Open Standards and Innovation -a Pilgrims View to a New Nation Siva Ramamoorthy ITU-T Regional...
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Open Standards and Innovation-a Pilgrims View to a New Nation
Siva Ramamoorthy
ITU-T Regional Consultation on Conformance Assessment/Interoperability
(Sydney, Australia, 16-17 September 2010)
Sydney,16-17 September 2010
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Innovation across the Pyramid
Sydney, 16-17 September 2010 2
India Dry Cleaners at $1
Kerala Fisherman
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Nadi, Fiji, September 2009 3
Summary – Trickle Up Innovation
"The dominant logic holds that innovation comes from the U.S., goes to Europe and Japan, then gravitates to poor countries" says C.K. Prahalad, a strategy professor at the University of Michigan's Ross School of Business and author of The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits. "But now we're starting to see a reversal of that flow." CK Prahalad (1941- April 2010)
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Sydney,16-17 September 2010 4
Agenda- Key Hypothesis
Standards Help InnovationInnovation creates enormous Opportunities for Nations- especially emerging NationsCase StudyCall to Action
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The Telecom Decade
Sydney, 16-17 September 2010 6
1995 2000 2001 2005 2010
ARPU
CAPEX
No of Subs
Death of Telecom
% of OPEN BUILDING BLOCKS in ICT
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The Telecom Industry Over the Years
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Earlier:Completely End to End ProprietaryPhysical design of equipment
Racks, Chassis, BoardsOSMiddleware
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The Telecom Industry over the years
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Open Source and Linux
Consortiums: -PICMG - Linux Foundation & Carrier Grade Linux - SCOPE Alliance - Service Availability (SA) Forum
Interop Forums: ITU, MEFITU Work on Conformity and Interop WTSA Res 76, ITU Pilot Conformity Database, Test LabsGlobal System for Conformity Assessment (ISO/CASCO)
Boards and Chassis FPGA
Middle Ware (such as SA Forum Specs)
Application/ Services Software
The Post 2000 Telecom Product resembles a Eco System
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Innovation is multipronged
Sydney, 16-17 September 2010 9
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The Innovation Curve
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Innovation Barriers to Entry
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Global Telecom Industry - Observations
Emerging Economies leap frog technologyOperators are outsourcing their networks increasinglyMove towards Converged NetworksGreater Focus on Government to Citizen services
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Sydney, 16-17 September 2010 13
Large opportunity for Innovation Using Standards
Big Local MarketProduct/IP Talent
Standards
Early Role models
IPIP
Supportive Supply Chain
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Innovation Using Standards
Re usable HW Building Blocks
Open Source
Democratization of Knowledge
Standards
Eco System of Innovation
Large Opportunity to Innovate
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Why is it Important for emerging economies
Leapfrog technologyLost CapexLow OpexBest of breed technologyEnabling local employmentTechnology Index Moves upLarger Range of Providers Interop’ing with each other
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India Innovation
Business InnovationManaged Services – Ex. Bharti
Point to Point Mobile Services cheaper than a Postage StampConvert Fixed costs into Variable costs$0.01 per minuteRevenue growth of 120 percent Y-o-Y, Net profits 282 % (Reverse Innovation)
Sydney, 16-17 September 2010 16
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Sydney, 16-17 September 2010
Case in Point
Applying Standards and Innovation to NGN Traffic
“Carrier Ethernet”
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Sydney, 16-17 September 2010
Case in Point
Applying Standards and Innovation to Customer
Intimacy“Value Added Services”
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Sydney, 16-17 September 2010 19
Summary- Standards and Innovation
Large Opportunity for emerging EconomiesProvides for a way to leap frog technologyA large eco system of Providers of solutions and products with StandardsReuse of Known Hardware and Software Technology Building blocksCall to Action
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Sydney, 16-17 September 2010 20
Thank You
SIVA RAMAMOORTHY