The Emergence of Digital & Social Media On Mobile PlatformsRandy GiustoPresented at MIT Sloan MoMITNovember 9, 2009© 2009 NewDigitalCafé and Randy Giusto

AgendaCommunications- The Old vs. New WayMobile− a Strategic PlatformChallenges and OpportunitiesInnovationToday’s Funding Environment© 2009 NewDigitalCafé and Randy Giusto

Communications- The Old WayFrom Batch (email) to Two-Way (IM) and Video Chat© 2009 NewDigitalCafé and Randy Giusto

Communications- The New Way Social Media“What people are into!” − Jonathan Miller, News Corp110m active users Lost #1 spot to Facebook this yearLOV down from 25 min to <10 min− Compete 8m artists and bandsTransforming into an entertainment portal© 2009 NewDigitalCafé and Randy Giusto

“What people are into!” − Jonathan Miller, News Corp

110m active users

Lost #1 spot to Facebook this year

LOV down from 25 min to <10 min− Compete

8m artists and bands

Transforming into an entertainment portal

Communications- The New Way Social Media1b+ videos streamed/day13 hrs of video uploaded/min.26.57 avg. age of uploader© 2009 NewDigitalCafé and Randy Giusto

1b+ videos streamed/day

13 hrs of video uploaded/min.

26.57 avg. age of uploader

Communications- The New Way Social Media350m subs/200m active (70% non-US)35+ = fastest demographic2b photos/mo.14m videos/mo45m active groups1m developers© 2009 NewDigitalCafé and Randy Giusto

350m subs/200m active (70% non-US)

35+ = fastest demographic

2b photos/mo.

14m videos/mo

45m active groups

1m developers

Communications- The New Way Social Media5B worldwide subscribersOnly 20% of traffic from Twitter.com5% users = 75% activity53% women 47% men© 2009 NewDigitalCafé and Randy Giusto

5B worldwide subscribers

Only 20% of traffic from Twitter.com

5% users = 75% activity

53% women 47% men

Communications- The New Way Social MediaBlogosphere133m indexed by Technorati since 200290K posts every 24 hrs.77% of web users read blogsTop 5: Huffington Post, Gizmodo, TechCrunch, Mashable, BoingBoing© 2009 NewDigitalCafé and Randy Giusto

133m indexed by Technorati since 2002

90K posts every 24 hrs.

77% of web users read blogs

Top 5: Huffington Post, Gizmodo, TechCrunch, Mashable, BoingBoing

Mobile− A Strategic PlatformA proliferation of connected CE and more capable mobile devices is occurring“The telecom space is over $1 trillion revenues – $460 billion touches Consumer Electronics today” - Accenture“2009 is the year of the smart phone and they’ll be 40% of T-Mobile Q4 sales, with the majority Android and BlackBerry.” T-Mobile USA CTO Cole Brodman100k apps in 15 mos./2b downloads125k developers50m devices soldRetain 30% of revenue10k apps in 2.5 mos.Devices launching all yearRetain 30% of revenue3k apps in 8 mos./31m consumer downloads65m devices soldRetain 20% of revenue© 2009 NewDigitalCafé and Randy Giusto

Mobile− A Strategic Platform20m+ active users access via mobileBlackBerry, iPhone, Android and 10 operators Mobile uploads up 400% first 6 days after iPhone 3GS launchMobile uploads up 1700% in 1H ‘0965m active users access via mobile180 operators in 60 countries deploying Facebook MobileMobile apps starting to explode across platformsBlackBerry, iPhone, Android, etc. © 2009 NewDigitalCafé and Randy Giusto

ChallengesOpen vs. closed debateEcosystem consolidation?Mobile analytics ≠ web analyticsMobile carnage− operators, disparate devices, figure out business model, deal with burn rateMeasuring ROI in social mediaMeasuring ROI in mobile apps© 2009 NewDigitalCafé and Randy Giusto

OpportunitiesAdvertising & AnalyticsWeb to MobileSustainabilitySocially ConsciousMicro PaymentsMobile Payments© 2009 NewDigitalCafé and Randy Giusto

Innovation© 2009 NewDigitalCafé and Randy Giusto

Innovation© 2009 NewDigitalCafé and Randy Giusto

Innovation© 2009 NewDigitalCafé and Randy Giusto

Innovation© 2009 NewDigitalCafé and Randy Giusto

Today’s Funding EnvironmentThe New RequirementsBusiness plan and PPT deckCustomers, which means revenue!Cash flow analysis and what-if scenarios beyond R1 & R2− How will you conserve cash?Then you may get the meeting with the VCExpect to be told to go build a distribution channelIf you need $5m you’ll get $2.5mMust show value, solution, disruptionPrepare to share− Carriers, ad networks, publishers, and the VCAngels can help you figure it out, VCs provide the thrust© 2009 NewDigitalCafé and Randy Giusto

ContactRandy GiustoManaging PrincipalNewDigitalCafé508-254-7975Twitter @randygiustoBlog http://newdigitalcafe.comwww.linkedin.com/in/randygiustorandygiusto@newdigitalcafe.com© 2009 NewDigitalCafé and Randy Giusto