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Internet of NO Things - Demos Effect

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Roope Mokka's presentation on Internet of NO Things at an IOT -breakfast seminar hosted by Demos Effect and Dottir.

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Internet of NO Things - Demos Effect

  1. 1. WELCOME TO INTERNET OF NO THINGS
  2. 2. Internet of NO things?
  3. 3. When is the last time that you watched your mobile phone?
  4. 4. We look at our phone every 6th minute
  5. 5. every 6 minutes
  6. 6. In ten years time we will never look at our phones.
  7. 7. WHY INTERNET OF NO THINGS IS HAPPENING?
  8. 8. 5MB
  9. 9. 64000 MB
  10. 10. There is tech worth hundreds of thousands in ANY smartphone.
  11. 11. Size Price Functio- nalities
  12. 12. Same time as the size and prize of computing devices drops their functionalities increase. Eventually this leads to a hyperconnected planet. THE LAW OF HYPERCONNECTED PLANET
  13. 13. Smart Environments Personal Computers Smart Phones Smart Watches Wearables ”Smart dust” Nearables Mainframe computers Size&Prize Functionalities Laptops THE LAW OF HYPERCONNECTED PLANET
  14. 14. Smart Environments
  15. 15. 1st phase Everything electric is connected 2nd phase Everything man-made is connected 3rd phase Everything is connected
  16. 16. Bits and atoms are joining already and its creating a lot of value. Already. Uber ≈ 40 Airbnb ≈ 16 billion valuations
  17. 17. Technically three fundamental changes: 1. Applications run directly on the network 2. The network is smart, even intelligent, learning and predictive 3. The network is everywhere, the planet hyperconnected?
  18. 18. This is a horrible future!
  19. 19. This is a wonderful future!
  20. 20. “Right to security, right to health, right to learning. All these three change fundamentally through technology services.” – Risto Siilasmaa, Chairman of the Board, Nokia
  21. 21. MEANWHILE IN WORLD FAMOUS BUSINESS ECOSYSTEMS
  22. 22. Silicon Valley 51 new tech companies launched every month 15,931 self-identified “angel investors” in 2014 $118,949: average salary for a Google software engineer $37,800: average salary startup founders pay themselves +62% change in the price of San Francisco office space since 2009 Silicon Valley
  23. 23. Amazon dominates the market by creating new services on platform and selling to consumers with extremely thin margins. The services can be sold forward as a web services to other businesses. Daily 1/3 of all internet users visits websites built upon Amazon Web Services. Tesla releases its technology patents to be used by anyone. By opening the patents, Tesla attracts and motivates talented employees and accelerates the advancement of electric cars for sustainable transport. Slack allows all sorts of applications to be integrated to it messaging platform, making it an indispensable companion of a digital era employee. It is a fast-growing messaging software, which allows teams within an organisation and across organisations to chat with each other and share information. The skyrocketing popularity of Slack is to a large extent due to its seamless platform nature.
  24. 24. Silicon ValleyWhat do these companies have in common?
  25. 25. Silicon Valley They all exploit the special features of the Silicon Valley ecosystem ! Strong interaction and mobility across company boundaries ! Culture with willingness to experimentate and tolerate risks ! Wide talent pool with a unique openness—highly skilled, motivated and multicultural founders.
  26. 26. Beijing Nearly half of the startups in China are based in Beijing +800 companies are situated in Beijing Includes Xiaomi, Baidu, China Unicom, ATA, Sohu.com, UTStarcom, JD.com, MIUI, Qunar.com, LeTV, Ku6, 36Kr, and Didi Chuxing +13,000 angel investors investing to Beijing Sources: http://www.iamwire.com/2015/09/ china-6-hottest-startup-hubs/119267
  27. 27. JD.com invests in companies JD.com’s rivals Alibaba, Baidu and Tencent are all investing heavily in this area to drive users to their platforms. Didi Chuxing’s caters the Chinese with any class of urban transport needed from taxi- hailing to chauffeur and ride-sharing services without owning any fleets itself. The latest addition to its platform is an online bus-booking for commuters, providing an alternative to public buses and subways. The company uses shuttles that sit idle at travel agencies and car rentals to cover predetermined routes. LeEco Group heads the concept of 'ecosystem' products. It is building a "Le Ecosystem", an online platfo with content, devices and applications. LeEco’s businesses span from Internet TV, smart gadgets, e-commerc eco-agriculture and Internet-linked electric cars to film production.
