Presentation on theme: "Datum Name Need for a Framework SDI Business Model EuroSDR eDelivery Workshop BKG, Frankfurt, 2005-2-23 Dr. Roland M. Wagner."— Presentation transcript:
Datum Name Need for a Framework SDI Business Model EuroSDR eDelivery Workshop BKG, Frankfurt, Dr. Roland M. Wagner
Name: Dr. Wagner 2 Relationship: Business - Technology Business Model depends on available/affordable Technology Technology Model depends on Business model Business Model Scenarios Implementation Model Actor Model Process Model Architecture Model Source: Initiative GDI NRW Referenzmodell Version 3.1
Name: Dr. Wagner 3 Development Iteration Business Model Implementation Model Business Model Development Business Model: Collection of Use Cases after Sept. 04 Implementation Model: Collection of Technologies
Name: Dr. Wagner 4 Business Model: Collection of Use Cases after Sept. 04 Implementation Model: Collection of Technologies Development Iteration Business Model Implementation Model Business Model Development Examples: Pricing Information Shop Portal Applications/Services Copyrights Authentication & Authorization Pricing & Ordering Examples: DACS WPOS SAML OSCI … other GeoDRM, see OGC Survey December 2004
Name: Dr. Wagner 5 Classical Business Models A-C
Name: Dr. Wagner 6 GI Distribution: State-of-the-art Iteration Business Model Implementation Model Business Model Development Business Model: Shop / Portal, experts only Implementation Model: propriety geoDRM solutions sufficient Business Models: Usage Info [A] Shop [B] Portal [C] Technology Models: 1:1 Technologies … ??? But is a Usage_Info/Shop/Portal Business Model an Infrastructure Business Model ? SDI
Name: Dr. Wagner 7 Sustainable OGC geoDRM Solutions …require significant investments and depend directly on the general and concrete Business Models ! A strategic view is important. Therefore geoDRM Solutions should cover existing Business Models (e.g. Shop or Portal) and future Business Models (Spatial Data Infrastructure) be often re-used as much as possible in the value chain (=> cutting costs => affordable) SDI Business Model outlook required for progress
Name: Dr. Wagner 8 Spatial Data Infrastructure Where are the SDI system borders? How to organize multiple SDI-operators? Open or closed Infrastructure? If closed, which organization operates it? If open, is it reliable from a business point of view? How to control payment? Is it a market with multiple providers with different products? Is competition possible (same products, different conditions)? Is there a Quality-of-Service Control? Which investment in a SDI is required for significant return? Is a SDI feasible from an economic point of view?
Name: Dr. Wagner 9 Question: What is the Framework Business Model of a Spatial Data Infrastructure ???
Name: Dr. Wagner 10 General Business Model Does a Framework Business Model exist in other Infrastructures ???
Name: Dr. Wagner 11 Yes, see other Infrastructures Electricity Periodical Fee, Usage Fee x x Water Vancouver: Periodical Fee x Münster: Periodical Fee, Usage Fee x x Airlines, Railways Usage Fee x Telecommunication,Telephone / Internet A.) Periodical Fee, Usage Fee, e.g. Distance x x B.) Usage Fee (Call by call) x C.) Periodical Fee, (Flat line) x All concrete Business Models within the Framework Business Model
Name: Dr. Wagner 12 Statement: Without a SDI Business Model no Business (geoDRM) Software
Name: Dr. Wagner 13 Need for a SDI Business Master Plan Development of the General SDI Business Model required ! Concrete Business Models of companies within the General Infrastructure Business Model Financial grounding required for investments Assumption about re-use by mass market or expert market multiple usage in value chain important for grounding to re-finance investments in Tools technologies SDI software SDI.geoDRM software Which level of total investments? 1 Mio … 10 Billion …?
