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Industry watchers say it's only the beginning. They expect the pace to continue through the fall as companies jockey for new positions. Microsoft is trying to be more like faster-moving Internet companies, and Internet companies are trying to be more like Microsoft — turning their Web sites into places where people spend the day working and playing, instead of a few minutes visiting.

"I would call it a flood of activity," said Friday Harbor technology commentator Mark Anderson. "That's what's so strange about it — there was nothing doing a month ago, and suddenly we're in full flood here."

Anderson said the driving force is high-speed Internet access. With fast connections finally becoming widespread, software, computers, advertising and entertainment are changing fast. That's creating new business opportunities

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