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Vast investments have been poured into the R&D of autonomous vehicles in recent years. Companies such as Tesla and Waymo, have established leading positions as far in the development of electric self-driving vehicles. The rise of autonomous vehicles indicates potential disruption of traditional car manufacturing industries. Many traditional OEMs such as Volkswagen, Mercedes, Toyota and General Motors are also slowly transforming their business models in leveraging their manufacturing expertise and adapting to these new changes. With the use of artificial intelligence, transportation styles will slowly shift from self-driving cars to ride sharing services.

Therefore, these traditional OEMs are also heavily buying or partnering up with leading ride sharing companies such as Uber and Lyft. Uber has already started trailing self-driving taxis in 2016.

Autonomous cars will make ride sharing services the primary form of transportation. People will favour on-time pick up services rather than driving by themselves. This increases their comfort and cognitive load while commuting, and saves them time.

Increased car sharing also results in less cars being produced and put to more efficient use. This would further decrease overall idle time of vehicles and reduce the amount of traffic jams in urban areas. The installed network abilities not only direct the self-driving vehicle to the best routes but also reduce traffic time. With the reduced amount of vehicles, there will also be less parking spaces needed. People not only save time finding parking spaces, but this can also improve urban structuring, using the original parking space of other urban planning.

Electric autonomous cars can also help the environment. With the large amount of cars used in urban cities and creating pollution, autonomous cars can be the solution to reducing air pollution and related health costs. This can also influence and change where people choose to live. Although it is still vague whether automotive cars will induce the effect of promoting city living and urbanization, the easier commuting will defiantly make travelling by car for those living in suburb areas more convenient.

 

 

 

References:

Bohlig, A. (2017). Auto Outlook 2040: The Rise of Fully Autonomous Vehicles | Loup Ventures. [online] Loupventures.com. Available at: http://loupventures.com/auto-outlook-2040-the-rise-of-fully-autonomous-vehicles/ [Accessed 21 Oct. 2017].

Yigitcanlar, T. (2017). Driverless vehicles could bring out the best – or worst – in our cities by transforming land use. [online] The Conversation. Available at: https://theconversation.com/driverless-vehicles-could-bring-out-the-best-or-worst-in-our-cities-by-transforming-land-use-84127 [Accessed 21 Oct. 2017].

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Current trends and statistics suggest a continuous growth in the mobile app industry for the coming years. Google Play and App Store own over 2.8 and 2.2 million available apps respectively, and total downloads of apps exceed 150 billion dollars in revenue worldwide (Techcrunch, 2017). However, the uprising of chatbots may potentially become the next disruptive technology that can overtake the use of apps. The advanced AI technology and cloud based software have enabled developers to make automated bots that respond in a user messaging interface. Chatbots can read and respond to messages in a natural language similar to human texting, and can be programmed to carry out conversations or perform different transactions. But how do the functions of chatbots outperform those of mobile apps?

 

The trend of messaging apps being one of the most prominent and daily used apps give chatbots an advantage. Although there is a wide variety of choices and increasing in the number of apps every month, studies show that the average number of apps people use is only 27. Moreover, 75% of mobile users have messaging apps of some form, to stay connected with friends and family. Chatbots therefore provide a more familiar and simpler user interface for people compared to the rigid functions of apps.

 

Chatbots also help save time by incorporating all different services and functionalities in one platform. One problem with apps is the endless updates and long periods opening and closing apps trying to find the one app you are looking for. Chatbots save time by utilizing all the different functions, such as ordering food, more convenient online shopping, updates on trade and business stocks, sharing of recent news or change in weather forecast…etc. Chatbots also provide smaller storage capacity compared to downloading multiple apps.

 

Chatbots not only has benefits for individuals but can also provide businesses with many opportunities. It can help develop closer connections with the customer and promote more effective marketing strategies. However, chatbots still have many limitations such as precision of computer based natural language processing and weaker visuals in comparison to apps. Moreover, the adoption rate of chatbots is relatively low since it is a new technology, therefore it may take some time for customers to get into the use of chatbots. Therefore, although chatbots excel in parts where apps are lacking, apps are not completely out of the picture just yet.

 

 

 

 

 

References:

Khorozov, A. (2017). Trends Driving the Chatbot Growth – Chatbots Magazine. [online] Chatbots Magazine. Available at: https://chatbotsmagazine.com/trends-driving-the-chatbot-growth-77b78145bac [Accessed 21 Oct. 2017].