Name: Dr. Wagner 14 Inductive or deductive Approach Inductive Trial and error Native growth Deductive Existing Model from other domains New Model derived by existing model Results in a Master plan Deductive, Telecommunication Industries and Operators: GSM Business Model
Datum Name Telecommunication Industries and Operators: GSM Infrastructure Business Model
Name: Dr. Wagner 16 GSM Model
Name: Dr. Wagner 17 GSM: Success Story DB Research …we estimate that mobile telephony has created 4.1m jobs worldwide Why GSM? Without GSM we believe the pace of development of mobile telephony would have pared dramatically and that additional revenue streams, such as roaming (estimated globally at $1.78bn in 2003), would not have been as successful. In 1982, the Global System of Mobile communication (GSM) was established to initiate European telecommunication standards. Since 1992, it has been swiftly adopted by nations around the globe and now incorporates over 616 operators and 200 countries worldwide.
Name: Dr. Wagner 18 GSM: Success Story DB Research The success of GSM is that its development was founded on the delivery of a specific user benefit - international roaming. The demands of international roaming had profound changes on GSMs architecture and mandated an open future-proof standard that ensured interoperability, without stifling competition, and innovation among suppliers. …This resulted in a profound change in users mobile communication style from vehicular-based to personal, opportunity-based communications.
Name: Dr. Wagner 19 Why has been GSM so successful? Key Factors: Standardisation Economies of scale Global roaming
Name: Dr. Wagner 20 Key Factor: Standardisation Conversely in Japan and the US - where GSM was not initially adopted - it was common to have the network operator produce handsets and network equipment, provide mobile services and sign contracts with content providers. In such an environment, consumers could not easily switch from one network operator to another, which stifled competition and technological innovation. Moreover, the proliferation of multiple networks of varying conflicting standards in the US resulted in sparse national coverage, lacking interoperability and thwarting potential subscribers from roaming outside their regular service area.
Name: Dr. Wagner 21 Key Factor: Economies of scale By focusing R&D to one large market, the advent of the GSM standard reduced development costs and provided suppliers with huge economies of scale in both network elements and handsets. Today, GSMs maturity and widespread production makes it far more price competitive than any other mobile technology. The pre-paid market is the largest growth segment of the mobile phone industry
Name: Dr. Wagner 22 Key Factor: Global roaming At the core of the GSM philosophy was the concept that a single standard would provide subscribers seamless and standardised contactability, regardless of national boundaries. The ability to roam, or use ones mobile on any other GSM network globally, IS the raison d'être of GSM. Global roaming, facilitated via the unique authentication feature of the SIM, has contributed greatly to the success of GSM, allowing the delivery of services to users across continents…
Name: Dr. Wagner 23 Infrastructure Costs The installed first cost of GSM mobile telephony networks throughout the world is approximately $300bn since the inception of GSM The telecommunications industry in the OECD invested nearly $230bn during the decade ending 2000 In the UK and Germany, the spending on GSM licenses was the equivalent of almost $600 per inhabitant
Datum Name Conclusion Business Model GSM vs. SDI
Name: Dr. Wagner 25 Assumption: A Geoinformation Product for orientation is as much important for personal mobility as communication
Name: Dr. Wagner 26 Conclusion Roaming between SDI content provider is required to bridge Geographic distances, e.g. US vs. Canada, and scaling gaps (Earth-Country-City-House-Room- …body[RFID]) standardised contactability is a key factor for roaming, supported by geo-eBusiness/geoDRM Software Roaming would have profound changes on SDIs architecture, therefore its strategic valuable to identify them already now SDI requires high investments, therefore standardization is a key factor for software, hardware and general business models, and therefore contracts
Name: Dr. Wagner 27 Conclusion Competition can be done with concrete pricing models within the General Business Model High Investment risk need to be shared Mass market is the big goal … [Many more parallels between GSM and SDI] Roaming requirements for geoDRM functions
Name: Dr. Wagner 28 Discussion … Are the today's National Mapping Agencies the new Telecons Companies in 10 years? …