1. Platform-based business ecosystems are evolving from older models of competition to new models of collaborative innovation enabled by digital transformation and multi-sided platforms. 2. Multi-sided platforms scale dramatically using far fewer resources than traditional firms by enabling direct interactions between groups through technologies, products, or services. 3. Examples of collaborative platform-based ecosystems like TIES bring together diverse experts across connected value chains to jointly innovate end-to-end solutions through open and participatory architectures that increase collective intelligence.

1. Platform Based Business Strategies
for Connected IoT Value Chains
Tom Katsioulas, Board Chair
Global Semiconductor Alliance
Trusted IoT Ecosystem Security (TIES)
Mindspark+ HAMAC Webinar
Market Entry Strategies 15-Oct-2021
From Ecology of Competition to Collaborative Innovation
enabled by digital transformation & ecosystem platforms

2. 2
Old Ecology of Competition – Four Stages
A business ecosystem is like its biological counterpart, moving from a random collection
of species and elements to a more structure community of capital, partners, suppliers,
and customers that create cooperative networks. Predators and Prey, HBR 1993
Birth Expansion Leadership Self-Renewal
or Death
Photography Source: http://www.catherinenelson.com/

3. 3
Evolutionary Stages of a Business Ecosystem
Source: https://hbr.org/1993/05/predators-and-prey-a-new-ecology-of-competition

4. 4
Evolution of Market Strategies & Business Models
Scalable
Growth
& Value
1990 2000 2010 2020
• Complete Product
• Sales Channels
• Customer Support
Vertically Integrated
Suppliers of HW + SW
Disaggregation of the
Electronics Value Chain
• Product from Parts
• Web Config Portal
• Complex Support
Enterprise Automation
& Open Source Models
• Internet Commerce
• SaaS / PaaS / IaaS
• MSP* Strategies
Digital Transformation +
Virtual Re-aggregation
• IoT Value Chain
• Digital Threads
• Platform Ecosystems
From Products
to Connected
Complex Systems
*Multi-sided Platform

5. 5
2011
Company Market Cap
$ Billion
Exxon Mobil 414.6
Apple 323.9
Microsoft 215.3
Chevron 214.4
Berkshire Hathaway 210.8
General Electric 209.7
IBM 197.8
Google 186.4
Wal-Mart Stores 182.8
Chase 182.7
AT&T 170.5
Procter & Gamble 170.5
Wells Fargo 168.6
Oracle 165.2
Pfizer 162.6
Company Market Cap
$ Billion
Apple 2252.3
Microsoft 1897.2
Saudi Aramco 1897.2
Amazon 1711.8
Google 1538.9
Facebook 870.5
Tencent 773.8
Tesla 710.1
Alibaba 567.5
Berkshire Hathaway 624.4
Taiwan Semi 558.1
Samsung 510.5
Visa 483.9
Chase 464.8
Johnson & Johnson 427.1
2021
World’s Most Valuable Companies Scaled With MSPs
MSPs
Build on Multi-
sided Platforms
MSPs are technologies,
products or services that
create value by enabling
direct interactions between
two or more customer or
participant groups
Source: https://sloanreview.mit.edu/article/strategic-decisions-for-multisided-platforms/

6. 6
Platforms Use Dramatically Lower Resources
Platforms are "inverted firms" having shifted production from inside to outside
*Source: Marshal Van Alstyne https://sloanreview.mit.edu/article/platform-strategy-and-the-internet-of-things/
Company Start Year Employees Market Cap ($B)
BMW 1916 120,700 66
Uber 2009 30,000 94
Mariott 1927 121,000 52
Airbnb 2008 11,000 106
Walt Disney 1923 223,000 321
Facebook 2004 63,000 986
IBM 1911 350,000 105
SalesForce 1999 56,600 267
New York Times 1851 4,700 7
Twitter 2006 5,500 50

7. 7
Why Platform Businesses Scale So Fast?
Since COVID-19 Finance & Energy have led
losses, Big Tech Platforms have led gains
Source: https://www.ft.com/content/844ed28c-8074-4856-bde0-20f3bf4cd8f0

