Current Internet Trends: Where is money?

Current Internet trends: Where is the money?

Maxon Pugovsky, Microsoft Ukraine, IDCEE 2011

Mobile Apps market

500 000+300 000+35 000+

2010 20150

5

10

15

20

25

30

$6,8B

$25B

Sources: MarketsandMarkets; InformationWeek; Distimo

In 1 year:• Android #1• WP #3, overpassing

BlackBerry and Ovi markets

• 20% of game developers get 97% of revenue

• 50% of games earn less than $3 000 in lifecycle

• 83 000+ in Apple App Store with average price $1,04

• 70-80% of downloads• Only 4% of apps feature

in-app purchase but they gain76% of revenue!

Games is the most popular category!

Sources: 148apps.biz; Distimo; Appolicious; Mashable

OvercrowdedFragmented2 years timeframe for entrance

To get rich in a gold rush sell pickaxes!

It’s a gold rush!

The money is here:Create middleware, frameworks, construction sets, analytics, ad networks, etc. for mobile.

• Mobile is a must for any web service.• Make data accessible on any device.

Bring experience beyond mobile devices

• 800M users• 350K registered at developers forum• 180K jobs worth $12B in salaries were

created in 2011 in the US by Facebook Application Platform

The social network

You know what is cool?

Source: Atelier.net

• Tencent’s QQ and Qzone – 800M• Vkontakte.ru – 100M• Netlog.com – 70M• Odnoklassniki.ru – 45M• Naszs-Klasa.pl – 14M

14 communities with 100M+ users

Other social networks with apps

http://en.wikipedia.org/wiki/List_of_virtual_communities_with_more_than_100_million_usershttp://en.wikipedia.org/wiki/List_of_social_networking_websites

Games and virtual goods• 20% of Americans played

social games; 35% of them never played games before.

• 28% US & UK players paid real money for virtual goods and currency

• 230M play in Zynga games monthly

Sources: Insidevirtualgoods.com, Mashable.com

But can you beat Zynga, Playdom (EA Games, $400M), Playfish (Disney, $763M) and others?

• 80% of the US companies with 100+ employees use SMM

• $3B out of $31B of online advertising in the US in 2011.

• Companies & agencies additionally spend on technology.

The money is here:Build tools for companies and agencies to facilitate SMM activities: Facebook apps, monitoring, social CRM, posting & moderating, integration of social platforms, analytics, etc.

Think beyond games: SMM!

Sources: eMarketer, CickZ

• From $25B in 2011 to $160B in 2020.

• New jargon:– SaaS: software as a

service– IaaS: infrastructure– PaaS: platform– BPaaS: business

process

• 30% of Ukrainian companies will use cloud services in 2015 – survey at Microsoft

partner conference

Weather forecast: cloudy

Sources: Zdnet, Microsoft Ukraine

• Enterprise IT-infrastructure & applications move online and to “private clouds”

• Why companies migrate:– Less capital costs and

optimized operational cost – “pay as you go”

– Scalability at peak moments

– Accessibility from anywhere

– Increase of business efficiency and employees productivity

What is going on?

• Help enterprises move to the cloud.• Tools for migration between cloud environments.• Applications for cloud marketplaces like Windows Azure App

Fabric. Etc.

The money is here: Develop for the cloud

The ultimate secret of success

Contacts

Maxon Pugovsky, Online Marketing Manager

a-mapugo@microsoft.com @max0nmaxon.com.ua

Thank you!