The Network Effect - Open Source and the Internet Of Things - Helsinki Keynote

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The Network Effect - Open Source and the Internet Of Things - Helsinki Keynote

  1. 1. The Network Effect: Open Source and the Internet of Things Michael Koster Scott McNeil Open Source Internet of Things
  2. 2. What is the Network Effect? • As the number of participants in a network increase, so do the number of connections • Each participant adds potential value • Each connection adds potential value • The total value potential of the network thus grows as an exponential function of the number of participants; Participants x Connections • This is the Network Effect
  3. 3. M2M Creates Value • Machine to Machine communication (M2M) creates value by connecting physical resources to software • Improved Manageability, Utilization, Predictive Maintenance • Conversion of Capital Assets to Managed Resources
  4. 4. Value Yet to be Created • M2M can be used to create the Network Effect with connected resources • As more physical resources are connected to software, they can potentially be managed as a single system • Thus realizing the Network Effect as the number of potential software management connections to each resource increases
  5. 5. We’re not going in the right direction • To date, M2M architectures have focused on Vertical Integration of the sensors, communication, and software • Resulting in highly efficient Silos, with dedicated services, proprietary gateways, and fragmented interfaces • Making it difficult, if not impossible, to realize the Network Effect
  6. 6. Today => Vertically Integrated Silos
  7. 7. Network Effect: IoT builds on M2M • Emerging M2M standards will make M2M more accessible and ubiquitous • But won’t fully enable the Network Effect • Broad Interoperability is needed to achieve the next level • Creation of exponential value with the Internet of Things by managing diverse resources together as single systems
  8. 8. Common Data Models and API
  9. 9. Open Horizontal Platform • Focus on Web Scale Interoperability • Common data models, event model, and REST API, supporting event-driven modular software running anywhere in the network • Enables the Network Effect; diverse resources managed as larger system • Disparate domains of manufacturing, automation, healthcare, transportation, global weather, home security, all brought together to create huge value networks
  10. 10. Open Source, Open Standards • Software Integrates vertical market segments and knowledge domains together • The Open Horizontal Platform will be used by everyone • The platform is no longer a differentiator • Permissive Open Source creates De Facto standards that are by nature free of royalty and license restrictions, usable by everyone
  11. 11. Like the Internet and the Web • The Internet and the WWW infrastructure is composed of open standards and open source reference implementations • Like the Internet, we want to insure fair and open access to the IoT by everyone • Like the Internet, we need to build the IoT together as a community • Asking for participation from Industry, Research, Standards bodies, Developers, and Entrepreneurs in a Community Consortium to build the Open Horizontal Platform for everyone • OSIOT.org – The Open Source Internet of Things
  12. 12. The Open Horizontal Ecosystem

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