Gartner's Cool Vendors for 2016: Features-Fads-Disruptions in the Digital Landscape

© 2016 Gartner, Inc. and/or its affiliates. All rights reserved.

While you are waiting for our webinar to begin - A few housekeeping items to check out:

Have a Question Click the Question tab and submit your questions to our analyst and host.

Presentation Dial-in information if you are unable to attend via VoIP

If you have any difficulties, please email [email protected].

? To keep up to date on Gartner’s webinars follow @Vickier0729 on Twitter and Vickie Romanchuk on LinkedIn. For a broader insight into Gartner you can find us @Gartner_inc on Twitter and Gartner on LinkedIn.

Visit our Attachment Tab and Download:


CONFIDENTIAL AND PROPRIETARYThis presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other intended recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2016 Gartner, Inc. and/or its affiliates. All rights reserved.

Cool Vendors 2016: Features, Fads, and Disruptions Lie on the Path to Growth

Daryl Plummer

3 © 2016 Gartner, Inc. and/or its affiliates. All rights reserved.

“Cool Vendors”

Generate and Elevate Digital Disruption

Gartner's definition of a cool vendor is a small company

offering a technology or product that is:

· Innovative — It enables users to do things they couldn't do before

· Impactful — It has or will have a business impact; it's not just

"technology for the sake of technology"

· Intriguing — It has caught our interest or curiosity during the past

six months or so

Our research is structured so that you can quickly determine

what is cool about the vendor, what its challenges are and

who in the buyer organization will benefit from the vendor's

offering.


Lead from the Front

A “support” role is great – until things

begin to crash down on you.


2015: This Looked Like a "Crash" Story…

Absent constant currency, IT spending is trending down.

4Q14 1Q15 2Q15

Global IT Spending in Current U.S. Dollars –

2015 Growth

-0.9%

-4.9%

3662

35233.2%

3828


2016: Overall Tech Spending

Growth in US Dollars is -0.5%

In Constant Currency, its

+1.6%

…And its still not good

Devices -3.2%

Data Center Systems 4.0%

Software 5.8%

IT Services 3.7%

Communications Services -1.1%


And yet… CEOs Expect to Double Digital Revenue Over the Next 5 Years — Taking “Digital” Through the Tipping Point


Cool Vendors will Support Digital

Growth


As Digital Phenomena Rise, Its not enough to

Remain Behind the Scenes in a Traditional

Support Role

Many will be disintermediated unless they get in

the Face of those driving the change!


Through 2021, 80% of digital leaders will grow

their leadership & value through disruptive

innovation at the expense of traditional tech

spend.


Example: Public transportation Foregoes its Own Mapping Features

"Google Maps for Transit is a truly innovative marriage of

information and infrastructure. It is a perfect example of how the public and private sectors can partner together to benefit us all -- and it didn't cost New

York taxpayers a penny…”

- New York Governor David A. Paterson (2008-2010)

http://maps.google.com/help/maps/mapcontent/transit/Source: Google Maps


Consumer Part

Business Part

Thing

Hotel notified of

arrival

Meeting attendees

notified

Flight delayed New schedule and bookings

confirmed

Directions uploaded, optimized for traffic

Car unlocked with smartphone

Smartphone used as

airline ticket

Meeting attendees informed about new

arrival time

New meeting room scheduled based on

arrival time

Rentalcar agency

notified

Smartphone used to unlock hotel room

Waiter delivers dinner

Hotel sends folio after departure

VPA compiles expense report

and loads today's itinerary

Airline notified Hotel notified

Scott gets in rental car and

drives to next city

Scott decides to continue with his business travel

Directions uploaded, optimized for traffic

Where Are You in a Business Moment Scenario?

Tech Provider Roles?


Cool Vendors in Pervasive

Integration, 2016

Built.io

- Mobile development, backend, and integration PaaS for digital solutions

Cask

- Time-constrained and targeted adaptive

integration projects, supporting data-driven

applications and big data initiatives

Data Virtuality

- Rapid connect to multiple data sources

for integration

Maestrano

- Cloud data store to interact with multiple SaaS

solutions

Media Driver

- centralized administration, management and role-based access

control for a variety of integration middleware technologies from multiple

providers


Digital Behavior Encourages Outside-In

Strategies


• Traditional boundaries between industries are blurring

• Incumbency is not a guarantee of success

• Value will be in new business designs involving people, business and things

• Customers expectations are changing

• Competition is coming from unexpected places

A Digital Services Imperative Should Be Top of Mind


There Will Be Battles To Control Digital Ecosystem Roles

Networks

Media

Storage Apps

Technology Ecosystems

Compute

New Digital Ecosystems:

Physical

Healthcare

FinancialCompute

Data • Credit

• Loans

• Savings

• Stored Value

• Equities

• Payment

• Hospital

• Fitness

• Insurance

• Pharma

• Utilities

• Transportation

• Cities

• Cars

• Home

• Factories


Cool Vendors in Digitalization

Through Industrie4.0, 2016

Axoom

- Intelligent Ecosystem marketplace for horizontal

and vertical affiliation of value chains and

production processes.

