This is the slides used at SNS Digitech seminar 21/10 2015

1. Mikael Eriksson Björling
Director Networked Society Lab
Ericsson Stockholm 151020
Värdeskapandets
nya logik

2. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 2
1991: Total Cost $3054.82 (ca 36000 kr idag)
2015: Smartphone $40.00 (ca 350 kr)
24 years
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

3. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 3
MOBILITY – BROADBAND – CLOUD
FROM INVENTION TO GENERAL PURPOSE TECHNOLOGY
INSTALLATION TRANSFORMATION
Mobility, Broadband and the Cloud
are becoming the foundation for all
other areas of society to operate
and innovate upon
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

4. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 4
Progressive Innovation
EXPONENTIAL
PERFORMANCE
UBIQUITOUS
REACH
NEW SCALE IN
ECONOMICS
MOBILITY BROADBAND CLOUD
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

5. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 5
NEW LOGIC
ANY THING THAT CAN BE CONNECTED WILL
BE CONNECTED, SMART AND INTERACTIVE
ANY RESOURCE THAT CAN BE SHARED WILL
BE SHARED, ENRICHED AND ABUNDANT
ANY RESHAPING IDEA THAT CAN BE TRIED
WILL BE TRIED AND TRIGGER CHANGE
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

6. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 6
NEW ASSETS
ANY THING THAT CAN BE CONNECTED WILL
BE CONNECTED, SMART AND INTERACTIVE
ANY RESOURCE THAT CAN BE SHARED WILL
BE SHARED, ENRICHED AND ABUNDANT
ANY RESHAPING IDEA THAT CAN BE TRIED
WILL BE TRIED AND TRIGGER CHANGE
USERS THINGS
PLATFORMS DATA
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

7. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 7
Transforming industry
sectors
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

8. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 8
Communality Experience
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

9. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 9
Mobility Experience
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

10. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 10
Exchange Experience
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

11. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 11
Culture Experience
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

12. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 12
NEW MEDIA ROLES
Spotify
HBO Amazon
iTunes
Netflix Muve Wimp
Blizzard
Media Services
Streaming music, on-line
games, web & IP TV, web
news, media apps
21.7
BUSD
28.7
BUSD
33.8
BUSD
39.8
BUSD
48.5
BUSD
58.4
BUSD
68.7
BUSD
80.0
BUSD
92.0
BUSD
104
BUSD
Media Products
Records, CD, Newspapers, Game sw, Concerts
2007 2016
381
BUSD
352
BUSD
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

13. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 13
Utilities Health
MEDIA – A FIRST MOVER
Media
Transport
MOBILITY - BROADBAND - CLOUD
ICT MEDIA 23%
Streaming music, on-line
games, web & IP TV, web
news, media apps, etc.
Etc.
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

14. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 14
Industry Transformation
Determining forces
EVOLUTION DISRUPTION
OUTSIDE DRIVE
INSIDE CONTROL
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

15. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 15
Industry Transformation
Determining forces
Outside Drive
› New consumer behavior
› Changed regulatory rules
› Disruptive technology
› Redefined competition
Inside Control
› Definition of core business
› Scale gain opportunities
› Maturing technology
› Consolidation
Disruption
› Establish new position
› Replace current value logic
› Build value from alternative assets
› Create radically new market
Evolution
› Expand from established position
› Reinforce existing value system
› Improve offering to current market
› Focus on efficiencies
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

16. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 16
ICT-Led Transformation
Value Chain Effectiveness
Improved offering to current market
Redefined Eco-system
Profoundly new offerings creating new market
EVOLUTION DISRUPTION
Value Chain Efficiency
Better performance of current offerings
Reshaped value systems
Synergy offering across industries
OUTSIDE DRIVE
INSIDE CONTROL
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

17. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 17
Reshaped business
OUTSIDE DRIVE
INSIDE CONTROL
EVOLUTION DISRUPTION
Self-driving car
as a serviceCar / ride sharing
e/m-ticket
Smart navigation
Traffic management
National e/m-ticket
Connected car
Collaborative logistics
Dynamic transport service
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

18. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 18
Strategic focus
ENCOURAGE USER CO-CREATION
DEVELOP NEW PLATFORMS
MAKE SENSE FROM DATA
ESTABLISH NETWORKED
PRACTICES
DIGITIZE BUSINESS RESOURCES
INNOVATE IN
SERVICE
BUSINESS
OPERATIONAL
EXCELLENCE
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21

19. Mikael Eriksson Björling | Ericsson Internal | © Ericsson AB 2015 | 2015-09-02 | Page 19
Positive society impacts
GDP GROWTH
EDUCATION
JOB CREATION
HEALTH
TRANSPARENCY
LOW CARBON
ECONOMY
USAGE
AFFORDABILITY
INFRASTRUCTURE
ICT
MATURITY
TRIPLE
BOTTOM
LINE
ENVIRONMENT
ECONOMY
SOCIAL
Mikael Eriksson Björling | © Ericsson AB 2015 | 2015-10-21