The Innovation Ec...
Follow
Find
325 views | +0 today
 
Scooped by John Muller
onto The Innovation Economy
Scoop.it!

With Big Data Comes Big Responsibility

With Big Data Comes Big Responsibility | The Innovation Economy | Scoop.it
“You should presume that someday, we will be able to make machines that can reason, think and do things better than we can,” Google co-founder Sergey Brin said in a conversation with Khosla Ventures founder Vinod Khosla.  To someone as smart as Brin, that comment is as normal as sipping on his super-green juice, but…
more...
No comment yet.
The Innovation Economy
Articles on innovation and entrepreneurship
Curated by John Muller
Your new post is loading...
Your new post is loading...
Scooped by John Muller
Scoop.it!

Clay Christensen’s theories are great for entrepreneurs, but not executives

Simplicity sells. This dictum, advanced by Clay Christensen in The Innovator’s Dilemma has also been central to his book’s blockbuster success. But to what degree are Christensen’s simple, enormously influential propositions reliable? It’s a mixed bag. The idea that successful new technologies rarely start out competing directly with the old was groundbreaking. McKinsey’s Richard Foster...
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Shit big companies say

Shit big companies say | The Innovation Economy | Scoop.it
When big companies and small companies interact, the asymmetry is obvious in a number of ways. But perhaps none more than in the speed with which each of the parties moves. Big companies, which are...
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Entrepreneurial advice from the horse's mouth

Entrepreneurial advice from the horse's mouth | The Innovation Economy | Scoop.it
A few books have been released recently where entrepreneurs impart their managerial and strategic advice on the world. Of course, they are all successful which means that ultimately they are explai...
more...
No comment yet.
Scooped by John Muller
Scoop.it!

The UX App That's Driving Design Everywhere, From Airbnb to Zappos | WIRED

The UX App That's Driving Design Everywhere, From Airbnb to Zappos | WIRED | The Innovation Economy | Scoop.it
Clark Valberg envisioned a tool that would allow multiple stakeholders to weigh in during the crucial design phase, rather than griping after the fact.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Driving Economic Evolution

Driving Economic Evolution | The Innovation Economy | Scoop.it
Ever wonder why innovation policy gets so little attention in Washington? One reason is the manner in which policymakers — and the economists who advise them — conceptualize the economy.
In the...
more...
No comment yet.
Scooped by John Muller
Scoop.it!

The manager and the moron | McKinsey & Company

The manager and the moron | McKinsey & Company | The Innovation Economy | Scoop.it
The computer is a moron. And the stupider the tool, the brighter the master must be, says Peter Drucker. In this Quarterly archive article, he explains how “the dumbest tool we have ever had” will compel managers to think through their actions. A McKinsey Quarterly article.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

An inside look at how Rocket Internet builds startups at scale

An inside look at how Rocket Internet builds startups at scale | The Innovation Economy | Scoop.it
Rocket Internet is known for launching and growing tech companies at an astonishing rate and speed, but here are some inside accounts about how it's done.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

The Innovation Revolution - Project Syndicate

The Innovation Revolution - Project Syndicate | The Innovation Economy | Scoop.it
Project Syndicate: Economics, finance, politics, and global affairs from the world's opinion page
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Can Lending Technology Revive America’s Small Businesses?

Can Lending Technology Revive America’s Small Businesses? | The Innovation Economy | Scoop.it
Lack of credit is holding back the recovery on Main Street.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Walter Isaacson Talks About How Innovators Need to Be Collaborators -- Even Steve Jobs (Video)

Walter Isaacson Talks About How Innovators Need to Be Collaborators -- Even Steve Jobs (Video) | The Innovation Economy | Scoop.it
As it turns out, it does take a village.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Why the “Apple of China” Might Help Lower the Price of Your iPhone

Why the “Apple of China” Might Help Lower the Price of Your iPhone | The Innovation Economy | Scoop.it
Few business leaders earn regular comparisons to Steve Jobs. Even fewer earn those comparisons often enough to get sick of them. Lei Jun is getting there. At 44, Lei is the billionaire CEO, founder, and public face of Xiaomi, one of the fastest-growing hardware companies in China. Xiaomi is frequently...
more...
No comment yet.
Scooped by John Muller
Scoop.it!