  28. 28. What do these companies have in common?
  29. 29. Beijing They all exploit the special features of the Beijing ecosystem ! Biggest market with little competition from incumbents. ! Authorities channel government money to technology districts as regional competition of new businesses is fierce. ! Real estate firms foster startups by creating shared office space with flexible leasing periods.
  30. 30. SHOULD WE EVEN COMPETE WITH THEM?
  31. 31. YES WE SHOULD In the last 10 years, Nordic based startups have accounted for almost 10 % of the biggest startup exits in the world. In other words, we have the highest ratio of over billion USD exits to GDP. Source: http://www.creandum.com/nordic-tech-is-on-fire-almost-10-of-all-busd-exits-last-10-years/
  32. 32. YES WE SHOULD Just in Q1 of 2016, $1.36 billion (USD) was invested through 156 investments into Nordic startups. Excluding Spotify ($1 bn debt round), Finland raised the most investment funding in Q1 of 2016 ($112.5 million). Source: http://www.thenordicweb.com/blog/the-q1-2016-nordic-funding-analysis
  33. 33. How many of the over billion USD startups do you think were bought by the biggest companies in the Nordics? Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia
  34. 34. None. Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia
  35. 35. Is it worrying? Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia
  36. 36. Yes. Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia
  37. 37. Why? Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia
  38. 38. Statoil Nordea Møller-Maersk Volvo Ericsson DNB SEB Handelsbanken TeliaSonera Telenor Fortum Novo Nordisk H&M Danske Bank Sampo Group Norsk Hydro Atlas Copco Carlsberg Group Nokia Its no longer about individual products or services in the market. Its about platforms for services and product architectures.
  39. 39. According to our studies there are six emergent business models arising from internet of NO things 1.Smarter products and companies 2.Real-time directed resources 3.Resource efficiency 4.Data commercialization 5.X-as-a-service models 6.Platforms
  40. 40. Marketplace platforms Cooperative farming Sharing goods Charity marketplace platforms Lending Ridesharing – hitchhiking Carsharing Grocery delivery Swapping P2P task sharing / outsourcing Bikesharing Shipping and deliveries Digital service innovation Crowdfunding Co-creation platforms Space use optimisation Space rentals Workspace sharing Digital marketplace platforms Social cooking Software Data management Energy source substitution Turnkey solutions Natural & bio gas Biofuels Replacement of own needs Biofuels, geothermal heat, windpower Smart products Data collection & analysis IoT Smart systems for growing food Ingredient optimisation Need based optimisation No waste cooking Smart homes & smart cities Gamification Source based optimisation Digital services Smart vehicles Smart routing Smart metering Energy management Carbon management Home automation Turnkey solutions Upgrading Tuning Recycling technologies Repairing Smart metering Solar energy production Decentralized energy Project financing Reusable packaging and shipping materials Technical innovation Turnkey solutions Recycling nutrients Product innovation Circular economy solutions Water cleaning solutions Accessories from recycled materials Leasing Modular consumer electronics Waste management Consulting Return and buyback incentives Cloud mobile services Fundraising platforms Incentive schemes for shopping Health optimisation Virtual services Gamification Nudging & self help Product innovation Substitution of ingredients Digital services Online food shopping Technical product innovation Virtual services for product development Nudging and self-help All in one app for mobility Turnkey solutions for EV management And hundreds of ways of getting to the model
  41. 41. Big Questions for a hyperconnected era: 1. Who owns the users and providers on the dominant platform? 2. What platform are you on? 3. What kind of platform are you? 4. What do you have to offer that US and Chinese companies do not have? Demos Effect is happy to help you answer these better than your competitors are answering them.
  42. 42. Roope Mokka Twitter: @mokka roope.mokka@demoseffect.com nakedapproach.demoshelsinki.fi Thanks!

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