1. Open Source + Big Data=
Big Money
May 2011
10.20.2005

2. http://redmonk.com/public/osbc.pdf
2

3. What do these vendors
have in common?
3

4. 4

5. These are PwC's
Global Software Top 20
5

6. Source: PwC
6

7. What else do these vendors
have in common?
7

8. All were founded
before 1989
8

9. 1989 was twenty-two years ago
9

10. Things that happened in 1989
•
The Soviet Union left Afghanistan
•
Time and Warner Merge
•
The Exxon Valdez oil spill
•
Tiananmen Square
•
Rain Man won best picture
•
Sega Genesis is released
10

11. Oh, and some show called
Seinfeld premiered
11

12. The average age of the
Top 20 Software Companies, in fact, is
47 years
12

13. That's partially skewed by the likes
of IBM (1911) NEC (1899!), though
13

14. Less outliers? 31 years
14

15. So?
15

16. Big, older companies outsource risk
By acquiring smaller, younger ones
16

17. But if older = bigger
17

18. Why is Microsoft the biggest?
18

19. And there's a bigger problem
19

20. 20

21. Question:
Is Google a software company?
21

22. Exactly
22

23. 23

24. 24

25. 25

26. 26

27. Growth through software sales
is slowing
27

28. Growth through data is not
28

29. The Four Stages of
Software Producers
29

30. STAGE 1
“The money is in the hardware,
not the software”
30

31. STAGE 2
“Actually, the money is in the software”
31

32. STAGE 3
“The money is not in the software,
but it is differentiating”
32

33. STAGE 4
“Software is not even differentiating,
the value is the data”
33

34. What happens when
companies of one stage
compete with another stage
34

35. Microsoft's Share Price
35

36. Share Price in Context
36

37. The Age of Data is upon us
37

38. The Age of Software The Age of Data
38

39. What does this mean?
39

40. Software is a means
40

41. What are you bad at?
41

42. Customer conversion
42

43. If you're in open source,
you're good at distribution
43

44. If you're good at
distribution, you're good at
generating data
44

45. USE IT
45

46. Open Source is not Growth
46

47. Open Source enables data
Which enables growth
47

48. So if you're in open source
and you're ignoring data
48

49. You're doing it wrong
49

50. QUESTIONS
50