ITC Report: Digital Trade in the U.S. and Global Economies; September 11, 2014

Digital trade -- domestic commerce and international trade
conducted via the Internet -- has far-reaching effects on the U.S. economy that have fundamentally
transformed many aspects of the ways businesses operate and interact with one another, reports the U.S.
International Trade Commission (USITC) in its publication Digital Trade in the U.S. and Global
Economies, Part 2.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Weekend Read: The Economies of Karma

Weekend Read: The Economies of Karma | The Innovation Economy | Scoop.it
Chut JanthachotibutrMichael Moskowitz, chief curator and editorial director at eBay: Too often in business, niceties are eschewed in the name of efficiency, speed, focus and tooth-and-claw competition. Goodness is equated with weakness; nice is evidence of naïveté. But there’s a strong business case to be made for growth through giving. If success is increasingly determined by who and not just what you know, then the manner in which we treat people may (and likely will) soon prove the key arbite
more...
No comment yet.
Scooped by John Muller
Scoop.it!

The Global Innovation Index 2014 - The Human Factor in Innovation

The Global Innovation Index 2014 - The Human Factor in Innovation | The Innovation Economy | Scoop.it
The Global Innovation Index 2014 - a composite indicator that ranks countries/economies in terms of their environment to innovation and their innovation outputs. View the 2014 7th edition.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

New GSMA Report Sees North America Leading Mobile Investment and Innovation in the Developed World | Business Wire

New GSMA Report Sees North America Leading Mobile Investment and Innovation in the Developed World | Business Wire | The Innovation Economy | Scoop.it
The North American mobile market is one of the most advanced in the world, according to the “Mobile Economy North America 2014” report, re
more...
No comment yet.
Scooped by John Muller
Scoop.it!

What Is Big Data? - datascience@berkeley

What Is Big Data? - datascience@berkeley | The Innovation Economy | Scoop.it
What is Big Data? To settle the question once and for all, we asked 40+ thought leaders in publishing, fashion, food, automobiles, medicine, marketing and every industry in between how exactly they would define the phrase “Big Data.” Their answers might surprise you!
more...
No comment yet.
Scooped by John Muller
Scoop.it!

iPhone 6 and Android value

iPhone 6 and Android value | The Innovation Economy | Scoop.it
The new iPhones were much the most predictable part of Apple's event -
widely leaked and impelled by an irresistible logic - the customer is
always right. For all that Apple thought and argued that you should
optimize for the thumb size, it turns out optimizing for the pocket size is
a better metric. *

(Of course, this isn't the first time - Steve Jobs famously said that
no-one would watch video on an iPod, and that small tablets should come
with sandpaper for your fingers).

Meanwhile, Apple did not, as I and others have argued it now could, make
any real change to its pricing strategy. We still have a new model at $600
or so (plus another that's even more expensive) and older models at $100
and $200 cheaper, together with a (very) large secondary market act to
address some of the top of the mid-range, but no more. 

Instead, these phones are a direct move against premium Android. 

Apple currently has about 10% of global handset unit sales, at an ASP of
$550-600, and Android has another 50% at an ASP of $250-300 (almost all the
rest are feature phones, now also converting fast to Android at well under
$100). But within that Android there is a lucrative segment of high-end
phones that sells at roughly the same price and in roughly the same numbers
as the iPhone. To put this another way, Apple has 10% of the handset market
but half of the high-end, and Android has the other half of the high end. 

That Android high-end is dominated by Samsung, and by screens with larger
screens than previous iPhones. Until now.

How much of an impact will these new iPhones have on that segment? There
are a bunch of reasons why someone would buy a high-end Android rather than
an iPhone:

1. Their operator subsidies an Android but not an iPhone - this has now
ended, with Apple adding distribution with all the last significant
hold-outs (Sprint, DoCoMo, China Mobile)
2. They don't particularly care what phone they get and the salesman was
on more commission to sell Androids or, more probably, Samsungs that
day (and iPhones the next, of course)
3. They have a dislike of Apple per se - this is hard to quantify but
probably pretty small, and balanced by people with a dislike of
Google
4. They are heavily bought into the Google ecosystem
5. They like the customizations that are possible with Android and that
have not been possible with iOS until (to a much increased extent)
iOS8 (more broadly, once could characterize this as 'personal taste')
6. They want a larger screen. 

Splitting these out, the first has largely gone, the second is of little
value to an ecosystem player and nets out at zero (i.e. Apple gains as many
indifferent users as it loses) and the third is small. Apple has now
addressed the fifth and sixth, and the massive increase in third-party
attach points means that Google's ecosystem (and Facebook's incidentally)
can now push deep into iOS - if Google chooses to do so. 

That is, with the iPhone 6 and iOS8, Apple has done its best to close off
all the reasons to buy high-end Android beyond simple personal preference.
You can get a bigger screen, you can change the keyboard, you can put
widgets on the notification panel (if you insist) and so on. Pretty much
all the external reasons to choose Android are addressed - what remains is
personal taste.

