software company that builds applications for
regular people is reminiscent of the Native American legend about Indian
tribes who found a use for every part of the slain buffalo. Here's the quick
version: In the course of creating Web pages for businesses, 37 Signals
realized it needed a tool that would give its clients an easy way to monitor
progress on their designs. The tool it created, a Web-based program meant
only for the firm's internal use, was a hit with clients, many of whom
wanted to use it for other projects at their offices. So Fried decided to
transform the internal program into an application for everyone. In 2003,
David Heinemeier Hansson, a programmer who lives in Copenhagen, Denmark,
joined the firm to help with the task, and shortly thereafter 37 Signals
released Basecamp to the public.

But in creating Basecamp, 37 Signals saw there were still other internal
tools it could give to the world. Experienced programmers use a variety of
programming languages to build systems for the Web -- you may have heard of
Perl, Java, PHP and others -- but for Basecamp, Hansson used a relatively
unknown programming language from Japan called Ruby. This turned out to have
been an inspired choice, since it allowed him to create all the code he
needed to run a Web application -- what programmers call a "development
framework" -- from scratch. Hansson saw this framework would not only help
37 Signals build other programs, it would also prove handy for other
developers. So last summer, 37 Signals released the framework as an open
source software project called Ruby on Rails (about which more in a minute).

Launching a well-liked application like Basecamp and a complete development
framework of Ruby on Rails in one year wasn't enough for 37 Signals. In
selling Basecamp, the company learned that customers loved the application's
to-do list feature. So this January the firm built a stand-alone to-do list
site, a service that allows anyone to create a quick list of tasks, for
free. The site, called Ta-da List, offers a good peek at the kind of
software 37 Signals creates: easy, well-designed, highly functional small
apps that ought to come with an addiction-danger warning.

Here's another amazing thing about 37 Signals: Only five people work there.
There's no ad-sales department, no marketing team, no H.R. department, no
tech support crew (Fried handles all customer questions himself), and no
receptionist (there is an office in Chicago, but only Fried and another
employee, Ryan Singer, work there; the other three people are in Utah, New
York and Denmark). That's what I mean about using every part of the buffalo.
The company created all it did in a short time with very little start-up
money -- Fried eschews venture capitalists -- and other resources. Instead,
it put a premium on its experience, constantly looking for creative new ways
to spin what it learned on one project into another one. The M.O. has paid
off. Today, 37 Signals owes no money to early investors. Because the company
is a private firm, its exact financials are unclear. But the picture is
appealing. First of all, the company makes money from its Web applications.
To use Basecamp, customers pay a monthly fee of either $24, $49 or $99,
depending on the number of projects they manage, and $19 a month for
Backpack (there are free versions as well). The firm also does occasional
Web design projects and hosts design conferences. Fried says the company is
making a profit.

Today, notes Fried, starting a tech company requires very little in fixed
costs. Most hardware and software (stuff to host a Web site, for instance)
is either free or almost free. Standard business processes like handling
accounts and marketing are built into the Web. If you want someone to pay
you it's just a matter of setting up a Paypal account. If you'd like to
advertise your site, you can buy an ad on Google, or somehow get bloggers to
talk about you, raising your profile in Google. (37 Signals, which maintains
a popular blog, got a great deal of buzz in the blog world.) "Your main cost
is really labor," Fried says, and if you're passionate about what you're
doing, if you're willing to go six months without a salary, that's an
avoidable thing as well.

The firm has also benefited from its use of Ruby on Rails. A good way to
understand the value of Ruby on Rails is to think of it as something like
Lego blocks of code -- discrete pieces of programming bits that can be put
together in ingenious ways to create Web programs easily. Most Web
applications, even ones radically different from each other, need to do a
basic set of tasks to accomplish anything. For instance, every Web program
needs to have a way of getting input from the page a user is looking at, and
of doing something interesting with that input (say, adding it to a
database). Ruby on Rails has all of these functions built into it; in order
to build basic steps, says Hansson, programmers just need to use prefab
parts already built in, not spend their time writing rudimentary code.

There's another advantage to programming with Ruby on Rails: It makes AJAX
easy to use. AJAX is an intriguing -- if much-hyped -- programming method
that makes Web pages work more like desktop programs. On most Web sites,
pressing a link or a button is a two- or three-second affair -- every time
you press something, you've got to wait for the entire page to reload before
you can do anything else. With AJAX, pressing a button causes an action to
occur on the page more-or-less immediately, without having to reload. The
name, which was coined by Jesse James Garrett, a designer at the San
Francisco Web design firm Adaptive Path, is an acronym for Asynchronous
JavaScript + XML; it essentially describes a way for a Web page to talk to a
Web server in the background, without having to inconvenience the user in
the process. AJAX is the magic in slick-looking applications like Google
Maps, in which a map of the world can be moved with the click of a mouse. In
older mapping programs, such as Yahoo's, you'd have to wait for a page to
reload each time you wanted to look at another part of the map.

These two features -- the reusability of its code, and built-in Ajax -- have
helped to make Ruby on Rails increasingly popular among Web developers.
Robot Co-op, a small Seattle company behind the popular sites 43 Things and
43 Places, developed its sites in Ruby on Rails. So did Odeo, the new
podcasting company founded by Noah Glass and Evan Williams, one of the
creators of Blogger.

"When I talk to developers about Ruby on Rails, they're like, 'This is the
language I would have designed,'" says Jeff Veen, a pioneering Web
programmer and one of the co-founders of Adaptive Path. Adaptive Path
usually creates sites for other companies, but -- following something of the
model 37 Signals used in producing Basecamp -- Veen has recently put
together a small team of developers to create a Ruby on Rails application
that the company plans to release to the outside world (the program, a tool
to help bloggers measure traffic and other stats on their site, will be out
by the end of the year, Veen says). Several other developers also attest
that Ruby on Rails makes programming Web apps so easy that good ideas for
Web programs are now within reach. "I've had some ideas for applications
running around in my head for a while now," says Rael Dornfest, chief
technology officer of the tech book publishing firm O'Reilly. "Until now,
they would have been prohibitively difficult to create in terms of time and
structure. What Ruby on Rails has allowed me to do is express ideas in code
more easily than it would have been without the framework."

Expressing ideas in code is an apt description for what many new Web
developers seem to be doing these days. What stands out about 37 Signals --
as well as Adaptive Path, Odeo, the Robot Co-op, and a host of other
successful Web firms -- is the passion it has for new ideas. These people,
you get the sense, truly understand the flexibility of the Web and are
delighted by the power they possess to make it better.

Of course, they're not looking to do it for free. But there's no expectation
of riches, either -- or, more interestingly, there's a sense that riches can
actually damage the quality of the software. "The big point is personal
satisfaction and enjoyment," says Josh Petersen, one of the founders of
Robot Co-op (which has received investment money from Amazon.com). "I've
worked at big companies and big development teams and I don't find it
enjoyable. Now, one of my greatest joys is sitting at the same table with
everyone else here, and getting to use an Apple computer at work."

Every day, it seems, you hear stories about how Americans will have an
increasingly difficult time competing in the global marketplace. Talking to
someone like Fried -- or Petersen, or other new Web entrepreneurs -- prompts
optimism. The Web is 10 years old. It's basically untouched. With so many
people now free to build their good ideas onto it, is it any wonder Kevin
Kelly thinks they'll remember us fondly in 3,000 years?

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About the writer
Farhad Manjoo



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