Presentation about Internet of Services at the eChallenges 2008 conference, Stockholm (Sweden), 23 Oct 2008

1. Internet of Services
Trends and Outlook
Arian Zwegers
European Commission
Information Society and Media Directorate General
Software & Service Architectures and Infrastructures Unit

2. Overview
• Trends
– Internet of Services
– Everything as a Service
– Cloud computing
• Outlook
– Convergence
– What is Europe doing?
– “Software Strategy”
• Conclusions
eChallenges 2008, Stockholm

3. What is a service?
• IT
– An executing software component with a well-defined interface
– Technical focus on software (or “service”) design, engineering
and execution, including description, discovery, and
composition
• Telecom
– What the end-user (customer) pays for
– Technical focus on transport, session, terminals, use of
network resources, billing
• Media
– What the end-user (customer) pays for
– Technical focus on content production, presentation,
mediation, manipulation and consumption
• The Economist
– “Anything sold in trade that cannot be dropped on your foot”
eChallenges 2008, Stockholm Adapted from Li, 2007

4. Everything as a service –
XaaS
• Backup as a Service • Email as a Service
• Communications as a Service • Human Resources as a Service
• Compliance as a Service (HRaaS)
• Content as a Service (aka Content • Human Capital Management as
On Demand) a Service (HCMaaS)
• Crimeware as a Service • Identity as a Service
• Computing as a Service • Information as a Service
• CRM as a Service • Infrastructure as a Service
• Data as a Service • Integration as a Service
• Data Warehousing as a Service • Manufacturing as a Service
(or DWaaS) • Mashups as a Service
• Data Mining as a Service • Media as a Service (as in:
• Database as a Service (or DBaaS) video, audio)
• Development as a Service • Queue as a Service
• Desktop as a Service • Security as a Service
• Document Management as a • Storage as a Service
Service • Testing as a Service
• Ethernet as a Service • UI as a Service
• ERP as a Service (or ERPaaS) • Voice as a Service
Source: http://peterlaird.blogspot.com/search/label/paas
eChallenges 2008, Stockholm

5. Service paradigm for the
Future Internet
• Possibility to effortlessly
program/compose/configure
the right service for the
specific moment
• Changing software economy,
changing business models,
changing balance of power
• Software companies need to
rethink revenue streams: how
to compensate decreasing
maintenance revenues?
••• 5
eChallenges 2008, Stockholm

6. Internet of Services Vision
A multitude of connected IT services, which
are offered, bought, sold, used,
repurposed, and composed by a
worldwide network of service providers,
consumers, aggregators, and brokers
- resulting in -
a new way of offering, using, and
organising IT supported functionality
Number of Web services found by SEEKDA
Adapted from SAP Research, 2008, and SEEKDA, 2008
eChallenges 2008, Stockholm
crawler during the past 25 months

7. The Big Picture
CITIZEN/CONSUMER/
GOVERNMENT BUSINESS/SCIENCE EMPLOYEE
eGovernment, eEnergy, Cluster/SME, new Service and “Digital Lifestyle”, New Media,
eHealth, Public Security Business Models Communities, Collaboration
SERVICE-ORIENTED
MULTIMEDIA INTERNET SOFTWARE
CONTENT OF THINGS APPLICATIONS
eChallenges 2008, Stockholm Adapted from Prof. Wahlster, 2007

8. Cloud Computing
• An emerging computing paradigm where data and services
reside in massively scalable data centers and can be
ubiquitously accessed from any connected device over the
Internet (source: IBM)
• Major industrial announcements: e.g. Yahoo, HP, Intel joint
research laboratory development
Merrill Lynch:
Cloud computing market
opportunity by 2011 =
$95bn in business and
productivity apps +
$65bn in online
advertising =
$160bn
eChallenges 2008, Stockholm

9. Major telecom companies make
inroads into IT services
From
telecommunications End customer created services
3rd party services
to
BT services
networked IT services
Common software building blocks
Global network and computing
Converged
Servers Storage
bandwidth
Concept-to- Lead-to- Trouble-to-
market cash resolve
9 Source: British Telecom, 2007
eChallenges 2008, Stockholm

10. Major IT companies make
inroads into the telco world
• Apple iPhone
– 1000+ applications available via App Store
– Proprietary SDK
– Revenues from sales of iPhones and downloads
• Google Phone / Android
– No phones available yet, but apps are being developed
already
– Open SDK, Apache 2.0 licence
– Revenues from advertising
• Microsoft Windows Mobile
– Hundreds of apps available, certified by Microsoft
– Proprietary SDK
– Revenues from licensing
eChallenges 2008, Stockholm

11. Major IT companies make
inroads into the telco world
• Apple iPhone
– 1000+ applications available via App Store
– Proprietary SDK
– Revenues from sales of iPhones and downloads
• Nokia's CEO Olli-Pekka Kallasvuo:
Google Phone / Android
– No phones available yet, but appsto soon steal
“we should expect the US are being developed
already
Europe's we-drive-the-mobility-market
– Opencrown, as more emphasis is placed on
SDK, Apache 2.0 licence
– Revenues from and internet-based services”
software advertising
• Microsoft Windows Mobile
– Hundreds of apps available, certified by Microsoft
– Proprietary SDK
– Revenues from licensing
eChallenges 2008, Stockholm

12. Service Industry and the
Internet of Services
Source: ftp://ftp.cordis.europa.eu/pub/fp7/ict/docs/ch1-g940-280-future-internet-ld_en.pdf
eChallenges 2008, Stockholm

13. Where is Europe?
Communication
Free email Resources
Instant
messaging RaaS
Search SaaS
engines
Information Services
Sharing
files
Social networks Content
eChallenges 2008, Stockholm

14. Coming up…
“Software Strategy”
• Background
• Three tracks
– Study
• Economic/social impact of S&S within Future
Internet
• Elements determining growth and
competitiveness
• Impact Future Internet on software industry
– (Internal Reflection Group)
– External consultation

15. Internet of Services
Outlook
• SaaS, a silver bullet?
• Billions of services v service parks?
• Global service delivery platform?
• Shared vision and independent
thinking?
• Future Internet and convergence?
• Leading Internet companies?
eChallenges 2008, Stockholm

16. For More Information ...
FP7
FP7
http://cordis.europa.eu/fp7/
http://cordis.europa.eu/fp7/
http://cordis.europa.eu/fp7/ict/
http://cordis.europa.eu/fp7/ict/
Software & Service Architectures and Infrastructures
Software & Service Architectures and Infrastructures
http://cordis.europa.eu/software-services
http://cordis.europa.eu/software-services
Future Internet
Future Internet
http://ec.europa.eu/foi
http://ec.europa.eu/foi
http://www.future-internet.eu/
http://www.future-internet.eu/
E-mail
E-mail
Arian.Zwegers@ec.europa.eu
Arian.Zwegers@ec.europa.eu
eChallenges 2008, Stockholm