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Socio-Economic Services for European Research
                                      Projects (SESERV)

                                      European Seventh Framework
                                      CSA FP7-2010-ICT-258138




      Future Internet Socio-Economics
      Future Internet Enterprise Systems Cluster Meeting



      Michael Boniface
      mjb@it-innovation.soton.ac.uk
      IT Innovation Centre

      Monday 19th December 2011


© 2011 The SESERV Consortium                                                          1
those who study and
      SESERV Project                                                                those who build
                                                                                      need to talk
                             some people
                          study the Internet                                               Converged mobile, wired and
                                                                                           wireless broadband networks
                                     stakeholder
                                   conflicts, digital
                                       economy
                               shifting context, digital
                                                                                               Internet-connected
                                     participation                                          sensors, actuators, devices
                                   governance and                                                  and objects
                                      regulation

                                                                                            Immersive and interactive
          Do social networks drive                                                            media technologies
                democracy?

                                                                                            Clean-slate vs evolutionary
        Should governments censor                                                                  architecture
         and filter digital content?

                                                            future networks, internet of
                                                                                                  some people
          Where’s the value in the
                                                                services and clouds             build the Internet
            digital economy?                                         internet of
                                                           things, networked and social
                                                                       media
       How do we decide in a world                           ICT for security, trust and
                                                                   dependability
       where everything is tracked?
© 2011 The SESERV Consortium                                                                                              2
What’s the



      Economic Tussles
                                                                                 likelihood of my
                                                                                 technology being
                                                                                 a success, even
                                                                                 in the long-term?

      How economics can help design a better Internet
 Microeconomic Principles             Future Internet               System Architecture
       and Theories                    Ecosystem                   Principles and Theories



     How individuals                                                 How Future Internet
  and businesses behave                                               systems behave
                                       Network Security
                                                                    Design for                                New
         Supply & Demand                                              Tussle                               Technology
                                 Interconnection Agreements         Principles




                                                                                   Conformance to tussle
     Maximising Net Benefit




                                                                                      design metrics
                                 Responsibility for Agreement                                                (FP7
                                                                   (isolation, c
                                          Violation                                                         Project
            Externalities                                          hoice, open
                                Routing (selecting a provider to   ness, inform                             Results)
     Asymmetric Information       fulfil a customer request)           ation
                                  Controlling content/service      exposure, p
           Public Goods                     delivery                   olicy
                                                                   separation)
                                 Controlling access to sensitive
                                              data
      deeper meaning to                                               deeper meaning to
                                    Economic Tussles
         economists                                                     technologists
© 2011 The SESERV Consortium                                                                                           3
How can my



      Societal Themes
                                                                                                                                                                                                  technology
                                                                                                                                                                                                  transform the world?



      How social science can help transform the potential of the Future Internet
      Social Science                                                                                                Future Internet                                                         System Architecture
  Principles and Theories                                                                                            Ecosystem                                                             Principles and Theories




                                                                     multi-disciplinary and cross-sector bridging
    How individuals and                                                                                                                                                                     How Future Internet




                                                                                                                                                            balances between outer-poles
      society behave              more user-centricity and control
                                                                                                                                                                                             systems behave

          Rationalization                                                                                                                                                                     Real-time interactive
                                                                                                                                                                                               socially driven apps
      Networking and Social
                                                                                                                     digital literacy

            Capital                                                                                                                       digital rights                                    Combined real-world and
                                                                                                                                                                                               digital processes
        Empowerment and                                                                                                                     common
          participation                                                                                                                   vocabularies                                      Socially distributed, fixed
                                                                                                                                              and                                             and mobile content
     Information and Lifelong                                                                                                              definitions
            learning                                                                                                                    global regulatory                                   Personalised, localised, &
                                                                                                                                           frameworks                                        adaptive, QoE and QoS
                                                                                       increased transparency
      deeper meaning to                                                                                                                                                                      deeper meaning to
       social scientists                                                                                    Cross-Thematic                                                                     technologists
© 2011 The SESERV Consortium                                                                                Societal Themes                                                                                               4
The Future Internet Ecosystem




© 2011 The SESERV Consortium          5
Consumers
        &
     Networks
© 2011 The SESERV Consortium   6
Value

                                                             Facebooks total advertising revenues
                                                             USD$2 billion in 2010




Google's total advertising revenues USD$28 billion in 2010


                                                                $8.5bn for Skype Oct-11
                                                                Ten times Skype's revenues in 2010




