Day 1 – The Internet of Things, Salesforce

our next speaker is Jeremy Wade from Salesforce who was named I think the most influential person on Twitter in 2015 buyer on oolitic he’s here to tell us what it means for you and your business ladies and gentlemen a huge round of applause for Jeremy ways are we doing everybody heads blown already this room’s a bit big innit they said you’ve got a little breakout session like freaking huge and only one Apple watch in the room that’s amazing so you’ve got me till twelve o’clock i’m going to try and talk about a lot of different things and you’re going to hear some talk shortly as well about all of the different types of Internet of Things and what that means I’m going to try and explain kind of my take on that but i’m not going to dig into all of these different products i think we could talk all day long about different connected things and what they do and isn’t this interesting this is a new thing that’s come out you guys can go and read wired for that so I thought be interesting to talk about the bigger conversation around that you know Michael Dell said ideas of commodity but execution of them is not there there’s lots and lots of ideas but what does it mean when we actually look at some of these technologies so I’m going to look at some of the biggest companies in the world and how are they using the Internet of Things I believe there’s also an issue that we don’t pay enough attention to around humans I don’t think we have technology problems i believe we had people problems this is my first connected product if you’re wondering what’s in my hands and all of you youngsters on the front have no idea what that is this is my vic-20 this is um from 1983 I learned to program this thing if every single person in Wales had five of those there would still be more technology in my iphone and yet this is from 1983 we had three and a half K ram it’s just ridiculous the the way that things have come on so we’re going to talk a lot about data I’m going to talk about Internet of Things and what that means if you don’t know who I am I work for a little cloud company that you may have heard of Salesforce with the biggest cloud company in a world with fastest growing enterprise software company in a world at the moment and we’ve been voted by forbes magazine the most innovative company in the world for the last four years that’s not necessarily because of what we do that’s because of what our customers do with our technology so I’m going to try and give you a little bit of a behind-the-scenes on what that looks like and how some of our customers like uber in GE and Phillips and making hundreds of billions of dollars just from connecting stuff faster than anybody else that sound okay so we’ve got 20 minutes it’s going to be fast I’m going to do something I normally don’t do as well all of these slides are going to be on SlideShare so I’ll put the address at the end but if you only one slideshare.net / Jeremy wait you’re welcome to download the whole thing because it’s going to be a bunch of stuff that you may have missed but this isn’t a deeply technical conversation either because I think there’s some big topics at conferences like this we remember the smallest amount and I think there’s some big fundamental issues that is too easy for us to miss and I think this speaks to one of them my friend nate silver data scientist grow up the signal no noise we rely too much on technology not enough and ourselves we think all these technologies going to solve all of our problems but often they don’t they sit in a corner flashing so exactly what does that mean well if we think about the Internet of Things this is this slide that you would probably normally expect to see a conference like this it’s all the connected everything from a toothbrush and a Fitbit I’m a huge fan of Microsoft the Dave can give me some money later if he’s in a room the Microsoft band which is probably one of the best wearables I’m a big believer that just because you can connect everything doesn’t mean that you should Apple watch is amazing I think it does too much you actually time it’s physically faster to use a phone than it is to use a watch for any of your friends that have got one try it in a pub connected toothbrushes we’ve got connected fridges we’ve got wind farms and we’ve got cars the Internet of Things this is the easiest way to think about it we had the web when we had the dot-com bust and then everything went down and everybody was incredibly depressed and then people started looking towards well how do we build user-generated content how do we engage a community through connected things through the internet that which is incredibly slow when we started off and people started connecting on things and stuff got faster and faster and faster but what ended up happening was as we connected devices the devices started to talk to each other so if you think about a nest Google didn’t buy nest because it’s as beautifully advanced technology that lives in your house and your thermostat they built nest because that’s going to be the ecosystem for your house it’s so deeply rooted in all the technology behind it so the key to the Internet of Things is how these technologies talk to each other and all the data that we can pull off of that that’s where the huge value exchanges because when these products are connected the world is transformed by the data that comes off of them so exactly what does that mean how could we look into that well this is our jobs

