Digitalization- story of connecting and fixing t f ti d fi i - PowerPoint PPT Presentation

Digitalization- story of connecting and fixing t f ti d fi i Global Mobility Roundtable 11/25/2008 Kalle Lyytinen David Tilson David Tilson Iris S. Wolstein Professor Weatherhead School of Management g Case Western Reserve University Cleveland, OH, USA

The plot e p ot • The new challenge - massive digitalization • New page on a broader saga of New page on a broader saga of digitalization as connecting and fixing • New spaces and layers of connecting N d l f ti • Pace of connecting Pace of connecting

Agenda ge da • Digitalization • Spheres of digitalization • Generative elements of digitalization • Generative elements of digitalization • Digitalization as re-ordering socio- technical order • The case of Mobile TV • The case of Mobile TV

The idea e dea Wikipedia “The term digitization is often used when The term digitization is often used when diverse forms of information, including text, sound, image and voice, are t t d i d i encoded in a single 0-1 binary code. Digital information exists in only one of two forms -0 or 1- which are called bits t o o s 0 o c a e ca ed b ts (a contraction of 'binary digits'), and the sequences of 0s and 1s that constitute sequences of 0s and 1s that constitute information are called bytes.”

Analog technologies • Transmit using separate format for voice, T it i t f t f i picture, image, moving picture • Store using ink, groove, magnetic field, chemically chemically • Industrial organization fixed for extended periods • Formats inscribe in single purpose electronic analog circuits and the values of resistors and capacitors • Tight coupling between signal formats and devices • Industry structures tightly bound to single purpose 5 physical networks

Digitalization The conversion, processing, movement of all social The conversion, processing, movement of all social experience in binary experience in binary Documents Film Film 10011100101 10011100101 10011100101 Video Global Information Infrastructure 10011100101 10011100101 Voice 10011100101 10011100101 10011100101 10011100101 Pictures Books Commercial transactions

The New Digital Environment E i t Use Technology C Customization t i ti Information Infrastructure 5 A Service Connectivity and service Connectivity and service Tailoring of product/service to availability via multiple scalable availability via multiple scalable y y p p unique needs of the user q networks networks Pervasive contexts of use Digital Convergence Any service Hi h High penetration of computers t ti f t any time, any ti Transformation of physical Transformation of physical and knowledge to use them place, any media into digital format media into digital format device, any user O Open Standards St d d Information Industries I f ti I d t i Industry transformation and For transmission, presentation, For transmission, presentation, value increasingly dependent on interaction, security interaction, security interaction, security interaction, security i f information content i

Digitalization New (old) idea Represent machine Represent machine behaviors digitally (punch cards) Store those in machine memory as replacable l bl instructions (computers) instructions (computers)

New basis to represent New basis to represent and store digital and store digital information information

Increased Processing Power Intel Processor Densities (Actual Products) 80 000 000 80,000,000 Processing power doubles every 70,000,000 per Chip 18-24 months for about the same cost 60,000,000 ansistors p 50,000,000 40,000,000 30,000,000 # of Tra 20,000,000 10,000,000 0 1 3 5 7 9 1 3 5 7 9 1 3 5 7 9 1 7 7 7 7 7 8 8 8 8 8 9 9 9 9 9 0 9 9 9 9 9 9 9 9 9 9 9 9 9 9 9 0 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 Year Intel Actual Products Intel Actual Products Projected Projected Trend Trend Data from Intel Products and Museum (From Brad Wheeler, Indiana University)

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http://www.storage.ibm.com/technolo/grochows/221.htm Increased Storage Capacity c eased Sto age Capac ty

And, It’s Getting Smaller and Ch Cheaper http://www.almaden.ibm.com/sst/html/leadership/g05.ht

Storage prices – an example. g p p Cost/MB Cost/MB Cost of Storage: Cost of Storage: 10 IDC – 100 GB = $25 = 100 hour video cache, large music collection – 1 TB = ~ $250 = 500 movie collection or 1 roughly one quarter of Rhapsody’s streaming music service collection i i ll ti – 18 TB = $4750 = All syndicated TV shows .1 1 available in 1998 or most recorded music. il bl i 1998 t d d i ~ $2000 in 2010? ~ $10 in 2015? – How many different devices can afford to have .01 significant storage? - What level of service can different devices provide Wh t l l f i diff t d i id .001 at different storage levels?