8. 8
Typed of Platforms and Scaling Factors
Transaction Platforms enable
the exchange of information,
goods, or services. Examples:
Uber, Airbnb, Amazon Market
Innovation Platforms enable
third parties to add, products
& services to core products.
Examples: Apple, Google, AWS
Source: https://sloanreview.mit.edu/article/the-future-of-platforms/
Collaboration Platforms bring
diverse experts from firms in
connected value chains to co-
innovate end-to-end solutions
Growing rapidly since COVID-19
The platform serves as an intermediary for direct
exchange of transaction subject to network effects
The platform serves as a technological foundation upon
which other firms develop complementary innovations

9. 9
New Ecology of Platform Based Ecosystems
Birth
Expansion
Leadership
Self-Renewal
Source: https://sloanreview.mit.edu/article/how-healthy-is-your-business-ecosystem/

10. 10
Collaborative Platform Business Ecosystem Principles
Definition
Platform Purpose
Means by which value is
created by aggregating the
community expertise
Gives the power to steer
community behavior, grow
collective IQ and innovate
Allows anyone to participate,
exchange ideas and add value
in a standardized way
Source: https://www.siemens-advanta.com/webinars/platform-based-ecosystems-webinar

11. TIES Example of Platform Based Business Ecosystem
 Architecture - Open and Participatory
 Governance - Network Effects Broaden IQ
 Interactions - “Shift Left” Value Creation
 Global Brand with 270+ Members
 Industry Leading Board of Directors
 Over 70% of $530 Billion Industry
Semiconductors
EDA, IP, IC, Foundries, OSATs
Devices & Systems
ODMs, Systems, OEMs, EMS
IoT Edge Applications
CSPs, IT, PLM, Apps, Operators
Trusted Digital Transformation Trusted Digital Thread
Trusted Data Analytics
Trusted Digital Twins
Secure &
Trusted
Edge Apps
& Services
Quality and Security Vulnerabilities
Source: https://www.gsaglobal.org/iot/ties/
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12. Smart-Connected Product Supplier Economics
Billions of Connected Devices Powered by trillions of chips
• Better visibility on product field use
• Remote lifecycle management
• Reduced support costs and RMAs
• Lower OPEX, higher differentiation
• New IoT services business models
• Security, trust and sharing of data
Industrial
Automation
Manufacturing Energy & Utilities
Automotive
& Mobility
Aerospace
& Defense
Telco & Media
Comms
Healthcare,
Campus, etc.
OT* Edges IoT Edges IT Edges
*Source: HPE
Edge Data
& IoT Services
*Operational Technology *Enterprise Infrastructure
Smart industries, Cities and Transportation Infrastructure
Smart Connected
Device Supplier*
Managed Edge Device
Lifecycle Management
Field Use Analytics
Fragmented Supply Chain
Product-as-a-Service
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*Source: https://hbr.org/2014/11/how-smart-connected-products-are-transforming-competition

13. CSPs, AI, ML
Trusted Data, Services and Digital Twins
User Apps
Digitalization Enables Monetization for All Stakeholders
Design-to-Mfg Vendors PLM Enterprise Vendors
GSA TIES
Digital Workflow Digital Workflow Digital Workflow Digital Workflow
PCB Design/Assembly Embedded System
IC Design to Silicon Manufacture & Test
Digital MES Digital MES Digital MES
Zero Touch Onboarding
Ecosystem IQ
Use Cases
Provenance Root-of-Trust
Blockchain
Digital Thread
Config
Keys Certs
*Source: GSA TIES Intro Presentation
Digital and Physical Assets
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14. Business Owners /
End-Customers
Enabling
Technology
Providers
Solution Providers
(e.g. Start-Ups, System
Integrators)
Co-Innovation
Repeatable
solution blueprings &
open source code
CoT specific Trust Policy
Definitions, mapping to
DTF Framework
Initial CoT Trust Policy
conformity assessment
process
Joint GTM
Deployment at Scale
• Align geopolitical ecosystem clusters of trusted suppliers
• Define business use cases compliant with CoT principles
• Develop processes and collaborate on PoC* initiatives
Charter of Trust
CoT Strategic Principles
P1 through P10
Ecosystem IQ
Use Case Definitions
GSA TIES, DTF, IIC, …
Business Partnerships
End-to-end Solutions
Co-Innovation by All
KPIs & Process
Improvements
DTF
Orchestration of Platform Ecosystems (EU Example)
*Proof of Concept plus investment needed to deploy at scale
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*Source: Next Generation IoT & Edge Strategy Forum - Tom Katsioulas Presentation