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Open Data Business
Introduction & Basics
22.03.2012, OGD BusinessDay2012, RTR - Vienna


Martin Kaltenböck, CMC
Managing Partner & CFO, Semantic Web Company (SWC)

       @semwebcompany
       @lod2project

       TODAY: #ogdb2012


                                            These slides are published under :
                                            http://creativecommons.org/licenses/by/3.0
Agenda




Introduction
Open Government & Open Data

Overview of Open Data Activities
EU / EC and Austria

Open Data (and) Business
Relevant fields of economy, business requirements & models

Summary & Outreach
Open Data Business in 2012




                                                             2
Introduction
Open Government
 and Open Data




         Grafik: openchandler.org
Where it really started!




© Semantic Web Company – http://www.semantic-web.at/   4
What is Open Government?




                           5
Open Government and Open Data


Some of the most important enablers for Open
Government are free access to information and the
possibility to freely use and re-use this information
(e.g. data, content, etc).

After all, without information it is not possible to
establish a culture of collaboration and
participation among the relevant stakeholders.

Therefore, Open Government Data (OGD) is often
 seen as a crucial aspect of Open Government.



                                                        6
What is Open Government Data?

Open Government Data (OGD) is a worldwide
movement to open up data (& information) of the
government / public administration* - that is NOT
personal (individual related) – in human- and
maschine readable open formats (non proprietary)
for use & re use!
OPEN stands for lowering the barriers to ensure as broad as possible
re-use (for everybody)!

There is a new paradigm in publishing Government Data
= look, take and play!

* ….. data and information produced or commissioned by government or government controlled entities




                                                                                                      7
Principles of Open Government Data

                                              http://sunlightfoundation.com/policy/documents/ten-open-data-principles/

                                                                                                                         1. Completeness
                                                                                                                         2. Primacy
                                                                                                                         3. Timeliness
                                                                                                                         4. Ease of Physical and Electronic Access
                                                                                                                         5. Machine readability
http://www.opengovdata.org/home/8principles




                                                                                                                         6. Non-discrimination
                                                                                                                         7. Use of Commonly Owned Standards (e.g. open formats)
                                                                                                                         8. Licensing
                                                                                                                         Finally, compliance must be reviewable.

                                                                                                                         PLUS: Sunlight Foudation, August 2010:

                                                                                                                         9) Permanence
                                                                                                                         10) Usage Costs




                                                                                                                                                                                  8
5 Stars for Open Data by Tim Berners Lee




                                   9
Open (Government) Data
  in the EU, in Austria




             Grafik: openchandler.org
Open (Government) Data in Europe




Outreach EC Activities
20. 10. 2011, OGD Camp 2011 Warsaw - http://blogs.ec.europa.eu/neelie-kroes/tag/open-data/
• June 2012 – Launch of EC Open Data Portal (Data &
I’ve said before that I’m a big fan of open data. Opening up public data will get citizens involved
     Information of EC departments)
in society and political life, increase the transparency of public administration, and improve public
decision making. Those benefits cannot be overestimated. And public data can be used in many
unexpected ways, too: as the father of the Internet, Tim Berners-Lee, put it: “if people put data onto
• 100 Mio Euros for Open Data related acticities in EC
the web… it will be used by other people to do wonderful things in ways that they never would have
imagined”.
  funded R&D projects
There’s a huge amount of money here, and a huge amount of opportunity. I want to see Europe
at the forefront of this development. So I‟m going to be taking action to open up Europe‟s public
• 2013 – Launch of a Pan-European Data Portal
sector, by promoting creative and innovative re-use of public data.

  (Single Point of Access to Open Data of EU27)                                                          11
Best Practise: data.gov.uk




Source: Open Data Blog ZEIT:
http://bit.ly/pwXtBz



                                                            12
Open Government Data in Austria

What happened so far

•   Open Government Data is a BLSG Topic (Bund, Länder, Städte, Gemeinden)
•   Open Data is on KIG priority list (Kompetenzzentrum Internet Gesellschaft)
•   Data Portal of the City of Vienna since May 2011
•   Data Portal of the City of Linz since Oktober 2011
•   Cooperation OGD Austria since Juli 2011: Recommendations for Open Data in Austria
       BUT: What is still missing in Austria
    (Federal Chancellery, Cities of: Vienna, Linz, Graz, Salzburg, plus: OKFO (Open
    Knowledge Forum Österreich) & intense exchange with IOÖ).
•             is a commitment on
    1st set of recommendations published by Cooperation OGD Austria

