Tag Archive for 'portability'

Data portability and media: explaining the business case

The information value chain I wrote about a while back, although in need of further refinement, underpins my entire thinking in how I think the business
case for data portability exists.

In this post, I am going to give a brief illustration of how interoperability is a win-win for all involved in the digital media business.

To do this, I am going to explain it using the following companies:
– Amazon (EC2)
– Facebook
– Yahoo! (Flickr)
– Adobe (Photoshop Express)
– Smugmug
– Cooliris

How the world works right now
I’ve listed six different companies, each of which can provide services for your photos. Using a simplistic view of the market, they are all competitors – they ought to be fighting to be the ultimate place where you store your photos. But the reality is, they aren’t.

Our economic system is underpinned by a concept known as “comparative advantage“. It means that even if you are the best at everything, you are better off specialising in one area, and letting another entity perform a function. In world trade, different countries specialise in different industries, because by focusing on what you are uniquely good at and by working with other countries, it actually is a lot more efficient.

Which is why I take a value chain approach when explaining data portability. Different companies and websites, should have different areas of focus – in fact, we all know, one website can’t do everything. Not just because of lack of resources, but the conflict it can create in allocating them. For example, a community site doesn’t want to have to worry about storage costs, because it is better off investing in resources that support its community. Trying to do both may make the community site fail.

How specialisation makes for a win-win
With that theoretical understanding, let’s now look into the companies.

Amazon
They have a service that allows you to store information in the cloud (ie, not on your local computer and permanently accessible via a browser). The economies of scale by the Amazon business allows it to create the most efficient storage system on the web. I’d love to be able to store all my photos here.

Facebook
Most of the people I know in the offline world, are connected to me on Facebook. Its become a useful way for me to share with my friends and family my life, and to stay permanently connected with them. I often get asked my friends to make sure I put my photos on Facebook so they can see them.

Yahoo
Yahoo owns a company called Flickr – which is an amazing community of people passionate about photography. I love being able to tap into that community to share and compare my photos (as well as find other people’s photos to use in my blog posts).

Adobe
Adobe makes the industry standard program for graphic design: Photoshop. When it comes to editing my photos – everything from cropping them, removing red-eye or even converting them into different file formats – I love using the functionality of Photoshop to perform that function. They now offer an online Photoshop, which provides similar functionality that you have on the desktop, in the cloud.

Smugmug
I actually don’t have a Smug mug account, but I’ve always been curious. I’d love to be able to see how my photos look in their interface, and be able to tap into some of the features they have available like printing them in special ways.

Cooliris
Cooliris is a cool web service I’ve only just stumbled on. I’d love be able to plug my photos in the system, and see what cool results get output.

Putting it together

  • I store my photos on Amazon, including my massive RAW picture files which most websites can’t read.
  • I can pull my photos into Facebook, and tag them how I see fit for my friends.
  • I can pull my photos into Flickr, and get access to the unique community competitions, interaction, and feedback I get there.
  • With Adobe Photoshop express, I can access my RAW files on Amazon, to create edited versions of my photos based on the feedback in the comments I received on Flickr from people.
  • With those edited photos now sitting on Amazon, and with the tags I have on Facebook adding better context to my photos (friends tagging people in them), I pull those photos into Smug mug and create really funky prints to send to my parents.
  • Using those same photos I used in Smug Mug, I can use them in Cooliris, and create a funky screensaver for my computer.

As a customer to all these services – that’s awesome. With the same set of photos, I get the benefit of all these services, which uniquely provide something for me.

And as a supplier that is providing these services, I can focus on what I am good at – my comparative advantage – so that I can continue adding value to the people that use my offering.

Sounds simple enough, eh? Well the word for that is “interoperability”, and it’s what we are trying to advocate at the DataPortability Project. A world where data does not have borders, and that can be reused again and again. What’s stopping us for having a world like this? Well basically, simplistic thinking that one site should try to do everything rather than focus on what they do best.

DataPortability Project

Help us change the market’s thinking and demand for data portability.

DataPortability is about user value, fool!

In a recent interview, VentureBeat asks Facebook creator and CEO Mark Zuckerberg the following:

VB: Facebook has recently joined DataPortability.org, a working group among web companies, that intends to develop common standards so users can access their data across sites. Is Facebook going to let users — and other companies — take Facebook data completely off Facebook?

MZ: I think that trend is worth watching.

It disappoints me to see that, because it seems like a quick journalists hit at a contentious issue. On the other hand, we have seen amazing news today which are examples of exactly the type of thing we should be expecting in a data portability enabled world: the Google contacts API which has been a thing we have highlighted for months now as an issue for data security and Google analytics allowing benchmarking which is a clear example of a company that understands by linking different types of data you generate more information and therefore value for the user. The DataPortability project is about trying to advocate new ways of thinking, and indeed, we don’t have to formally produce a product in as much maintain the agenda in the industry.

