The Industry Paradigm Shift in the Era of Data-driven Economy

Transcription

1 The Industry Paradigm Shift in the Era of Data-driven Economy Tsu-Yu Chao Industrial Economics and Knowledge Center (IEK) of Industrial Technology Research Institute

2 AGENDA The Big Picture of Data-driven Economy Internet of Things as the Key Driving Force Industry Paradigm Shifted by Data Summary 1

3 Data-driven Society 2

4 Energy Economy vs. Data Economy Value-add Energy Economy Oil Gas Electricity Data Economy IoT Big data Cloud Time Same: Value-add from explore, collect, process, and application Difference: Data burst, no regional boundary, reusable, openness Oil corp. took 4 positions in Top 10 global market cap. in 2011 but 2 in 2014 Data-related corp. took 3 positons in Top 10: Apple 72% up, Microsoft 76% up and Google 110% up Source:IEK of ITRI (2015/03) 3

5 Data Economy as the Core of new ICT era Education Tourism Internet of Things Corp. Internal Data Big data Energy Transp. 交通 People + IoT Data Data Source Gov. Open Data Health Safety 公共安全 Skill Cloud Computing Personal Data 5G Social Data High Speed Comm. City Government 政府 Application Data Economy Data as a Core, by using analytics skills, to maximize the added value to improve the operation efficiency, service innovation, and support the quality of decision-making etc. 4

6 The 3Vs of Big Data Volume Velocity Variety From Data to BIG DATA Data Volume in 2010: 1.2ZB -> 40ZB in 2020 (more than 30x) 68% of Data came from consumers in % unstructured data,including video clips, social web pages..etc. 2010: 1.2ZB 33% value added 2020: 40ZB by analytics 5,200GB/person The cost/performance of Big Data investment Cost?? Hardware(Storage, Processing ), Management. Performance?? Bring more money?? 10^3 KB (Kilobyte) 10^6 MB (Megabyte) 10^9 GB (Gigabyte) 10^12 TB (Terabyte) 10^15 PB (Petabyte) 10^18 EB (Exabyte) 10^21 ZB (Zettabyte) ~ 80% unstructured data Video 2020 年 Photo 40 ZB Document Social Pages Source:IEK of ITRI (2015/03) 5

7 Data-driven Innovation: New Data Sources & Data Mash-ups Government and Social Data Active intelligent Innovated Services Open Data Website Clicks Online Interactive Bio/Behavior Data Machine/ Equipment Home/City Environment Internet of Things Locations Social Media Crowd and social emotion Two-way realtime interact Real-time tracking of people Location-based Service 6

8 Infrastructure Ready for Data Analytics HARDWARE:Data Processing and Storage Infrastructure Computing Power: PC price down 93.5% every year from by Moore's Law Storage Cost: Price of GB Storage down 99.6% every year from Business Model: On-Demand Cloud Services(IaaS, PaaS etc.) SOFTWARE:Open Source/Real-time processing Big data and unstructured analytics: Hadoop etc. Real-time Streaming Processing Techniques and Open Source PC Consumer Index $ of GB Storage $ of TB Processing Source: Carpe Diem Site $16-18 Source:SAS Source: Intel $50K $0.07 Traditional <$1K Hadoop Source:IEK of ITRI (2015/07) 7

9 Retail Case: Walmart Time Enter Products Time of Stay Customers Analysis by WiFi Location and Image Purpose: Precision marketing by analyzing customers behavior in the store Benefits: Customized Marketing(Ad and Coupons) Data Sources: In-Shop Data: Sensors (Facial Recognition, Eyeball Tracking, Path Tracking) Interactions between customers and products/employees, Floor Plan etc. Products and Customers Data: Wishing List, Customers Portfolio(Age, Gender, Shopping history, Complain history, Web page viewing history ) Internet Data: Social Media, Web chats Open Data:Demographics, Weather, Events (e.g. NBA Playoffs, Concerts ) Exit New or Old customer Path 8