Derdack

- alert management resolution as a

collaborative effort

IS Predict

- self-learning platform that manages predictive data analytics and big

data

Urwerk

- trade virtual assets on an exchange marketplace that

faces the same market regulations and supervision

as capital markets

HoloBuilder

- construction-focused digital visualization company that is using 3D images, as well as virtual reality and augmented reality, to deliver content


Example: Virtual personal assistants will control our connected world

view plaincopy to clipboardprint?

1.<?xml version="1.0" encoding="utf-8" ?>

2.<VoiceCommands xmlns="http://schemas.microsoft.com/voicecommands/1.2">

3. 

6. <CommandSet xml:lang="en-us" Name="VoiceCommands">

7. <CommandPrefix>lightswitch</CommandPrefix>

8. <Example>show the lights</Example>

9.

10. <Command Name="showLights">

11. <Example>show the lights</Example>

12. <ListenFor RequireAppName="BeforeOrAfterPhrase">show [the] lights</ListenFor>

13. <Feedback>Showing all the lights I can find...</Feedback>

14. <VoiceCommandService Target="VoiceCommandService"/>

15. </Command>

16.

17. <Command Name="switchLight">

18. <Example>turn the bedroom lights on</Example>

19. <ListenFor RequireAppName="BeforeOrAfterPhrase">turn [the] {dictatedLocation} lights {onOffStatus}</ListenFor>

20. <Feedback>Just looking for that light for you...</Feedback>

21. <VoiceCommandService Target="VoiceCommandService"/>

22. </Command>

23.

24. <PhraseList Label="onOffStatus">

25. <Item>On</Item>

26. <Item>Off</Item>

27. </PhraseList>

28. <PhraseTopic Label="dictatedLocation" Scenario="Natural Language">

29. </PhraseTopic>

30.

31. </CommandSet>

32.

33.

34.</VoiceCommands>

Coding Cortana/Windows 10/Alljoyn

http://mtaulty.com/CommunityServer/blogs/mike_taultys_blog/archive/2015/08/03/windows-10-adding-cortana-and-voice-control-to-the-uwp-alljoyn-iot-core-lightbulb-demo.aspx

http://mtaulty.com/CommunityServer/blogs/mike_taultys_blog/archive/2015/08/03/windows-10-adding-cortana-and-voice-control-to-the-uwp-alljoyn-iot-core-lightbulb-demo.aspx


Dark Horse: Amazon Echo can already do this AND buy laundry detergent via voice commands

Amazon Echo Now Supports IFTTT Trigger Commands

http://www.pcmag.com/article2/0,2817,2495553,00.asp


Cool Vendors in Retail, 2016

CognitiveScale

- Customer and employee Engagement through

machine learning

Jetlore

- “Relationship Commerce” –

Personalization through behavior mapping

Mindmarker

- Mobile Reinforcement Training Through

Gamification

Versium

- Predictive Marketing through machine

learning

Sentient Technologies

- AI driven customer personalization and visual “dialogue” to

learn customer intent


Competition is Forming Between Digital

Ecosystems

Digital giants are already positioning themselves

for ecosystem leadership

Facebook, Messenger Payments

Alipay, Alipay Wallet, Yu’ebao, MyBank.

Amazon Payments, Amazon Wallet, Amazon Coins, Amazon Local Register

Tenpay, QQ Wallet, WeChat Payment, WeBank

Venmo, Paydiant, Braintree, PayPal

Google Wallet, Android Pay, Pony Express, Google Payment Corporation

ApplePay, Apple ID


Cool Vendors in Consumer Financial

Services, 2016

Estimize

- Crowdsourced Earnings Estimates

FitPay

- Contactless payments through a wearable

device without a smartphone

Kasisto

- Mobile intelligent customer service for

banking

PeerIQ

- Risk management in marketplace lending

Plaid

- Internet APIs for developers to build

online logins to banking transactions


Join With Digital Giants

Compete AgainstDigital Giants

12

“If you can’t beat them, join them”

“We will become the ecosystem”




12




OEMs

Connected Home

Connected Health/Self

Connected Automobile

Brands, Goods

Wearables, MedTech OEMs

APIs

Thing Plumbing Apps & Software

The Hope

APIs

APIs

Tech Providers Uber-Alles

Plumbing


OEMs

Connected Home

Connected Health/Self

Connected Automobile

Brands, Goods

Wearables, MedTech OEMs

APIs

Thing Plumbing Apps & Software

The Fear

APIs

APIs

Hub/Aggregator “Apps”

Apple Health

Google Now & Nest

Apple CarPlay


“If You Can’t Beat Them, Join Them”

