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1301 open innovation j friedrich


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Presentation given at breakfast briefing of the IT Forum Rhein-Neckar on Jan 31, 2013.

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1301 open innovation j friedrich

  1. 1. Dr. Jochen FriedrichTechnical Relations ExecutiveOpen Innovation –The examples of Open Standards andOpen Source © 2013 IBM Corporation © 2009 IBM Corporation
  2. 2. The “Webolution” – Innovation driven by Openness Mid 1990s Early 2000 Today 2020 Pre-web Web 1.0 Web 2.0+ ??? Telephones, fax HTML, CSS, XML “The read/write web” Increased global … Standards Standards combined integration Newspapers, books, Browsers, Plug- for technology Pre-dominance magazines, etc. ins integration of “Digital E-commerce, Interoperability Natives” Encyclopedias web-based forms Global integration Constant Internet, ftp Dynamic but not transformations Office suite Blogs, wikis, social for smarter desktop very interactive networks, virtual web pages solutions Local disk worlds storage Mostly inbound Web-based email, => Room for Floppies information office applications, new wave of More and more etc. innovation open SOA, SaaS, Cloud2 © 2013 IBM Corporation
  3. 3. The Potential for Innovation – a world getting smarter– more instrumented, interconnected, intelligent Smart traffic Intelligent Smart food Smart Smart energy Smart retail systems oil field systems healthcare grids technologies Smart water Smart supply Smart Smart Smart regions Smart cities management chains countries weather Technology integration and flexible connection of information, computing resources and people Openness plays a key role3 © 2013 IBM Corporation
  4. 4. Innovation – Technology and Process Integration • Business model – Innovation in the structure and/or financial model of the business • Operational – Innovation that improves the effectiveness and efficiency of core processes and functions • Products/services/markets – Innovation applied to products or services or “go-to-market” activities “Ignite innovation through business and technology integration – Use technology as an innovation catalyst by combining it with business and market insights.” [IBM Global CEO Study 2006, p 4. (Research with 765 CEOs worldwide)] “To innovate, High-growth CIOs actively integrate business and IT across the organization 94 percent more often than Low-growth CIOs. “There is no innovation in my organization without the involvement of IT,” said a Government CIO in Brazil.” [IBM Global CIO Study 2009, p. 14.(Research with 2,500 CIOs Worldwide)]4 © 2013 IBM Corporation
  5. 5. Open Standards Promote Innovations for a Smarter PlanetSMARTER IS … Insight SMARTER IS … Green SMARTER IS … WorkingEnable innovative services in Appliances, meters and Reduce cost andresponse to customer sensors adjusting consumption development time, increaserequests and a changing dynamically based on usage – agility and flexibility andbusiness environment cutting cost and avoiding improve access to design brown/black outs information “Leverage innovation to deliver "green" infrastructures that are highly efficient and overlay the physical infrastructure with digital intelligence. [...] Embrace intelligent systems that use open standards to provide near realtime information for better management of the infrastructure, water quantities, or, even, entire transportation systems.” [Results from the IBM Eco-efficiency Jam 2010. (51 hour Jam with 1600 experts in lead roles from more than 60 countries)]5 © 2013 IBM Corporation
  6. 6. Open Ecosystem for Innovation ■ Open Standards Open Computing – Facilitating exchange of data by integrating different technologies – Promoting interoperability by using published Open open specifications Architecture ■ Open Architecture – Increasing collaboration by simply extensible Collaborative business processes, e.g. SOA Innovation – Innovation within open infrastructures and via the combination of technologies, e.g. Cloud Open Open Standards Source ■ Open Source – Promoting innovation by leveraging development expertise of the open source community – Follow the collaborative model successfully applied in open source (crowd sourcing)6 6 © 2013 IBM Corporation
  7. 7. Open Innovation – Operating in a New Equilibrium Open Proprietary Innovation Innovation Collaboration Advantages Advantages - Community - Control - Common foundation - Uniqueness - Cost - Focus It is no longer about proprietary or open It is about playing well with both, e.g. integrating Open Source technologies alongside proprietary technologies.7 © 2013 IBM Corporation
  8. 8. Open Standards vs. Open Source Pretty often there is confusion between the terms and concepts of “open standards” and “open source”. Open Standard Open Source Plan/ Blueprint telling you Code, actual concrete what you must do if you software; actually get around to It may implement open building something standards; Is developed and maintained It is built and maintained in in a particularly transparent a particularly transparent way and is “freely” available way with community and implementable. involvement, and is “freely” available.8 © 2013 IBM Corporation
