Vodacom Strategic Analysis 2007 Vodacom case study: Open Innovation Innovation Festival, 8 March 2010 Maruis Conradie EHOD...
Agenda <ul><li>The Vodacom innovation ecosystem </li></ul><ul><li>Vodacom’s approach to open innovation and collaboration ...
Vodacom Group Innovation ecosystem New Revenue Streams Vodacom Ventures: Buy equity, mainly in start-ups Buss Dev; M&A: Bu...
Why is open innovation important for Vodacom ? Mobility / range vs throughput New digital value chains Mobility, outsourci...
Emerging Market focus <ul><li>Europe </li></ul><ul><li>Africa </li></ul>©US/A Roux 2009 Age distribution trends in Europe ...
Emerging market needs and adoption  are unique and require local solutions
Open Innovation take different forms in various parts of “The long tail” Source: NSN and Vodacom Group Strategy Collaborat...
VEMCI approach to collaboration <ul><li>Networking </li></ul><ul><li>Coordinated access to Vodacom resources: VodacomInnov...
VEMCI ecosystem and focus areas: Linking Vodacom assets and innovation initiatives  with all external stakeholders mCommer...
Vodacom Experience centre and Test lab:  To create an internal environment where Vodacom can experience future technologie...
Open Innovation & Collaboration Fast-track Prototyping “Plug & Play” environment The Experience Centre, Test Lab and VF Be...
Vodacom Strategic Analysis 2007 THANK YOU! [email_address] VodacomInnovation.co.za Vodacom.co.za/cdpd
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M Conradie Vemci Presentation 8 March 2010

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  • Generation X Born late-1960s to 1980s; now in their 20s and 30s SA: 2005 15.41m ≈ 30% of population Millennial generation/ Generation Y Born 1990s and 2000s; now children and teens SA: 2005 21.2m ≈ 45% of population ! Influenced in their youth by Global village 9/11, global terrorism, protectionism Internet and cell phones
  • M Conradie Vemci Presentation 8 March 2010

    1. 1. Vodacom Strategic Analysis 2007 Vodacom case study: Open Innovation Innovation Festival, 8 March 2010 Maruis Conradie EHOD: Group Strategy & Innovation
    2. 2. Agenda <ul><li>The Vodacom innovation ecosystem </li></ul><ul><li>Vodacom’s approach to open innovation and collaboration </li></ul><ul><ul><li>V odacom </li></ul></ul><ul><ul><li>E merging M arket </li></ul></ul><ul><ul><li>C ollaborative </li></ul></ul><ul><ul><li>(open) I nnovation </li></ul></ul><ul><li>VEMCI initiatives </li></ul><ul><ul><li>Stakeholders and Focus areas </li></ul></ul><ul><ul><li>Experience Centre and enablers </li></ul></ul><ul><ul><li>Vodafone Betavine </li></ul></ul><ul><ul><li>Vodafone Betavine Social eXchange </li></ul></ul>
    3. 3. Vodacom Group Innovation ecosystem New Revenue Streams Vodacom Ventures: Buy equity, mainly in start-ups Buss Dev; M&A: Build/ Buy larger companies Prod Dev: Internal Innovation Mobile ICT services Collaboration Network for emerging markets (VEMCI) Incubation Hub Non-traditional external services Niche Centres of Excellence Coordination of Vodacom innovation ecosystem Technology strategic planning Vodacom and Vodafone R&D Technology Architectures Test Networks with suppliers Experience Centre Plug & Play environment
    4. 4. Why is open innovation important for Vodacom ? Mobility / range vs throughput New digital value chains Mobility, outsourcing and ICT convergence creates an “Information cloud” with unique new service opportunities Source: NSN and Vodacom Group Strategy
    5. 5. Emerging Market focus <ul><li>Europe </li></ul><ul><li>Africa </li></ul>©US/A Roux 2009 Age distribution trends in Europe and Africa
    6. 6. Emerging market needs and adoption are unique and require local solutions
    7. 7. Open Innovation take different forms in various parts of “The long tail” Source: NSN and Vodacom Group Strategy Collaboration Crowd Sourcing R&D / Outsourcing Broadband SaaS Digital Supermarket Business model involves: Suppliers and Vodacom Core services ( ~ 20 ) Partner services ( 20 - 100 ) Marketplace services ( > 100 ) Revenue / service Total Revenue Voice Business services SMS / MMS / IM M-Health Community Services Widgets M2M Web 2.0 mCommerce Infotainment APIs Applications Enablers
    8. 8. VEMCI approach to collaboration <ul><li>Networking </li></ul><ul><li>Coordinated access to Vodacom resources: VodacomInnovation.co.za </li></ul><ul><li>Leverage Vodacom infrastructure & support services </li></ul><ul><li>Strategic approach to drive synergies across Vodacom companies </li></ul><ul><li>Manage Centres of Excellence (CoE’s) with partners and academia </li></ul><ul><li>Allow flexibility for different supplier, partnering, equity options per case </li></ul><ul><li>Co-develop Business models; Proof of Concept; Pilots; Business case </li></ul><ul><li>Provides initial incentive & flexibility to JV partners, as well as exit strategy </li></ul>
    9. 9. VEMCI ecosystem and focus areas: Linking Vodacom assets and innovation initiatives with all external stakeholders mCommerce Web 2.0 telemetry
    10. 10. Vodacom Experience centre and Test lab: To create an internal environment where Vodacom can experience future technologies in the concept phase <ul><li>Experience Centre </li></ul><ul><li>± 50m2 in Techno Park, Midrand </li></ul><ul><li>Leading edge technologies </li></ul><ul><ul><li>Test Lab in Basement </li></ul></ul><ul><ul><li>Data Network </li></ul></ul><ul><ul><li>Core Network </li></ul></ul><ul><ul><li>RAN </li></ul></ul><ul><ul><li>Servers </li></ul></ul>
    11. 11. Open Innovation & Collaboration Fast-track Prototyping “Plug & Play” environment The Experience Centre, Test Lab and VF Betavine (employees & opt-in social networking communities) made available to VEMCI & 3 rd parties with venture capital support
    12. 12. Vodacom Strategic Analysis 2007 THANK YOU! [email_address] VodacomInnovation.co.za Vodacom.co.za/cdpd
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