However the reason I write this is that it worries me a bit that we are throwing around the term “data portability” despite the fact the DataPortability Project has yet to formally define what that means. I can say this because as a member of the policy action group and the steering action group which are responsible for making this distinction, we have yet to formally decide.

Today, I offer an analysis of what the industry needs to be talking about, because the term is being thrown around like buggery. Whilst it may be weeks or months before we finalise this, it’s starting to bother me that people seem to think the concept means solving the rest of the world’s problems or to disrupt the status quo. It’s time for some focus!

Value creation
First of all, we need to determine why the hell we want data portability. DataPortability (note the distinction of the term with that of ‘data portability’ Рthe latter represents the philosophy whilst the former is the implementation of that philosophy by DataPortability.org) is not a new utopian ideal; it’s a new way of thinking about things that will generate value in the entire Information sector. So to genuinely want to create value for consumers and businesses alike, we need to apply thinking that we use in the rest of the business world.

A company should be centered on generating value for its customers. Whilst they may have obligations to generate returns for their shareholders, and may attempt different things to meet those obligations; they also have an obligation to generate shareholder value. To generate shareholder value, means to fund the growth of their business ultimately through increased customer utility which is the only long term way of doing so (taking out acquisitions and operational efficiency which are other ways companies generate more value but which are short term measures however). Therefore an analysis of what value DataPortability creates should be done with the customer in mind.

The economic value of a user having some sort of control over their data is that they can generate more value through their transactions within the Information economy. This means better insights (ie, greater interoperability allowing the connection of data to create more information), less redundancy (being able to use the same data), and more security (which includes better privacy which can compromise a consumers existence if not managed).

Secondly, what does it mean for a consumer to have data portability? Since we have realised that the purpose of such an exercise is to generate value, questions about data like “control”, “access” and “ownership” need to be reevaluated because on face value, the way they are applied may have either beneficial or detrimental effects for new business models. The international accounting standards state that you can legally “own” an asset but not necessarily receive the economics benefits associated with that asset. The concept of ownership to achieve benefit is something we really need to clarify, because quite frankly, ownership does not translate into economic benefit which is what we are at stake to achieve.

Privacy is a concept that has legal implications, and regardless of what we discuss with DataPortability, it still needs to be considered because business operates within the frameworks of law. Specifically, the human rights of an individual (who are consumers) need to be given greater priority than any other factor. So although we should be focused on how we can generate value, we also need to be mindful that certain types of data, like personally identifiable data, needs to be considered in adifferent light as there are social implications in addition to the economic aspects.

The use cases
The technical action group within the DataPortability project has been attempting to create a list of scenarios that constitute use cases for DataPortability enablement. This is crucial because to develop the blueprint, we also need to know what exactly the blueprint applies to.

I think it’s time however we recognise, that this isn’t merely a technical issue, but an industry issue. So now that we have begun the research phase of the DataPortability Project, I ask you and everyone else to join me as we discuss what exactly is the economic benefit that DataPortability creates. Rather than asking if Facebook is going to give up its users data to other applications, we need to be thinking on what is the end value that we strive to achieve by having DataPortability.

Portability in context, not location
When the media discuss DataPortability, please understand that a user simply being able to export their data is quite irrelevant to the discussion, as I have outlined in my previous posting. What truly matters is “access”. The ability for a user to command the economic benefits of their data, is the ability to determine who else can access their data. Companies need to be thinking that value creation comes from generating information – which is simply relationships between different data ‘objects’. If a user is to get the economic benefits of using their data from other repositories, companies simply need to allow the ability for a user to delegate permission for others to access that data. Such a thing does not compromise a company’s competitive advantage as they won’t necessarily have to delete data they have of a user; rather it requires them to try to to realise that holding in custody a users data or parts of it gives them a better advantage as hosting a users data gives them complete access, to try to come up with innovative new information products for the user.

So what’s my point? When discussing DataPortability, let’s focus on the value to the user. And the next time the top tech blogs confront the companies that are supporting the movement with a simplistic “when are you going to let users take their data completely off ” I am going to burn my bra in protest.

Disclosure: I’m a hetrosexual male that doesn’t cross-dress

Update: I didn’t mean to scapegoat Eric from VentureBeat who is a brilliant writer. However I used him to give an example of the language being used in the entire community which now needs to change. With the DP research phase now officially underway for the next few months, the questions we should be asking should be more open-ended as we at the DataPortability project have realised these issues are complex, and we need to get the entire community to come to a consensus. DataPortability is no longer just about exporting your social graph – it’s an entirely new approach to how we will be doing business on the net, and as such, requires us to fundamentally reexamine a lot more than we originally thought.

Can you answer my question?

We at the DataPortability project have kick started a research phase, because we’ve realised we need to spend more time consulting with the community working out issues which don’t quite have one answer.