© 2011 The SESERV Consortium                                                                         7
Low-end Disruption
                                          • New market disruption
                                            • does it engage a new large
            Established          New          population?
              Market           Business     • is it easily accessible?
                                            • e.g Ebay, Playfish

                                          • Low-end disruption
                                            • does it address low end users
                                              more cheaply?
                                            • is there a business model to
                                              address the overserved
                                              customers?
                                            • e.g. Amazon, Skype, iTunes

                                          • Reachability of the Internet
                                            key factor in supporting
                                            disruption

© 2011 The SESERV Consortium                                                  8
Liability




     Freedom of Connection
     Freedom of Expression     publisher vs
                               distributor

© 2011 The SESERV Consortium                  9
FInES Research Agenda




       ‘Freedom is the source of innovation, invention, trying new things, and bringing
       about change and new projects. It is crucial to the long-term success of an
       enterprise’ (Bill Gore. Gore-Tex inventor)

       ‘Freedom of expression and freedom of connection are linked. Freedom of
       expression is not an inevitable outcome of technological innovation. It can be
       diminished or reinforced by the design of technologies, policies and practices –
       sometimes far removed from freedom of expression.’ (Bill Dutton. Oxford
       Internet Institute)
© 2011 The SESERV Consortium                                                              10
Common Concerns in
      Business Ecosystems
                               Enterprise &
                                Services
      Future Internet            Industry                                           business
                                                Business       Enterprise
     Enterprise Systems                                                            metamodels
                                               Perspective     Networks
           (FInES
                                                                                 network/service
      www.ensemble.eu                                                            co-management

                                                            virtual trading,     transparency of
                                                          virtual knowledge          business
                                              Common                                 models
                                              Concerns virtual resource based
                                                             communities
                                                                                level of neutrality

                                                                                accountability and
                                Internet                                             liability
       Future Internet          Industry      Infrastructure    Internet
      Socio-Economics                                                                 role of
                                               Perspective     Networks
           (FISE)                                                                 intermediaries
       www.seserv.org

                                                     Sensor Networks       Fixed Networks
                                                          Clouds     Wireless Networks
© 2011 The SESERV Consortium                                                                          11
So is there a difference with the
        Enterprise?

© 2011 The SESERV Consortium                12
© 2011 The SESERV Consortium   13
Cause: manufacturing defect



© 2011 The SESERV Consortium                          14
Consequences
      •   ATSB: Qantas A380 fleet grounded
      •   EASA: Mandatory inspections on Trent 900s
      •   10% off Rolls Royce share price
      •   $93M compensation by Rolls-Royce
      •   $135M insurance bill for repairs to the plane
      •   Original aircraft not back in service until Feb 2012




http://en.wikipedia.org/wiki/Qantas_Flight_32
© 2011 The SESERV Consortium                                     15
It could have been a whole lot worse




© 2011 The SESERV Consortium                               16
The Challenge of Liability and
      Utility
      Keep the design, manufacturing and in-service data for a fleet of
      aircraft usable for 50 years

      Integrity, Authenticity, Confidentiality, Utility, Availability, Possessi
      on, Provenance

      Airbus:                  52,000 staff across 16 sites
      Supply chain:            18,000 suppliers in 30 countries




© 2011 The SESERV Consortium                                                      17
© 2011 The SESERV Consortium   18
Life of Operating System: 18 months

                  Life of Computer: 3 years

                Time between CAD Versions: 6 months

             Life of CAD System: 10 years

             Life of Product: 70 years +
  © BAE SYSTEMS Aug 2006   time
                       Do you know the lifetime of a Future Internet service ,
                       how it was configured and used to generate data?
© 2011 The SESERV Consortium                                                     19
Retaining Usable Knowledge
                                    Designer                                    Qualifications
                                    Approvers                                        List
                                                                                                      ASCI
                                     Company                                      Personnel           TEXT
                                      Process      Proof of good practice          Records
                CAD
                File
                                    Validation
                                    Properties
                                                                              GD&T
             AP203                                                          Standards
                               10303-203
         Recommended                               STEPMod                                             PDF
           Practices           AP 203 Ed 2
                                                                            Materials
        STEP                                                                Handbook
          10303-28               10303-11          10303-21
                                                                        Design Office
         XML Binding              Express             file                                            SGML
                                                                          Practices
                               XML Binding                                    Project
                               Configuration     File Format                                     Basic File Formats
                                                                            Standards

               XML                 XSD
                                                    XML Tag           Supporting                      HTML
                                                   Definitions        Documentation