GM MyLinkpre-2016

GM “MyLink” post-2016

Audi

Buick

Cadillac

Chevrolet

Citroën

Ferrari

Ford

GMC

Honda

Hyundai

Mercedes

Mitsubishi

Opel

Porsche

Peugeot

Seat

Škoda

Suzuki

Volkswagen

Volvo


Partnerships are already forming to pre-empt the market

“The Epic customer community, which provides care to over 170

million patients a year, will be able to use HealthKit through

Epic’s MyChart application—the most used patient portal in the

U.S.”http://venturebeat.com/2014/09/17/ehr-giant-epic-explains-how-it-

will-bring-apple-healthkit-data-to-doctors/


Cool Vendors in Healthcare

Providers, 2016

Aegis

- Healthcare data interoperability

Apertiva

- Enterprise platform and marketplace for health analytics and

data

Bright.md

- “DIY” patient diagnostics

Genospace

- a cloud-scale data analytics and collaboration

infrastructure to drive a revolution in genomic medical diagnosis and

treatment

Thoughtwire

- the machine intelligence for the "Internet of Healthcare Provider Things"

— an intelligent IoT platform for the healthcare provider


Points to consider: When aligning WITH Digital Giants:

Even if no money is exchanged with digital

ecosystem leaders

E.g. you may get something for free (technology & access

to customers) but you will give up some of the customer

relationship & data.

Although not all

Go where the your customers go. Pick the top 2

ecosystems in your industry/geography.

Keep Your differentiation

E.g currently GM Mylink only allows Apple CarPlay to

handle phone and media functions. Will GM allow Apple to

access telematics functions?

Be clear about the business model

Join multiple ecosystems

Set boundaries for how far you will let the Digital Giants overlap your space




12




This is hard - To compete, you have to make the

flip from “supporting” to driving a business,

industry or value chain.

You must make change happen in a significant

and lasting way


Fad

Disruption

Feature


2009

2012 2015

2019

Competitive

DestructiveAdditive

Ecosystem Impact of a Digital Disruption

Media tablets enter the market as additive technology

They became destructive as they replace current laptop and desktop installations

Over time, they remain as focused competitive capabilities in the market, though competition moves to ultra-mobiles vs. desktops/laptops


Cool Vendors in Connected Home, 2016

Cocoon

- Consumer grade security for whole home

protection

Dojo-Labs

- Intelligent learning system uses pattern

recognition algorithms to detect, alert and

mitigate threats to the connected home

Rokid

- "arti€cial intelligence" whole house solution for the home through voice

interactions

Securify

- Ease of use and positive experience for unified

home control

WeBee

- learns from the user's behavior and environment to proactively offer

predictions and recommendations for home control


Example: IBM Watson Lays out New Options


Competitive: “We will create an open/better ecosystem”

CES 2016: Toyota snubs Apple and Google on car tech

- Financial Times.comhttp://www.ft.com/intl/cms/s/0/76f043e2-b2b0-11e5-b147-e5e5bba42e51.html#axzz3wOaU3WyN


Do You Have What it Takes to Become A Digital Ecosystem?

1. Leverage your very strong brand or captive audience to attract a critical mass

of customers and ecosystem partners

2. Digitalize goods, services or value so that it can be aggregated, traded and

shared.

3. Be a leader that enforces standards, quality, and rules of engagement in

the ecosystem.

4. Create a simple and consistent experience that aggregates many disparate

parts for customers.

5. Create fertile ground for multi-sided markets. Ecosystems employ more than

supply/demand style markets.


Digital Disruption –

“An effect that changes the

fundamental expectations and

behaviors in a culture, market,

industry, product or process

that is caused by, or

expressed through, digital

capabilities, channels, or

assets.”

The Elements of Digital Disruption

o Business

o Technology

o Government

o Industry

o Addressable market

o Society


o Operations

o Engagement

o Sales

o Products

o Marketing

o Competition

Nissan Had It Right - “Shift” Happens!


Cool Vendors May Fit Your Strategy

Investors

Vendors Users

•Opportunities

•Investigation

•Validation

•Validation

•Practicality

•Trends

•Partners

•Acquisitions

•Competition

Seek Ways

to make

money

Seek Ways to

Interest

stakeholders


How to Become a Cool Vendor

The Process:

- December-January: Analysts nominate candidates

- January-February: Candidates reviewed by Gartner Cool Vendors management

- February: Final list of candidates selected

- March-May: Research published

What you should do:- September-December: Become Well-known to the analysts

- December-January: Get a feel for whether the analyst will submit you as a candidate


Increase the value of today's webinar experience

Download today’s presentation from the platform Attachment tab | webinar page

www.gartner.com/webinars | Reach out to your Account Executive

Interested in more webinars? Download our Upcoming Webinars on the Attachment tab or visit

gartner.com/webinars

Don’t forget to check out our on-demand webinars and share these resources with your

colleagues.

Before you disconnect, please rate and comment on your webinar experience with us today,

your feedback helps us make your webinar experience even better

If you have any difficulties, please email [email protected].

51

To keep up-to-date on Gartner’s webinars follow @Vickier0729 on Twitter and Vickie Romanchuk on LinkedIn

For a broader insight into Gartner you can find us @Gartner_inc on Twitter and Gartner on LinkedIn.

http://www.gartner.com/webinars