doesn’t matter who we are what our title is it doesn’t matter what technology look if you guys are looking to build out some new stuff I’m going to try and give you some examples about how you should go back to the office tomorrow try and build the Internet of Things and maybe give you some advice about what not to do but all it really ever comes down to is we need to take someone from unknown to know we know nothing about our customers we can somehow provide a value exchange and then they give us some information and we can do useful things with it we do that for example with live nation from connecting devices to connecting apps connecting venues connecting sound systems and everything across the social web and Internet Live Nation’s the biggest database of event management information in the world they track about 4,000 things about their customers four thousand things that’s how they can give someone exactly the right message at exactly the right time because the joining up all of that date and that’s going to be the theme for the next 50 minutes or so how do we make sense of all this data in a way that we can filter it out because whoever filters faster than anyone else they’re the ones that are going to win but if that value exchange isn’t clear enough and we have maybe slightly more unethical business models and we going to look at that shortly as well then that’s where we fall over and we need to make sure that the value that we create exceeds the value that we capture when I was tweeting in a room that’s probably good tweet the value that we create exceeds the value that we capture there’s some companies that you guys will know very well that are not doing a good job of that at the moment so you’d probably see some explosion like that as well we’d look at the internet of everything fantastic you’ve seen a million charts are really dull but you know it’s going to show these lots more stuff being connected you know the revenue from the Internet of Things is going to be ten times bigger over the next five years it’s fascinating stuff but let me try and give this a little bit more context I prefer this this is essentially what we’re trying to do isn’t it we trying to take knowledge we trying to take all the data from every device from every channel from every ecosystem not necessarily our own and we’re trying to connect it in a way that provides a valuable experience going to show you a short video of someone that tried to do exactly that and this is beautiful this wasn’t land but this is 11 years ago to the day that this interview was given it’s about 90 seconds long it’s somebody who wanted to connect the world and they believed if they could make it more open and connected the world would be a much better place and they weren’t driven by money despite the misconceptions of what a lot of you guys may think I’m probably all guess who I’m talking about just watch this for 90 seconds and then we’ll have a chat about it eating people online it’s commonplace for those looking for love friendship or networking perhaps to find a job and now there’s a new form of cyber matchmaking college networking websites is this perhaps the next big thing in watertown massachusetts mark zuckerberg creative creator of Harvard’s the facebook com a mark if somebody was to put the question to you about the the magnitude of what you think you’ve launched how big do you think your product or your service is well it’s impossible to tell when we first launched we were hoping for you know maybe 400 500 people Harvard didn’t have a Facebook so that’s the gap that we were trying to fill and now we’re at a hundred thousand people so who knows where we’re going next time we’re hoping to have many more universities by the fall hopefully over a hundred or two hundred and from there we’re going to launch a bunch of sad applications which should keep people coming back to the site and maybe could make something cool what is the Facebook exactly it’s an online directory that connects people through universities and colleges through their social networks there you sign on you make a profile about yourself by answering some questions and during some information such as your concentration or major at school contact information about phone numbers instant messaging screen names anything you want to tell interests what books you like movies and most importantly who your friends are and then you can browse around and so that’s interesting i just wanted that to play lat long because there’s there’s a couple of things in that that are really important first of all the only expected a couple hundred people right and there may be two or three hundred universities in a couple of thousand he had no idea for those of you unaware we all think is driven by money and is trying to get to click more outs the genuinely vision driven by a vision connect the rest of the world which is why internet.org exists to connect the two thirds of the world makes no commercial sense for the next 20 or 30 years but if you can connect all of those devices and provide more valuable experiences for farmers & for education systems Facebook’s driving all that forward he was in his dorm room when this was only six weeks old and he was offered 10 million pounds pounds 10 million pounds you think you’re a student and you’ve got no money he turned it down then he was offered 500,000 and then it was offered a million and 5 million then eventually was offered 1 billion and 10 billion and he still turned them all down because he believed that when more people are connected we can do more wonderful things and I think we get to seduced by the technology part of it you know Facebook blew up when it opened up its

