Web 2.0 for Enterprisestechnology • business • people Web 2.0 for Enterprisestechnology • business • people

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The arrival of Web 2.0

Conversation, Community, Collaboration

• Communication: IM, text, voip e.g. skype

• Content creation, one to many e.g. myspace.com, YouTube

• Content sharing: photos, videos, music e.g. flickr,

• Knowledge sharing: many to one: wikipedia

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A quick review of some Web 2.0 tools

Tools to help manage• RSS feeders,

Bloglines• Social Bookmarking

– del.icio.us• Firefox (IE’s

replacement)• Blog search -

technorati• Podcasting• Blog monitoring –

Nielsen buzzmetrics

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Blogs – “one of the most highly touted features of the web 2.0 era”

What:• Short for “web log”:

personal journal on the web

Why are they so important?• With exponential growth,

blogs are what’s driving web growth today. It is estimated that a new blog is created every second

• Conversations about your brand are already taking place

• Bloggers who master linking reach *huge* audiences

• (still more on following pages)

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gSource: headline quote from O’Reilly’s Network, http://www.oreillynet.com/lpt/a/6228

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Other people around the world

Other IBMers around the world

Other IBMers in your country

Co-Workers

Blogs: extend people’s networks

Friends

YouJimMary

Your manager

Jim’s manager

Susan

JohnHelen

Roberto

Akira

Chris

Peter

Frequent e-mails

Infrequent e-mails

Blogs

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Wikis

What:• From "wiki-wiki," Hawaiian for "quick"• “What I Know Is…”• Collaborative authoring environments

Why:• “Easy” to create, edit, share pages of information• Leverages the wisdom of crowds• Promotes a sense of community• Large companies typically behave as small individual companies• Ideal for teams that are large, compartmentalized, or geographically

dispersed• Low cost/low effort solution• Due to blogs and cross-linking, has a huge impact on search engines

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2Number of full-time

employees at Wikipedia36,000

Number of registeredWikipedia contributors

329,000Number of full-time IBM

employees globally

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RSS – Real Simple Syndication

• Real Simple Syndication (RSS) allows consumers to subscribe to content instead of visiting a site to acquire it.

• This represents a fundamental shift in how consumers consume media

• An alternative to visiting a site, and to email

• RSS use has proliferated across major content providers and corporations – indeed RSS was the top emerging ad tactic among e-marketers.

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Why should enterprises care about Web 2.0? (1 of 3)

1) Everybody is talking about it. Love it or hate it, you need to know it.

Sources: Gartner's 2006 Emerging Technologies Hype Cycle Highlights Key Technology Themes, August 2006http://www.geospatialsemanticweb.com/2006/08/10/gartners-hype-cycle-for-emerging-technologies-2006

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Why should enterprises care about Web 2.0? (2 of 3)

2. Gartner has recently short listed Web 2.0 as a key technology theme for enterprises to examine closely in the near future

3. Still according to Gartner, Inc: – As the number of participants and types of collaborative models continues to grow,

power will increasingly shift to the consumer, forcing businesses to proactively market to and analyze community influencers.

– By enabling decentralized innovation, Web 2.0 catalyzes rapid consumer-driven change, which will accelerate market share growth for companies that exploit it, i.e., Web 2.0 offers many opportunities for growth

– Web 2.0 architecture provides an adaptable technology model that requires significantly less-expensive infrastructure to deliver its benefits. See Amazon’s Elastic Compute Cloud and Simple Storage Service to see how low cost this can become:

• $0.10 per hour of consumed computing resources

• $0.20 per GB of data transferred

• $0.15 per GB per month for storage.

– By 2008, the majority of Global 1000 companies will have adopted several technology-related aspects of Web 2.0

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Why should you care about Web 2.0? (3 of 3)

• The future of business is selling less of more. Infinite choice and lower costs to connect supply and demand is changing the nature of the market and will transform entire industries.Growth is in the Long Tail.Chris Anderson, “The Long Tail”

• On disruptive technologies: “We cannot expect our customers to lead us toward innovations that they do not know they need.” Clayton M. Christensen, “The Innovator’s Dilemma”

• “When the world is flat, whatever can be done will be done. There's only one question left: will it be done BY you, or TO you?”Thomas L. Friedman, “The World Is Flat”

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The future is already here

it’s just not evenly distributed

William Gibson

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• Online newspapers, satellite radio and OnDemand TV reduced opportunities to reach potential consumers in the conventional media

• Less than 4% of all advertising (half a trillion worldwide) is spent online, despite the fact that 20% of all media viewership is already online (The Motley Fool)

• Print: It's estimated that by 2007 more will be spent on online advertising than magazine advertising in the U.S.

