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The Second Age of Enlightenment 1 Mark Bünger, Research Director Lux Research, Inc. [email protected] @MarkBungerLux

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Page 1: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

The Second Age of Enlightenment

1

Mark Bünger, Research Director

Lux Research, Inc.

[email protected]

@MarkBungerLux

Page 2: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

The Second Age of Enlightenment

Some 350 years ago, European culture was transformed by the Enlightenment – an intellectual, rational movement that emphasized the light of reason and science over traditional sources of authority. Today, vast amounts of data and analytical tools are similarly illuminating every aspect of our lives, from deep inside our bodies to our home, friends, work, city, and global society. In this new age of enlightenment, we must prepare for the effects of information everywhere – what products and services to make, what business models matter, and which established organizations get overthrown.

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The Enlightenment (ca 1650-1780)

Experiment over faith Reason over tradition Openness over exclusion Freedom over authority

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The Enlightenment (ca 1650-1780)

Experiment over faith Reason over tradition Openness over exclusion Freedom over authority

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Page 5: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Agenda

The signs a new Age of Enlightenment is here

After Enlightenment, Revolutions

What is next and how we get there

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Page 6: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Agenda

The signs a new Age of Enlightenment is here

After Enlightenment, Revolutions

What is next and how we get there

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Page 7: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

A new Age of Enlightenment is here: 3 clear signs

1. Sleevely: Feeding Bottles that Track How Much Your Baby Drinks

“The world’s first device and mobile app that lets you monitor, track and improve your baby’s

feeding habits.”

2. Quantified Babies: Quantified Self for Babies

“We are parents who quantify ourselves, using every tool from Fitbit to the Withings. We want to apply the same rigor to those who can’t apply it to

themselves: our young children.”

3. Whistle, Quantified Dog device

“Whistle gives you a summary of your dog's day highlighting the details that matter. WhistleGPS

uses both GPS and sub-GHz cellular technology to add on-demand location monitoring to Whistle’s flagship activity tracking gadget that syncs with

iOS or Android devices.”

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Since new parents and dog owners were not neurotic enough already…

What are some more signs?

Page 8: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Everything is illuminated – by data

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Everything is illuminated – by data – from Things

The internet of Things (IoT) means:

Sensors everywhere from high to low Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0, Precision Ag, Intelligent cities …

Integration and intelligence Depth cameras and audio AIs

Fill in data gaps, past and future

Count gestures, sense feelings

Stream your life online

Illumination, integration… interface Anything can control anything else

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The material world increasingly works like the information world

See “Seeing the Value in Machine Vision Partnerships” Nov 2014

Livestream your life Ambient AI: image and speech recognition

Internet of Everyone: pets, babies, cities, you

Control neighbor’s car Button computer Tractor phone Wearable drone Press any button on the internet

Page 10: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Internet of Everyone: What happens when pervasive sensors quantify our inner, outer, and collective selves?

What will consumers themselves think of this?

How will expanding and maturing IoT change consumers and companies’ relationship to them?

How can market researchers use this data effectively while meeting privacy and legal requirements?

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Internet of Everyone

Intelligent cities

Smart homes

Quantified self

Market research

May 4-5 San Francisco

Page 11: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

The Enlightenment = the original open innovation

You already know how to do this

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Encyclopedia: access to knowledge

Whole Earth Catalog: access to tools

Salons and coffeehouses

Hackathons and coffeehouses

Voltaire Stallman

Page 12: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Free all the Things!

“At Peachy Printer we develop Libre Software (freedom respecting) because we believe it's the right thing to do. If you're unfamiliar with what that means, here's a quick rundown of the 4 freedoms:

1. The freedom to run the program as you wish, for any purpose.

2. The freedom to study how the program works, and change it so it does your computing as you wish.

3. The freedom to redistribute copies so you can help your neighbour.

4. The freedom to distribute copies of your modified versions to others.

To learn more about Libre Software, please visit www.fsf.org”

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3D printer Peachy Printer Open design

User-defined setup

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Give people knowledge, skills, and intellectual property to open up technologies and markets

Samsung Artik – Ardunio IoT developer platform

GE’s Raspberry Pi and Ubuntu-based ChillHub “A refrigerator with USB capabilities and WiFi connected. This will give us a platform to create awesome new add-on products like a butter softener compartment, food scale/weight sensor, deodorizer, auto-fill water pitcher, temperature modules, baby bottle IR, external speakers, voice control, etc. … From niche to mass market, ChillHub will allow the developer community to create new devices that could benefit all refrigerator users.”

