internet of things: new technology and its impact on business models

Internet of Things

New Technology

& its Impact on Business Models

Kate Carruthers July 2013

The next generation of the digital

revolution is called the “Internet of

Things” or IoT.

July 2013 © Kate Carruthers | www.katecarruthers.com 2

Objects are becoming embedded

with sensors and gaining the

ability to communicate.


The resulting information networks

promise to create new business

models and disrupt existing

business models.


Internet – web 1.0


Source: Web Focus: Ways of Exploiting New Technologies, 19 July 1998 http://www.ariadne.ac.uk/issue16/web-focus

http://www.ariadne.ac.uk/issue16/web-focus



Internet – web 2.0


Source: Launching the Web 2.0 Framework, Ross Dawson, May 30, 2007 http://rossdawsonblog.com/weblog/archives/2007/05/launching_the_w.html

http://rossdawsonblog.com/weblog/archives/2007/05/launching_the_w.html



Web 2.0 foundations

1. Participation

2. Standards

3. Decentralization

4. Openness

5. Modularity

6. User Control

7. Identity


Source: Launching the Web 2.0 Framework, Ross Dawson, May 30, 2007 http://rossdawsonblog.com/weblog/archives/2007/05/launching_the_w.html




INTERNET OF THINGS

The digital revolution continues


“The Internet of Things, I think

will be the biggest leverage

point for IT in the next 10 years,

$14 trillion in profits from that

one concept alone”

Cisco Chief Executive Officer John Chambers, AllThingsD D11 Conference May 2013


Source: Internet of Things Poses Big Questions, Ben Rooney, July 3, 2013 http://online.wsj.com/article/SB10001424127887323899704578583372300514886.html

http://online.wsj.com/article/SB10001424127887323899704578583372300514886.html


Source: By SRI Consulting Business Intelligence/National Intelligence Council via Wikimedia Commons

IoT Landscape


Source: Making Sense Of The Internet Of Things, Matt Turck 25 May 2013 http://techcrunch.com/2013/05/25/making-sense-of-the-internet-of-things/

http://techcrunch.com/2013/05/25/making-sense-of-the-internet-of-things/













Connected devices are transformed

from a single purchase product

into a service that generates

recurring income.


IoT value is not in the devices, but in new services related to the devices.

Technical ‘plumbing’


Source: Ronak Sutaria and Raghunath Govindachari in "Making sense of interoperability: Protocols and Standardization initiatives in IOT"

http://www.linkedin.com/in/rsutaria

http://www.linkedin.com/in/rsutaria

http://www.linkedin.com/pub/dr-raghunath-govindachari/8/8a2/454

http://portal.sliderocket.com/AEIXY/TIFR_03Jan13_RS



Ubiquitous connectivity


App ecosystem

“Between 2008 and

2017, Google Play and

Apple’s App Store will be

responsible for a mind-

blowing number of

mobile app downloads:

350 billion.”


Source: http://www.mobilemarketingwatch.com/the-decade-of-350-billion-app-downloads-26932/

http://www.mobilemarketingwatch.com/the-decade-of-350-billion-app-downloads-26932/















New business models

• Open models will rule the new

landscape

• Collaboration & loose

confederations

• Agile, change ready organisations

• Restructured supply chain


Industries

• Retail

• Logistics

• Pharmaceutical

• Food

• Health

• Intelligent

home

• Transportation


Context


Source: http://commons.wikimedia.org/wiki/File:Google's_Lexus_RX_450h_Self-Driving_Car.jpg

http://commons.wikimedia.org/wiki/File:Google's_Lexus_RX_450h_Self-Driving_Car.jpg




Source: Autonomous Intersection Management project at the University of Texas at Austin. http://www.cs.utexas.edu/~aim/

http://www.cs.utexas.edu/~aim/

http://www.cs.utexas.edu/~aim/

New consumer behaviours

• Quantified self

• Gamification

• Collaboration

• Social

consumption


Connected devices


Source: http://moorescloud.com

http://moorescloud.com/

http://moorescloud.com/

“We tend to overestimate the

effect of a technology in the short

run and underestimate the effect

in the long run.” -- Amara's law


http://en.wikipedia.org/wiki/Roy_Amara


Thank-you

Slides on: slideshare.net/carruthk

@kcarruthers

http://slideshare.net/carruthk