One thing that I think is a negative effect of the Internet is the ridiculous amount of racist websites. Australia is full of hate sites, mainly run by 60-year-old lowlives who are proud to be descended from convicts. One I remember actually lamented that Australia's white population was declining.
Then you get crap like Stormfront, which glorifies the Nazis. Stormfront users are even worse, and some have been linked to hate crimes.
The worst is the plethora of Islamophobic websites, like Faith Freedom International, Jihad Watch, Dhimmi Watch, Westboro Baptist (who hate everyone who isn't them), Bare Naked Islam, and the sites of the English Defence League and Debbie Schlussel. These people are all so annoying and should get punished.