Presentation To Seda Technology Programme


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The Commercialization of ICT Products and Services

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  • Presentation To Seda Technology Programme

    1. 1. Global Commercialization of ICT Products & Services
    2. 2. <ul><li>Globalization is the tendency of businesses, technologies, to spread throughout the world, or the process of making this happen. The global economy is sometimes referred to as a globality , characterized as a totally interconnected marketplace, unhampered by time zones or national boundaries – </li></ul><ul><li>How is the market place interconnected? </li></ul><ul><li>The Availability of Commercialized ICT’s </li></ul>
    3. 3. <ul><li>&quot;to run as a business&quot;, apply commercial methods to, and to engage in or make use of - mainly for profit&quot; </li></ul>
    4. 4. <ul><li>It's intense. It's competitive. It's fast. Let's face it: all of us need to get new or improved products and services to the market &quot;right now.&quot; </li></ul><ul><li>What does this mean? </li></ul><ul><li>We need to pay more attention to the process of commercialization--the link between a discovery in a lab, and the place where money changes hands--the marketplace. </li></ul><ul><li>First, let's define the commercial development function for commercializing Technology: it’s a profit-generating process for getting the right ICT product or service, using the right channels, to the right market, at the right price and time, and in the right manner </li></ul><ul><li>#107 from R&D Innovator Volume 3, Number 7 July 1994 </li></ul>
    5. 5. <ul><li>Point-of sale </li></ul><ul><li>customer facing systems </li></ul><ul><li>self service applications </li></ul><ul><li>intranets and e-commerce </li></ul><ul><li>Internet </li></ul><ul><li>This is the new world order of ICT </li></ul>
    6. 6. <ul><li>Product & Service Technologies – Tangibles </li></ul><ul><li>Process Technologies – invisible to consumer </li></ul><ul><li>Enabling Technologies – Supply Chain Management </li></ul>
    7. 7. <ul><li>Two facets of ICT </li></ul><ul><li>Infrastructure - first 25 years </li></ul><ul><li>Content – next 25 years </li></ul>
    8. 8. <ul><li>First, to read the marketplace and future trends, then contribute to the design of the company’s R&D and investment portfolio </li></ul><ul><li>Second, to recognize the commercial significance of discoveries made by the company's R&D department and by the general scientific community. </li></ul><ul><li>Third, to integrate the technical and commercial worlds with a keen awareness of the possibilities raised by cutting-edge technologies </li></ul>
    9. 12. <ul><li>Microsoft adopting a strong focus on Internet –deal with Yahoo </li></ul><ul><li>Google innovation – Google Chrome </li></ul><ul><li>Apple –iPod, still a strong competitor </li></ul><ul><li>Wireless/mobile communications </li></ul><ul><li>Telecoms forcing a change in business model of fixed/land line operator (Telkom/Neotel) </li></ul><ul><li>Apple Phone </li></ul><ul><li>Google Phone – HTC (latest development) </li></ul><ul><li>Where do all roads lead to? </li></ul><ul><li>Internet and communications </li></ul>
    10. 13. WORLD INTERNET USAGE AND POPULATION STATISTICS World Regions Population ( 2008 Est.) Internet Users Dec/31, 2000 Internet Usage, Latest Data % Population ( Penetration ) Usage % of World Usage Growth 2000-2008 Africa 955,206,348 4,514,400 51,065,630 5.3 % 3.5 % 1,031.2 % Asia 3,776,181,949 114,304,000 578,538,257 15.3 % 39.5 % 406.1 % Europe 800,401,065 105,096,093 384,633,765 48.1 % 26.3 % 266.0 % Middle East 197,090,443 3,284,800 41,939,200 21.3 % 2.9 % 1,176.8 % North America 337,167,248 108,096,800 248,241,969 73.6 % 17.0 % 129.6 % Latin America/Caribbean 576,091,673 18,068,919 139,009,209 24.1 % 9.5 % 669.3 % Oceania / Australia 33,981,562 7,620,480 20,204,331 59.5 % 1.4 % 165.1 % WORLD TOTAL 6,676,120,288 360,985,492 1,463,632,361 21.9 % 100.0 % 305.5 % NOTES: (1) Internet Usage and World Population Statistics are for June 30, 2008. (2) CLICK on each world region name for detailed regional usage information. (3) Demographic (Population) numbers are based on data from the US Census Bureau . (4) Internet usage information comes from data published by Nielsen//NetRatings , by the International Telecommunications Union , by local NIC, and other reliable sources. (5) For definitions, disclaimer, and navigation help, please refer to the Site Surfing Guide , now in ten languages. (6) Information in this site may be cited, giving the due credit to . Copyright © 2001 - 2008, Miniwatts Marketing Group. All rights reserved worldwide.
    11. 14. <ul><li>In April this year the labour department released the country’s first National Master Scarce List Skills </li></ul><ul><li>There is a critical shortage of 37565 ICT workers; ranges are as follows; </li></ul><ul><li>6 675 ICT managers </li></ul><ul><li>3 025 call / contact centre managers </li></ul><ul><li>710 ICT trainers </li></ul><ul><li>4 320 ICT sales professionals </li></ul><ul><li>5 555 ICT business and systems analysts </li></ul><ul><li>35 Multimedia specialists and web developers </li></ul><ul><li>6 185 Software and applications programmers </li></ul><ul><li>95 Database and systems administrators and ICT security specialists </li></ul><ul><li>6050 ICT network and support professionals </li></ul><ul><li>3 790 ICT and telecommunications technicians </li></ul><ul><li>1 125 ICT sales assistants </li></ul>
