TEEMU KURPPA
teemu@huikea.com

Mobile startups
Why to focus on mobile?

1. Mobile apps
2. Mobile payments
3. Web

1. Mobile apps
Finally possible
2. Mobile payments
3. Web

1. Mobile apps
Finally possible
2. Mobile payments
The gist
3. Web

1. Mobile apps
Finally possible
2. Mobile payments
The gist
3. Web
New business models?

1. Mobile apps
Finally possible

Mobile Focus shifted Web

Negotiating with operators
is time not spent
with users
Really bad for a small startup

iPhone changed
the game

Why iPhone matters?
Sold units
S60 140M

Why iPhone matters?
Sold units
S60 140M
iPhone 20M

Why iPhone matters?
% flat-rate
Sold units data plan
S60 140M × 0.20
iPhone 20M

Why iPhone matters?
% flat-rate Potential
Sold units data plan customers
S60 140M × 0.20 = 28M
iPhone 20M

Why iPhone matters?
% flat-rate Potential
Sold units data plan customers
S60 140M × 0.20 = 28M
iPhone 20M × 1.00

Why iPhone matters?
% flat-rate Potential
Sold units data plan customers
S60 140M × 0.20 = 28M
iPhone 20M × 1.00 = 20M

Why iPhone matters?
% flat-rate % knows Educated
Sold units data plan about apps customers
S60 140M x 0.20 x 0.10 = 3M
iPhone 20M x 1.00 x 0.50 = 10M

App Store,1B downloads since 2008
GetJar, 460M downloads since 2004

A distribution
solution

for both users and publishers

1000 million apps installed

1000 million apps installed
30 million devices

1000 million apps installed
÷
30 million devices
=
33 apps in every device

40 000 apps published

2. Mobile payments
The gist

Premium SMS
30-50% of price to operators
Stupid but not the real problem

Premium SMS
The problem is tens of
operators
middlemen
country-specific rules
monthly fees

Premium SMS
Really bad for a small startup
targeting global markets
with a yet unproven idea

A payment
solution

for both users and publishers

Some money to be made
Koi Pond
900k downloads
in 9 months
0.99$ Zen Bound
100k downloa
in 3 months
3.99$
Blue Skies
55k downloads
in 6 months
2.99$

Hit-driven
Sustainable?
Scalable?

iPhone OS 3.0
in-app purchases

buy books in e-book reader
buy a timetracking feature to your loved ToDo-app
buy a virtual birthday card
buy a new level for a game
buy a subscription to a quality business podcast

3. Web
New (old) business models?

Web
URL is a superior distribution model

Web
Good payment solutions still missing

What if?
Typical transaction
in your web service
is 0.99$?

What if?
JavaScript APIs
to App Store
payment system?

What if?

What if?

Q&A
TEEMU KURPPA
teemu@huikea.com
slides soon: dirtyaura.org/blog