10 Data Treasury: Inner + Outer Supply Data Shop Orders Shipments Revenue RFID Sensors Inventory Receipts Products Info Floor Map Hundreds of Billion Data Billions of interaction Millions of transactions Personal Data Customer Review Viewing Near-by Events Friends Market Data Market Organizations Demographics Events Macro/Micro Economy Weather Customer Data Membership Customer View Map Customer s Services Centers APP DM Downloads Website Clicks Online Shopping list Online Survey Keyword Query QR Code Store Sensors Sources: Big Data and Analytics in Retail: Unlocking Hidden Opportunities 9

11 Personal Navigation Case: Waze Traffic Jam Accidents Police Speeding Gas Station Events/Spots Mashup Waze: Social/Crowdsourcing Navigation Services Company: Merged by Google in June 2013(>$1billion) Customers: 50million globally in 190 countries Services: Personalized Navigation Services Biz Model: Free ios and Android Apps by Ads and data licensing 10

12 Government Case: UK Healthcare Backgrounds: NHS(National Health Service) hope to cut 20 billion UK pounds of medicine expense before 2015 Data Analysis: A Big Data Company, Mastodon C, cooperate with NHS and GP to analyze the prescriptions of Statins Results:Mastodon C found doctors attempts to use branded drugs in some areas and suggest to switch to generic drug Benefits: Cut 2 billion pounds in 2012 Source: Friday lunchtime lecture - Big Data Comes to the NHS 11

13 Data-driven Corporation Innovation From Data Collection and Usage Data-driven Corporation Visualization Datasheets (Static/Text) Dashboard (Spatial/Space) Real-time Interactions Intelligent Analysis Storage/ Process Capabilities Sampling Analysis Piecewise Info. Clean-up regularly Individual and Popularity Understand & Forecast 100% Storage Processing Scenario Perception Real-time Decision- Making Real-time Refresh and Streaming Digging/ Collecting Transaction log Multi Data Sources (5W&Metadata) Corp. Data Environments Meta Data Real-time Data 12

14 Landscape of Data Economy Enabling Players Academia Incubators Support Services Regulators Training VCs ICT enablers Data holders Marketplaces Analytics Vertical apps Data Users Cross Infrastructure Data Market Data Landscape 13

15 Data Economy Ecosystem and Value Chain Feedbacks Data Owners & Suppliers Purchase Data Provide Data Purchase Service Application service providers Final Consumers Provide Service Gov. Corp. People App Service Developers Provider Gov. Corp. People Enablers Provide Service Purchase Data Service Request Data Platform Providers: Socrata Data Broker: DataMarket Analytics Platform Vendors: BigML Data Visualization: Tableau Crowdsourcing Services: Kaggle Consultation Service: IBM, Accenture, Deloitte Source:IEK of ITRI (2015/07) 14

16 Data Marketplaces Take the Key Role Trusted Data Marketplace where public and private sector datasets are available to help generate new applications, products and services 15

17 Magic Numbers of OPEN DATA Number of countries with government open data platforms* Data sets on data.gov (US site)* 7.75mil + Page views for the UK open data site Data sets on data.gov (Taiwan site)* 35hr Hours/year saved by commuters based on open data 150billions + Economic Value in Europe by Open Data (EURO) % + Consumer share of potential value of open data Job Creation based on Open Data in the Netherlands 100,000 + Medical, health, and fitness apps for smartphones Source: McKinsey; IEK of ITRI (2015/05) 16

18 G8 Open Data Charter Open data by default, but you may have to pay Agree that open data are an untapped resource with huge potential to encourage the building of stronger, more interconnected societies that better meet the needs of our citizens and allow innovation and prosperity to flourish by G8 Five Principles: Open Data by Default Quality and Quantity Useable by All Releasing Data for Improved Governance Releasing Data for Innovation 17