Outreach
             highest political level!!
•   1st OGD BusinessDay in 2012 – focus: use of data – http://ogdb.eventbrite.com
•   National Open Data Porta: Pre-launch April 2012, Launch 2012
•   OGD2012 Conference on 26 June 2012 in Linz – http://www.ogd2012.at
•   Cities of Graz & Salzburg will launch their Open Data Portals soon




                                                                                    13
Open Data (and) Business




             Grafik: openchandler.org
Open Data Business - Sectors

      Public Sector                          NPO & NGO                             Private Sector
Data Integration (BI, MI, Data Warehouse)
  •   Example: Industrial Facilities: competitive advantage by market intelligence solutions
  •   Example : Media & Publishing: cost savings through automated data enrichment
  •   Example : Real Estate: better information on properties (direct access to cadastre data)
  •   Example : Transport / mobility (real time information): better occupancy rates

Applications (APPS)
  • Direct revenues through license fees for data re-use
  • Direct tax revenue through new job creation, better economic development
  • Direct revenues for the economy on top of better & innovative products & services

Data Enrichment
  • Sale of enriched data on top of open data
  • Enrichment of data by meta data (increase in value of data)
  • Converter services for harmonised data formats (ETL, Data Integration Services)

Data Visualisation & -analysis Services
  • Services in the fields of data analysis and data visualisation

Infrastructure
  • Cloud services
  • SLAs for enterprise data management

Open Data Innovation
  • Open Innovation via crowd sourcing mechanisms
  • Open Innovation via mass customisation


                                                                                                    15
Business Modells along Content Production
                                                                                                                            Source: Studie amt24.de




                                                                                                  Technol.
     Acquisition                 Production                      Packaging                                                      Distribution
                                                                                                 Production


  Purchase of Text            Production of Text              Selection of Products             Printing                      Distribution
  Purchase of Media           Production of Media             Editorial Enrichment              Provision of broadcasting     Broadcasting
  Acquisition Advertisement   Positioning Advertisement
                                                   Value Chain in the Media Industry of Wirtz




                                                                                                 Technol.
   Acquisition                 Production                      Packaging                                                      Distribution
                                                                                                Production



External assignment of        Internal data                Standardisation,                 Technical Infrastructur              Data Portal
data collection & creation    Collection & creation        conversion, metadata             along end user needs                 Visualisation
                                                                                            for distribution                     Analysis
                               Value Chain of Linked Open Government Data in public administration following Wirtz
                                                                                                                                 Interfaces & API


                                                                                                                                           16
Linked (Open) Data Value Chain




                 by Latif et al., TU Graz

                                      17
Stakeholder WS: Economy/Industry

Discussed topics

•   Data: types, scale, apps
•   Expolitation and business models
•   Data quality & accessability


Most important statements (overview)
•   Central register needed (at least for basis data)
•   Standards for data, meta data and interfaces
•   Only free data enables innovation
•   Data quality evaluated and marked
•   Costs for detail granularity possible e.g. SLAs
•   Marginal costs as a basis for cost models
•   Comparability of data from several sources
•   Very important are georeferencing
•   Classification of data is important
•   Develop licenses for all public departments




                        ©2011 Semantic Web Company -http://www.semantic-web.at   18
LOD – Huge Economic Potentials



Data have swept into every industry and business function and are now an
important factor of production, alongside labor and capital.

Harnessing big data in the public sector has enormous potential, too. If US health
care were to use big data creatively and effectively to drive efficiency and quality,
the sector could create more than $300 billion in value every year. Two-thirds of
that would be in the form of reducing US health care expenditure by about 8 percent.

In the developed economies of Europe, government administrators could save
more than €100 billion ($149 billion) in operational efficiency improvements
alone by using big data, not including using big data to reduce fraud and errors and
boost the collection of tax revenues.

And users of services enabled by personal location data could capture $600 billion in
consumer surplus.
                        http://www.mckinsey.com/mgi/publications/big_data/index.asp



                                                                                        19
Cost of Data Integration – 2 Approaches

                                                                      Why LINKED
                                                                      Open Data???




