This document discusses how communications and commerce are undergoing unprecedented change driven by new technologies and shifting behaviors. Key points discussed include how the "other 3 billion" people gaining internet access will change telecommunications infrastructure, how most activities are shifting to mobile devices, and how open networks and data are fueling this transformation. Fragmentation of commerce models and extreme changes in consumer behaviors are expected. The future is described as "Communication 2.0" driven by principles of openness, mobility, interactivity and real-time engagement. Trust and involvement are posited to become more important than control and consumption in this new environment.
4. The other 3 Billion (O3B)
Wikipedia: By allowing direct connection to core networks and 3G Cellular/
WiMAX towers, the O3b Networks system will completely change the
economics of telecommunications infrastructure in the world's fastest-
growing markets for communications services
5. “...completely change
the economics of
telecommunications
infrastructure in the
world's fastest-growing
telecommunication
markets”
19. Open Network Economy: The Topics
Open *amap
Networked vs ‘The Network’
Mobile First
The Cloud
Data = Gold
Followers - not Consumers
Friction = Fiction
Trust = the new Control
Fuzzy Logic vs Binary Logic
ROI 2.0 (return on Involvement)
22. Music Industry:
“What does the
Future hold - and
how do we
prevent it...?”
Source: seekingalpha.com
23. “We can enforce a different future than
that which our customers want”
“We can ignore our users’ emerging
behaviors and mold them as we see fit”
“We need to watch out for what’s good
for us, first and foremost”
“Our gain needs to be 100%
ours - it’s a win-lose world!”
“More control = more money”
36. “Trust
is the most important currency
online, so to build it we adhere
to three principles of open
information: value,
transparency, and control”
Google Senior VP, Product Management Jonathan Rosenberg's essay, The Meaning of Open, published on the Offical Google Blog
37. The opportunity is to earn Trust, now
Trust Economy
How do you get Trust without Openness?
43. 3 ‘Open’ challenges
1.Openness is hard - and usually not our default setting
2.Conversations take time - and can become real work
3.‘Offering something for free so that you can ask to
get paid later’ takes real courage - and believe!
47. A few examples
Free / cheap phone calls
Mobile phone applications
Downloadable / streamed /
catch-up TV shows
Good generic devices
48. 12/2009: Google’s Open Business Manifesto:
“Closed system are well-defined and
profitable, but only for those that control them”
“Open system are chaotic and profitable, but
only for those that understand them well and
move faster than everyone else”
“Closed systems grow quickly while open
systems evolve more slowly (requiring a
longer view”
“Google has all variants”
56. Example: Farmville Game on Facebook
• Application exists only on Facebook
• It’s free but you can buy goods to enhance the experience:
800.000 tractors ‘sold’ every single day
• A team of 15 Developers release new virtual items into
FarmVille twice a week; new features debut weekly.
• 65 Million+ users without any advertising
• 1.2 Million users per day
• Parent company Zynga earns est. $200M / Year
60. “Governments are freeing up their data,
records and information; museums and
galleries are throwing open their doors;
NGOs and charities are becoming publishers;
universities are opening their lecture halls;
scientists and corporations are sharing
knowledge in ways which would have been
unimaginable even 10 years ago...”
67. Examples
Centralized Decentralized
Microsoft / Windows Google
MTV Youtube
Tower Records / HMV Spotify / Last.fm
Traditional Telecom Skype
Wall Street Journal The Guardian (UK)
91. The global shift to Open
Open licenses
Open innovation
Open distribution
Open competition
Open partnerships
Open technologies
Open data standards
92. Open Network Economy: Summary
Move towards Open *amap (as much as possible)
Think and plan for: Mobile First
Move towards “the Cloud”
Take advantage of “Data = new Gold”
Think Followers - not Consumers
Join “The Networked”
Reduce Friction - pursue Liquidity
Replace Control with Trust
Embrace fuzzy logic, plan for change
Pursue ROI 2.0: return on Involvement