platform and people could start building on top of it was one of the most profound things that facebook did and they were nervous to do that at the beginning because they they were precious about it but they understood that people saw that if you can connect devices and you’ve got 140 friends with in one click you’re going to reach 19 thousand six hundred people and one more click you reach 2.7 million people that’s a scale of the Internet of humans all the Internet of Things you know we shouldn’t get kind of locked in by these thinking about what we’ve just got to build on a nap and how do we do that if we kind of Miss the value creation as we’re trying to build out stuff faster because we’re trying to make more money we need to make sure we’ve got a good intent and a good purpose before we do that I thought it was interesting as well by the way that you notice when he said at the beginning that one line when he said what exactly do you do you know this is when it was months old he knew exactly what he did in one line a lot of us probably would struggle to do that when people say what’s your company why is it different how are you going to take over in the next five years what’s the one thing that makes you special what’s your purpose what’s your mission is something worth thinking about because it’s not what the software does is what the user does let me give this some context and could we turn the sound down on this because I just wanted to talk over it because we’re going to be short of time this is a video hopefully of connected products is this not playing for reason guys perfect connected products this is a connected segal we could connect everything doesn’t mean that we should do you think about all the data that’s coming off the social web at the moment or the Internet of Things all the connected products ninety percent of all that data didn’t even exist 12 months ago it’s growing at a rate of about two and a half quintillion bytes a day which if you think about that as scientific terms that’s 18 zeros that’s actually a company the size of Google being created every four days that’s all the information you imagine it’s coming from a nest from google maps from all their connected devices all of that has been recreated at scalar before days which is getting bigger and bigger and bigger digit universe is going to be ten times bigger over the next two years it’s going to be 40 times bigger over the next five years it’s our job to make sense of that whoever can filter out all of this noise faster than their competitors they’re the ones that are going to win not the ones with the sexiest app talk a lot about innovation didn’t we an invention and the panel and I think sometimes we forget because just things are getting faster and faster and faster when we get nervous because we don’t sometimes provide enough value let me give you some more context look at this this is the trading flow of UBS this is a thousand connected devices this is UBS who claim Canary Wharf down the road in London they claim that if they can be two thousandth of a second faster than their competitors just by connecting products faster through fiber optic they make an extra twenty billion dollars per year just the difference between two commodity exchanges before the price updates in one commodity exchange to another between Chicago and New York 20 billion dollars a year just from being a couple of thousandth of a second faster it’s absolutely insane and there was some research that was done about it just a couple years after said Tim gave us a world wide web and they were looking at 20 years ago 1995 the average amount of time that people held shares in a company was four years and today 22 seconds now why is that interesting what’s this got to do with Internet of Things we’re talking about speed talking about connected products if you think that an interest in a company is the same as a share people aren’t interested in companies very long anymore but yet that’s our job our job is to go out and to reach customers faster and build relationships faster my boss Marc Benioff says companies are no longer competing against each other they’re competing against speed and often with in the weeds doing competitive analysis all the time we’re going to look at a couple of examples of that shortly but let me just remind you that this isn’t all beautiful obviously the world’s exploding this phenomenal revenue opportunities for to go out and to do you know wonderful things people are building apps all day long but they’re not looking at ecosystem sixty percent of all the apps in the App Store never been downloaded ever not even once people think it’s going to go and change the world and one of the reasons is because of this because Trust is the biggest problem in technology that as we go out we try and build these things and we try and connect all these networks if we don’t provide a big enough value exchange there’s a danger that we’re going to go the same ways the banking industry like we just saw with UBS does that there could be a crash because that trust exchange isn’t big enough in fact Adelman looked at this last year and they found that 2015 was going to be the year had the widest gap of trust between consumers businesses and brands Harvard had to look at it and they found that you know what on the twenty three percent of customers think they’ve got a relationship with a company or a brand or an app on an ecosystem is an opportunity in the twenty three percent but is a huge problem that we’re out here trying to build relationships and trying to build them faster even Kevin Spacey was talking about this recently

