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NEW TECHNOLOGY
2015
Ólafur Andri Ragnarsson
LECTURE L01
INTRODUCTION
Stephen Elop, 

CEO Nokia
In 2002 Nokia had 35% of 

the worlds mobile market
In 2006 Nokia had 73.6% of the 

worlds smartphone market
g from glory
ck price 2007-2011
1871: Founded. Spends the next century making tyres, boots and cables.
1987: Launches first phone. The Mobira Cityman weighs almost 1kg.
1992: Sells non-mobile divisions and launches first digital GSM phone, the
Nokia 1011.
2000: Stock market value hits 186bn euros. Now worth 11bn euros.
2003: Basic 1100 phone launched. Goes on to sell 250 million units and
become the world's most popular consumer electronic device.
2011: Abandons Symbian mobile phone operating software and switches
to the Windows platform instead.
Source: Reuters/Nokia
History of a survivor
iPhone Effect
Shift in power
Source: Google
Shift in power
Early 2011, Elop said 

in a memo they were 

standing on a 

burning platform
How did we get to this point? Why did we fall behind when the world
around us evolved?
This is what I have been trying to understand. I believe at least some
of it has been due to our attitude inside Nokia. We poured gasoline on
our own burning platform. I believe we have lacked accountability and
leadership to align and direct the company through these disruptive
times. We had a series of misses. We haven't been delivering
innovation fast enough. We're not collaborating internally.
Nokia, our platform is burning.
Elop’s Memo - excerpts
http://www.theguardian.com/technology/blog/2011/feb/09/nokia-burning-platform-memo-elop
February 11th 2011, Nokia announced 

a partnership with Microsoft
September 3rd 2013, Microsoft bought Nokia’s Devices

and service business for $7.2 billion
Is this new…?
Western Union 1878
7,500 offices
12.000 employees
200,000 miles of cable
https://thepoliticalcarnival.net/tag/western-union/
Alexander G. Bell, 1876
"This 'telephone' has too many
shortcomings to be seriously considered
as a means of communication. The
device is inherently of no value to us."
- Western Union internal memo, 1876.
Actually this is not rare…
Britannica 1990
Sales: $650 million
Taken from Mary Meeker’s State of the Internet
Printed books, sold in stores Online, access everywhere, 

updated in real-time, 

crowdsourced
THEN NOW
And again…
In January 2010, Blockbuster 

operated 5,200 stores worldwide
By September 2010, Blockbuster 

files for bankruptcy
TECHNOLOGY 

IS ONE OF THE 

MAJOR FACTORS 

IN CHANGE
Today 3 billion people connect to the Internet and in the next few years 3
billions will connect
There are more mobile devices connecting to the Internet than computers
Printed newspapers and magazines are going out of business, those who
survive will go online
Bookstores are closing as sales of books decline
CD sales are dropping rapidly as online streaming increases
TV stations need to go on the internet or out of business
Social networks are shaping our lives in ways we never imagined
Amazon sells more digital books than printed books
Over 6 billion hours of video are watched each month on YouTube
Self-driving cars are taking to the roads
People are starting to lose jobs because of robots
Every day 864 million people log on to Facebook each day
People are tracking the health and activity with sensors and gathering
statistics in the cloud
UNDERSTANDING
TECHNOLOGY TRENDS
AND THEIR IMPACT ON
PEOPLE,
BUSINESSES AND 

SOCIETY
CAN WE
LOOK FORWARD
3-5 YEARS
TO SEE COMING
CHANGES
LIVING IN THE FUTURE
Written March 4th 2013
WHY WAS
2014
THE TIME FOR THE
SMARTWATCH?
ADJACENT POSSIBLE
WHEN ALL 

THE ENABLING TECHNOLOGIES AND
CONDITIONS ARE READY, 

NEW INNOVATION WILL EMERGE
EXPONENTIAL

GROWTH
iMac
iPhone
Mac OS 9.0.4

500 MHz PowerPC G3 CPU, 128MB Memory

Screen - 786K pixels

Storage - 30GB Hard Drive
iOS 4.0

1 Ghz ARM A4 CPU, 512MB Memory

Screen - 614K pixels

Storage - 32GB Flash Drive
Source:	
  Ars	
  Technical	
  Images:	
  Apple2000 2010
THE SECOND HALF OF THE
CHESSBOARD
MUSIC
PICTURES
COMMUNICATION
SMARTPHONES
TV	
  SHOWS
MOVIES
BOOKS
THE DIGITAL DECADE
2000 2010
14
2000 2010
SOCIAL MEDIA
3 BILLION PEOPLE 

ARE CONNECTED 

TO THE INTERNET
HIERARCHAL NETWORK
20th Century 21th Century
THE TRANSFORMATION 

DECADE
2010 2020
BUSINESS
MODELS OF THE
20TH CENTURY
BUSINESS
MODELS OF THE
21TH CENTURY
Desktops, heavy laptops Lighter, smaller, portable
BEFORE NOW
THE WORLD IN YOUR POCKET
Keyboard, mouse Touch, sound, gesture
BEFORE NOW
CHANGE IN USER EXPERIENCE
OUR
DEVICES
ARE
GATEWAYS
TO
THE
CLOUD
UNIVERSAL

ACCESS TO
KNOWLEDGE,
SERVICES AND
OTHER PEOPLE
END

OF

CONTROL
FUNDAMENTAL

SHIFT
IN

PEOPLE’S

BEHAVIOUR
FUNDAMENTAL
CHANGE IN

CONSUMING
CONTENT
Picture	
  by	
  Flickr	
  user	
  Shaggyshoo	
  
FUNDAMENTAL
CHANGE IN

PRODUCING
CONTENT
Picture	
  by	
  Flickr	
  user	
  Shaggyshoo	
  
FUNDAMENTAL
CHANGE IN

CONNECTING PEOPLE
FUNDAMENTAL
CHANGE IN

DOING BUSINESS
FUNDAMENTAL
CHANGE IN

DOING BUSINESS
FUNDAMENTAL
CHANGE IN

DOING BUSINESS
FUNDAMENTAL
CHANGE IN

DOING BUSINESS
25
Videostores, DVD,
late fees, clutter
Everything, anywhere,
anytime (almost) for rent
BEFORE NOW
CHANGE IN CONSUMER BEHAVIOUR
WHO RENTS DVD ANYMORE?
Printed books, magazines
Digital, automatically
delivered, interactive
BEFORE NOW
CHANGE IN CONSUMER BEHAVIOUR
BOOK STORES SELL COFFEE NOW
STORES BECOME FITTING/TRYING ROOMS
SHOPPING WITH APPS
DELIVERY SERVICES
Own, store, clutter Rent, subscribe, stream
OWNERLESS LIFESTYLE
BEFORE NOW
FREEDOM
BEFORE NOW
Car Smartphone
20. CENTURY 21. CENTURY
TRANSFORMATION
3D PRINTING, ROBOTS
MASS CUSTOMISATION, DESIGN
PERSONAL STREAMING
ABUNDANCE
USER REVIEW
INDUSTRY
MASS PRODUCTION
BROADCASTING
SACRISTY
GATEKEEPERS
HOW DO YOU

RUN A BUSINESS
WHEN EVERYTHING

IS CHANGING?
“Disruption only happens to
the unprepared”
- Marlier & Pontes.

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New Technology 2015 L01 introduction