Sheth, B. (2015). Forget Apps, Now The Bots Take Over. [online] TechCrunch. Available at: https://techcrunch.com/2015/09/29/forget-apps-now-the-bots-take-over/ [Accessed 21 Oct. 2017].

Ward, M. (2016). Are killer bots about to do away with smartphone apps?. [online] BBC News. Available at: http://www.bbc.com/news/technology-37154519 [Accessed 21 Oct. 2017].

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The music industry has been through various stages, first with the focus on live music during the Industrial revolution. The power of radio later helped spread the music and recorded music companies received huge investments, enabling them to sign talented artists. In the 21st century, the popularity of the Internet made downloaded music gain more favor than physical records. However, with limits in capacity and copyrights, free downloading was banned and a new form of business model overtook the industry- Streaming!

Nowadays, consumers’ preference shifted from ownership to accessibility of music. In 2016 Billboard recorded the lowest number of album sales since 1991 (Digitalmusicnews, 2013). Artists now have more control over their music compared to the past, where many relied on record contracts to publish music. Digital analytics of streaming help artists gain insights on the popularity of their music. Digital royalties allowed more transparency in collecting digital revenues. Record companies also benefited from increasing profits through the digital royalties provided by artists under their label. One of the most prominent music streaming providers is Spotify. It currently has more than 140 million active users and over 50 million paying subscribers (Forbes, 2017). Four critical factors that led to their success are: first mover advantage, clever differentiation marketing, collaboration to increase reach, and recommended playlists.

The porter’s five forces illustrate the dynamics of the streaming industry. The threat of substitutes is low, due to the dominance streaming has over physical sales and downloads. The bargaining power of suppliers is also low, since streaming services have an immense music library. The industry rivalry is high, since the streaming providers offer similar services. There is also low threat of new entrants, since Spotify and Apple Music take up most of the market share and have strong customer bases. The bargaining power of buyers with streaming industry is low, since the market leaders have control with the fixed prices of accessing music.

The SWOT analysis also offers insights on the streaming industry. Some strengths include the transparency of the business transactions, artists and labels receive traceable amount of digital royalties. Another strength is the wide range of shared music on one platform. One weakness is the restricted profit margins for streaming providers, who needs to attend to both users’ and labels’ needs. One opportunity is the live streaming of concerts and broadcasts that could be available through streaming apps. Although streaming is dominating, possibility of future advanced technology be a threat to overtake streaming.

Future growth is expected in the music industry, with an estimated worth up to $41 billion by 2030 (Billboard, 2017). Spotify and Apple music is predicted to maintain its’ market leadership, mainly through license partnerships with labels and acquisitions of smaller firms. Some limitations lie within the open media platforms, that make restricting copyright infringements more difficult. Some potential advances streaming industry could take upon is the use of block chain technology. It would enable more transparency and speed with tracing transactions and origins of music.  (Muziekenrecht, 2017)

 

 

References

Veldkamp, T. (2017). Tussen bitcoins en beats: Blockchain als revolutie in de Muziekindustrie. Available: https://www.muziekenrecht.nl/blog/2017/4/tussen-bitcoins-en-beats-blockchain-als-revolutie-in-de-muziekindustrie. Last accessed 21-09-2017

Tiffany, K. (2017). Spotify just struck a crucial deal with Sony Music.Available: https://www.theverge.com/2017/7/11/15953006/sony-music-spotify-agreement-licensing-public-offering. Last accessed 20-09-2017

Christman, E. (2017). Music Industry Will Hit $41 Billion By 2030 According to New Goldman Sachs Report. Available: http://www.billboard.com/articles/business/7949040/music-industry-will-hit-41-billion-by-2030-according-to-new-goldman-sachs. Last accessed 20-09-2017

Resnikoff, P. (2013) Album sales sink to their lowest levels since 1991. Available: https://www.digitalmusicnews.com/2013/11/01/weeklyalbum/ Last accessed: 22-09-2017
McLntyre, H. (2017), Spotify officially hits 50 million paid subscription. Available: https://www.forbes.com/sites/hughmcintyre/2017/03/03/spotify-officially-hits-50-million-paying-subscribers/#1d2054fa29be Last accessed: 22-09-2017