leapfrog technologies: major trends research notes

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The rate of iOS and Android device adoption has surpassed that of any consumer technology in history. Compared to recent technologies, smart device adoption is being adopted 10X faster than that of the 80s PC revolution, 2X faster than that of 90s Internet Boom and 3X faster than that of recent social network adoption.

Mobile Technology Connects The World

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Convergence of 10 Major Trends

Minimal & Diminishing Startup Costs

All Location Independent

Social Networks

Easier Access To Capital

Freelance & Offshoring

Innovation Ecosystem

Access To Scientific, Engineering & Manufacturing Tools

Big Data

Artificial Intelligence

LeapfrogTechnologies

Collaborative Culture

Risk Management

Innovation Ecosystem

• Growing Internet Population • 50% growth within 3 years

• Mobile Aps, Devices, Broadband• Android, Smart Phones, Tablets

• An Opportunity Platform • Education, Employment

OmniPresent Media 2013 3

80% of the World Lives on Less Than $10 per Day

• 1.37 billion people live on less than $1.25 a day• 2.56 billion live on less than $2 a day. • 5.05 billion people (more than 80 percent of the world's

population) live on less than $10 a day.

~Sources: World Bank & CIA World Fact Book


By 2015 The Internet Population Will Have Increased by 50%

World Population 7,048,602,366

Number On The Internet 2011 2,080,000 (30.3%)

Number On The Internet by 2015 3 Billion = 50% Increase / 3 Years

~Sources: 2012 Internet World Stats & United Nation & Cisco Growth Forecast


LeapFrog Technologies"Leapfrogging" is the notion that areas which have poorly-developed technology or economic bases can move themselves forward rapidly through the adoption of modern systems without going through intermediary steps (hopping over legacy technology).

The best-known example of leapfrogging is the adoption of mobile phones in the developing world.

It's easier and faster to put in cellular towers in rural and remote areas than to put in land lines, and as a result, cellular use is exploding


Leapfrogging With Android

“Huawei aiming to sell 50 million to 60 million smartphones this year up from 20 million in 2011.”~Source: Mobile World: Huawei Aims To Triple Smartphone SalesWall Street Journal Online February 27, 2012

Africa Might Just Skip the Entire PC RevolutionTim Worstall, August 17, 2011

350,000+ Kenyans have purchased Huawei’s $80 Android-based smartphone in a country where 40% of the population lives on less than $2 per day

“A sufficiently large number of these phones have been sold that we’re seeing local apps for local needs being developed: the start of a self-reinforcing process.”

“The IDEOS’s success in this market firmly establishes the open source Android as the smartphone of the people and demonstrates how unrelenting upswings in price-performance can jumpstart the spread of liberating technologies. Thanks to low-cost Androids, the geographically-untethered smartphone is here to stay, and it simply cannot be stopped.”


15,000 New Apps Released Per Week

Around 15,000 New Applications Are Released Each Week(and the number is growing)

“According to Mobilewalla, in a fairly quiet 14 days before the release of app No. 1,000,000, an average of 543 apps were released each day for Android-based devices,

and an average of 745 apps hit the market daily for the iPhone, iPad and iTouch. The total for the two weeks across the Apple, Android, BlackBerry and Windows platforms was 20,738.”

One Million Mobile Apps, and Counting at a Fast PaceBy SHELLY FREIERMAN Published: December 11, 2011

15,000 Apps Released per Week Works Out To: • 2,143 per day• 89 per hour• 1.5 per minute

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Market Estimates Vary…

• MarketsAndMarkets expects the global mobile applications market to be worth $25.0 billion in 2015

~Source: World Mobile Applications Market Advanced technologies, Global Forecast (2010 2015)

• IDC predicts app revenues will surpass $35 billion in 2014 ~Source: Worldwide and U.S. Mobile Applications, Storefronts, and Developer 2010–2014 Forecast and Year End 2010 Vendor Shares: The appification“ of Everything? Dec 2010

• Canalys expects that app store revenue will reach $36.7 billion by 2015 ~Source: Canalys Mobile App Store Analysis forecast, June 2011

• Gartner predicts application stores are creating a revenue opportunity that will reach $58 billion in 2014

~Source: Forecast: Mobile Application Stores, Worldwide, 2008- 2014, December 2010‐

But the Mobile Apps Market is Going To Be Big

• Forrester Research estimates an app market of $37 billion in 2015 ~Source: Mobile App Internet Recasts Software and Services Market, Forrester Research 2011


Tablet Computers: Fastest Ramping Device

“We believe that we are in the early innings of the mobile computing cycle – the largest in the history of computing.”

“By the end of 2020, we predict that 10 billion mobile internet devices will be in use, up from 2 billion today.”

~Source: Morgan Stanley Research “Tablet Demand and Disruption: Mobile Users Come of Age” Feb 14, 2011

“Like smartphones over the past two years, tablet growth is likely to surprise to the upside, in our view, pulling with it market leaders and challenging legacy technology.”


2015 Tablets To Drive $8.1 B in App Sales

Sarah Rotman Epps, an analyst with Forrester who specializes in tablet computers estimates: “the tablet market is set to generate a large portion of app purchases in the coming years.”

“Ms. Epps says tablet devices alone will generate $8.1 billion in app sales globally by 2015. In 2010, mobile apps on tablets generated $300 million in sales.”

