Tivit Interactive: Open Data Value Network

OPEN DATA VALUE NETWORK Next Media Hyperlocal

Tomi Kinnari

Aalto University School of Business

Researcher 19.9.2012

Open Data

• Open source, open content, public sector information re-use, open knowledge, open notebook science, ..

– Freely available on the net, with a license allowing commercial re-use

– Can be published by government or private sector

• Prime Minister Katainen’s Government program 2011

– “Information resources produced using public funding will be opened up for public and corporate access”

19.9.2012 http://blogit.hs.fi/hsnext/tallaista-datajournalismia-syntyi-hs-open-5ssa

Business aspects of open data

• Business model analysis

– Offering

– Resources

– Relationships

– Revenue model

– Management mindset

• Method

– Case study with 14 Finnish companies

• Results

– Business model analysis

– Finnish open data value network

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14 Companies were interviewed

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The identified open data value network in Finland

Five value network profiles were identified

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1. Extract & Transform

• Extract and transform as part of data analyzing

– Data extraction and transformation is necessary before any data analysis can be performed

• Extract and transform as separate business

– No commercial activity has yet risen

– Example: pro-bono soRvi toolkit by Louhos shows lots of potential

• Revenue model: none yet

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2. Data Analysers

• Data visualizers

– Create novel visualizations combining open data from different sources

– Example: Hahmota taxtree offers unique visualization method

• Algorithm based analysis

– Example : Asiakastieto with 40 M€ revenue

• Revenue model

– Project work

– Transaction based pricing

– Modular ecosystem

– Pro-bono

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3. User Experience Provider

• Utilize open data to create an attractive website or a mobile client

– Most popular (7 out of 14 companies)

– Example: Duunitori.fi plots job openings on a map and enriches them with other data sources

• Revenue model

– Advertisements

– One-time fee

– Subscription

– Crowd funded

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4. Commercial Data Publisher

• Co-creation with open license

– Example: HSL Reittiopas – ReittiGPS. HSL saves client development and maintenance costs. ReittiGPS gets revenue from selling the application in Appstore.

• Co-creation with restricted license

– Example: The Guardian Open Platform or Google Maps API

– Pricing of the API needs to be well thought to encourage grassroots activity

• Revenue model: cost savings with crowd sourcing

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Findings about open data

• Versatile revenue models, especially with user experience providers

• Extract & transform lacks commercial activity

• Standardized APIs and information formats important for the scalability and continuity of the open data business

• The value of raw data is 0 €, without an service adding value to it

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How to utilize these results?

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Simplified Open Data Value Network

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Open Data Value Network from Media Perspective

Media companies have similar role as user experience providers

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Open Data Value Network from Media Perspective

Two avenues of opportunities

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Thankyou!

Tomi Kinnari

Contact & questions: tomi.kinnari@aalto.fi 19.9.2012