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CONNECTED PLATFORMS FOR CONNECTED APPLICATIONS Ian Davis <ian.davis@talis.com> Chief Technology Officer, Talis
The Semantic Web  as a blue ocean  opportunity Cloud computing, social software and the semantic web are seeding fundamental changes to the boundaries of the modern firm
In the pre-industrial era, most goods were produced by individuals or small groups  working together
Trading to a large market required a very large company capable of vertically integrating all its functions
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http://flickr.com/photos/ccgd/57454788 Transaction costs fell as  infrastructure began to  connect people
Larger markets allowed specialism  The division of labour is limited by the extent  of the market  Adam Smith
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Air travel,  communications satellites  and containerisation  connected the world http://flickr.com/photos/photohome_uk/1494590209
As transaction costs plummet hugely horizontal  firms like  Li and Fung  could flourish 2 billion items produced annually 8300 suppliers in 40 countries  coordinating 2 million workers employing 8000 $7.5m revenue per employee
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The Internet's huge connectivity and ubiquity has put more people in economic contact with one another than ever before. http://flickr.com/photos/szulat/474827440
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flickr.com/photos/cipherswarm/2414578959/ Cloud computing holds  the promise of allowing  businesses to scale  costs with revenue.
flickr.com/photos/jurvetson/2234378275/ Social networks are enabling businesses to reach millions with almost zero friction.
The Semantic Web radically changes the  economics of sharing and combining information
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Implication is that companies become smaller and more specialised, focussing on creative talent, not heavy engineeing
www.flickr.com/photos/28481088@N00/399609106 Companies become loosely coupled. Small, efficient, very  creative and highly networked
shared innovation TM www.talis.com/platform

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