DD - Attack wins - CSIRO Research · Accel – New $2bn Fund • A “quanfied, autonomous future...
Transcript of DD - Attack wins - CSIRO Research · Accel – New $2bn Fund • A “quanfied, autonomous future...
DigitalDisrup,onTheCrea(onofanewAustralianbusinesslandscapeOctober2016
Agenda
• InsidethemindoftheDigitalA2acker• HowtheythinkofFunding• Tac<cstogrowlargebusinessesveryquickly• TheDNAofbusinessisbeingrewri2en• Why‘Domes<cDefenders’arestruggling–andwill
con<nuetodoso
• WhytheAustralianbusinesslandscapeisbeingfundamentallyaltered
TheChangingAustralianLandscape
DigitalChallengersAustralia
DigitalDefenderAustralia
DigitalChallenger
SiliconValley
DigitalDefender
USA
DigitalA2acker
FutureFund
FasttoMassiveNewValue
0 2 4 6 8 10 12 14
BEA
Zynga
Uber
YearsTimeto$1BnRevenue
3Years
5Years
7Years
13Years
90’s 00’s 10’s 20’s
Netscape The birth of WWW
eBay
Amazon -> online retail
TrulyDigital
Disrup<ngTradi<onalIndustry
Oz Seek, wotif
Amazon: cloud Facebook: The birth of Data Science
Apple: iPhone
October16 CommercialinConfidence 6
SoFwareEatsIndustryaFerIndustryIndustry Examples
MaterialsMedicineInsuranceBankingMedia NeLlix,YoutubeTransport Uber,Tesla,GoogleK-12 KhanAcademyMobile Google,AppleRecruitment LinkedinSocial FacebookeCommerce Amazon,eBaySoFwareIndustry Oracle,SalesForce,
MicrosoF
Networking Cisco,JuniperPC AppleSemiconductors Intel
October16 CommercialinConfidence 7
SiliconValley
8
Seed Strategics Accelerators
Venture Capital Strategics
Venture Private Equity Strategics
Seed Series A Series B, C and D High Risk Classic Expansion
October16 CommercialinConfidence
SearchForaBusinessModel BusinessExecu,on
SiliconValleyVentureCapital
>$3m <$10m <$20m <$40m
1995 - 2015
$Bn
0
20
40
60
80
100
120
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
October16 CommercialinConfidence 9US Venture
VentureisAliveandWell
Oz$224m
LeanLaunch–‘PreayWellUnderstood’
11October16 CommercialinConfidence
Product Definition Go2Market
Product/MarketFit
1
2
3
FindingProduct/MarketFit
12October16 CommercialinConfidence
IndustryAnalysisisCri,cal
• Channel Conflict • Network Effects • Fast follower / Pioneers take the Arrows • Critical Mass • Strategy Tax • Data Network Effects • The Innovators Dilemma • The Dilemma of Small Numbers • Trends toward Consumerisation • Segmentation e.g. Millennial • Viral Adoption • Switzerland • The arms merchant • The knife fight • Full-stack • 2 points in the Value Chain • Hidden Knowledge • Exploit Regulation
• Greyzone • Legal Hacking
• Exploiting the addictive personality • Making Life Simple – Roboadvisor • Poison + Antidote • The Bloomberg model • Generating Win / Win data exchange • Middleman – The Value that they Create • Vertical markets
• 2 sided markets B2B and B2C • 3 sided markets B2B2C • Creative Market Place • APX driven market • Reverse Markets
• Social – deeper insight • Attacking a competitors innovation blindspots
• They define their business too narrowly • They forget about their customer • They moves too slowly • They didn’t listen to their own people • They failed to Foster a Culture of Innovation
TheAaackercancreateDeepAdvantages
UBER
Accel–New$2bnFund
• A“quan<fied,autonomousfuture”madepossiblebythe“confluenceofpredic<veanaly<cs,ar<ficialintelligence,machinelearningandcomputervisiontechnologies.”
• “Enterprise-gradetoolsthatchangethewaybusinessescollaborate,communicateandinnovate.
• A“goldenageofvideo”isuponus.Thinkmobileproduc,on,distribu,onandmone,za,onofvideo.
• Growthofan“APXEconomy”wherethird-partyAPIsbasicallyreplacebusinessprocesses.Thinknon-corecapabili,eslikepaymentsystems,analy,csandsearch.
• “Hardeningsecurity.”Thinkdefenseagainsthackersandransomware,letalonedefendingcyberwarfare.
• Peoplecan“capitalizeontheirtalentswherevertheyare.”Thinktheriseofan“on-demandeconomy”butonaglobalscale.
DataScience:DataDrivenEnterprise
DataScienceStartup
Industry can’t hire the data scientists and the skills and outsources to experienced data science team. The Data Driven enterprise wires itself into the customers business work flow such that they can’t do business without them. i.e. The Bloomberg model
October16 CommercialinConfidence 15
October16 CommercialinConfidence 16
MarketPlaceB
SupplyC
DemandB
Ver,calMarketPlace
- APXMarketPlace- MediaPhone- DataDriven
October16 CommercialinConfidence 17
Uber
PrivatelyEmployedTaxi
Drivers
B
B
PassengerC
1Build Supply
2 Create Demand
B2B2C
October16 CommercialinConfidence 18
NewDataServiceB
UAVB
2 Business Benefit
1 Data Collection
ExtraDataService
B
MustcontrolthekeypartofDataCollec,on
IOTDataScience
Industry co-operates on pooling data for fraud prevention eg Las Vegas
Yesterday Today October16 CommercialinConfidence 19
FraudmeetsDataScience
October16 CommercialinConfidence 20
DemandSidePlaLorm
RealTimeExchange
B
B
MobileUserC
SupplySidePlaLorm
15 or 30 Sec ads
BrandCampaignsB
B A Real Time Dynamic
Trading System
B TheMediaPublisher
Mobile Video Ad Value Chain
$$$
$$
$
October16 CommercialinConfidence 21
MachineLearningDataSet
B
UsersC 1 The Bootstrap issue
2 The more who use it the more valuable it becomes
AI - The Data Network Effect
October16 CommercialinConfidence 22
Hollywood3.0e.g.Machinima
B
MobileAudienceC 1
2
Build Audience
Use Data Science To
Monetisation Challenge is to transition from YT(450m mthly
uniques) to get audience to mobile
MobileB2C
TheChangingAustralianLandscape
DigitalChallengersAustralia
DigitalDefenderAustralia
DigitalChallenger
SiliconValley
DigitalDefender
USA
DigitalA2acker
FutureFund
• NewDNAofBusinessbeingCreated• Emergingbusinesstac<cs• Concentratedinvestmentstrategies• AggressiveScaling• NBSequencingthestartupagainstcompe<tor
• AustralianBusinessLandscapeisbeingrewired
Summary