Amongst other things, this is a major cull of Steve Jobs' sacred cows -
lots of these are decisions he was deeply involved in. No-one was quicker
than Steve Jobs himself to change his mind, but it's refreshing to see so
many outdated assumptions being thrown out. 

Meanwhile, with the iPhone 6 Plus (a very Microsofty name, it must be said)
Apple is also tackling the phablet market head on. The available data
suggests this is mostly important in East Asia but not actually dominant
even there - perhaps 10-20% of units except in South Korea, where it is
much larger.  Samsung has tried hard to make the pen (or rather stylus) a
key selling point for these devices, but without widespread developer
support (there is nothing as magical as Paper for the Note) it is not clear
that these devices have actually sold on anything beyond screen size and
inverse price sensitivity (that is, people buy it because it's the 'best'
and most expensive one). That in turn means the 6 Plus could be a straight
substitute. 

Finally, not unlike Nokia for much of its history, Apple remains the only
handset maker of scale making phones with a premium hardware design. Both
Nokia and HTC also made equally desirable hardware but for different
reasons have faded from the scene, while Samsung appears unable to make the
shift in approach that this would necessitate. Several Chinese OEMs are
making significant progress here (most obviously Xiaomi), but are not yet
in a position to challenge Apple directly, and indeed are much more of a
problem for Samsung, which finds itself squeezed in the middle. 

Setting aside the OEM horse-race commentary, the important thing about this
move is how much it tends to reinforce the dominant dynamic of the two
ecosystems - that Apple has a quarter of the users but three quarters of
the value.  

We know from data given at WWDC and Google IO that Apple paid out ~$10bn to
iOS developers in the previous 12 months and Google paid out ~$5bn. Yet,
Google reported "1bn" Android users (outside China). Apple, depending on
your assumptions about replacement rates, has between 550m and 650m active
devices (though fewer total human users). That is, Apple brought in twice
the app revenue on a little over half the users. (I wrote a detailed
analysis of this here.)

We used to say that of course the average spend for Android users was
lower, because the devices were available at any price for $80 to $800
where iPhones average $600, and sold well in poorer countries, but the
premium Android users were bound to be worth much the same as iPhone users.
This new data showed that this was not true. 

If premium Android users were worth the same as iPhone users, but the
mid-range and low-end Android users were (naturally) worth less, then the
Android number should have been (say) $11bn versus Apple's $10bn. But it's
$5bn. So, even the premium Android users, the very best ones - even the
people buying phablets - are worth much less to the ecosystem than an
iPhone user. And now Apple is now going after them too. 

This takes us to a final question - is it the users or is it the ecosystem?
If Apple converts a big chunk of premium Android users to the iPhone 6 when
they come to refresh their phones (and note that since they won't all have
bought their phones in September 2012, they won't all be up for upgrade as
soon as the new iPhones come out), will their behavior change? Are we
seeing less ecosystem value for these users because of differences in the
platform they're on, or is there something different about those users'
attitudes?

And, of course, if those users do leave, what will the Android metrics look
like then?

* Just as for multitasking, and the new extensions in iOS8, Apple had to
work hard to make this possible - in this case it had to move away from
pixel-perfect layouts to something more responsive. This of course is where
Android started - since it was predicated on a wide range of devices it had
to allow for different layouts, where Apple started from one screen size.
This, I think, reflects a broader trend - that Android and iPhone started
in quite different places and have converged over the past 5 years.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

When creative destruction becomes creative devastation | FT Alphaville

John Komlos of the Ludwig-Maximilians University in Munich proposes in a new paper that 'creative destruction' has become devastating, not just destructive:
the destructive power associated with Schumpeterian creative destruction has increased markedly relative to their creative component, in contrast to previous epochs. Creative destruction’s gentle winds have mutated into cyclones of destruction.
Thus, our sense of well-being will probably not keep pace with even the slow economic growth being predicted by Gordon, Summers, and Krugman. While the economy will be growing, albeit slowly, we predict that our sense of well-being will be mysteriously lagging well behind.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Why Silicon Valley Will Continue to Rule the Tech Economy

Why Silicon Valley Will Continue to Rule the Tech Economy | The Innovation Economy | Scoop.it
In The Wall Street Journal, Michael S. Malone says that human talent and research and design labs are arriving to dominate the new era of devices.
more...
No comment yet.
Scooped by John Muller
Scoop.it!

Do Software Engineers Get Enough Respect? | TechCrunch

Do Software Engineers Get Enough Respect? | TechCrunch | The Innovation Economy | Scoop.it
"For software engineers, life must seem like it keeps getting better," cheerleads CNet. Glassdoor agrees: our median salary is now $85K, and six figures in..
more...
No comment yet.