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Then: overpriced underfeatured closed smart fridge

Now: open tech platform of chips for external developers

Home appliances/IoT going Open source

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Give people knowledge, skills, and intellectual property to open up technologies and markets 2

Tesla EV patents “belong to you”

“Technology leadership is not defined by

patents, which history has repeatedly shown to be small protection indeed against a

determined competitor, but rather by the ability of a company to attract and motivate

the world’s most talented engineers. We believe that applying the open source

philosophy to our patents will strengthen rather than diminish Tesla’s position in this

regard.”

Autodesk – open 3D printing

Spark - Open software platform

Ember - Open 3D printer

Polar Resin 48 - Open resin

“Today we're sharing the formulation of PR48 under a Creative Commons Attribution-ShareAlike license, the same license Arduino uses to share their design files. We're explicitly inviting you to understand, remix, and remake our resin.”

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Competitive suicide! Or murder?

Patent and product giveaways

Page 15: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Agenda

The signs a new Age of Enlightenment is here

After Enlightenment, Revolutions

What is next and how we get there

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Page 16: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Why Revolutions follow Enlightenment

Whatever happened to…

Experiment over Faith

Reason over Tradition

Openness over Exclusion

Freedom over Authority

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“Enlightenment” is actually a strategic

power play

Page 17: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Signs of the Revolution: Keurig gets its head handed back

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2012 K-Cup patent expires

2013 Cheap competitor cups cut into Keurig sales

2014 2.0 cups get digital rights management (DRM)

Company discontinues reusable cup

2015 Hackers break DRM

Customers flee

Stock plummets

CEO reverses course

Page 18: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Signs of the Revolution 2: Taxi cartels meet the guillotine

IoT + Big Data means that any industry can be “ubered”

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Bloomberg’s “Taxi of Tomorrow”

Page 19: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Et tu, IKEA?

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Page 20: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

There’s a pattern to revolutions – and it’s everywhere

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Wherever there is stasis,

revolution is near

King vs. Church

Airlines vs. travel agents

Publishers vs. authors

Record labels vs. artists

Retailers vs. CPG manufacturers

Insurers/Ntl health vs. doctors vs. pharma

Carmakers vs. suppliers and dealers

Etc etc etc…

Stasis •Established players in self-

serving, tense balance of power and money •People/customers/patients

suffer

Tools •Arm the people with

information and tools

Revolution •Destroy the balance,

redistribute wealth and growth

Web

Mobile

IoT

Page 21: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Smart factory: what’s the IoT equivalent of the mobile phone?

1. Tool

2. Visor – machine vision

3. Glove – accelerometer, thermometer, position/movement

4. Watch, ring, glasses…

5. Other tools, brackets, etc

6. The part

7. Smart buildings - the factory itself

8. Worker’s clothing (smart textiles)

9. Others….?

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1

2

3

4 5

6

7

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Smart factory: what’s the Big Data equivalent of Uber?

Advanced manufacturing programs?

Industrie 4.0?

GE’s Predix platform?

Distributed manufacturing + “Digital logistics” = flexibility+ speed + scale

Dragon Innovation, Local Motors, etc

A million microfactories

Amazon logistics are legendary

• Bought Kiva for $775 million

UberCargo is already a thing

Google maps + delivery

Uber, Amazon, Google all spending $100M+ on autonomous delivery systems (land and air)

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vs.

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Agriculture is ripe for Revolution

Farmers don’t own seeds, we do Genetic IP rules: no copy or change

Farmers don’t own tractors, we do Can’t fix or modify software

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Precision agriculture = IoT + Big Data Who will own the data? (take a guess)

Page 24: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Enlightenment breaking biotech’s anachronistic, contradictory, sometimes silly genetic rights and rules

Property: Who owns genetic codes? Diamond v. Chakrabarty: GM organism was ruled to be an invention (engineered genes) not a discovery, was allowed

Myriad Genetics / American Civil Liberties Union (ACLU): breast-cancer related BRCA gene

GFP (green fluorescent protein) patent thicket

Open Source Seed Initiative; seed libraries blocked by PA Dept of Ag

iGEM Open Parts Registry – concerns about freedom to use

Henrietta Lacks, Cartagena Protocol – people “own” their own genes and those of their land

Ethics/safety: Should genetic modification be outlawed – or taught widely? ETC Group tries to stop Glowing Plant Kickstarter crowdfunding campaign

• Plant contains same fluorescence gene as GloFish, which are legal (except in CA)

Speech: Privacy and right-to-know U.S. Supreme Court in Maryland v. King: police don’t need a warrant to take genetic samples, which are now “as simple and normal as taking a photograph.”

