08Era of value networks
APIs unite to create exceptional superb door-to-door experiences
We are at the beginning of the era of value networks. More and more companies are seeing the potential to deliver value for their customers, partnerships, and ecosystems through platforms. A whole new strategy will be needed to develop digital systems that provide seamless experiences for end users.
What will change
New value networks will be developed in co-operation with regional parties and larger networks, helping customers seamlessly navigate between their homes and their desired destinations. To make this possible, new services will be created that compound APIs from different providers in an easier, more controlled, standardised way.
Better understanding of good API creation and the usage of cloud based services are making it easier to integrate APIs from different providers. An ‘ApiBNB’ is starting to form - a marketplace that allows our data to move freely without compromising the user’s ownership and security.
Opportunities worth taking
As more API marketplaces form, larger ecosystems with start to coalesce around them. Open ecosystems that combine services into larger experiences will create new value for customers across many industries, including food, travel, retail, health and agriculture.
This is where the open-minded, the visionaries, the rebels and disruptors design new digital customer experiences for the world to come. Are you one of us?
Travel and tourism will become increasingly connected from the user’s point of view. The experience will last from the moment the ticket is purchased until the traveler returns home. The One ID initiative aims to remove repetition and duplicity from the air travel experience.
Mobility providers will collaborate to share data in order to improvise efficiency and provide better experiences. For example, when a user purchases an American Airlines ticket through the app, a reminder is suggested to book an Uber ride.
The meaning of commuting will slowly change with the electrification of the car, and autonomous driving will give automotive manufacturers opportunities to expand their role in the customer value chain. For example, Mercedes Benz aims to integrate with smarthomes to provide seamless experiences.
Whether in healthcare or retail, service business will benefit from single source solutions to simplify the process of deploying emerging technologies. IBM, for example, offers a marketplace for vetted, compliant imaging AI solutions for healthcare industry simplifying the process of procuring an AI project and product. In retail, Voice-market.io can offers companies a single source for speech synthesis and recognition assets, including identification, sentiment analysis and conversational UI.
Why is this relevant
Total market 2024
IOT $ 936 bn with 33% CAGR. Platform economy evaluated over $ 7 trillion already in 2017. API market.
Look at these 2024
Platform business model for algorithms & building blocks, contextual operating systems: automotive, EV charging, smart buildings.
Top 18 unicorn sniffing smart money VCs, 1376 investments 2018-2020
Platform 29%, algorithm 2%.
The dilemma of converging markets and fragmented structures. While demand for hyperconnected business exists, technology is becoming increasingly fragmented. New opportunity areas are emerging to solve the dilemma.
- Digital Identity
- authentication is the key enabler as the line between digital businesses and physical services blurs. Technology agnostic digital identity will be essential as we are moving from a deterministic, task-oriented era to a new, hyperconnected world.
- a very common B2C business model is coming to B2B. We will see more marketplaces focusing on certain experiences, as well as those that offer multiple tech vendors under the same roof for business to cherry pick.
Things to consider
Security issues like data breaches will become increasingly damaging on larger platforms with increased service overlap. Having one’s whole travel itinerary exposed to a bad actor may have more severe consequences than leaked information about a single hotel or flight reservation.
More immersive platforms may put user privacy at risk. The sharing of comprehensive user data bound to digital identity makes it even more important to trust the owner of the platform. Decentralised identity management may increase user privacy, but only between platforms.
This technology looks increasingly likely to take privacy responsibility away from cloud-based platforms. This might affect the need for platform features. Edge computing will run more biometrics and computer vision tasks in addition to doing analytics work currently performed in the cloud.
The birth of truly comprehensive platforms requires open sharing between companies. Many companies are preparing to expand their platform capabilities, but it is important companies cooperate with each other and welcome 3rd parties to make the most out of platforms.
Voice tech API marketplace.
AI marketplace EU funded research & platform.
The Car Data Company - manufacturer independent data platform for cars.
Digital operation services enabled by managing digital handshakes between ships and ports through a cloud platform providing cost effective APIs.
Technologies that will enable the shift
P2P trust solutions, blockchain
Solutions based on blockchain or other decentralization for verifying the privacy and authenticity of the transaction. In large and heterogeneous systems, blockchains can be utilized to add trust regardless of affirmed identity smart contracts. In addition, blockchains can automate essential functions, for example value sharing between necessary parties, as well as enabling the use of a digital currency, either a pre-existing version or a newly-created personal currency for value transfers.
Cloud computing is the on-demand availability of computer system resources - data storage and computing power in particular - without direct active management by the user. Although cloud computing is nothing new, we need to define its role in collaboration with edge computing. Mastering the advanced storage architecture that links the cloud and the edge will be the backbone of user experiences in the future.
AI/ML Artificial intelligence (AI)
Computer systems that accomplish goals in some task(s). It is not a single thing; it is a combination of technologies such as machine learning. Machine Learning (ML): toolbox of algorithms and techniques that learn rules from data. Used to implement AI in narrow tasks. Not magic; learns from the data by minimising a cost function. AI can help EV batteries to charge faster.
Components that are required to run an ML Algorithm locally on a device. In edge computing, a microcontroller unit (a small chip) is embedded with the ability to perform AI/ML computing offline based on sensor inputs without needing a cloud connection.
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