Mobile App Revenue to Reach $38 Billion by 2015, Report PredictsBy Nick Bilton February 28, 2011


Strong International Demand For Tablets

“…international demand could be materially higher than some expect.”

~Source: Morgan Stanley Research “Tablet Demand and Disruption: Mobile Users Come of Age” Feb 14, 2011

“Tablets bridge the gap betweentraditional PCs and smartphones.

They combine a more PClikecomputing and display experience with the mobility, connectivity, and touch optimization of smartphones.”

“Importantly, in addition to many cloud-based services, tabletsgain access to application stores that already contain hundreds of thousands of smartphone applications and a growing list of tablet-optimized applications.”

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$35 Tablet Computer

Hands On: India’s $35 Aakash Android tablet lands in America 10/26/2011

“…with the addition of cheap headphones, and an equally cheap microphone, the owner can make calls on Skype and has the potential to communicate with people around the world.”

“The Aakash Tablet is an example of a “leapfrog technology,” a concept where the latest innovations jump directly into areas where legacy technologies never penetrated. Tens of millions of people throughout India who never had access to a landline phone now walk around with cell phones in their pocket.” “Now imagine the educational potential of the world’s lowest-cost tablet being unleashed to hundreds of millions of Indians eager to join the world economy. ”

Note: The Aakash tablet is regularly priced at around$75 but is offered to students at a 50% discount or $35.


Cloud Computing Enables MobileMobile Cloud Adoption

~Source: Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update, 2011–2016 Published February 14, 2012

• Global mobile data traffic grew 2.3-fold in 2011, more than doubling for the fourth year in a row.

• Mobile Data Traffic Will Double Again in 2012

• Smartphone usage nearly tripled in 2011

• Number of mobile-connected devices will exceed the world’s population in 2012

• Over 10 billion mobile-connected devices in 2016

Cloud applications and services allow mobile users to overcome the memory capacity and processing power limitations of mobile devices.

Suneet Singh Tuli CEO of DataWind developer of the $35 Aakash tablet computer

• Mobile-connected tablets will generate almost as much traffic in 2016 as the entire global mobile network in 2012.

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Mobile Data Traffic Is Exploding: 78% CAGR

~Source: Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update, 2011–2016 Published February 14, 2012

• Middle East and Africa will experience the highest mobile data traffic Compound Annual Growth Rate (CAGR) of 104%, increasing 36-fold.

• Asia Pacific will have the second highest CAGR of 84%, increasing 21-fold• The emerging market regions of Central and Eastern Europe and Latin America will

have CAGRs of 83% and 79% respectively


Leapfrog Technologies Enable “This Great Inflection” of Innovation

OP-ED COLUMNIST

The Last PersonBy THOMAS L. FRIEDMAN Published: November 12, 2011

“We’re at the start of a nonlinear move in innovation thanks to the hyper connecting of the world — through social media, mobile/wireless devices and cloud computing — which is putting cheap innovation devices into the hands of so many more people, enabling them to collaborate on invention in so many new ways. This Great Inflection will be an opportunity and a challenge for every worker and company because we’re going to see more and more product “price points” broken in big ways.”

“The Aakash ($35 Tablet Computer) is a ray of hope that India can leverage technology to get more of its 220 million students enough tools to escape poverty and poor teaching”


Bridging the Digital Divide

The coming 5 billion seek economic opportunity and connecting to the Internet is

Once basic necessities are met, people naturally look to

The Coming 5 Billion Internet Users Want Economic Opportunities


Leapfrog Technologies Create A Platform of Opportunity

• Mobile devices• Applications• Faster data speeds • Expanding and diversifying online opportunities

A virtuous, self-reinforcing platform of opportunity for billions of people.


Online Learning

“The scientists, Andrew Ng and Daphne Koller, taught free Web-based courses through Stanford last year that reached more than 100,000 students.”

“Last fall a course in artificial intelligence taught by Sebastian Thrun, then at Stanford,

and Google’s director of research, Peter Norvig, attracted more than 160,000 students from 190 countries.”

Online Education Venture Lures Cash Infusion and Deals With 5 Top Universities By JOHN MARKOFF Published: April 18, 2012

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Free Online Training

850 Free Online Photoshop Tutorials

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Online Training And Certification


Everything Is Pulled Into The Digital Vortex

10101010101010101010101010101010Technology is the lingua franca of economic opportunity in developing economies

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The Cambrian Cloud

Inflection Points• 80% of the world survives on less than $10 per day• 5 billion people have yet to come online.• Current Internet population will increase by 50% within 3 years. • Low cost technologies create a virtuous circle of innovation and opportunity• Cloud-based services and downloadable applications reduce device requirements,

enabling low-cost devices to access remotely hosted and tailored resources and services

• Mobile applications market is rapidly evolving to take advantage of growing regional opportunities in a positive reinforcing loop

• Rate of global connectivity and leapfrog technology adoption will increase• Amount of global data is exploding and a growing percentage will be mobile driven• Mobile leapfrog technologies connect the world and provide a platform of opportunity

for information, education and improved economic status• Net result: We are in the early stages of a transformative period which greatly expands

the globally connected network and enlarges both opportunity and talent pools

Growth & Connectivity of Internet Population