If what Stephen O’Grady (RedMonk co-founder and analyst) say is true then maybe data is the next money spinner or has it already been? According to O’Grady there are four generations of software companies and they are:
- First Generation (IBM) “The money is in the hardware, not the software”
- Second Generation (Microsoft) “Actually, the money is in the software”
- Third Generation (Google) “The money is not in the software, but it is differentiating”
- Fourth Generation (Facebook/Twitter/Linkedin) “Software is not even differentiating, the value is the data”
O’Grady has a different thot on this and he described them in his slides on Open Source + Big Data = Big Money
“Facebook has yet to turn its mountains of big data into a truly useful advertising platform, and it’s not for lack of trying” says Klint Finley. The Question is do we have a problem with actually extracting value from this data?