Current Internet Trends: Where is money?

Current Internet trends:Where is the money?Maxon Pugovsky, Microsoft Ukraine, IDCEE 2011

Mobile Apps market 30 25 500 000+ 20 300 000+ 15 35 000+ $25B 10 In 1 year: 5 • Android #1 $6,8B • WP #3, overpassing 0 BlackBerry and Ovi markets 2010 2015Sources: MarketsandMarkets; InformationWeek; Distimo

Games is the most popular category! • 83 000+ in Apple App Store with average price $1,04 • 70-80% of downloads • Only 4% of apps feature in-app purchase but they • 20% of game gain developers get 97% of 76% of revenue! revenue • 50% of games earn less than $3 000 in lifecycleSources: 148apps.biz; Distimo; Appolicious; Mashable

It’s a gold rush! OvercrowdedTo get rich in a goldrush sell pickaxes! Fragmented 2 years timeframe for entranceThe money is here:Create middleware, frameworks, constructionsets, analytics, ad networks, etc. for mobile.

Bring experience beyond mobile devices• Mobile is a must for any web service.• Make data accessible on any device.

The social network • 800M users • 350K registered at developers forum • 180K jobs worth $12B in salaries were created in 2011 in the US by Facebook Application Platform You know what is cool?Source: Atelier.net

Other social networks with apps • Tencent’s QQ and Qzone – 800M • Vkontakte.ru – 100M • Netlog.com – 70M • Odnoklassniki.ru – 45M • Naszs-Klasa.pl – 14M 14 communities with 100M+ usershttp://en.wikipedia.org/wiki/List_of_virtual_communities_with_more_than_100_million_usershttp://en.wikipedia.org/wiki/List_of_social_networking_websites

Games and virtual goods • 20% of Americans played social games; 35% of them never played games before. • 28% US & UK players paid real money for virtual goods and currency • 230M play in Zynga games monthly But can you beat Zynga, Playdom (EA Games, $400M), Playfish (Disney, $763M) and others?Sources: Insidevirtualgoods.com, Mashable.com

Think beyond games: SMM! • 80% of the US companies with 100+ employees use SMM • $3B out of $31B of online advertising in the US in 2011. • Companies & agencies additionally spend on technology. The money is here: Build tools for companies and agencies to facilitate SMM activities: Facebook apps, monitoring, social CRM, posting & moderating, integration of social platforms, analytics, etc.Sources: eMarketer, CickZ

Weather forecast: cloudy • From $25B in 2011 to $160B in 2020. • New jargon: – SaaS: software as a service – IaaS: infrastructure – PaaS: platform – BPaaS: business process • 30% of Ukrainian companies will use cloud services in 2015 – survey at Microsoft partner conferenceSources: Zdnet, Microsoft Ukraine

What is going on?• Enterprise IT- infrastructure & applications move online and to “private clouds”• Why companies migrate: – Less capital costs and optimized operational cost – “pay as you go” – Scalability at peak moments – Accessibility from anywhere – Increase of business efficiency and employees productivity

The money is here: Develop for the cloud• Help enterprises move to the cloud.• Tools for migration between cloud environments.• Applications for cloud marketplaces like Windows Azure App Fabric. Etc.

The ultimate secret of success

Contacts Thank you!Maxon Pugovsky, Online Marketing Managera-mapugo@microsoft.com@max0nmaxon.com.ua

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Current Internet Trends: Where is money?

by Maxon Pugovsky on Nov 27, 2011

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