  9. 9. Standards … ■ … facilitate market access by making sure that regulatory requirements are met (presumption of conformity) – especially in the regulated areas of health, safety and the environment; ■ … ensure interoperability by providing standardised interfaces, protocols, messages etc. and thus giving information on how to connect technology components and on how content is coded; ■ … promote innovation by driving the exploitation of technologies and enabling and triggering innovation on the level of the implementation of standards; ■ … foster competition by allowing exchange and replacement of technologies, avoiding vendor lock-in and creating a level playing field for technology providers.9 © 2013 IBM Corporation
  10. 10. Global ICT Standardisation Eco-System IEC ISOISO ITU “private” consortia JTC 1 Small, mostly CENELEC CEN ETSI OASIS Others... IEEE IETF W3C OGF CEN/Cenelec Forum National National National Committees Bodies Organisations (e.g. DKE, UTE, BSI, (e.g. DIN, AFNOR, (e.g. TB ETSI, CF CEI) BSI, UNI) ETSI, GIETSI,DTI) FORMAL STANDARDISATION NATIONAL DELEGATION DIRECT PARTICIPATION10 10 Feb 23, 2012 © 2013 IBM Corporation
  11. 11. The debate about Open Standards ■ An open standard is developed and maintained by independent people from Open Closed multiple organizations in an Implementation independent group. Development Maintenance Modification Acquisition ■ No one product provider dictates the standard, makes rules that the standard must conform to his or her products, nor “plays the system” so that his or her products will be the only implementations. Open Closed ■ An open standard is freely available to Implementation and implementable by anyone. This Development Maintenance Modification Acquisition needs to include those creating open source software if the standard relates to software interoperability. Heated debate about: - Royalty-free licensing - No IPR encumbrances11 © 2013 IBM Corporation
  12. 12. Open Standards in the Market Place ● Forthe internet and the world wide web the dominant licensing model is Applications OAGi Royalty-free; OASIS ● The higher-up in the Middleware/ technology stack the Middle layer W3C more is Royalty-free the dominant model; IETF ● Some Infrastructure organisations IEEE explicitly adopted an ETSI Ecma IPR policy which has Base only Royalty-free or technology allows for Royalty- FRAND Royalty-free free as an option Standards in the area of software interoperability should be Open Standards available on a Royalty-free basis.12 © 2013 IBM Corporation
  13. 13. Open Innovation and Standards Strategy Implementation Base Innovation matrix: Technology Techno- Standard Integration logy Innovation TECHNOLOGY TECHNOLOGY CONTRIBUTION EXPLOITATION Key strategic aspectsStandardisation is a voluntary businessdecision.Openness is a business decision basedon a clear business case.Without opening up some opportunitiesare likely to be missed.13 © 2013 IBM Corporation
  14. 14. Open Source: Driver for Innovation Open Source drives IBM broadly contribute to Open Source technology innovation and leading development and integrates Open Source technologies: edge technologies. A current example is Cloud with the OpenStack Foundation.OpenStack is a global collaboration ofdevelopers and cloud computingtechnologists that seek to produce aubiquitous Infrastructure as a Service(IaaS) open source cloud computingplatform for public and private clouds. Open Source... ... is a major driver of innovation => Open Innovation. ... needs to be able to implement and use standards => Open Standards. … can be supported by Royalty-free standards for software interoperability. © 2013 IBM Corporation
  15. 15. Crowd sourcing – open data for open innovation DIGITAL AGENDA FOR EUROPE “[...] governments can stimulate content markets by making public sector information available on transparent, effective, nondiscriminatory terms. This is an important source of potential growth of innovative online Open services. The re-use of these information resources has been partly harmonised, but additionally public bodies must be obliged to open up Data data resources for cross-border applications and services.” (section 2.1.1, p. 5) ● free, web-based platform ( ● enables users - city officials, researchers, academics and interested citizens world-wide - to view and interact with city data while engaging in an ongoing public dialogue about cities Users can explore and analyse data collected from numerous public sources featuring metropolitan areas, cities and smaller geographic areas City Forward’s exploration tools help identify patterns, trends and correlations in the data that may reveal new insights and point to new areas for further investigation.15 © 2013 IBM Corporation
  16. 16. Innovation and Openness – High on Political Agenda “By the end of the Commissions next mandate, I want Europe to have become not just a knowledge society, but an innovation society. I plan to make this one of my top personal priorities. Indeed, I want it to be an important part of my legacy. […] “... the application of innovations like Web 2.0 to business and public life is changing the way in which innovation happens. It is becoming more open and collaborative. Once the preserve of a select elite, it now involves a much wider range of actors. […] crowd-sourcing and co-creation are now the order of the day! We need a new policy that reflects these changes. This means that we will have to, well, innovate!“ [President Barroso, European Innovation Summit 2009. Source of photo: EU Commission: Audiovisual Services.]16 © 2013 IBM Corporation
  17. 17. Thanks very much for your attention ... … Happy to answer your questions...17 © 2013 IBM Corporation