Economics of Open Data, presented at APIDays Sydney, 11 Feb 2015

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Transcript of Economics of Open Data, presented at APIDays Sydney, 11 Feb 2015

[email protected]

twitter.com/starl3n

2Link designs and develops web sites.

3Link designs and develops web sites.

4Link designs and develops web sites.

OPEN DATA

Good (economic) 6

In economics, a good is a material that satisfies human wants[1] and provides utility, for example, to a consumermaking a purchase. A common distinction is made between 'goods' that are tangible property (also called goods) and services, which are non-physical.[2] Commodities may be used as a synonym for economic goods but often refer to marketable raw materials and primary products.[3]

Although in economic theory all goods are considered tangible, in reality certain classes of goods, such as information, only take intangible forms. For example, among other goods an apple is a tangible object, while news belongs to an intangible class of goods and can be perceived only by means of an instrument such as print, broadcast or computer.

Types of goods 26

Who is talking about open data? 27

Political

Community

Technical

Bureaucratic

Why are they talking? 28

Unlocking economic value

Transparency

Efficiency

What is open data? 29

Schema

Data

APPS

API

What is not open data? 30

.doc

.pdf.xls.jpg

Software

Hardware

Software

Hardware

APPS

_X_ _?_ _X_ _?_ _X_ _?_ _X_ _?_

Quality of open data 31

Tim Berners-Lee, the inventor of the Web and Linked Data initiator, suggested a 5 star deployment scheme for Open Data.See more: http://5stardata.info/

Who is talking about open data? 32

Political

Community

Technical

Bureaucratic

Who is talking about open data? 33

Political

Community

Technical

Bureaucratic

=

=

Use cases

Platform

Origins of open data 34

A Brief History of Open Data

By Simon Chignard

http://www.paristechreview.com/2013/03/29/brief-history-open-data/

http://creativecommons.org/licenses/by-nc-nd/3.0/us/

Origins of open data 35

The term open data appeared for the first time in 1995, in a document from an American scientific agency.

It dealt about the disclosure of geophysical and environmental data. To quote the authors of the report: “Our atmosphere, oceans and biosphere form an integrated whole that transcends borders.”

They promote a complete and open exchange of scientific information between different countries, a prerequisite for the analysis and understanding of these global phenomena.

Origins of open data 36

The idea of common good applied to knowledge had already been theorized, well before the invention of the Internet. Robert King Merton, as early as 1942, explained the importance that the results of research should be freely accessible to all.

Each researcher must contribute to the “common pot” and give up intellectual property rights to allow knowledge to move forward.

Origins of open data 37

Information technologies have also given a new breath to this philosophy of commons. In her research, the 2009 Nobel Prize of Economics Elinor Orstrom showed the specificity of information commons. They are very similar to public goods, because their use by one person does not impede their use by others.

However, these are public goods of a new kind: not only their use doesn’t deplete the common stock, but it enriches it.

*compare this to a park or a public swimming pool

Origins of open data 38

Peer review assumes some level of openness is provided.

But it is the encounter between this scientific idea and the ideals of free software and open source that shaped open data as we know it today.

Origins of open data 39

In December 2007, thinkers and activists of the Internet held a meeting north of San Francisco. Their aim was to define the concept of open public data and have it adopted by the US presidential candidates.

Among them were:Tim O’Reilly (open source, Web 2.0)Lawrence Lessig (creative commons)

Together, they created the principles that allow us today to define and evaluate open public data

Origins of open data 40

The basic idea is that public data are a common property, in the same way as scientific ideas.

The means to achieve this idea concerned primarily the sharing and use of this common good.

They are directly inspired by the approach and practice of open source, built on three concepts: openness, participation and collaboration.

Origins of open data 41

2009 - Yes We Can!http://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 42

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 43

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 44

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 45

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 46

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Origins of open data 47

Yes we canhttp://www.whitehouse.gov/the_press_office/TransparencyandOpenGovernment

My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.

Diminishing economies of scale required for

effective collaboration

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Digital anthropology Horrible histories

Are we stupid?

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Big DataUnexpected insights

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SensorsEvent triggersData points

4

Public amenitiesBooking systemsPop up markets

5

Economic value chainSupply and Demand

6

Analysis indicates that more vigorous open data policies could add many

billions per annum to the Australian economy.

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Slip Slop Slap and Don't Drink and Drive

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Slip Slop Slap and Don't Drink and Drive

Anti vaxKim Kardashian's ....

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Government Digital Service UK

Digital Transformation Office AU

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[email protected]

twitter.com/starl3n

Why are they talking? 59

When to release data in a private company?

Transaction costs Economies of scaleWho is your competitor? (technology)