As Chris Saad and myself are also experimenting with a new type of social organisation as we incubate the DataPortability project, which I call wikiocracy (Chris calls it participant democracy), I thought I might post these issues on my blog to keep in line with the decentralised ethos we are encouraging with DataPortability. This is something the entire world should be questioning,

So below are some thoughts I have had. They’ve changed a lot since I first thought about what a users data rights are, and no doubt, they will change again. But hopefully my thoughts can act as a catalyst for what people think data rights really are, and a focus on the issue at stake which I conclude as my question. I think the bill of rights for users on the social web is not quite adequate, and we need a more careful analysis of the issues.

It’s the data, stupid
Data is essentially an object. Standalone it’s useless – take for example the name “Elias”. In the absence of anything else, that piece of datum means nothing. However when you associate that name with my identity (ie, appending my surname Bizannes or linking it to my facebook profile), that suddenly becomes “information”. Data is an object and information is generated when you create linkages between different types of data – the ‘relationships’.

Take this data definition from DMReview which defines data (and information):

Items representing facts, text, graphics, bit-mapped images, sound, analog or digital live-video segments. Data is the raw material of a system supplied by data producers and is used by information consumers to create information.

Data is an object and information is a relationship between data – I’ve studied database theory at university to be authoritative on that! But since I didn’t do philosophy, then what is knowledge?

Knowledge can be considered as the distillation of information that has been collected, classified, organized, integrated, abstracted and value added
(source)

Relationships, facts, assumptions, heuristics and models derived through the formal and informal analysis or interpretation of data
(source)

So in other words, knowledge is the application of information to a scenario. Whilst I apologise if this appears that I am splitting hairs, I think clarifying what these terms are is fundamental to the implementation of DataPortability. Why this is relevant will be seen below, but now we need to move onto what does the second concept mean.

Portability
On first interpretation, portability means the ability to move something – exporting and importing. I think we shouldn’t take the ability to move data around as the sole definition of portability but it should also mean being able to port the context that data is used. After all, information and knowledge is based on the manipulation of data, and you don’t need to move data per se but merely change the context to do that. A vendor can add value to a consumer by building unique relationships between data and giving unique application to other scenarios – where the original data is stored is irrelevant as long as its accessible.

Portability to me means a person needs to have the ability to determine where their data is used. But to do that, they need control over that data – which means determining how it is used. Yet there is little point being able to determine how your data is used, if you can’t determine who can access your data. Therefore, the concept of portability invokes an understanding of what exactly control and accessibility means.

So to discuss portability, requires us to also understand what does data control and data accessibility really mean. You can’t “port” something unless you control it; and you can’t “control” something, if you can’t determine who can “access” it. As I state, as long as the data is accessible, the location of it can be on the moon for all I care: for the concept of portability by context to exist, we must ensure as a condition that the data is open to access.

Ownership
Now here is where it gets complicated: who owns what? Maybe the conversation should come to who owns the information and knowledge generated from that data. Data on its own, potentially doesn’t belong to anyone. My name “Elias” is shared by millions of other people in the world. Whilst I may own my identity, which my name is a representation of that, is it fair to say I own the name “Elias”? On the flip side, if a picture I took is considered data – I think it’s fair to say I “own” that piece of data.

Information on the other hand, requires a bit of work to create. Therefore, the generator of that information should get ownership. However when we start applying this concept to something like a social relationship, it gets a bit tricky. If I add a friend on Facebook, and they accept me, who “owns” that relationship? Effectively both of us – so we become join partners in ownership of that piece of information. If I was to add someone as a friend on MySpace, they don’t necessarily have to reciprocate – therefore it’s a one way relationship. Does that mean, I own that information?

This is when the concept of privacy comes in. If I am generating information about someone, am I entitled to it? If someone owns the underlying data I used to generate that information – then it would be fair to say, I am “licensing” usage of that data to generate information which de-facto is owned by them. But privacy as a concept and in the legislation of many countries doesn’t work like that. Privacy is even a right along side other basic rights like freedom of expression and religion in the constitution of Iraq (Article 17). So what’s privacy in the context of information that relates to someones identity?

Perhaps we should define privacy as the right to control information that represents an entity’s identity (being a person or legal body). Such as definition ties with defamation law for example, and the principle of privacy: you have control over what’s been said about you, as a fundamental human right. But yet again, I’ve just opened up a can of worms: what is “identity”? Maybe the Identity commons people can answer that? Would it be fair to say, that in the context of an “identity”, an entity like a person ‘owns’ that? So when it comes to information relating to someones identity, do we override it with this human right to privacy as to who owns that information, regardless of who generated that information?

This posting is a question, rather than an answer. When we say we want “data portability”, we need to be clear what exactly this means. Companies I believe are slightly afraid of DataPortability, because they think they will lose something, which is not true. Companies commercial interests are something I am very mindful when we have these discussions, and I will ensure with my involvement that DataPortability pioneers not some unrealistic ideal but a genuine move forward in business thinking. It needs to be clear what constitutes ownership and of what so we can design a blueprint that accounts for users’ data rights, without ruining the business models of companies that rely on our data.

Which brings me to my question – “who owns what”?