New business models for OTT services - BuddeComm

www.paulbudde.com

New business models for OTT services

4-6 May 2014

Paul Budde
Industry Analyst and Consultant

www.paulbudde.com

Introducing myself

International consultant: Broadband Infrastructure
(strategies and policies) Smart Grids
Trans-sector/Digital Economy
BuddeComm:
Smart Grid Australia: CEO
Global Smart Grid Federation:
United Nations: Founder and Executive Director

Clients: Founding Board Member

Special advisor to the ITU/UNESCO
Broadband Commission for Digital
Development

International investment houses
Governments
Industry

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Over arching trends and developments?

• Technology is increasingly putting the customer in the driver seat.
• The market place is no longer local but global.
• Finding the best deal, comparing prices and getting better customer

service is easy.
• Old business model are faltering, e-models are flourishing.
• What makes the OTT models attractive: 50%+ lower costs.
• Key to success is digital productivity.
• Cloud computing is perhaps the most critical element in this.

Long term competitive success depends for many organisations on smart
technologies

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What has OTT on offer

• e-retailing is coming into its own - omni-channel retailing
• In-store e-commerce
• OTT services, more channels to reach customers
• Browse, compare and shop from home
• M-commerce = convenience – “Think smartphone”
• Location based services facilitated by M2M
• Person-to-Person payments (PayPal)

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How to move forward

• Many businesses are fighting rearguard battles rather than leading the
charge.

• Casualties galore: music, media, telecoms, books, retail Kodak, Nokia,
Microsoft, Blackberry.

• Sectors are resisting transformation (retail, healthcare, education, energy,
govt).

• Government needs to develop digital productivity policies (healthcare,
education, smart grids, etc).

• Money is not the key issue – social and economic changes are far more
important.

These are not technology issues but social and economic issues.

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OTT creates smart business

• The world is changing – driven by people power (Internet, Apps, smartphones,
tablets, etc.)

• Business and sectors need to understand this and accept business and sector
transformation

• Need for digital productivity is the driving force behind NBN, CC, M2M, data
centres.

• Integration, complexity and costs requires outsource models
• Not if but when for smart businesses.
• Others will be left as road kill on the ICT superhighway

Developing a smart business takes time 3-5 years – start now.

www.paulbudde.com

Thank you

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