- April 4, 2011
Data-as-a-service is something new to many outside the enterprise space. This panel from the Data 2.0 Conference discusses where this market is headed.
Geoff Domoracki, Moderator and CEO of midVentures
Jay Adelson, CEO of SimpleGeo
Nick Halstead, Founder and CEO of Mediasift
Vivek Sodera, Co-Founder of Rapleaf
Gordan Redzic, Senior Product Manager at Navteq
2:30 Panelists introduce themselves.
2:31 Domoracki asks, “What is data-as-a-service”?
Halstead says that from the moment you start using a website, information is being collected about you. Web companies are disrupting traditional data providers because it is now easier to collect millions of records for smaller players in the space. This is a new service offered to businesses.
Sodera says that the vast amount of data available opens up potentials to use data effectively for small to medium sized businesses, not just enterprises who could afford the high prices for valuable data.
2:34 Domoracki: What is your strategy for winning in your vertical?
Adelson says that SimpleGeo says the location vertical is very specific, but is so useful to so many types of industries.
2:36 Domoracki asks, “How do you convince VCs that data is a viable market?”
Sodera says you must show that there is a new trend coming, and that other companies have succeeded in this market in the past as well. Social media data is a space that every VC on Sand Hill is investigating.
Redzic says NAVTEQ has been around for a while and has a name already.
Sodera says that a strong team always entices VCs.
2:38 Domoracki: Data is a “frenemy” type of industry as some people are suppliers and consumers. Will this get worse or better?
Adelson says that most players in the game recognize that certain types of data are moving towards free. If you acknowledge this, it’s key to focus on how you are differentiated from the rest.
Halstead focused on collaborating with data partners from day one and sought to prove that distribution model worked.
2:41 Domoracki: on topic of collaboration. What opportunities are there for startups to solve problems for you?
Redzik said that NAVTEQ’s limitations come from being in Chicago. There is a big talent base in the Bay Area and others areas.
Halstead thinks there will be more niche marketplaces and services in the space over time. Example: someone who offers analytics in one space and targets all customers in that space.
Adelson mentions the 15,000 developers currently using their platform. It is not certain what new opportunities will unfold with these tools.
2:44 Domoracki now opens questions to the audience. Member asks how public would feel about having their data collected?
Adelson: “We ask you first”. Place data is different than personal information. Proximity data is not as clear though. Most applications still ask permission to serve things like ads. They have yet to run into an abuse of this data.
Redzic: NAVTEQ also uses opt-in services for advertising.
Sodera: Privacy is very important to Rapleaf. Consumers can actually see what data is available about them. We as an industry need to do a better job about educating consumers.
2:48 Audience member asks why personalization is the trend, versus the shared experience of advertising to groups?
Adelson: A balance should be struck. Hypertargeting means we often don’t discover things we might discover otherwise. For the most part, people do enjoy more targeted ads.
2:51 Audience member asks what it will take for a data marketplace to be a viable business.
Redzic and Halstead both take data from multiple sources, so they don’t see why it would not be viable.
Halstead says that making sources more generic says you often lose what you are looking for specifically out of a data source.
2:54 Audience member says that with each API, he has to learn something new. Is the lack of standards limiting what we are doing with data?
Halstead thinks you will never change that. Startups build their API around their specific use cases.
Sodera mentions Infochimps as working to standardize the API experience.