New Technology 2014 L01 Introduction

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New Technology 2014 L01 Introduction These slides are part of Reykjavík University course New Technology History has many examples of powerful companies that seem to be unbeatable. Then in a short time they become irrelevant due to new companies with new ideas. One of the factors in such transformation is technology. Never in history has technological change been so important in building and destroying companies. In this first lecture we set the tone for the course and define the themes that we will be looking at.

Transcript of New Technology 2014 L01 Introduction

NEW TECHNOLOGY 2014

Ólafur Andri Ragnarsson

LECTURE L01INTRODUCTION

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

Falling from glory

Nokia stock 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

The 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

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 Devicesand service business for $7.2 billion

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.

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

By January 2010, Blockbuster operated 5,200 stores worldwide

By September 2010, Blockbuster files for bankruptcy

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Access everywhere, available anytime

THEN NOW

DVDs from the video store, with late fees, or a library at home

Technology is one of the major factors in change

Three billion people will connect for the first time to the Internet TV stations as we know them will go out of business CDs and DVDs are not the future distribution format for music Printed magazines and newspapers will go out of business Smartphones will dominate Internet traffic Social networks transforms how we communicate and share information Real-time news will be handled by people Credit cards will disappear Currencies will become digital, peer-to-peer disrupting the banking system Cars will be self-driven Objects can be printed at home, creating a new design industry Drone highways in the sky for delivery network Robots will enter the workplace and home

DISRUPTION AHEAD!

THE PREREQUISITEINFORMATION TECHNOLOGY

2,6 BILLION PEOPLE ARE CONNECTED TO THE INTERNET 3 BILLION NEW MINDS WILL CONNECT

2000 2010

iMac iPhoneMac OS 9.0.4 500 MHz PowerPC G3 CPU, 128MB MemoryScreen - 786K pixelsStorage - 30GB Hard Drive

iOS 4.0 1 Ghz ARM A4 CPU, 512MB MemoryScreen - 614K pixelsStorage - 32GB Flash Drive

Source:  Ars  Technical  Images:  Apple

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T2000 2010

CONTENT BECOMES DIGITAL

THE DIGITAL DECADE

2000

MUSIC

PICTURES

COMMUNICATION

SMARTPHONES

TV  SHOWS

MOVIES

BÆKUR

THE DIGITAL DECADE

2010

TV WEB GOOGLE

FACEBOOK

COMPLEX WORLD

Software and data are stored in the cloud Unlimited computing

THE CONSEQUENCECHANGED BEHAVIOUR

FUNDAMENTALSHIFT INPEOPLE’SBEHAVIOUR

DIGITAL LIFESTYLE

DIGITAL WORLD

SOFTWARE  WORK FOCUS

APPS VIEW/BROWSE

ENTERTAIN

APPS  CHECK  NOW!

VIDEO  WATCHING RELAXED

DIGITAL WORLD

DIGITAL WORLD IS PART OF GROWING UP

NEW GENERATIONS NEW HABITS NEW NEEDS

NEW GENERATIONS ARE DIGITAL NATIVES

President XI Jinping Population 1,349,585,838

President Pranab Mukherjee Population: 1,220,800,359

Facebook CEO Mark Zuckerberg Population: 1,260,000,000

Amount of Data is 300 petabytes

22 billion likes per day

Over 6 billion hours of video are watched each month on YouTube—that's almost an

hour for every person on Earth, and 50% more than last year

Source: Youtube

100 hours of video are uploaded to YouTube every minute

Mobile makes up almost 40% of YouTube's global watch time

People send over 400 million tweets per day

Number of minutes played each day: 200 million

(ALMOST)  ALL THE MUSIC IN WORLD IS ACCESSIBLE

NETFLIX USES ABOUT 32,7% OF NETWORK TRAFFIC IN USA

OUR DEVICES ARE GATEWAYS TO THE CLOUD

“Life  is  lived  forward  but  understood  backwards”- Sören Kierkegaard

TRACKING TECHNOLOGY

DAWN OF MAN FUTURE

WE TEND TO LOOK BACK

THE UNKNOWN

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Understanding what is next

Seeing how current trends will d i s r u p t and transform the future