Increasing Bandwidth c eas g a d dt Telecom Speed (Projected) 40 Gb 40 Gbps Demonstrated 2001 D d 2001 2,500 Telecommunications capacity 2,000 doubles every 6-9 months y nd ts per Secon 1,500 1 000 1,000 Gigabit 500 0 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 Year Projected Based on 11 Months Doubling (From Brad Wheeler, Indiana University)

Transmission speeds Transmission speeds PSTN PSTN DVB DVB Stationary cable ISDN xDSL LAN 1990 2001 DVB satellite 2000 1998 1998 Bluetooth Pedestrian WLAN GPRS UMTS 1999 IEEE 811 2000 2002 2000 2000 DVB DVB Mobile terrestrial DAB GSM 1999 2000 1 10 100 1.000 10.000 100.000 1995 Bit rate (kbps) 2004

Internet Host Domain Growth, 1980-2000 80 70 60 50 ts 40 40 s of Host 30 Millions 20 10 0 0 80 81 82 83 84 85 86 86 87 88 89 90 91 92 92 93 94 95 96 97 98 99 00 Year 1980

Law of accelerating returns in digital engine capability digital engine capability • Exponential growth (Kurzweil) • Growth rates also follow exponential • Growth rates also follow exponential growth in scale and speed • Results in accelerating returns on R lt i l ti t cumulative investments in digitalization • Changes views of digital engine (IT), its use and capability y (From Brad Wheeler, Indiana University)

New forms of interactions e o s o te act o s MIPS MIPS Vision Vi i 10000 1000 Natural Language understanding g g g Speech 100 recognition Handwriting 10 Graphical recognition User interface User interface Textual 1 2002 2002 1987 1987 1992 1992 1997 1997 1982 1982

New interactions e te act o s Information Output Representation Stereographic visual, audio St hi i l di 3D virtual 3D i t l reality Speech synthesis Multimedia Graphical display Iconic Alphanumeric display textual Keyboard y Click and point Handwriting, speech recognition Gesturing Position sensing Input 11/26/2008

A Series of Waves of Innovation have defined the applications we use . Ubiq it Ubiquity Mobility Connectivity y Computation

Three Key Forces ee ey o ces Mobility Convergence Mass Scale

Ubiquitous Computing as new connecting ti Level of embeddedness Low Traditional Traditional Mobile Organizational Computing Computing Level of mobility bilit Low High Pervasive Ubiquitous Computing Computing High

Ride the technological waves 1970- The wave of mainframe Large scale transaction systems, computing Business Automation and effectiveness ff ti 1980- The wave of Personal support, office automation microcomputers microcomputers of clerical tasks of clerical tasks 1990- The wave of network Universal information access, computing (Internet) electronic commerce, group applications 2000- The wave of digital 2000- The wave of digital Any time any place digital Any time, any place digital convergence and net-centric services, service integration, peer- computing to-peer computing, context dependency dependency

Digitalization as connecting g ta at o as co ect g place place Information things things people people Experiences time time

Connecting and fixing Co ect g a d g • Digitalization is about connecting in new ways in time, space, artifacts and people into new representations of the p p p world W( R—W(R—W)) • Digitalization is about fixing by making • Digitalization is about fixing by making the “new” and “ephemeral” permanent and persistent

Digitalization of work Digitalization of work

digitization digitization g of tools and of tools and works works

di iti di iti digitization of products digitization of products ti ti f f d d t t

digitization of content

digitizing time & space digitizing time & space

digitizing relationships hi l ti di iti i

digitization of familiar products t d

digitizing triviality digitizing triviality