Cloud Open Source Business Model 3.0
Oscon - Open Source Software Business Model 3.0
Nov 02, 2014
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CloudOpen Source Business Model 3.0
My Background
Long TimeOpen Source User
Not An Expert
for Web Developers to build and scale
Voice Communication Apps
that Make or Receive Phone Calls,
using only Basic Web Development skills
twilio is a Cloud Service
Voice Applications?
Pay Per Call TrackingPrivate Calling
Voicemail Boxes
Voice User Generated ContentCompany PBX
Information Hot Line
Outbound Alerts
Reverse 911 Alerts
Coordinate EmployeesImprove Customer Service
Intelligent Call Routing
So What Are
Building Voice Applications Used to be
HARDSIP Compatibility
Carriers IntegrationuLaw Transcoding
Channel CapacityPSTN
DTMF
Codecs
DID Acquisition
Realtime CPU Capacity Planning
Realtime Networking
QOS
Multiyear Carrier Contracts
Telecom Engineers
Voice Communications
$20B Market
Costly to BuildTiny Workforce
Niche Engineering Skillset
Steep Learning Curve
Commoditize the Skills
Voice Communications
$20B Market
Telecom Engineers
Web DevelopersMillions of Skilled Workers
Twilio
Twilio
HTTP
HARD EASY!
XMLMP3, wav, etc.
Telecom Goo
PSTNCLECs
SIPuLawGSM G.711
Customers & Brands
Simple, Powerful API Only Five Building Blocks.
Scales Automatically10 or 10,000 Simultaneous Calls.
Pay-As-You-Go Pricing No upfront, no commitment. Pay only for what you use.
Simple APIPowerful
^
Company PBX
Voicemail
Call Routing
Simple Pricing
No ContractNo Shenanigans
Pay-As-You-Go^
Calls
3¢ / min
Phone Numbers
$5 / mo
Telephony in the Cloud
Reliable Telecom without Fixed Costs
Pass Flexibility on to Customers
Cloud Provider & Consumer
Powered By
CarrierTelecomHardware
PlatformLaunched Late 2008Thousands of Devs
Hundreds of Live Apps
CloudOpen Source Business Model 3.0
1.0Late 90’s
TrainingProfessional Services
ConferencesCertification
Booksetc.
Support
Business Models:
FreemiumPremium Features
AcceleratorsConnectors
High Availabilityetc.
Business Models:
1.5Early 2000’s
Suing Linux Users
Business Models:
Suing Linux Users
Business Models:
1.5(Never made it out of Beta)
2.0Early 2000’s
HostedMulti-Tenancy
Web ConfigurationReliabilityScalability
Business Models:
HostedMulti-Tenancy
Web ConfigurationReliabilityScalability
Business Models:
Same Product
Minimize Complexity
sendmail.cf
Web Config Can Save Us!
Right?
Better?
New Cloud ProductsBased on OSS Foundations
Not Just Hosting, but...
Shakespear
Shakespear
Symphony
Symphony
New Cloud Productsa
“Performance”of
OSS Foundations
What You Talking About, Willis?
EC2
HARDWARE & OS
XEN
MANAGEMENT API
What Is EC2 Selling?
HARDWARE & OS
XEN
MANAGEMENT API
What Is EC2 Selling?
ReliabilityScalabilityGood API
What Is EC2 Selling?
ReliabilityScalabilityGood APIEXECUTION
S3
NETWORK & HARDWARE
LINUX + DISKS
SIMPLE API
What Is S3 Selling?
NETWORK & HARDWARE
LINUX + DISKS
SIMPLE API
What Is S3 Selling?
ReliabilityScalabilityGood API
What Is S3 Selling?
ReliabilityScalabilityGood API
EXECUTION
ReliabilityPromise of
RedundancyTransparent Failover
Expertise
ScalabilityPromise of
Multi-TenancyEconomies of Scale
Fairness
Affordable
^
Good APIPromise of
Needed for Multi-TenancyGreat Selling Point
One Without the Others?
One Without the Others?
!API" Scalable" Reliable
HINT: You’re Paying for This
ReliabilityScalabilityGood API
OPEN SOURCE FOUNDATION
OPEN SOURCE FOUNDATION $$$
Value > !Parts
Thoughts
!API" Scalable" Reliable
Is this So Horrible?
Example: Behind the Firewall“Clones” of Some Value
Industry Needs to Figure this Out
Is this So Horrible?
Opportunity Here:
Attack of the Cloud Clones
Cloud # OSSGrowing + Shrinking Demand
No License IssuesPurely Technological Problems to Solve
twilio’sPerformance of Open
Source Software
EC2
OSS
SIMPLE API, ORCHESTRATION, CARRIERS
What Is twilio Selling?
EC2
OSS
SIMPLE API, ORCHESTRATION, CARRIERS
What Is twilio Selling?Linux (CentOS)Apache HTTPDApache Tomcat
AsteriskMySQL
PHP, Java, Python...
EC2
OSS
SIMPLE API, ORCHESTRATION, CARRIERS
What Is twilio Selling?
ReliabilityScalability
API
Simple, Powerful API Only Five Building Blocks.
Scales Automatically10 or 10,000 Simultaneous Calls.
Pay-As-You-Go Pricing No upfront, no commitment. Pay only for what you use.
Simple, Powerful API Only Five Building Blocks.
Scales Automatically10 or 10,000 Simultaneous Calls.
Pay-As-You-Go Pricing No upfront, no commitment. Pay only for what you use.
Simplifying TelecomSimple • Powerful • Pay-As-You-Go
Jeff LawsonCo-Founder & CEO
twitter: @[email protected]
http://www.twilio.com
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