     © BAE SYSTEMS Aug 2006


© 2011 The SESERV Consortium                                                                                          20
Conclusions
        • FISE can provide context for FInES research and development
             • common cross cutting themes and concerns
             • new forms of organisation emphasise individuals and communities structures
             • intangibles are of increasing interest

        • FISE tends to focus on issues of consumers and networks
             • drivers often touch of ideology, morality and of course human rights
             • enterprise drivers (confidentiality, compliance, liability, etc) tend to be more
               clear cut

        • No universal prescriptions due to the complexity of individuals, society
          and the economy
             • socio-economics has been studied for centuries
             • issues won’t be “solved” by a simple set of rules
             • it depends on what you trying to do

        • Developing a richer awareness of the problems is the first step towards
          finding solutions

© 2011 The SESERV Consortium                                                                      21

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Future Internet Enterprise Systems

  • 1. Socio-Economic Services for European Research Projects (SESERV) European Seventh Framework CSA FP7-2010-ICT-258138 Future Internet Socio-Economics Future Internet Enterprise Systems Cluster Meeting Michael Boniface mjb@it-innovation.soton.ac.uk IT Innovation Centre Monday 19th December 2011 © 2011 The SESERV Consortium 1
  • 2. those who study and SESERV Project those who build need to talk some people study the Internet Converged mobile, wired and wireless broadband networks stakeholder conflicts, digital economy shifting context, digital Internet-connected participation sensors, actuators, devices governance and and objects regulation Immersive and interactive Do social networks drive media technologies democracy? Clean-slate vs evolutionary Should governments censor architecture and filter digital content? future networks, internet of some people Where’s the value in the services and clouds build the Internet digital economy? internet of things, networked and social media How do we decide in a world ICT for security, trust and dependability where everything is tracked? © 2011 The SESERV Consortium 2
  • 3. What’s the Economic Tussles likelihood of my technology being a success, even in the long-term? How economics can help design a better Internet Microeconomic Principles Future Internet System Architecture and Theories Ecosystem Principles and Theories How individuals How Future Internet and businesses behave systems behave Network Security Design for New Supply & Demand Tussle Technology Interconnection Agreements Principles Conformance to tussle Maximising Net Benefit design metrics Responsibility for Agreement (FP7 (isolation, c Violation Project Externalities hoice, open Routing (selecting a provider to ness, inform Results) Asymmetric Information fulfil a customer request) ation Controlling content/service exposure, p Public Goods delivery olicy separation) Controlling access to sensitive data deeper meaning to deeper meaning to Economic Tussles economists technologists © 2011 The SESERV Consortium 3
  • 4. How can my Societal Themes technology transform the world? How social science can help transform the potential of the Future Internet Social Science Future Internet System Architecture Principles and Theories Ecosystem Principles and Theories multi-disciplinary and cross-sector bridging How individuals and How Future Internet balances between outer-poles society behave more user-centricity and control systems behave Rationalization Real-time interactive socially driven apps Networking and Social digital literacy Capital digital rights Combined real-world and digital processes Empowerment and common participation vocabularies Socially distributed, fixed and and mobile content Information and Lifelong definitions learning global regulatory Personalised, localised, & frameworks adaptive, QoE and QoS increased transparency deeper meaning to deeper meaning to social scientists Cross-Thematic technologists © 2011 The SESERV Consortium Societal Themes 4
  • 5. The Future Internet Ecosystem © 2011 The SESERV Consortium 5
  • 6. Consumers & Networks © 2011 The SESERV Consortium 6
  • 7. Value Facebooks total advertising revenues USD$2 billion in 2010 Google's total advertising revenues USD$28 billion in 2010 $8.5bn for Skype Oct-11 Ten times Skype's revenues in 2010 © 2011 The SESERV Consortium 7
  • 8. Low-end Disruption • New market disruption • does it engage a new large Established New population? Market Business • is it easily accessible? • e.g Ebay, Playfish • Low-end disruption • does it address low end users more cheaply? • is there a business model to address the overserved customers? • e.g. Amazon, Skype, iTunes • Reachability of the Internet key factor in supporting disruption © 2011 The SESERV Consortium 8
  • 9. Liability Freedom of Connection Freedom of Expression publisher vs distributor © 2011 The SESERV Consortium 9
