The End of Competitive AdvantageContinuous InnovationCloud Native Applications
Continuous Delivery of Business Value
Digital PlatformsEnterprise API Platform
Platform Business Model
Run in the cloud
Support any client device
Connect to legacy data and processes via APIs
cloud native applications
Right-sizing digital innovation
Focused on cycle time optimization
Smaller teams and faster tools
continuous delivery of business value
“When looking to split a large application into parts, often management focuses on the technology layer, leading to UI teams, server-side logic teams, and database teams.
When teams are separated along these lines, even simple changes can lead to a cross-team project taking time and budgetary approval.
A smart team will optimise around this and plump for the lesser of two evils - just force the logic into whichever application they have access to. Logic everywhere in other words.
This is an example of Conway's Law in action.”
Martin Fowler, “Microservices”
continuous delivery of business value
“Any organization that designs a system (defined broadly) will produce a design whose structure is a copy of the organization's communication structure.
Melvyn Conway, 1967
continuous delivery of business value
Requirements for microservices (per Fowler):
rapid provisioningbasic monitoring
rapid application deploymentdevops culture
continuous delivery of business value
All teams will henceforth expose their data and functionality through service
interfaces.
Teams must communicate with each other through these interfaces. There
will be no other form of inter-process communication allowed: no direct
linking, no direct reads of another team’s data store, no shared-memory
model, no back-doors whatsoever.
The only communication allowed is via service interface calls over the
network.
It doesn’t matter what technology they use. All service interfaces, without
exception, must be designed from the ground up to be externalizable. That is
to say, the team must plan and design to be able to expose the interface to
developers in the outside world. No exceptions.
Anyone who doesn’t do this will be fired. Thank you; have a nice day!
“
Jeff BezosCEO, Amazon
“An architecture to move at the pace of
change.”
Key pillar of innovation strategy
Future proofs existing assets
Makes AT&T network into a platform and
addressable by other innovators
Creates permeability
“[The API program] is an architectural choice one makes for speed.”
John Donovan, Sr. EVP, Technology and Network Ops, AT&T
“If you have infrastructure assets and are going to operate at a pace at which the external market is moving, you have to take capabilities—industry-specific or not—and make platforms from them.”
John Donovan, Sr. EVP, Technology and Network OpsAT&T
“We’re pivoting toward architecting everything we do in an API-centric way.”
Jacob Feinstein, Sr. Director, Core ITAT&T
Platform businesses are built on network effects.
The more network effects, the stronger the platform.
Kindle
User Book
PSP
User
Gam
Zune
User
Music
MicrosoftSonyAmazon
Eisenmann, Parker, Van Alstyne (2011), “Platform Envelopment,” Strategic Management Journal.
MP3
User Music
Video
TV
Games
Dev
Web
HTML
eBooks
Pub
Calls
User
Apple
V4V3
Price
q1
p1
Quantity
V1
V2
Platform sponsor gives away platform value.
Partners build apps for installed base, adding new layers of value.
Platform sponsor benefits from increased sales & royalties.
Partners benefit from cost savings and installed base.
Parker, Van Alstyne (2011), “Innovation, Openness & Platform Control,” SSRN.com.
Most firms can only concentrate on most
valuable apps
Profits increase when others add to
platform’s “Long Tail”
Parker, Van Alstyne (2011), “Innovation, Openness & Platform Control,” SSRN.com.
Further reading:
The End of Competitive Advantage (McGrath)http://12factor.net (Wiggins)Migrating to Cloud-Native Application Architectures (Stine)Microservices (Fowler)Platform Revolution (Parker, Van Alstyne Choudhary)The Power of Pull (Hagel, Brown, Davison)
Thank you@[email protected]
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