• TV: Video podcast “Ask a Ninja” (2 guys, 1 camera) attracts an average of 350,000 downloads per episode. “The National” has a viewership of 585,000. YouTube and MetaCafe allow viewers to create their own video and upload to the internet for others to see. EyeSpot goes one step beyond and allow users to edit and mix videos uploaded by contributors.

• Radio: Gerd Leonhard: "Today if you're number one on MySpace, that's more important than MTV and radio combined“

Web 2.0 in Media & Entertainment:

1. The End Of Conventional Media?

Sources: http://www.twit.tv/itn27http://www.cbc.ca/theend/ http://www.time.com/time/magazine/article/0,9171,1207792,00.html

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• Print: New York Times has expanded into new formats: blogs, discussion forums, photography, video and podcasting: “We are platform agnostic”

• Radio: CBC has 3 podcasts among the iTunes top 15

• TV: – NBC streams 2-minute ad-supported “webisodes” of The Office at nbc.com

and reruns of critics’ favourite series at Brilliant But Cancelled.– CBS’s Innertube shows sketch comedy, reality makeovers and chat shows

for superfans of Survivor and Big Brother– Global’s ReGenesis mixes fiction and reality: fake websites, online

interactions with characters, real world tasks.

Web 2.0 in Media & Entertainment:

2. The Empires Strike Back

Sources: http://www.apple.com/itunes/http://www.cbc.ca/theend/ http://www.time.com/time/magazine/article/0,9171,1207792,00.html

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• BBC 2.0: Creative Future– The avalanche of high quality video, photos and e-mailed news material from citizens following

the July 7 bombings in London marked a turning point for the BBC. “We don’t own the news any more” (Richard Sambrook, head of BBC Global News Division). BBC set the direction for other broadcasters: podcasts, RSS feeds, user-generated news, mobile/PDA channels, virtual worlds (Second Life)

– "The second wave of digital will be far more disruptive than the first and the foundations of traditional media will be swept away. (...) We should aim to deliver public service content to our audiences in whatever media and on whatever device makes sense for them, whether they are at home or on the move.” (Mark Thompson, BBC Director-General)

• YouTube: Lawsuits and Deals– Universal Music Group, which has hinted it will soon file

copyright infringement lawsuits against YouTube.

– Meanwhile, Warner Music Group signed a deal with YouTube to air music videos and split potentially lucrative advertising revenue.

– "Technology is changing entertainment and Warner Music is embracing innovation" (Edgar Bronfman Jr., Warner chairman and CEO)

Web 2.0 in Media & Entertainment:

3. Embrace Innovation

Sources: http://www.bbc.co.uk/pressoffice/pressreleases/stories/2006/04_april/25/creative.shtml http://news.bbc.co.uk/2/hi/technology/4766755.stm

http://www.theglobeandmail.com/servlet/story/LAC.20060919.RYOUTUBE19/TPStory/Business

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Sources: http://mobhappy.com/blog1/2006/02/06/mobile-20-is-not-web-20/http://mashable.com/2005/09/30/whats-mobile-20/

http://www.sktelecom.com/eng/cyberpr/photo/service/index,1,list01,2.htmhttp://www.cbc.ca/theend/tv.html l

• People spend more time online, networking with new people, staying in contact with family and friends, uploading pictures and videos, downloading music and accessing short videos.

• Two million Americans watch video at least once a month on cell phones

• Cell phones are the most ubiquitous mobile device in the planet, ahead of laptops, PDAs and MP3 players (> 2 billion units worldwide)

• MapQuest and Google Maps opened the doors of location-based services and Google AdSense showed the power of location-based advertising.

• Mashups are allowing innovative services by connecting loosely coupled systems.

• VoIP is a threat for land phone lines

Web 2.0 in Telecommunications:

1. Setting up the stage

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• Powered by web services, traditional brands are serving content to multi-chanel platforms.

Web 2.0 in Telecommunications:

2. The Internet breaks free from the desktop and laptop

Source: Where’s Web 2.0, Clinton McCallum, Mike Natoli, Robert W. Ross

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• The mobile phone may soon become the primary means of accessing the Internet, finally realizing the elusive thin client model.

• A successful Mobile 2.0 implementation may drive revenues and profits up directly by dramatically increasing the use of data services, and by creating opportunities in advertising, location-based services and licensing of lightweight data services.

