Business models for data platforms
•Download as PPTX, PDF•
0 likes•17 views
Digital platforms play a key role for the data economy and AI. Through platforms, businesses can sell and exchange data. But what could be viable business models? And how can platforms solve the fragmentation of data marketplaces? This presentation gives an overview of the work we have done in H2020 project TRUSTS.
Recommended
Recommended
More Related Content
Similar to Business models for data platforms
Similar to Business models for data platforms (20)
Recently uploaded
Recently uploaded (20)
Business models for data platforms
- 1. 1 Towards a business model to federate data marketplace platforms Dr ir Mark de Reuver 1 March 2022 Team: Hosea Ofe, Antragama Abbas, Anneke Zuiderwijk, Montijn van de Ven, Romy Bergman, Bisma Artala
- 2. 2 What is data trading? • Data trading = Exchange of data against renumeration at scale
- 3. 3 What are data marketplaces? Agahari (2019), adapted from Spiekermann (2019)
- 4. 4 Users, value, ecosystems: hardly studied 2 3 7 21 30 2 2 6 7 3 5 3 12 7 1 3 19 Data-related aspects User preferences Value proposition Architecture Computational pricing Data-as-a-Service Data contracts Information retrieval Security and privacy Classification frameworks Data ecosystems Demographic aspects Governance Social implications Economic feasibility Market analysis Pricing mechanisms Service (n=12) Technology (n=68) Organization (n=30) Finance (n=23) Abbas, A. E., Agahari, W., van de Ven, M., Zuiderwijk, A., & de Reuver, M. (2021). Business Data Sharing through Data Marketplaces: A Systematic Literature Review. Journal of Theoretical and Applied Electronic Commerce Research, 16(7), 3321-3339. Figure 2. The selected articles categorized using the STOF model (n=133)
- 5. 5 Business models are diverse... Bergman, Abbas, Werker & De Reuver, in review
- 6. 6 ... and data marketplaces fragmented • National / city-level • Industry-specific (e.g. mobility, industry, …) • Data type specific (e.g. IoT, personal, business) • There’s no winner that takes all • Multi-homing doesn’t come for free!
- 7. 7 EU policy favours single market for data
- 8. 8 How can platforms work together? Idea Example Reference Platforms build on each other Android forking Karhu et al 2018 Platforms nest within others Facebook authentication Tiwana 2013 Third party bridges Smart lighting Hilbolling et al 2020 Technical interoperability Payment platforms APIs for data transfer Ondrus et al 2015 Ochs & Riemann 2017
- 9. 9 And what about data marketplaces? • Linkages between platforms – E.g. EU’s Gaia-X standard for data platform interoperability • Meta-platforms – = federation of heterogeneous platforms – E.g. IoT platform brokers (Mineraud et al 2016) – E.g. `data spaces’?
- 10. 10 Trade-offs to make platforms interoperable Mosterd, L., Sobota, V. C., van de Kaa, G., Ding, A. Y., & de Reuver, M. (2021). Context dependent trade-offs around platform-to-platform openness: The case of the Internet of Things. Technovation, 108, 102331 Organizational context • Business objective • Strategic focus • Openness to users Market-level context • End-user demand • Need for specialization • Competition between platforms • Market maturity • Maturity of compatibility standards Business outcome factors • Direct benefits & costs • Costs • Direct revenues • Uncertainty about value of data • New business opportunities • Indirect benefits & costs • Attractiveness of service offerings • Data privacy & security concerns • Strategic considerations • Knowledge gains • Market position Legal / legitimacy factors • Privacy & security regulations • Sector specific regulations • Competition law
- 11. 11 From data marketplace to federation No (or Low) Degree of API Integration High Degree of API Integration Multiple Features (aggregating information with additional services) Commissioned brokerage • Consulting for solution- based assets One-stop-shop • Providing common standards and infrastructures Single Features (only aggregating information) Discovery • Searching assests via a single catalog Smart recommendation • Automatically recommending relevant assets
- 12. 12 How TRUSTS contributes • Systematic overview of archetypical data marketplace business models • Factors to decide about (not) federating data platforms • An exemplar business model for data marketplace federation • A roadmap: from data marketplace to federated platform
Editor's Notes
- What are the latest developments in European data strategy? Should companies care, and how to take advantage? The objective of this talk is to set the scene for our online workshop: what is happening in Europe, what concerns do you as a business have, and do we know enough about those concerns?
- Examples: Horticulture industry: most advanced in IoT with all kinds of sensors. Sharing data would help to learn so much about cultivation processes and how to improve them. But these processes are also the competitive advantage of the firms. Data trading is not about non-sensitive data, like data about the weather, available. But confidential data from the businesses like horticulture firms Now data trading does not mean data aggregation: a party buying the data from the horticulture firms, aggregating it, and selling it as a product
- Data platforms or data marketplaces are now emerging to facilitate data exchange. Is this the next big thing? Policy makers think so: data should be a tradeable commodity, just like money or other resources. And then boom the EU data industry. What do these platforms do? Find, sell, buy data (i.e. data marketplace) (Koutroumpis et al) Analytics and machine learning modules (Nederstigt et al) So far, very little success Openness is an issue Privacy, security, regulation Competitiveness, business interests Complementors are essential too: today if you want to run ML or AI, you are bound to use the big tech cloud platforms
- We should extend our definitions of platform openness, going beyond traditional platform-to-app openness. Instead, data platforms require us to consider platform-to-platform openness and even meta-platform openness.