American government is in the early stages of deep transformation as a result of the Internet and a host of related developments in information and communications technologies. Rapid growth of web-based applications in the government sector promises significant cost savings through structural changes in the production and delivery of government information and services. Deeper organizational and institutional restructuring in government is likely to generate further efficiency gains. But cost savings that result from institutional and organizational transformation are more difficult to calculate because savings due to technology cannot be disaggregated from those due to structural modification. Furthermore, it is in the nature of a revolution that some future developments remain unpredictable as entirely new and unanticipated innovations and interactions emerge.