19 AGENDA The Big Picture of Data-driven Economy Internet of Things as the Key Driving Force Industry paradigm shifted by Data Summary 18

20 Internet of Things: Key to Data-driven Economy Source: IDC; CISCO; Goldman Sachs; McKinsey 19

21 80% of IoT Revenue from Data Analysis and Services $262 Billion (79.9%) $18 Billion (5.5%) Big Data, User Insights Cloud Computing, Datacenters, Servers Middleware, Protocols, Standards Device-side API, enterprise-side API, device management, app development framework, data compression, encryption, security 5 th Layer: Analysis and Statistics 4 th Layer: Application and Services 3 rd Layer: Computation and Storage $17 Billion (5.2%) $31 Billion (9.5%) 2G/3G/4G, Mesh, Wi-Fi, ZigBee, WWAN, Ethernet, WLAN, WPAN Standards and Protocols MQTT, D2D, D2S, S2S, CoAP, SOAP, DTLS 2 nd Layer: Communication and Networks 1 st Layer: Device (Hardware, Power Supply, Protocols) Note: Estimated revenue by 2020 Source: Gartner; IEK of ITRI (2015/06) 20

22 Service Differentiation by IoT-driven Data Acquisition and Analysis Internet of Things bring new market competition by Device-related Sensors, data acquisition, accumulation, interpretation and analysis Redefine Recommendation Historical Analysis Present Analysis Same Application, Different Market OMRON(2014) Walking Posture Checker for Beauty Walk:for Japan Market Only Valedo(2015) Source: IEK of ITRI (2015/01) Move for healthy Back:for Global Market 21

23 IoT Innovation: alertme Home Energy Management System Biz Model Data Analysis and Platform Services Application Analytics Cloud Human-Machine Interface Energy Recommendation AlertMe proprietary data analysis software with 14 patents Household Data: Appliance, Usage, etc. Environment Data: Weather, Electric Fee etc. AlertMe Platform: Interconnect with multiple vendors SDK and Open API, Support Z-Wave, ZigBee, WiFi and 2/3G Hub : Core Competence Endpoint Benefits 500,000 of household membership and 370,000 using recommendation services 22 3 rd party vendors with more than 50 IoT Devices 10 billions of connected device data per month Source: IEK of ITRI (2015/03) 22

24 IoT Benefit: Consumer and Productivity Internet of Things by using data and information technology will bring both consumer life and productivity transformation. Information Technology (B2C) IT 3.0 Smart Life User Insight IoT e-commerce Big Data IT 2.0 Connected Life Cloud IT 1.0 Digital Life Machining CPS Productivity (B2B) Industrial 1.0 Industrial 2.0 Industrial 3.0 Industrial 4.0 Source: IEK of ITRI (2015/05) Capital-intensive Technologyintensive Innovation-intensive Intelligent-intensive 23

25 IoT Technologies in Multiple Fields 40-50% efficiency up 30% Responds time & 10% death down 25% Traffic time & 50% accidents down 17% Waste down & 49% Recycle up 30% of Energy saving Saving 270 billion USD in 15 years Inventory management cost saving 400,000 USD Efficiency 20% up Efficiency 98% up Source: IEK of ITRI (2015/05) 24

26 Long-tail Market Segmentations Innovated IoT Market will dominate the future data-driven economy Mass Market: Leading brands markets. Service-oriented differentiations and join alliance in the ecosystems Niche Market: Innovated services and entrepreneurship environment S/W and H/W integration and customization for every smart life applications. Key driving forces for industries paradigm shift 2020 Shipments (Millions) Mass Market Indoor LED Lighting - business Wearable devices Automotive - body Digital set top box Toys Automotive -infotainment Bluetooth headset Niche Market Anti-theft tags - business Agricultural sensor - livestock Smart electric meters Smart watches Smart gas meters Smart garments Smart glasses, HMD/cameras Wristbands Consumer door and Sport watches window locks Smart furniture Other fitness monitors Chest Indoor digital straps signage Hotel door locks Parking meters Wheelchairs Selected items for illustration ATMs Vending machines Parking meters Source: Gartner; IEK of ITRI (2015/01) 25