with his Netflix and he was saying that our job no matter what our title is doesn’t matter who we work for what we do our only job is to tell better stories that’s it doesn’t matter what we do it only job is to tell better stories we’ve got to remember that our audience is the most compelling part of that story the most important part and our job is to tell those stories as fast as compellingly as possible now how do you do that when people’s attention spans are only five seconds unless telling stories at the speed of a swipe and you’ve got to make sure that you’ve got exactly the right message at exactly the right time no matter what products is you’re trying to connect because if you lost someone in the five seconds and it’s gone how do we do that let’s look a couple of examples I know you’ve all seen this before we mentioned Facebook the world’s largest content provider that doesn’t own any content whatsoever the world’s largest e-commerce company in a world Alibaba owned no inventory whatsoever one day at the end of last year did nine billion dollars in one day world’s largest accommodation provider no real estate and of course we’ve got the fastest growing company in the world uber that owns no cars in fact I interviewed the GM of uber last year and I said what is it you’re doing so fast deal fastest growing company in a world 50,000 jobs a month valued at 40 billion most likely 200 billion he said we’re not car services company where financial services brand and he started to play out this concept that they’ve got how they trying to get value from data so every time someone logs in every mobile every email how can they put all of that together now the issue obviously the uber has got is that there’s a value exchange of a bit of a discrepancy because perhaps their business model isn’t quite as ethical as it should be so I thought well let’s have a look at it because we don’t do this very often we’re talking about the Internet of Things we make the mistake in thinking that some of these incredible technologies are worth absolute fortunes are all unique technology and ubers not at all so they built out an ecosystem it’s a fantastic service you know morally they’re doing the right thing they general add value to people’s lives but ethically it’s very very gray in the way that they do that Commission price is going up and is too many drivers on the road so the drivers are perhaps not getting the best experience but you know dispatch they do but you look at all the maps you know Bing Apple Google Maps that’s not a good bit technology sales force is powering a lot of the messages behind it and the marketing message is an email you’ve got companies like Twitter that are doing voice and the messages and the text that you receive when you get the uber app on your phone and even the payment systems are managed by Braintree it’s just an ecosystem that they’ve just plugged together with a very thin technology layer we have too much of technology not enough of ourselves uber at the moment has got so seduced with the technology in the growth that that’s in danger if maybe going down could be an AOL and we’ve got to be very careful as we start to build out things that the same fate does not become us and one of my favorite people in the world Avinash who you should follow and Google if you’ve not already it’s all of this stuff all of this stuff is powerful but it’s how we will use it defines as we forget what a big responsibility we have with access to all this data all the data from the beginning of time till 2003 is now created every 24 hours our jobs to try and make sense of that obviously this huge opportunities how we can do that but we kind of forget about the ethical side of it let me just come to a close with a couple of examples we have five minutes these are four of my favorite companies do you think about the Internet of Things this is the industrial Internet of Things you’ve got I be ms watson at the top the big supercomputer that is most likely to find the cure for cancer I believe because they’ve got all the data records everything that’s coming in from patient records from all the treatment systems that they’ve got historical behavior going all the way back and they’ve also put in the entire archive of Wikipedia the New York Times millions and millions tens of millions of the most popular blogs on the internet and they’ve now got machine learning capabilities are learning how to solve problems Phillips are doing the same at the bottom they’re connecting MRI scanners and hospitals they’re finding cures for Alzheimer’s and Parkinson’s so the Internet of Things i’m going to show you one slide in a second it shows how you can do this with exactly what it is that you’re doing this is fascinating stuff volvo claimed that by the end of 2017 they’re connected cars you think safety isn’t sexy volvo claimed by the end of 2017 will be the first car that no one in the world is killed or seriously injured by that’s their mission philips will improve the lives of three billion people by 2025 General Electric is trying to improve logistic systems and transportations across America and they found out that if they can use data to help a train be more efficient in jebel just one mile an hour faster it’s going to make an extra two hundred million dollars for the providers this is just connected products this isn’t just dashboards and Tesla’s and bands this isn’t just Apple watches you know how we’re going to do this to provide genuinely life-changing mind-blowing experiences for the customers that were here to serve well that’s easy we all say that’s a cliche we can throw that

