internet of no things - demos effect

WELCOME TO INTERNET OF NO THINGS

Internet of NO things?

When is the last time that you watched your mobile phone?

We look at our phone every 6th minute

every6 minutes

In ten years time we will never look at our phones.

WHY INTERNET OF NO THINGS IS HAPPENING?

64000 MB

There is tech worth hundreds of thousands in ANY smartphone.

Size PriceFu

nctio

-na

litie

s

Same time as the size and prize of computing devices drops their functionalities increase. Eventually this leads to a hyperconnected planet.

THE LAW OF HYPERCONNECTED PLANET

Smart Environments

Personal Computers

Smart PhonesSmart Watches

Wearables

”Smart dust”

Nearables

Mainframe computersSi

ze &

Priz

e

Functionalities

Laptops

THE LAW OF HYPERCONNECTED

PLANET

Smart Environments

1st phase Everything electric is connected2nd phase Everything man-made is connected3rd phase Everything is connected

Bits and atoms are joining already and its creating a

lot of value. Already.Uber ≈ 40Airbnb ≈ 16billion valuations

Technically three fundamental changes:1. Applications run directly on the network2. The network is smart, even intelligent, learning and predictive3. The network is everywhere, the planet hyperconnected?

This is a horrible future!

This is a wonderful future!

“Right to security, right to health, right to learning. All

these three change fundamentally through technology services.”

– Risto Siilasmaa, Chairman of the Board, Nokia

MEANWHILE IN WORLD FAMOUS

BUSINESS ECOSYSTEMS

Silicon Valley51 new tech companies launched every month15,931 self-identified “angel investors” in 2014$118,949: average salary for a Google software engineer$37,800: average salary startup founders pay themselves+62% change in the price of San Francisco office space since 2009

Silicon Valley

Amazon dominates the market by creating new services on platform and selling to consumers with extremely thin margins. The services can be sold forward as a web services to other businesses. Daily 1/3 of all internet users visits websites built upon Amazon Web Services.

Tesla releases its technology patents to be used by anyone. By opening the patents, Tesla attracts and motivates talented employees and accelerates the advancement of electric cars for sustainable transport.

Slack allows all sorts of applications to be integrated to it messaging platform, making it an indispensable companion of a digital era employee. It is a fast-growing messaging software, which allows teams within an organisation and across organisations to chat with each other and share information. The skyrocketing popularity of Slack is to a large extent due to its seamless platform nature.

Silicon ValleyWhat do these companies have in common?

Silicon Valley

They all exploit the special features of the Silicon Valley ecosystem! Strong interaction and mobility across company

boundaries ! Culture with willingness to experimentate and tolerate

risks! Wide talent pool with a unique openness—highly

skilled, motivated and multicultural founders.

Beijing

Nearly half of the startups in China are based in Beijing +800 companies are situated in Beijing Includes Xiaomi, Baidu, China Unicom, ATA, Sohu.com, UTStarcom, JD.com, MIUI, Qunar.com, LeTV, Ku6, 36Kr, and Didi Chuxing+13,000 angel investors investing to Beijing

Sources: http://www.iamwire.com/2015/09/china-6-hottest-startup-hubs/119267

JD.com invests in companies JD.com’s rivals Alibaba, Baidu and Tencent are all investing heavily in this area to drive users to their

platforms.

Didi Chuxing’s caters the Chinese with any class of urban transport needed from taxi-hailing to chauffeur and ride-sharing services without owning any fleets itself. The latest addition to its platform is an online bus-booking for commuters, providing an alternative to public buses and subways. The company uses shuttles that sit idle at travel agencies

and car rentals to cover predetermined routes.

LeEco Group heads the concept of 'ecosystem' products. It is building a "Le Ecosystem", an online platform with content, devices and applications. LeEco’s businesses span from Internet TV, smart gadgets, e-commerce,

eco-agriculture and Internet-linked electric cars to film production.

What do these companies have in common?

Beijing

They all exploit the special features of the Beijing ecosystem! Biggest market with little competition from

incumbents.! Authorities channel government money to technology

districts as regional competition of new businesses is fierce.

! Real estate firms foster startups by creating shared office space with flexible leasing periods.

SHOULD WE EVEN

COMPETE WITH THEM?

YES WE SHOULD

In the last 10 years, Nordic based startups have accounted for almost 10 % of the biggest startup exits in the world.

In other words, we have the highest ratio of over billion USD exits to GDP.

Source: http://www.creandum.com/nordic-tech-is-on-fire-almost-10-of-all-busd-exits-last-10-years/

YES WE SHOULD

Just in Q1 of 2016, $1.36 billion (USD) was invested through 156 investments into Nordic startups.

Excluding Spotify ($1 bn debt round), Finland raised the most investment funding in Q1 of 2016 ($112.5 million).

Source: http://www.thenordicweb.com/blog/the-q1-2016-nordic-funding-analysis

How many of the over billion USD startups do you think were bought by the biggest companies in the Nordics?

StatoilNordeaMøller-MaerskVolvoEricssonDNBSEBHandelsbankenTeliaSoneraTelenorFortumNovo NordiskH&MDanske BankSampo GroupNorsk HydroAtlas CopcoCarlsberg GroupNokia

None.


Is it worrying?


Yes.


Why?



Its no longer about individual products or services in the market.Its about platforms for services and product architectures.

According to our studies there are six emergent business models arising from internet of NO things

1.Smarter products and companies2.Real-time directed resources 3.Resource efficiency4.Data commercialization 5.X-as-a-service models 6.Platforms

Marketplace platformsCooperative farmingSharing goodsCharity marketplace platformsLendingRidesharing – hitchhikingCarsharingGrocery deliverySwappingP2P task sharing / outsourcingBikesharingShipping and deliveriesDigital service innovationCrowdfundingCo-creation platformsSpace use optimisationSpace rentalsWorkspace sharingDigital marketplace platformsSocial cookingSoftwareData managementEnergy source substitutionTurnkey solutionsNatural & bio gasBiofuelsReplacement of own needsBiofuels, geothermal heat, windpower

Smart productsData collection & analysisIoTSmart systems for growing foodIngredient optimisationNeed based optimisationNo waste cookingSmart homes & smart citiesGamificationSource based optimisationDigital servicesSmart vehiclesSmart routingSmart meteringEnergy managementCarbon managementHome automationTurnkey solutionsUpgradingTuningRecycling technologiesRepairingSmart meteringSolar energy productionDecentralized energyProject financingReusable packaging and shipping materials

Technical innovationTurnkey solutionsRecycling nutrientsProduct innovationCircular economy solutionsWater cleaning solutionsAccessories from recycled materialsLeasingModular consumer electronicsWaste managementConsultingReturn and buyback incentivesCloud mobile servicesFundraising platformsIncentive schemes for shoppingHealth optimisationVirtual servicesGamificationNudging & self helpProduct innovationSubstitution of ingredientsDigital servicesOnline food shoppingTechnical product innovationVirtual services for product developmentNudging and self-helpAll in one app for mobilityTurnkey solutions for EV management

And hundreds of ways of getting to the model

Big Questions for a hyperconnected era:1. Who owns the users and providers on the dominant platform?2. What platform are you on?3. What kind of platform are you?4. What do you have to offer that US and Chinese companies do not have?

Demos Effect is happy to help you answer these better than your competitors are answering them.

Roope Mokka Twitter: @[email protected]

Thanks!

mailto:[email protected]

internet of no things - demos effect

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