27 IoT Ecosystem and Value Nets Enablers: Building the Technology Engagers: Connecting to Customers Enhancers: Create New Value Embedders: Engenders new types of functions Source: Strategy& (2015/01) 26

28 From IoT to Internet of Minds (IoM) From Sync Me to Be Me Sync Me See Me Know Me Be Me Synchronized devices User Behavior Sensing User Preference & Recommendation Direct Reaction by User Needs Smart ecosystem Social Network Sensing Data Ambient light and music auto control by sensing environments Online order flowers for special occasion Auto pilot when sensing distraction or fatigued 27

29 It s Time of Paradigm Shift for Global ICT Industries Production NOW Economic of Scale Domain knowledge FUTURE Customization Market Competitiveness Cost/Price Big Data Analytics Value Creation Industry Structure Close SDx Open API Open Innovation Platform Value Chain Power Branding Dominant Service Provider driven H/W&S/W integ. System Service Ecosystem Structure Vertical Specialization Collateral integration, biz alliance Serviceoriented Ecosystem Source: IEK of ITRI (2015/01) 28

30 AGENDA The Big Picture of Data-driven Economy Internet of Things as the Key Driving Force Industry paradigm shifted by Data Summary 29

31 HW/SW system integration critical for Taiwan s redeemed opportunities via IoT Leverage past core competences in hardware, but need to make up software competences Value Creation Redeemed Opportunities HW/SW System Integration (Cloud => Big Data => IoT) Missed Opportunities Software/Internet (ERP => Internet => App => SDx) Core Competences Industry Clustering (Taiwan => Overseas) Manufacturing (OEM => ODM => OBM) 1970 s 1980 s 1990 s 2000 s 2010 s 2020 s 2030 s Source: IEK of ITRI (2015/06) 30

32 IoT for Taiwan to shift paradigm from Manufacturing to Infofacturing Applications & Services System Integration Cloud Network Model 1: Service-based Solution Provider Solution Provider Servicebased Solution Provider Model 2: Original System Manufacturing OSM (Original System Manufacturing) ODM Model 3: Service-based Brand Servicebased Brand Model 4: Service Integrator Service Provider Service System Integrator Terminals & Components Brand Potential Players: Advantech, Delta, etc. Quanta, Hon Hai, etc. Acer, ASUS, HTC, etc. 7-11, YouBike, etc. Source: IEK of ITRI (2015/01) 31

33 Leapfrog paradigm shift needed for resolving Taiwan s industry issues Disruption Interdisciplinary Rapid Prototyping Innovation Domain Expert Mass Manufacturing High Quality, Good Pricing Value-add Value Creation ROI Source: IEK of ITRI (2014/12) 32

34 Pursue User Value Creation for innovation Build Key Enabling Competences Learning from Stanford d.school and Google Solve for X: User Value Creation Key Enabling Competences: Talent Technology Knowhow Management Partnership Breakthrough Solution / Technology Sustainable Business Model Source: IEK of ITRI (2015/4) 33

35 AGENDA The Big Picture of Data-driven Economy Internet of Things as the Key Driving Force Industry paradigm shifted by Data Summary 34

36 Summary Data-driven Economy will turn our world around from the bottom of our lives and industries Leveraging the hardware advantages by software integration and service-oriented ecsystem. PAST FUTURE 35

37 Thank You Tsu-Yu Chao Deputy Director Interdisciplinary Research Group 以上簡報所提供之資訊, 在尖端科技發展與產業變動中, 無法保證資訊的時效性及完整性, 使用者應自行承擔因使用本簡報資料可能產生之任何損害 著作權歸工研院所有, 非經書面允許, 不得以任何形式進行局部或全部之重製 公開傳輸 改作 散布或其他利用本簡報資料之行為 36