Fundamental Changes Enabling the New Making

Jay Rogers @johnbrogersFounder & CEOLocal Motors

Empowering a World of auto-MAKERS

@MAKE

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@localmotors

makeCOOLcars

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Local Motors Empowers Individuals to Create Vehicles of the Future

5x’s Faster

100x’s less capital

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On-Line and Physical Community membersCore community (active contributors)

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FTW!OMG!

REALLY!

LoL :oWTF ?

TIAIBMATS

Txt’ng Gut Check

@IDSAIDSA

@localmotorsmakeCOOLcars

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* MADE BY YOU IN AMERICA *

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•30K tweets in the first 8 hours +•26K followers=New Era for Exploration

The Cameron Effect

•This Picture was transmitted instantly 9,000 km away

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“No Matter Who You Are, Most of the Smartest People Work for Someone Else”

Bill Joy, Cofounder Sun Microsystems

Joy’s Law Haunts Most Innovation EffortsMake:

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Professor Bob Langer from MIT is Co-Founder of Tissue Engineering Field

• MIT Institute Professor (one of 12)• Over 600 patents• Over 1000 scientific papers• Largest biomedical engineering lab

with over 100 researchers• Youngest person to be elected to

National Academy of Sciences, National Academy of Engineering & Institute of Medicine

Source: Karim Lakhani, HBS 2012

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Langer CollaborationLanger Collaborates with ~40% of Prolific Authors (> 25 Publications) 2004 - 2006

Source: Karim Lakhani, HBS 2012 and BCG Analysis

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Joy’s Law in Tissue Engineering 6,131 Articles by 17,044 Authors (2004-2006)

Source: Karim Lakhani, HBS 2012 and BCG Analysis

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LINUX

•“I'm doing a (free) operating system (just a hobby, won't be big and professional like gnu) for 386(486) AT clones.”

•“Do you pine for the nice days of minix-1.1, when men were men and wrote their own device drivers?”

- Torvalds, Linus (1991-08-25).

•This was the launch of Linux.

Today:•280+Million Lines of Code•73,000 man years of development time•Equivalent Development Cost: $8BN

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The Causal Explanation for Joy’s Law

• Knowledge is unevenly distributed in society - Fredrich von Hayek (1945)

• Knowledge is sticky - Eric von Hippel (1994)

Source: Karim Lakhani, HBS 2012

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Open Hardware Innovation “How To” 4 Ideas

• Leadership

• Organization

• Respect

• Engagement

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Open Innovation “How To” 4 Ideas

• Leadership – Crafting a Vision

• Organization

• Respect

• Engagement

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Open Innovation “How To” 4 Ideas

• Leadership

• Organization – Managing the Items that our Community Cannot/Will Not do for themselves

• Respect

• Engagement

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Open Innovation “How To” 4 Ideas

• Leadership

• Organization

• Respect – For People. Find the Winner Faster.

• Engagement

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Open Innovation “How To” 4 Ideas

• Leadership

• Organization

• Respect

• Engagement – This is the new currency. You must be present. Celebrate Achievement and Failure equally

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What type of Engagement is Right? When?

Use Knowledge

Concentrated Distributed

Solu

tion

K

now

led

ge

Distributed

Concentrated

Market Feedback

Tournament

Internal

Community

Source: Karim Lakhani, HBS 2012 and Rogers

Open F1

CrowdsourcingTraditional

Co-Creation

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Hardware Innovation - Why Now

• Broad Band Communication

• Development of Open Innovation Legal Protections

• Decrease in the Cost of Professional Tools

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What About IP

• Trademark

• Ornamental Design

• Patent

• Trade Secret

• National Secret

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How it works Features Tutorials More CAD Options

• Download for online and offline use.

• Own all files created.

• CAD when you need it - cancel anytime.

• Professional grade for businesses and individuals.

• Fully Synchronous parametric CAD.

• 2D & 3D formats + import from DXF, DWG, STA, IGES & more.

• Professional Tutorials.

• Community access to professionals.

• Solid Edge & Local Motors Support.

• Online CAD Viewer - Free.

• Design & Drafting - $99/mo.

• Foundation - $179/mo.

• Classic - $229/mo.

• Premium - $299/mo.

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@MAKEMAKE

@localmotorsmakeCOOLcars

“Be Vewy Vewy Quiet, I’m Hunting Corvettes”

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Empowering a World of auto-MAKERS

@MAKE

MAKE

@localmotors

makeCOOLcars