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Jalak Jobanputra : Web 3.0 Globalization of the Internet

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    • 1. WEB 3.0: THEGLOBALIZATION OF THE INTERNET Jalak Jobanputra /@jalak September 29, 2010
    • 2. THE EVOLUTION• The Analog World: Tech Creation Clusters, Exporters: Silicon Valley, Israel, Eastern Europe• Services outsourcing hubs: India, Ireland, Costa Rica, Eastern Europe• Web/Consumers: EVERYWHERE!• Broadband + Mobile + Econ Development = Ubiquity A GLOBAL WEB OF CREATION AND CONSUMPTION
    • 3. WORLD POPULATION
    • 4. GLOBAL INTERNET USE
    • 5. THE WORLD WIDE WEB 2010+• US accounts for only 13% of Internet users• 500M Internet users in India & China -- will add 700M MORE by 2015, generating revs of $80B in commerce, access fees, etc• Many countries leading usage models: Japan (gaming), Malaysia (digital media consumption, multitasking), India & Poland (mobile)
    • 6. BUSINESS MODELS• Multinationals have learned to localize• Consideration: create economies of scale but adapt to each market (Walmart example)• Copycats = can get acquired or scale, disruptive to local markets (Baidu, local eBays and Groupons)• Demand for New Services = local to global (LG in India)• New business models = disruptive to global markets (Twitter)• Non US investors investing: Ooyala raised $$ from CID (Shanghai) and ITOCHU (Tokyo); Digital Sky Technologies
    • 7. THE CONSIDERATIONS• Size of Market• Administrative: Legal Fees, Tax, Logistics, Corruption• Human Capital -- availability, policies• Bandwidth, hardware costs, infrastructure• IP protection -- pirated options lead to price competition• Adaptation/Uniqueness of Market -- content creation costs, payment options• Consumer preferences and behavior -- role of influencers, pricing, design• “Smart” Capital• Government Policies/ Stability
    • 8. FACEBOOK• Translated into 100 languages• Over 70% non US• Triple YOY growth in Mexico• Recently overtook Orkut in India• Establishing local offices worldwide to follow user growth and learn usage patterns
    • 9. TWITTER• 60% non US registered users• Fastest growth in South America, following Spanish language version in November 2009• Asia, Italy, Russia, Spain also posting strong growth (World Cup effect?)• US down as % month to month (was 62% beginning 2010)
    • 10. USAGE MODELS OF THE FUTURE: WEB 3.0 +• The Social Consumer AND Social Enterprise• Mobile as Default Platform• Continued growth in BRICs• Frontier markets in Africa, Turkey, SE Asia• Sectors: FinServe,Healthcare, Education, Agriculture, Gov’t• Content Creation/Consumption