Source: Price Waterhouse Coopers – Technology Forecast, Spring 2009


                                                                                     20
Summary & Outreach
Open Data Business




          Grafik: openchandler.org
Summary: Open Data Business 2012

What are the next steps in 2012?!

•   To build awareness in Austrias economy for Open Data Business
    (Enterprises, SMEs, EPUs, NGO & NPO, Associations)

•   Reach critical market size through national & international Open Data networks
    (Data Interchange)

•   Create models for stable and high quality data provision & -delivery to ensure
    sustainable commercial use (SLAs and CC)

•   Use full potentials & benefits by going the Linked Open Data (LOD) way

•   Develop products & cost models along the Open Data value chain

•   Transform existing- and innovate new business models in the sector

•   Support for a sustainable Open Data Business by politics throughout
    relevant measures of funding and / or PPPs et al.



                                                                                     22
Outreach: Open Data Business 2012

New EU Public Sector Directive (PSI) is on the way
•   Open Up data & Information of Libraries, Museums & Archives
•   Obligation for pro-active data publishing instead publish on request
•   Obligation for a national neutral independent regulatory body
•   Provision of all data & information in machine-readable formats
•   Principle of marginal costs & transparency of calculation of charges & fees
•   PSI Directive as a central instrument of the open data policy of the EC

OGD BusinessDay 2012: Open Data (&) Business, 22.03. 2012, Vienna
Information & Registration: http://ogdb.eventbrite.com/

European Data Forum 2012, 6-7 June12, Copenhagen, DK, http://data-forum.eu

OGD2012 Conference, Linz, Austria, 26.06. 2012, http://www.ogd2012.at

Infos & Mailinglists:
Open Data & Business (EN): http://lists.okfn.org/mailman/listinfo/ogd-business
OKFO / OGD Austria (DE): http://opendata.at/okfo


                                                                                  23
David Eaves Centre for the Study of Democracy, Canada



„
Words to every OGD advocate:


Building an Open Government
Data Infrastructure is like
building a electric power grid. It„s
hard to measure it„s impact on
society and on economy, but it is
evident that there is one.


                                     “
                                                                24
Infos & Kontakt

                              Martin Kaltenböck, CMC
                              Semantic Web Company GmbH (SWC)

                              Lerchenfelder Gürtel 43
                              A-1160 Wien




Semantic Web Company (SWC)                    LOD2            Open Knowledge Forum
                                     Creating Knowledge out      Austria (OKFO)
Web                                    of Interlinked Data
http://www.semantic-web.at
http://blog.semantic-web.at          Web                      Web
                                     http://www.lod2.eu       http://gov.opendata.at
m.kaltenboeck@semantic-web.at        http://blog.lod2.eu

Phone: +43-1-402 12 35–25            http://data-forum.eu


                                                                                   25

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Open Data Business Introduction & Basics

