enterprise social software as a commodity
DESCRIPTION
Enterprise Social Software functionality has become commoditized, by definition. ESS is also taking on characteristics of an utility. Open sourcing software commodities allows others to create value with them at price points lower than those charged by providers of proprietary solutions.TRANSCRIPT
Enterprise Social Software as a Commodity
Acquia Drupal Business SummitGleacher Center, Chicago, ILNovember 30, 2010
Commodity: a good or service whose wide availability typically leads to smaller profit margins and diminishes the importance of factors (as brand name) other than price.
Source: Merriam-Webster Dictionary
Commodity: a good for which there is demand, but which is supplied without qualitative differentiation across a market. Commoditization occurs as a goods or services market loses differentiation across its supply base.
Source: Wikipedia
Utility: a program or routine designed to perform or facilitate especially routine operations (as copying files or editing text) on a computer.
Source: Merriam-Webster Dictionary
Utility: a basic serviceSource: InvestorWords.com
Enterprise Social Software has Become a Commodity
Profiles
Social Network
Status Updates
Activity Streams
Communities
Blogs
Wikis
Files
Discussion Forums
Bookmarks
Tagging
Mobile Access
SharePoint Integration
Analytics
Commoditization of Proprietary Software Leads To:
price decreases absent innovation
vendor reliance on services to produce revenue
market consolidation favoring platform vendors
Proprietary v. CommoditySoftware Pricing
Open Source Software CommoditiesSoftware commodities can be open sourced so others can create new value with them
Open Source Software CommoditiesSoftware commodities can be open sourced so others can create new value with them
Tomcat app server
Struts app framework
Lucene search
Jackrabbit repository
Jetspeed portal
Lenya CMS
Social Software as a Utility
93% of adult Americans using social media think that a company should have a social media presence.
43% said businesses should use social media to solve consumer problems.
41% said businesses should use social media to solicit consumer feedback.
Source: 2008 Cone Business in Social Media Study
Social Software as a Utility
58% of teens would consider their ability to access social networks at work when considering a job offer from a potential employer.
Source: 2009 Junior Achievement/Deloitte Teen Ethics Survey
Social Software as a UtilityN = 346
Source: Symantec “Social Networking at Work” Survey, June 2010
Social Software as a Utility
“Social networks will be like air. Just always there.”
Source: @BerlinerMax tweet during Webciety, March 2010
Social Software Evolution: What’s Next
Enterprise Social Software Market Evolution: Social Layer
Enterprise Social Software Market Evolution: Single Function Apps
Enterprise Social Software Market Evolution: Embedded Services
Next Wave: Convergence
Social
Collaboration
Portal
Web Content Management
Search
Analytics
Business Process Management
Next Wave: Convergence