The document discusses emerging business models for the open data industry, highlighting the need to better understand how value is created and revenue generated within this sector. It presents 15 open data business models (ODBMs) and a business model conceptual framework (BMCF) to analyze their components and value propositions. The conclusion emphasizes the necessity for further empirical research to validate theoretical insights and improve the understanding of ODBMs.

1. Emerging Business Models for the
Open Data Industry:
Characterization and Analysis
Fatemeh Ahmadi, Adegboyega Ojo, Edward Curry
Dg.o (Digital Government Society) 2014, Aguascalientes City, Mexico
June 20, 2014

2. Introduction
• Business Models (BMs) are conceptual instruments for describing how
value is created and revenue is generated
• Open Data (OD) is a fast growing phenomenan
• OD enhance accountability, delivering quality services, reducing
operating cost and ….
• Today, businesses struggle to utilize OD (or if they do, they don’t realize
they are using OD) in their business in order to create value for their
stakeholders

3. Introduction
BMs
Open Data
Business
Models
(ODBMs)
OD

4. ODBMs are not undrestood very well:
• Revenue Models
• Pricing Strategies
• Distribution Models
• Marketing Techniques
• Architectural Models
e.g. Howard (2014): Open Source is ODBM
BUT
451 Group (2008): Open Source is not BM but a Distribution Model
A. Howard, “Open data economy: Eight business models for open data and insight from Deloitte U ,” O’Reilly Media, Inc., 2014.
The 451 group, “Open Source is not a Business Model,” New York, 2008
Introduction
Very few studies are available on BMs for OD

5. Addressing the Problem
… Our Analysis…
4. Determining the ODBMs patterns
5. Four value disciplines for open data businesses
1. Consolidating reported ODBMs in both academic and practice literature
(15 ODBMs)
2. Business Model Conceptual Framework (BMCF)
3. Describing 15 ODBMs based on a BMCF

6. Addressing the Problem
… Our Analysis…
4. Determining the ODBMs patterns
5. Five emerging value disciplines for open data businesses
1. Consolidating reported ODBMs in both academic and practice literature
(15 ODBMs)
2. Business Model Conceptual Framework (BMCF)
3. Describing 15 ODBMs based on a BMCF

7. Consolidating Reported ODBMs
Cost Avoidance, Sponsorship, Dual Licensing, Support and Services, Charging for
Changes, Increasing Quality through Participation, and Supporting Primary
Business (Musings (2012))
A. Howard, “Open data economy: Eight business models for open data and insight from Deloitte U ,” O’Reilly Media, Inc., 2014.
E. Ferro and M. Osella, “Eight Business Model Archetypes for PSI Re-Use,” London, 2013
J. Musings, “Open Data Business Models,” 2012. [Online]. Available: http://www.jenitennison.com/blog/node/172.
Premium, Freemium, Open Source, Infrastructural Razor & Blades, Demand-
Oriented Platform, Supply-Oriented Platform, Free as Branded Advertising and
White-Label Development (Howard (2014), Ferro and Osella (2013))

8. Addressing the Problem
… Our Analysis…
4. Determining the ODBMs patterns
5. Five emerging value disciplines for open data businesses
1. Consolidating reported ODBMs in both academic and practice literature
(15 ODBMs)
2. Business Model Conceptual Framework (BMCF)
3. Describing 15 ODBMs based on a BMCF

9. BMs Components
• Value Network
• Value Proposition
• Value Adding Process
Operational
Strategic Planning
Knowledge Management
• Value in Return
• Value Capture
• Value Management

10. Business Model Conceptual Framework

11. Addressing the Problem
… Our Analysis…
4. Determining the ODBMs patterns
5. Five emerging value disciplines for open data businesses
1. Consolidating reported ODBMs in both academic and practice literature
(15 ODBMs)
2. Business Model Conceptual Framework (BMCF)
3. Describing 15 ODBMs based on a BMCF

12. Describing 15 ODBMs Based on a
BMCF
For each model we describe, the value propositions, core activities of the value adding
process, the network of stakeholders required to collaboratively deliver the value, specific
value produced and how the produced value will be captured.

13. Addressing the Problem
Tuesday, 26 November 2013
… Our Analysis…
4. Determining the ODBMs patterns
5. Five emerging value disciplines for open data businesses
1. Consolidating reported ODBMs in both academic and practice literature
(15 ODBMs)
2. Business Model Conceptual Framework (BMCF)
3. Describing 15 ODBMs based on a BMCF

14. Determining the ODBMs Patterns and
Value Disciplines
Based on commonalities in the 15 ODBMs elaborated based on BMCF
Categories/Patterns: Based on commonalities in the Value Proposition
Value Disciplines: Based on comparison of Value Proposition and Value in Return

15. • BMs mentioned in our study are ODBMs
• All businesses MUST employ particular BM
• OD businesses MUST utilize ODBMs
• Before identifying BM, value discipline MUST be identified
• ODBM patterns and value disciplines SIGNIFICANTLY AID business
to effectively deliver value to the stakeholders
Conclusion

16. • More research is required in OD value discipline
• Research on ODBMs
• Many BM researches are based on the perception of the researchers
=>
• Empirical studies are necessary to confirm prior BM theoretical
studies
Further Research

17. Thank You
**Acknowledgment**
This wordk is financially supported by PaaSport Project (FP7)