• MoSoSo: Mobile Social Software – Visit Mobile Cyworld and Helio for details

• Keep an eye on SK Telecom / Helio

Web 2.0 in Telecommunications:

3. The arrival of Mobile 2.0

Sources: http://mobhappy.com/blog1/2006/02/06/mobile-20-is-not-web-20/http://mashable.com/2005/09/30/whats-mobile-20/

http://www.sktelecom.com/eng/cyberpr/photo/service/index,1,list01,2.html

February 2007 Web 2.0 for Enterprises – V 1.2 18

Sources: http://www.hydroquebec.com/sustainable-development/societe/index.html

• Syndicate your news via RSS feeds, and share your public data via lightweight APIs• Create educational audio / video podcasts:

– Understand your energy consumption– Electrical safety– Alternative sources of energy– Sustainable development

• Foster online communities (read this Toronto Star article on how Canadian companies have been experimenting with MySpace and other social networking sites)

• Have an external blog: listen to your customer

• Collaborate internally using blogs, wikis, social bookmarking

Web 2.0 in Energy & Utilities:

1. Every company can benefit from Web 2.0

February 2007 Web 2.0 for Enterprises – V 1.2 19

Sources: http://news.bbc.co.uk/2/hi/business/4735944.stm http://salesforce.com

CRM 2.0:

1. Software As A Service

• Salesforce.com offers "customer relationship management" (CRM) software "on demand", through a web browser over the internet.

• Small companies without huge IT departments benefit most, but large firms like AOL, Cisco, Nokia and Merrill Lynch have opted for Salesforce.com's on-demand solution as well.

• Growth is rapid: 24,800 customers, 501,000 subscribers, revenue outlook $493 million. Annual net profits for 2006 running at $28.5m.

• Siebel - now owned by Oracle - started offering online CRM services two years ago.• SAP, the global market leader in enterprise software, announced its own on-demand

product at the beginning of February.• Microsoft is also planning to enter this market.• "Some businesses are not comfortable in putting all their mission-critical sales or

financial information on the public internet," says Oracle's Jesper Andersen.• Denis Pombriant at Beagle Research does not agree: "The on-demand industry has

shown that it has better [data] security than most of its customers."

“In the software crusher”, BBC News24/Feb/2006

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There’s more to Web 2.0 than purely technology

• Technology: Architecture focuses on the Web's technology architecture and development model which is a subset of service-oriented architecture (SOA) that provides a globally linked, decentralized model that is network-centric and extensible.

• Business: It is distinguished by empowering third parties and consumers to repurpose content and services in new and unique ways. It relies on an open and extensible business ecosystem, embracing greater reliance on and collaboration with externalities. Web business models will enable nimble new competitors to succeed and challenge established enterprises to adapt to survive.

• People: Web community is a participatory approach in which users are not simply service and content consumers, but also act as content and application creators becoming networked collective intelligence. As the number of participants and types of collaborative models continues to grow, power will increasingly shift to the consumer, forcing businesses to proactively market to and analyze community influencers. Source: Gartner, Inc.

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Source: Gartner Says Web 2.0 Offers Many Opportunities for Growth, But Few Enterprises Will Immediately Adopt All Aspects Necessary for Significant Business Impact

, May 2006

• Few enterprises realize how to implement the full range of capabilities to succeed

• Companies will be slow to adopt the aspects of Web 2.0 that have a social dimension

• Missing out on the non-technology aspects of Web 2.0 means that many organizations will also miss out on some of the positive business benefits

• Value creation vs. value capture:

What’s the Enterprise 2.0 business model?

What are the challenges (or opportunities) ahead?

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“Ultimately, taking full advantage of Web 2.0 may require Management 2.0.”

(Business Week, June 05, 2006)

Some parting thoughts

February 2007 Web 2.0 for Enterprises – V 1.2 23

TO LEARN MORE: Check out ibm.com …

Forward View Article - Three big opportunities behind Web 2.0http://www-304.ibm.com/jct03004c/businesscenter/smb/us/en/newsletterarticle/gcl_xmlid/71171/?&ca=smbWeb20_021307&tactic=html&me=W&met=inli&re=smbNewsArticle3

The future of SOA -- A service-based delivery model with Web 2.0 capabilities

http://www-128.ibm.com/developerworks/rational/library/oct06/dutta/

Web 2.0 user interface technologieshttp://www-128.ibm.com/developerworks/web/library/wa-web2ui.html