  • 10. FInES Research Agenda ‘Freedom is the source of innovation, invention, trying new things, and bringing about change and new projects. It is crucial to the long-term success of an enterprise’ (Bill Gore. Gore-Tex inventor) ‘Freedom of expression and freedom of connection are linked. Freedom of expression is not an inevitable outcome of technological innovation. It can be diminished or reinforced by the design of technologies, policies and practices – sometimes far removed from freedom of expression.’ (Bill Dutton. Oxford Internet Institute) © 2011 The SESERV Consortium 10
  • 11. Common Concerns in Business Ecosystems Enterprise & Services Future Internet Industry business Business Enterprise Enterprise Systems metamodels Perspective Networks (FInES network/service www.ensemble.eu co-management virtual trading, transparency of virtual knowledge business Common models Concerns virtual resource based communities level of neutrality accountability and Internet liability Future Internet Industry Infrastructure Internet Socio-Economics role of Perspective Networks (FISE) intermediaries www.seserv.org Sensor Networks Fixed Networks Clouds Wireless Networks © 2011 The SESERV Consortium 11
  • 12. So is there a difference with the Enterprise? © 2011 The SESERV Consortium 12
  • 13. © 2011 The SESERV Consortium 13
  • 14. Cause: manufacturing defect © 2011 The SESERV Consortium 14
  • 15. Consequences • ATSB: Qantas A380 fleet grounded • EASA: Mandatory inspections on Trent 900s • 10% off Rolls Royce share price • $93M compensation by Rolls-Royce • $135M insurance bill for repairs to the plane • Original aircraft not back in service until Feb 2012 http://en.wikipedia.org/wiki/Qantas_Flight_32 © 2011 The SESERV Consortium 15
  • 16. It could have been a whole lot worse © 2011 The SESERV Consortium 16
  • 17. The Challenge of Liability and Utility Keep the design, manufacturing and in-service data for a fleet of aircraft usable for 50 years Integrity, Authenticity, Confidentiality, Utility, Availability, Possessi on, Provenance Airbus: 52,000 staff across 16 sites Supply chain: 18,000 suppliers in 30 countries © 2011 The SESERV Consortium 17
  • 18. © 2011 The SESERV Consortium 18
  • 19. Life of Operating System: 18 months Life of Computer: 3 years Time between CAD Versions: 6 months Life of CAD System: 10 years Life of Product: 70 years + © BAE SYSTEMS Aug 2006 time Do you know the lifetime of a Future Internet service , how it was configured and used to generate data? © 2011 The SESERV Consortium 19
  • 20. Retaining Usable Knowledge Designer Qualifications Approvers List ASCI Company Personnel TEXT Process Proof of good practice Records CAD File Validation Properties GD&T AP203 Standards 10303-203 Recommended STEPMod PDF Practices AP 203 Ed 2 Materials STEP Handbook 10303-28 10303-11 10303-21 Design Office XML Binding Express file SGML Practices XML Binding Project Configuration File Format Basic File Formats Standards XML XSD XML Tag Supporting HTML Definitions Documentation © BAE SYSTEMS Aug 2006 © 2011 The SESERV Consortium 20
  • 21. Conclusions • FISE can provide context for FInES research and development • common cross cutting themes and concerns • new forms of organisation emphasise individuals and communities structures • intangibles are of increasing interest • FISE tends to focus on issues of consumers and networks • drivers often touch of ideology, morality and of course human rights • enterprise drivers (confidentiality, compliance, liability, etc) tend to be more clear cut • No universal prescriptions due to the complexity of individuals, society and the economy • socio-economics has been studied for centuries • issues won’t be “solved” by a simple set of rules • it depends on what you trying to do • Developing a richer awareness of the problems is the first step towards finding solutions © 2011 The SESERV Consortium 21

Editor's Notes

  1. The purpose of this slide is to show how WP2 addressed these issues through the identification of Economic Tussles. WP2 address this issue through the identification of a set of economic tussles that were identified through engagement of a set of FP7 projects. Example, tussles include interconnection agreements and controlling access to sensitive data. WP2 will discuss these in more detail during their presentation
  2. The purpose of this slide is to show how WP3 addressed these issues through the identification of Cross-Thematic Societal ThemesWP3 addressed this issue through the identification of societal themes that were identified through engagement of a set of FP7 projects and an outcome of the SESERV workshop. Example, tussles increased transparency and global regulatory frameworks. WP3 will discuss these in more detail during their presentation
  3. 4 November 2010
  4. Oil pipe fractures, oil spilt into engine, caught fire, turbine broke away, ripped through cowling and into plane wing – affected hydraulics, other engines, landing systems.
  5. EASA: European Aviation Safety AgencyATSB: Australian Transport Safety Bureauhttp://www.flightglobal.com/news/articles/problems-in-manufacturing-process-led-to-trent-900-failure-350485/http://blogs.crikey.com.au/planetalking/2010/12/02/new-safety-defect-found-in-qantas-a380-engines/