U.S. Food and Drug Administration (FDA) prohibits 23andMe from giving medically-related genetic data directly to consumers

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Page 25: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Lux workshop: The genetic revolution gains tools and social skills from the digital revolution

Keynote speaker Tim O’Reilly on what genetic privacy, open source, and biohacking can learn from the Digital Revolution

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“The best way to predict the future is to invent it.” - Alan Kay, Xerox PARC

Genetic technology

Information technology

Page 26: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Can open source, hacker biotech become as dominant as open source software?

“A BEAUTIFUL FUTURE - Join Us!

We are independent scientists working to make a more beautiful future. The conversation about

biotechnology is full of cliches and bumper sticker statements. We're starting a revolution.

There is more to science than publications and profit. We believe in wonder. We believe in

accessibility, transparency, and sustainability. We believe that biotechnology can be used thoughtfully

to build an astonishingly beautiful world.”

Ushahidi (Kenya) “Revolutionizing the way information flows”

Platform initially developed in 2008 to map post-election violence in Kenya

Now used for crowdsourced precision ag, election monitoring, and more

Open source and crowd model in crop insurance, seeds, equipment, and more

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Plant demo!

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1. White petunias produce little/no flower pigments (anthocyanins, AN)

2. Researchers engineered a new gene sequence with AN pigment genes + rat glucocorticoid receptor (GR) gene

3. GR prevents AN from being produced

4. Dip flowers in steroid DEX

5. DEX hits GR, releasing AN

6. Colors are back

Previous experiments had shown that an1- petals lack transcripts of at least nine structural anthocyanin genes (see, e.g., Quattrocchio et al., 1993; Kroon et al., 1994; de Vetten et al., 1999) and of one potential regulatory gene, Pmyb27, which encodes a protein with similarity to MYB-domain transcription factors (Mur, 1995). Thus, AN1 might induce dfr transcription directly (e.g., as part of the transcription complex on the dfr promoter) or indirectly (by inducing the expression of an intermediate regulator such as MYB27).

To distinguish between these possibilities, we constructed the 35S-an1 gr gene, in which the 35S promoter drives the expression of a chimeric protein consisting of the complete AN1 sequence and the ligand binding domain of the rat glucocorticoid receptor (GR), and introduced this gene into the an12 line W242. Treatment with dexamethasone (DEX), a synthetic steroid, was expected to induce AN1GR activity by releasing the protein from an inhibitory cytoplasmic complex rather than by stimulating de novo synthesis.

The Plant Cell September 2000 vol. 12 no. 9 1619-1631 doi: http://dx.doi.org/10.1105/tpc.12.9.1619

GR AN GR anti-inflammation

AN

DEX DEX

petunia

rat engineered protein

DEX

Page 28: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Agenda

The signs a new Age of Enlightenment is here

After Enlightenment, Revolutions

What is next and how we get there

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What’s the difference between war and revolution?

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Wars you win with weapons and armies Revolutions you win with the people

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Getting this Enlightenment right Every industry and market is becoming brightly lit – by things, sensors, and data

Leaders are already showing how to implement: Experiment over faith Do research until you get it right

Reason over tradition Use big data to find customers’ deepest secrets

Openness over exclusion Open-source everything you own

Freedom over authority Give power and tools to consumers

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Page 31: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Getting this Enlightenment right Every industry and market is becoming brightly lit – by things, sensors, and data

Leaders are already showing how to implement: Experiment over faith Launch prototypes so you get it right

Reason over tradition Use big data to find competitive leverage points

Openness over exclusion Open-source technologies that others make

Freedom over authority Give power and tools to make new allies

Question authority! Lead the change!

Revolutions follow enlightenment - which side will you be on?

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Page 32: The Second Age of Enlightenment - Lux Research Incweb.luxresearchinc.com/hubfs/Lux_Executive_Summit/... · Quantified self, Smart homes, Connected/ autonomous cars, Industrie 4.0,

Lux Research Inc. 100 Franklin Street, 8th Floor Boston, MA 02110 USA Phone: +1 617 502 5300 Fax: +1 617 502 5301 www.luxresearchinc.com

Thank you

Mark Bünger, Research Director Lux Research, Inc. [email protected] @MarkBungerLux