- April 4, 2011
Will increased competition and the race to undercut competitors commoditize information? Is data an asset, is it a public utility, or is it a fragmented network that resists commoditization? What types of data will resist commoditization? This panel featured our CEO Nick Ducoff and discusses the future of who will buy data at what cost.
Geoff Domoracki, Moderator and Founder of midVentures
Nick Ducoff, Co-Founder and CEO of Infochimps
Hjalmar Gislason, Founder and CEO of DataMarket
David Coloff,Founder and CEO of Metamarkets
Ian White, CEO of Urban Mapping
3:00 Panelists introduce themselves
3:05 Domoracki: Who are your customers, and how does your pricing strategy differ?
Ducoff: Our customers vary from developers to analysts and academics. For developers, we offer access to an API and it is pay by the drink. For analysts, pricing is generally a la carte.
Gislason says DataMarket has integrated data from open sources. It starts off free and is still free on their site. They offer additional features on top of the data, which is what users pay for. They also sell premium data that is proprietary.
White says that Urban Mapping offers cheap data, but then also offers additional curated sources that provide extra value.
Soloff says that Metamarkets focuses on monetizing analysis and visualization of data. There is an appetite for market benchmarks. People are offering data in exchange for the ability to get data from other sources.
3:11 Domoracki asks if information should be free.
Ducoff says that Infochimps is taking data from disparate sources and combining them together, e.g. “everything about a certain place around you”. Value is making data adjacent.
Gislason says that data has been made available but hasn’t been made accessible. DataMarket has noticed that people enjoy consuming data in visual form, and that is value add.
White mentions that Urban Mapping’s value is in aggregation and the ability to query data across sources..
Soloff: If you can capture segments of the market that other people can’t get to and can offer value on top of data, people will pay for it. “Analytics enabling is very valuable”.
3:18 Is data going to be cheaper across industry, or are some verticals getting more expensive?
Ducoff: When you have more of anything, prices are commoditized. Value is in the ability to sort through it all and make it easy to consume. Infochimps feels that every industry will act the way the financial industry has for years.
3:21 Domoracki opens up questions to the audience. Member asks how to solve issue of “gaps in data” that people may not notice are missing.
Soloff says that you have to be careful citing something as complete if it is not, as misrepresentation is “shooting yourself in the foot”.
3:23 Audience member asks “People, places or things–What is most valuable to your users?”
Soloff claims it is things.
Gislason says that places has been profitable in the past.
3:25 Member asks if there will be one “eBay for data”, or is there room for many players?
Ducoff says that the shakedown will amount to people focusing on one specific sector. Players are taking many different approaches
Gislason thinks marketplaces started broad, but will end up becoming more specialized.