Coined by Robert Metcalfe, the inventor of Ethernet, Metcalfe’s Law states that the value of a network grows by the square of the network’s size. The law states that a network’s value increases with the network’s size. It is often cited in discussions about the value of the Internet. For example, if the network has 5 machines, its value would be 25 (5^2=25), but if another network had 1000 machines, its value would be 1,000,000.

This law has applications beyond the Internet, or a computer network. For example, a software product may increase in value as it grows in size. If a product only has 25 users, it is less likely to be known and used. However, if the same product has 1,000 users, it is more likely to be known and used.

Computer laws, Internet terms, Moore’s law, Network terms

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