away at conferences but exactly how do we think big and start small well first piece of advice read this if you’ve not read it already Peter Thiel the first original outside investor in facebook the founder of PayPal he’s from sequoia one of the big VCS in the valley he talks about the quickest way to fail is to get 1% of a billion-dollar market quickest way to fail is to get 1% of a billion-dollar market we need to innovate faster we should be looking for a monopoly we shouldn’t be going out to try and get a small slice and there’s obviously outliers we just heard from Pao well now it’s not about who has the idea first it’s often who has the idea best so obviously this isn’t consistent because everybody which is a fantastic book about how we should innovate from 0 to 1 not innovate sideways just by doing stuff a tiny bit better than everybody else marginal gains is going to kill you but you’ve not got the money or the runway probably to see all of that through so we used to work with brands like Dell they have this idea don’t be the best in the world at what you do be the only one at what you do they’ve tried to reinvent the way that they’re managing things they’ve bought some technologies for most they only measure five things they say if we want to build connected products that provide the best experiences we only want to measure five things this is one of the takeaways for today who are my customers what did they say when did they say those things why did the conversations take place and where demographic information what platform was it on where should have split my time money and resources who’s saying what and why what the trends and how can we use predictive analytics from big data to figure out where they’re going to go next based upon where they’ve been in the past it’s not rocket science I know we’ve only got 20 minutes I’d love to dig into this a little bit more but we don’t have time they’ve got command centers that they built tracking sales and marketing and service and connected products all in one place just so they can innovate faster brands like General Electric now they’re finding out that if they can surface their data one second instead of the 30 days it used to take them they’ve got their data analytics on their phone and their wrists they making an extra two hundred and fifty six billion dollars a year by pulling in connected data from a jet engine to figure out exactly how it stays in the air longer and they can predict exactly when it needs to be serviced 256 billion dollars a year over five years just from connecting data faster we’re going from this to running our business from my watches to running our businesses from our phones so let’s take away this is how we do this this is how ober work this is how Dell work this is how we look at Zynga and Ravi oh we look at philips connected toothbrushes we look at connected fridges there’s only four things that we need to do when there’s only four components to how we do it and you can get these some slideshow as well later on but i’ll just show you really quick this is all the internet of things and we could almost talk about this is all big data is we make it incredibly complicated and we really shouldn’t all we do any joy in the dots between those four things all the customers that we know in all of our prospects and employees everything from the connected web no matter where that comes from and the web just like Salesforce is just a platform the Internet’s and operating system just full of hundreds and hundreds of api’s like we’ve seen with you but how do we build on that how do we tie that with purchase data thirty-seven percent of executives have no idea what the lifetime value is of their customers and you’ve got no idea what to invest to get them to keep them to sustain them and to build out new stuff social date of 550 million blogs and forums now and if you ask any data scientists they say what we’ve just spoke about over the last 18 19 minutes how much is there how fast is it going how many different types and most importantly veracity is it accurate that’s our jobs that’s what we need to do and we need to do that by looking at who what why where and when it’s very scary it’s moving incredibly fast shouldn’t worry about it even though apparently according to PwC eighty percent of executives feel overwhelmed and under prepared for the challenges are going to face over the next five years how do we innovate faster I believe we innovate faster by building things that matter not just because we can get some quick data and we can try and sell it fast that makes sense some big topics I think we need to think about trust how we manage data how we provide enough value we create more value than we capture thank you very much you can you can get it all in SlideShare feel free to to download and thanks for your time we really appreciated you