g applications for the office, other trends in both personal and office computing were undermining the market for such pricey systems and applications. A major trend, particularly noticeable with growth in use of the Internet, is the availability of free software through the Internet.
This has two major effects on the software market which are contradictory. First, the availability of free software, shareware, add ons, and upgrades certainly eliminate some of the purchases that would occur without this availability. However, Kaufthal (1996) noted that another surprising effect of the free software is to encourage use, and later, purchase of new software over the Internet itself.
Some of the new software has been specifically designed to sell itself. One example of this is SalesAgent 2.0. This software is designed to hook people on use of the product, then stimulating their interest in purchasing additional features. It is distributed free over the Internet, with the sales module itself activated after several days or uses. It provides information about other available features, and provides a means for the individual to complete a purchase for new software instantly.
The trend to electronic distribution, like that available through SalesAgent is also an important one. For the most part, people continue to purchase their software in stores, bring it home, and load it into their computer. Electronic distribution continues to be stymied because the Internet does not have sufficient bandwidth to allow for fast downloading of major programs electronically. However, Kaufthal (19
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