1. HOLOLENS
Winning in the Digital Economy
Hult International Business School, London
Cristina Soliz, Irinel Georgescu, Faateh Dhillon, Vladimir Vukovic
2. AGENDA
• Introduction
• HoloLens
• Triple-Sided Market
• Networking Effect
• Why Microsoft Needs It
• Effect on the Digital Economy
• Pricing & Substitutes
• Lock-In
• Limitations
• Conclusion
3. INTRODUCTION
• Digital economy uses internet to change the way we conduct business.
• Components:
• Infrastructure
• E-business
• E-commence
• Product vectors
• Atoms
• Bits
• Prices
• Hololens’s main vector consist of bits
6. NETWORK EFFECT
DIRECT EFFECT
• More users more connectivity
between them
• More developers , better
development feedback
INDIRECT EFFECT
• More Developers , more apps
for users
• More users , more revenue for
developers
• More users , more revenue for
manufacturer
Manufacturers
Programmers Users
7. WHY MICROSOFT NEEDS IT
• 3% Market Share In
Tablets
• Micrsoft Redefines Mobile Computing
• Re-establishes the Microsoft Ecosystem
• Positive Externality for other Microsoft Products
• Enhance the Overall Network Effect for Microsoft
• Enhance Brand Image
• 3.5% Market Share
in Mobile
• Disintegrated
Ecosystem
• Disconnected
from Market
8. EFFECTS ON THE
DIGITAL ECONOMY
• Fashion Visual Merchandising
• Easier Access • Better Interactions
Industry Examples
Increases the scope of the economy
Virtual Styling
Designing
Business Concepts
Lean Business Ideology for Hardware Development/Manufacturing
• Retail
• Gaming
• Education
• Construction/Architecture/
Interior Designing
• Medicine/Surgery
9. PRICING AND SUBSIDIES
• Using Microsoft's existing pricing model
• Home Users, Personal, Students, Business,
Professional
• Options available:
• Lease
• One-off purchases
• Developer’s platform offered for free
• No fees to programmers and app-developers
• Attractive subsidies to manufactures
10. LOCKING-IN CUSTOMERS
• Invest money at first to build
customer base
• Hololens trial period
• Product bundles
• Receive a HoloLens if you buy
a Microsoft Surface
• Free Software with HoloLens
• Free HoloLens for software
developers
Lock-In
Time
11. LIMITATIONS
• Image
• Microsoft offers ‘boring’ products
• Added Features
• Monitoring Stress Levels
• Political Issues
• Privacy Issues
• Competition
• Competitors have failed previously (i.e.
Google and Google Glass)
• Glitches
• Trial period to fix glitches
• Medical Concern
• Headaches
• Computer Vision Syndrome
12. CONCLUSION
“New developments in machine intelligence will make us far far smarter as a
result, for everyone on the planet.”
- Eric Schmidt
13. BIBLIOGRAPHY
• Microsoft HoloLens https://www.microsoft.com/microsoft-hololens/en-us/commercial
• HoloLens: Why Microsoft has to play down expectations to avoid Google Glass failure http://www.ibtimes.co.uk/hololens-why-microsoft-has-play-down-expectations-avoid-google-
glass-failure-1500657
• Step into the Rift. https://www.oculus.com/en-us/
• 6 worst health problems common with computer use. http://www.thehealthsite.com/diseases-conditions/6-worst-health-problems-common-with-computer-use-sh214/
• Heffernan, V. (2014, November 15). Virtual Reality Fails Its Way to Success. http://www.nytimes.com/2014/11/16/magazine/virtual-reality-fails-its-way-to-success.html?_r=0
• Apple's secret plans for PrimeSense 3D tech hinted at by new itSeez3D iPad app. http://appleinsider.com/articles/14/07/11/apples-secret-plans-for-primesense-3d-tech-hinted-at-
by-new-itseez3d-ipad-app
• Why It's Perfectly Fine If Microsoft Has Lost Money On Xbox One [Updated]. http://www.forbes.com/sites/insertcoin/2014/08/11/why-its-perfectly-fine-if-microsoft-has-lost-400m-on-
xbox-one/
• Rettinger, J. (n.d.). Microsoft's 4 Biggest Problems. http://www.huffingtonpost.com/jonathan-rettinger/microsofts-four-biggest-problems_b_5641212.html
• What wearables mean for UX. http://www.metia.com/london/asavin-wattanajantra/2015/01/what-wearables-like-the-microsoft-hololens-means-for-design-and-ux/
• 10 Reasons Why Microsoft's New HoloLens Could Change the Future of Product Design - SolidSmack. (2015, April 30http://www.solidsmack.com/culture/10-reasons-microsofts-new-
hololens-change-future-product-design/
• 5 ways of how HoloLens and virtual reality can enrich fashion industry, and why it’s a bad idea. http://geekgoeschic.co/2015/03/04/5-ways-of-how-hololens-and-virtual-reality-can-
enrich-fashion-industry-and-why-its-a-bad-idea/
• Architects Could Love the Microsoft HoloLens. http://www.thecadinsider.com/2015/05/architects-could-love-the-microsoft-hololens.html
• Microsoft HoloLens: Release date, rumours, specs & pricing. from http://www.itpro.co.uk/mobile/24780/microsoft-hololens-release-date-rumours-specs-pricing
• Welcome To The Future: HoloLens! (2015, January 23). http://geekcreek.in/welcome-future-hologams/
• I Bet My Life: Microsoft HoloLens perfectly targets its core competency. http://appleinsider.com/articles/15/01/24/i-bet-my-life-microsoft-hololens-perfectly-targets-its-core-
competency
• 5 Reasons HoloLens Won't Be The Next Google Glass. http://www.crn.com/slide-shows/components-peripherals/300075483/5-reasons-hololens-wont-be-the-next-google-
glass.htm/pgno/0/1
• Microsoft HoloLens Gets Face Wearables Right. (http://www.forbes.com/sites/patrickmoorhead/2015/01/28/microsoft-hololens-gets-faces-wearables-right/
• Microsoft jumps into augmented reality with HoloLens, http://www.cnet.com/uk/news/microsoft-jumps-in-augmented-reality-with-hololens/