  • 1. Open Data Business Introduction & Basics 22.03.2012, OGD BusinessDay2012, RTR - Vienna Martin Kaltenböck, CMC Managing Partner & CFO, Semantic Web Company (SWC) @semwebcompany @lod2project TODAY: #ogdb2012 These slides are published under : http://creativecommons.org/licenses/by/3.0
  • 2. Agenda Introduction Open Government & Open Data Overview of Open Data Activities EU / EC and Austria Open Data (and) Business Relevant fields of economy, business requirements & models Summary & Outreach Open Data Business in 2012 2
  • 3. Introduction Open Government and Open Data Grafik: openchandler.org
  • 4. Where it really started! © Semantic Web Company – http://www.semantic-web.at/ 4
  • 5. What is Open Government? 5
  • 6. Open Government and Open Data Some of the most important enablers for Open Government are free access to information and the possibility to freely use and re-use this information (e.g. data, content, etc). After all, without information it is not possible to establish a culture of collaboration and participation among the relevant stakeholders. Therefore, Open Government Data (OGD) is often seen as a crucial aspect of Open Government. 6
  • 7. What is Open Government Data? Open Government Data (OGD) is a worldwide movement to open up data (& information) of the government / public administration* - that is NOT personal (individual related) – in human- and maschine readable open formats (non proprietary) for use & re use! OPEN stands for lowering the barriers to ensure as broad as possible re-use (for everybody)! There is a new paradigm in publishing Government Data = look, take and play! * ….. data and information produced or commissioned by government or government controlled entities 7
  • 8. Principles of Open Government Data http://sunlightfoundation.com/policy/documents/ten-open-data-principles/ 1. Completeness 2. Primacy 3. Timeliness 4. Ease of Physical and Electronic Access 5. Machine readability http://www.opengovdata.org/home/8principles 6. Non-discrimination 7. Use of Commonly Owned Standards (e.g. open formats) 8. Licensing Finally, compliance must be reviewable. PLUS: Sunlight Foudation, August 2010: 9) Permanence 10) Usage Costs 8
  • 9. 5 Stars for Open Data by Tim Berners Lee 9
  • 10. Open (Government) Data in the EU, in Austria Grafik: openchandler.org
  • 11. Open (Government) Data in Europe Outreach EC Activities 20. 10. 2011, OGD Camp 2011 Warsaw - http://blogs.ec.europa.eu/neelie-kroes/tag/open-data/ • June 2012 – Launch of EC Open Data Portal (Data & I’ve said before that I’m a big fan of open data. Opening up public data will get citizens involved Information of EC departments) in society and political life, increase the transparency of public administration, and improve public decision making. Those benefits cannot be overestimated. And public data can be used in many unexpected ways, too: as the father of the Internet, Tim Berners-Lee, put it: “if people put data onto • 100 Mio Euros for Open Data related acticities in EC the web… it will be used by other people to do wonderful things in ways that they never would have imagined”. funded R&D projects There’s a huge amount of money here, and a huge amount of opportunity. I want to see Europe at the forefront of this development. So I‟m going to be taking action to open up Europe‟s public • 2013 – Launch of a Pan-European Data Portal sector, by promoting creative and innovative re-use of public data. (Single Point of Access to Open Data of EU27) 11
  • 12. Best Practise: data.gov.uk Source: Open Data Blog ZEIT: http://bit.ly/pwXtBz 12
  • 13. Open Government Data in Austria What happened so far • Open Government Data is a BLSG Topic (Bund, Länder, Städte, Gemeinden) • Open Data is on KIG priority list (Kompetenzzentrum Internet Gesellschaft) • Data Portal of the City of Vienna since May 2011 • Data Portal of the City of Linz since Oktober 2011 • Cooperation OGD Austria since Juli 2011: Recommendations for Open Data in Austria BUT: What is still missing in Austria (Federal Chancellery, Cities of: Vienna, Linz, Graz, Salzburg, plus: OKFO (Open Knowledge Forum Österreich) & intense exchange with IOÖ). • is a commitment on 1st set of recommendations published by Cooperation OGD Austria Outreach highest political level!! • 1st OGD BusinessDay in 2012 – focus: use of data – http://ogdb.eventbrite.com • National Open Data Porta: Pre-launch April 2012, Launch 2012 • OGD2012 Conference on 26 June 2012 in Linz – http://www.ogd2012.at • Cities of Graz & Salzburg will launch their Open Data Portals soon 13
  • 14. Open Data (and) Business Grafik: openchandler.org
  • 15. Open Data Business - Sectors Public Sector NPO & NGO Private Sector Data Integration (BI, MI, Data Warehouse) • Example: Industrial Facilities: competitive advantage by market intelligence solutions • Example : Media & Publishing: cost savings through automated data enrichment • Example : Real Estate: better information on properties (direct access to cadastre data) • Example : Transport / mobility (real time information): better occupancy rates Applications (APPS) • Direct revenues through license fees for data re-use • Direct tax revenue through new job creation, better economic development • Direct revenues for the economy on top of better & innovative products & services Data Enrichment • Sale of enriched data on top of open data • Enrichment of data by meta data (increase in value of data) • Converter services for harmonised data formats (ETL, Data Integration Services) Data Visualisation & -analysis Services • Services in the fields of data analysis and data visualisation Infrastructure • Cloud services • SLAs for enterprise data management Open Data Innovation • Open Innovation via crowd sourcing mechanisms • Open Innovation via mass customisation 15
