Shaping new marketplace for Data-Driven products
As we leap into the next decade, it is evident that digital products and services are shaping our lives. With over two billion people connected through the social network and multi-billion devices being connected, it is even more important for us to look beyond the traditional value proposition of Data-Driven transformation. It is no longer about efficiency, organizations are steering metrics to measure the commercial and technical potential of the Data-Driven economy at scale. Through this blog, we would explore the new marketplace of data-driven products.
Data as growth accelerator
We took the first step in creating a broader perspective on this topic through Democratized Data Whitepaper, where we discussed briefly the economic potential of Data. Baselining the current landscape, it seems that we have addressed the short-term potential of Data. With micro initiatives within different product portfolios and services. One-third of technology and service provider organizations with artificial intelligence (AI) technology plans said they would invest $1 million or more into these technologies in the next two years, according to a survey from Gartner, Inc. (2021)
This investment seems to be disproportionate to the long-term economic disruption that Data can bring in. One of the key reasons for conservative investments towards Data, Data-Driven initiatives can be attributed to the slow response of the organization to look at reforming and restructuring governance, investment in competitor-friendly product marketplace with Data as a backbone, initiatives to converge Data-Security, and last but not the least harmonizing global policies for the connected ecosystem.
There is definite interest to scale data initiatives and connect it across but without evolving our outlook towards the new marketplace of products & services where data will be the backbone, it will not be capitalized. If we would start creating modern metrics for living standards connected to digitalization, some of the world’s large economies will lag due to the slow onboarding of new reality & world order. So, what are the current priorities to stay relevant in the long-term?
– Securing Data – Converging Standards, evolving Privacy Enhancing Technologies
– Level the playing field by reforming common data policies globally & adapt to a connected ecosystem
– Baselining ethical use and respecting data rights through regulatory guidelines
– Creating a marketplace for products with an economic outlook- transaction cost, subsidies, data-exchange rates, real-time reuse licensing facilitating scaling
It seems a lot of work in progress for realizing the data potential, to move the needle, in this blog we focus on securing data, which can be considered foundational to the marketplace for products.
Data security before innovation
Shaping a new marketplace for Data-Driven products as a reality, it is fundamental to ensuring the security of Data. The marketplace has to secure countless supply chains with the characteristics like dynamic, real-time data exchange, vertical and horizontal integration, and much more. Data Security for more data, more products, and more risks, as pointed out by Ben Hertzberg in his talk at DataOps Summit, Canada.
The Data Security Standards today are fragmented so are the tools & applications. The strategic roadmap for Data security would need continuous innovation to make data accessible to more people and devices in a trustworthy manner.
– Bringing Data Security & Network closer – implementing advanced network protection, encryption, and data observability systems
– AI-Led Information Security Policy – Ensuring personalized support for preference-based policy management
– Advanced Data-Centric vulnerability detection & management
– Extending “Zero-trust architectural” principles to enable data democratization
Scaling Data security & specialized approaches for Marketplace
Securing data for creating a marketplace of data-driven products and services is not only feasible but also the need of the quickly transforming ecosystem. The marketplace opportunity to leverage, exchange, and share data and unlock the exponential potential of connected digital products might be approached differently, based on the need of different players in the ecosystem. Some of the approaches highlighted by Ben Hertzberg in his talk which applied to within an organization, we extended the perspective to the marketplace potential as follows
– Default to know – on the fast lane
Product Organizations that are on the fast lane, continuously innovating and collaborating with cross-functional experts might need to approach data-sharing by “default to know” policy where data is readily accessible and available as the default setting. Data exchange must be auditable and based on the consent of contributors, and consumers quickly and simply. With this kind of approach considering our marketplace outlook, meta-data pointers must be available for orchestrating privacy, resiliency & sustainability. Unlocking the value of data is connected to the purpose, real-time monitoring & tracking of usage, processing, and management of data is critical.
– Need to know – Centralized and highly regulated
Highly regulated segments do need access to data consistently and securely. However, distributing data over the network of connected products in the marketplace can be challenging for the regulated sector. Designing a framework for such a marketplace where highly regulated sector products cannot only co-exist but also leverage other vertical and horizontal integration, would need more due diligence. Designing products with data from inception stages and carefully processing and consuming data according to the defined purpose and consistently overlooking the emerging threats, and quickly acting on potential risks. Another important aspect is to regulate and monitor granular access control, the first step might be to create different landing zones for such regulated sectors, where data exchange is regulated & secured through specialized agreements & contracts.
– Need to Share – Opt-out rather than Opt-in
Advancing the data-driven economy and acknowledging the value of data is needed to ensure we create a broader, scalable, and more equitable landscape for organizations to steer exciting products, features, and services. Some factors which have to be carefully orchestrated and integrated into this type of landing zone can be,
– Trading, Tariffs, taxing the commercial data exchange, reuse, and processing
– Advancing Insurance and issuing data protection bonds
– Data providers like cloud providers, a niche segment of new players making data available securely and simply to various products
– Licenses for real-time data-exchange, built-in transaction cost
Creating a marketplace for products with the economic outlook
While we present the marketplace opportunity to our audience, there is an organization that has taken the first steps to align and standardize. One such initiative is IEEE P3800 Data Trading System Working Group is tasked with creating a standard for a data-trading system. Also, more focus on Data Interoperability Standards and related guidelines & in principle agreements would be needed to ensure a trustworthy economic outlook.
We would like to acknowledge the contribution of the speakers of DataOps Summit, Canada 2022 who inspired us to bring this new perspective to you. Especially talking about DataSecOps, it is worthy to mention the contribution of Ben Hertzberg, one of our speakers and a known DataSecOps practitioner.
We would be presenting more such thought-provoking blogs. If you have an idea or would like to extend any of the topics presented in this blog, we encourage you to connect with our team.