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He argues that as Web sites become more social, they will threaten the existence of all kinds of businesses and organizations, which might find themselves unnecessary once people can organize on their own with free online tools. Who needs an academic association, for instance, if a Facebook page, blog, and Internet mailing list can enable professionals to stay connected without paying dues? Who needs a record label, when musicians can distribute songs and reach out to fans on their own?

"More people can communicate more things to more people than has ever been possible in the past, and the size and speed of this increase, from under one million participants to over one billion in a generation, makes the change unprecedented."

in his latest book, Cognitive Surplus: Creativity and Generosity in a Connected Age, scheduled to appear from Penguin Press this month. In it, he urges companies and consumers to stop clinging to old models and embrace what he characterizes as "As Much Chaos as We Can Stand" in adopting new Web technologies. He presses programmers and entrepreneurs to throw out old assumptions and try as many crazy, interactive Web toys as they can—to see what works, just as the students here do.

The task of the office, then, is to invite a particular kind of social interaction--the casual, nonthreatening encounter that makes it easy for relative strangers to talk to each other. Offices need the sort of social milieu that Jane Jacobs found on the sidewalks of the West Village. "It is possible in a city street neighborhood to know all kinds of people without unwelcome entanglements, without boredom, necessity for excuses, explanations, fears of giving offense, embarrassments respecting impositions or commitments, and all such paraphernalia of obligations which can accompany less limited relationships," Jacobs wrote. If you substitute "office" for "city street neighborhood," that sentence becomes the perfect statement of what the modern employer wants from the workplace.

In the war-room study, the company moved the client, the programmers, and a manager into a dedicated conference room, and made them stay there until the project was done. Using the war room cut the software-development time by two-thirds, in part because there was far less time wasted on formal meetings or calls outside the building: the people who ought to have been bumping into each other were now sitting next to each other.

The agency is in a huge old warehouse, three stories high and the size of three football fields. It is informally known as Advertising City, and that's what it is: a kind of artfully constructed urban neighborhood. The floor is bisected by a central corridor called Main Street, and in the center of the room is an open space, with café tables and a stand of ficus trees, called Central Park. There's a basketball court, a game room, and a bar. Most of the employees are in snug workstations known as nests, and the nests are grouped together in neighborhoods that radiate from Main Street like Paris arrondissements. The top executives are situated in the middle of the room. The desk belonging to the chairman and creative director of the company looks out on Central Park. The offices of the chief financial officer and the media director abut the basketball court. Sprinkled throughout the building are meeting rooms and project areas and plenty of nooks where employees can closet themselves when they need to.