  • 16. Business Modells along Content Production Source: Studie amt24.de Technol. Acquisition Production Packaging Distribution Production Purchase of Text Production of Text Selection of Products Printing Distribution Purchase of Media Production of Media Editorial Enrichment Provision of broadcasting Broadcasting Acquisition Advertisement Positioning Advertisement Value Chain in the Media Industry of Wirtz Technol. Acquisition Production Packaging Distribution Production External assignment of Internal data Standardisation, Technical Infrastructur Data Portal data collection & creation Collection & creation conversion, metadata along end user needs Visualisation for distribution Analysis Value Chain of Linked Open Government Data in public administration following Wirtz Interfaces & API 16
  • 17. Linked (Open) Data Value Chain by Latif et al., TU Graz 17
  • 18. Stakeholder WS: Economy/Industry Discussed topics • Data: types, scale, apps • Expolitation and business models • Data quality & accessability Most important statements (overview) • Central register needed (at least for basis data) • Standards for data, meta data and interfaces • Only free data enables innovation • Data quality evaluated and marked • Costs for detail granularity possible e.g. SLAs • Marginal costs as a basis for cost models • Comparability of data from several sources • Very important are georeferencing • Classification of data is important • Develop licenses for all public departments ©2011 Semantic Web Company -http://www.semantic-web.at 18
  • 19. LOD – Huge Economic Potentials Data have swept into every industry and business function and are now an important factor of production, alongside labor and capital. Harnessing big data in the public sector has enormous potential, too. If US health care were to use big data creatively and effectively to drive efficiency and quality, the sector could create more than $300 billion in value every year. Two-thirds of that would be in the form of reducing US health care expenditure by about 8 percent. In the developed economies of Europe, government administrators could save more than €100 billion ($149 billion) in operational efficiency improvements alone by using big data, not including using big data to reduce fraud and errors and boost the collection of tax revenues. And users of services enabled by personal location data could capture $600 billion in consumer surplus. http://www.mckinsey.com/mgi/publications/big_data/index.asp 19
  • 20. Cost of Data Integration – 2 Approaches Why LINKED Open Data??? Source: Price Waterhouse Coopers – Technology Forecast, Spring 2009 20
  • 21. Summary & Outreach Open Data Business Grafik: openchandler.org
  • 22. Summary: Open Data Business 2012 What are the next steps in 2012?! • To build awareness in Austrias economy for Open Data Business (Enterprises, SMEs, EPUs, NGO & NPO, Associations) • Reach critical market size through national & international Open Data networks (Data Interchange) • Create models for stable and high quality data provision & -delivery to ensure sustainable commercial use (SLAs and CC) • Use full potentials & benefits by going the Linked Open Data (LOD) way • Develop products & cost models along the Open Data value chain • Transform existing- and innovate new business models in the sector • Support for a sustainable Open Data Business by politics throughout relevant measures of funding and / or PPPs et al. 22
  • 23. Outreach: Open Data Business 2012 New EU Public Sector Directive (PSI) is on the way • Open Up data & Information of Libraries, Museums & Archives • Obligation for pro-active data publishing instead publish on request • Obligation for a national neutral independent regulatory body • Provision of all data & information in machine-readable formats • Principle of marginal costs & transparency of calculation of charges & fees • PSI Directive as a central instrument of the open data policy of the EC OGD BusinessDay 2012: Open Data (&) Business, 22.03. 2012, Vienna Information & Registration: http://ogdb.eventbrite.com/ European Data Forum 2012, 6-7 June12, Copenhagen, DK, http://data-forum.eu OGD2012 Conference, Linz, Austria, 26.06. 2012, http://www.ogd2012.at Infos & Mailinglists: Open Data & Business (EN): http://lists.okfn.org/mailman/listinfo/ogd-business OKFO / OGD Austria (DE): http://opendata.at/okfo 23
  • 24. David Eaves Centre for the Study of Democracy, Canada „ Words to every OGD advocate: Building an Open Government Data Infrastructure is like building a electric power grid. It„s hard to measure it„s impact on society and on economy, but it is evident that there is one. “ 24
  • 25. Infos & Kontakt Martin Kaltenböck, CMC Semantic Web Company GmbH (SWC) Lerchenfelder Gürtel 43 A-1160 Wien Semantic Web Company (SWC) LOD2 Open Knowledge Forum Creating Knowledge out Austria (OKFO) Web of Interlinked Data http://www.semantic-web.at http://blog.semantic-web.at Web Web http://www.lod2.eu http://gov.opendata.at m.kaltenboeck@semantic-web.at http://blog.lod2.eu Phone: +43-1-402 12 35–25 http://data-forum.eu 25