According to Schumpeter's definition of "Innovation," all the innovation instances are combinations of technologies that already exist. In that context, this talk covers the progress of mobile network technologies from 2nd Generation to 4th Generation, and innovation derivatives from it. Then the speaker and audience will discuss what will come next and how it will changes our economy.

1. © 2014 NTT DOCOMO, INC. All rights reserved.
Mick Etoh (@mickbean)
March 12th, 2014
How Changing Mobile Technology
Is Changing
The Way We Creates Economy
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Wednesday, March 12, 2014

2. © 2014 NTT DOCOMO, INC. All rights reserved.
Who am I?
• Mick Etoh, SVP, NTT DOCOMO
• Role: R&D Strategy Planning
• Expertise:
Pattern Recognition & Machine Learning,
Signal Processing & Multimedia,
Mobile Networks
Fun:
Bike Riding, Fly Fishing, and Wine Tasting
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Wednesday, March 12, 2014

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Unbundling the corporation
by John Hagel III and Marc Singer (1999)
•Customer Relationship Management
–Battle for Scope: Identify, attract, and build relationships with
customers
•Infra Structure Management
–Battle for Scale: Build and manage facilities for high-volume,
repetitive operation tasks
•Product Innovation
–Battle for talent: conceive of attractive new products and services
and commercialize them
http://hbr.org/1999/03/unbundling-the-corporation/ar/1
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DOCOMO as
Wireless Carrier,
Network Vendor,
and
Service Provider
Experiencing a Big Challenge
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What is Innovation?
Invention？
Monetization？
New Design？
Smash Hit Product?
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Joseph Schumpeter‘s
“neuer Kombinationen”
(Theorie der wirtschaftlichen Entwicklung)
What is Innovation?
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“All technologies are combinations of
technologies that already exist.”
! • Combinatorial Explosion
! • Creates Economy
W. Brian Arthur
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Innovation Example
2.5G Internet connectivity,
DOCOMO
1998
Micro Browser,
Access Co.
1995
i-mode,
DOCOMO
1999
Serendipity
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Wireless Technologies as Game Changers
Personal Storage
SNS/Comm. Tools
3.9G LTE:∼75Mbps2010
+Big data synchronization
Smartphone Platform
as Application Market
3.5G: ∼14Mbps 2006
+Flat Rate + Cloud
Mobile Multimedia
3G: 64-384Kbps 2001
+CODEC
i-mode
2G:9.6KbpsX3 1998+micro browser
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10. © 2014 NTT DOCOMO, INC. All rights reserved.
Very Simplified Formula
for Mobile Innovations
Wireless
Broadband
Innovation X
?
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LTE-Advanced Network （２０１６？）
Macro Cell Base Station
Small Cell Base Station
Centeraized Radio Access
Network
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Let’s imagine, you are always connected
at WiFi speed wherever you are...
What you’ll see depends on technologies...
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Personal Assistant Agent
(i.e., very thin client) with
a killer new functionality
Copyright: Microsoft's "Cortana" Personal Assistant App 13
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Battle for the place where people visit
in the cyber space
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Next One Billion
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Next Tens of Billions
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Internet of X
Wednesday, March 12, 2014

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Very Fat & Robust Pipe
toward massive M2M Comm.
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Those who have gone.
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The Next Game Changer
Personal Storage
SNS/Comm. Tools
3.9G LTE:∼75Mbps2010
+Big data synchronization
Smartphone Platform
as Application Market
3.5G: ∼14Mbps 2006
+Flat Rate + Cloud
Mobile Multimedia
3G: 64-384Kbps 2001
+CODEC
4G
+Large Scale Data Synchronization Personal Agent new B2B Biz
M2M/eSIM
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New Formula in 4G+ Era
Machine-Connected
Large Scale
Wireless Network
Innovation X
?
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Asset-Focused
and API-Centric Innovation
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22. API as Alternative
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Application Programing Interface (API)
PAI
pps
artners
ncome
Adam DuVander,
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APIs mean a lot of exposure for web giants
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
2005 2006 2007 2009 2010 2011 2012
API is a key success driver for these businesses Annual growth in number of APIs: 100%
13B Calls / Day (2011.05)
5B Calls / Day (2010.04)
5B Calls / Day (2009.10)
1.4B Calls / Day (2012.05)
1.1B Calls / Day (2011.04)
1B Calls / Day (2012.05)
1B Calls / Day (2012.03)
1B Calls / Day (2010.01)
API Billionaires Club (Programmable Web)
API Growth Rate (Programmable Web)
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Why API matters
Disadvantages
•Limited user reach
•Limited brand awareness
Traditional Web business model APIs help you grow your business
Advantages
•Unlock distribution channels
•Expand user reach through the
V.S.
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APIs enable business to create “ Revenue Ecosystem”
Amazon.com
Mobile Apps
Affiliate Sites
Supplemental Services Internal Developers
+ API
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Change of API Offering Models
Consumer Product
End Users
API API API
Developers
Consumer oriented API Offering
(e.g.)
Cloud API
Developers
End Users
(e.g.)
Cloud oriented API Offering
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Rise of Cloud API Startups
Location Billing Analytics
Communication
Authentication
Banking Shipment Print Healthcare Translation
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Yet Another New Formula
Your
Asset
Innovation X
?API
Design
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“Throughout history, the engine of human
progress has been the meeting and mating of
ideas to make new ideas. The human race will
prosper mightily in the years ahead, because
ideas are having sex with each other as never
before.”!
! • Urbanization
! • Interdisciplinary Disruption
! • Globalization
Matt Ridley
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