    12. 15. <ul><li>Has a broad background, numerous interests; is a generalist. </li></ul><ul><li>Is skilled in technology and business. </li></ul><ul><li>Is an integrative, independent thinker. </li></ul><ul><li>Knows global trends and uses that understanding to focus projects. </li></ul><ul><li>Thinks strategically and can link strategy to effective tactics. </li></ul><ul><li>Can differentiate &quot;critical&quot; from &quot;nice-to-know&quot; items, and focus appropriately. </li></ul><ul><li>Has imagination, can think in non-traditional terms. </li></ul><ul><li>Is optimistic, yet realistic. </li></ul><ul><li>Tolerates risk. </li></ul><ul><li>Is open to learning new things, meeting new people, seeing new places. </li></ul><ul><li>Listens well and has strong interpersonal skills. </li></ul><ul><li>Has credibility with multiple levels of management. </li></ul><ul><li>Can be persuasive and compelling. </li></ul><ul><li>Can recognize and recruit needed expertise. </li></ul><ul><li>Can obtain needed resources. </li></ul><ul><li>Knows how to build and motivate teams. </li></ul><ul><li>Can work in both structured and unstructured environments. </li></ul><ul><li>Is persistent and energetic. </li></ul><ul><li>Is a flexible team player. </li></ul><ul><li>by Sandra S. Donovan, Ph.D </li></ul>
    13. 16. <ul><li>Commercialization model and value-adding steps </li></ul><ul><li>Critical bridging activities for managing stakeholder interests, expectations, and support </li></ul><ul><li>Processes of technology transfer—within an organization or between organizations </li></ul><ul><li>Strategies and context </li></ul><ul><li>The role government can play to support and encourage commercialization </li></ul><ul><li>Technology Commercialization Assessments </li></ul><ul><li>Quicklook and In-Depth assessments • Assessments and incubation of new ventures </li></ul><ul><li>Technology Licensing Issues </li></ul><ul><li>• Ownership challenges • Publication vs. IP protection; Startups vs. licensing • Royalty policies, distribution of licensing revenue, etc. </li></ul><ul><li>Familiarity with the fundamental issues of the commercialization process, and understanding of the context in which technology assessments, venture planning and business planning are value-adding commercialization steps. </li></ul><ul><li>Knowledge of how to assess a technology for its commercialization potential. </li></ul><ul><li>Understanding of how a technology assessment process can be used to identify potential commercialization partners and to focus additional research and development </li></ul><ul><li>Understanding of basic technology licensing issues. </li></ul>
    14. 17. <ul><li>Paul Teich of AMD describes scenario analysis in developing roadmaps for product development. He also discusses the “Long Nose” concept and his first startup experience </li></ul><ul><li>Earned CS and MS in Science and Technology commercialisation </li></ul><ul><li>Worked for AMD then Dell then started up - Fracta Networks </li></ul><ul><li>Fracta looked how people can track information they think is important, store it persistently on the web, and share that knowledge with other folks. The intent was to save snippets of web sites and documents so if the web site or document disappeared you still had that bit that you thought was important captured persistently. </li></ul><ul><li>What was the business model </li></ul><ul><li>Back in 2000 there wasn’t a viable advertizing model </li></ul><ul><li>looked at subscription-based revenue </li></ul><ul><li>Our target was knowledge workers, so the customer, or at least the person who eventually paid our subscription fee, was a company. </li></ul><ul><li>Today, today we would use ad revenue model and skip the step of asking customers to ask their employers to reimburse them. </li></ul><ul><li>One of the issues systems like this face is privacy issues. As your system gathers information, at some point it learns significant things about customers. What can you ask them to let you monetize? What can you do and not do? </li></ul>
    15. 18. <ul><li>What happened to Fracta Networks? </li></ul><ul><li>It was funded in 1999-2000 primarily by Polaris and G51 just as the market was peaking. </li></ul><ul><li>As the market headed down we started looking for partners or a buyer. </li></ul><ul><li>We ended up selling Fracta to Chicago-based Divine Interventures as they changed their business model from VC to that of a product portfolio company. </li></ul><ul><li>I worked for Divine until shortly before their reorganization in 2002. </li></ul><ul><li>What is scenario planning. How does it work? </li></ul><ul><li>Tool for both envisioning and mitigating risk </li></ul><ul><li>All of the big new technologies and products for the next five years are already in the market today </li></ul><ul><li>The challenge for predicting the next big thing is that they have not yet reached critical mass and are therefore, for practical purposes, invisible. </li></ul><ul><li>I recently read a paper called the Long Nose of Innovation. It talks about the incubation of technology…immature products need refinement and nurturing. Most people see new products only after the incubation and refinement period, as they cross the chasm into larger, more visible customer bases </li></ul>
    16. 19. <ul><li>Found that futurists are on the “lunatic fringe.” </li></ul><ul><li>They are very excitable, they have incredible detail about stuff I’ve never heard of, and in general they don’t listen very well. </li></ul><ul><li>They know they are smarter </li></ul><ul><li>Look around, there are a lot of smart people who have bits of relevant information, knowledge and experience…and they are not only willing to help, they’re happy to help . </li></ul><ul><li>“ Bazaar” model as opposed to the “Cathedral” model </li></ul><ul><li>Microsoft and Oracle are examples of companies building isolated, monumental, proprietary pieces of software similar to a ‘cathedral’ while the open source movement treats software more as a ‘bazaar’ where development is a collaborative project among many differently motivated people. </li></ul><ul><li>We looking for – fundamentally uncertain events, uncertainties because they are areas of weakness in the industry, Pick a product direction. </li></ul><ul><li>The scenarios inform the product specification in the same way that wind tunnels inform aerodynamics. You have a set of specific futures you can fly your product through and ask how well it will do </li></ul>
    17. 21. Thank You Very Much!