free data isn't the same as freeing data - mark madsen - third nature, usa

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27.09.2013

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Free  Data  Isn’t  the  Same  as  Freeing  Data  

September,  2013  

Mark  Madsen  www.ThirdNature.net  @markmadsen  

Copyright  Third  Nature,  Inc.  

 A  Quick  Intro  

One  of  my  past  jobs…  

In  some  ways  it  was  similar  to  how  people  view  open  data:  get  free  puppies  and  sell  grown  dogs.  But  selling  data  like  a  data  syndicator  is  a  bad  model  for  public  data.  

Copyright  Third  Nature,  Inc.  

Some  of  the  secrets  in  this  session  

Open  data  does  not  always  mean  free  data.  

Open  data  =  beKer  government    

When  you  open  data  you  unlock  value  in  the  market  that  is  more  important  than  gaining  revenue  directly.  

Copyright  Third  Nature,  Inc.  

Some  open  data  examples  

These  projects  fall  into  a  few  different  types:  ▪ Make  data  available  

▪ Make  data  pre*y  

▪ Make  data  ac-onable  

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When  you  first  give  people  access  to  informa@on  that  was  unavailable…  

OH GOD I can see into forever

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ADer  a  while  the  response  is  more  measured  

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Publicdata.eu  

Sample  app  showing  staNsNcal  data.  AKracNve,  but  how  useful?  

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Open  data  app  <>  “make  data  preKy”  

There’s  more  to  data  than  simply  showing  numbers.  

e.g.  many  “data+map”  applicaNons  

If  your  data  looks  like  the  populaNon,  you  haven’t  found  the  relevant  parts  yet.  

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What’s wrong with the City of Oakland CrimeWatch web site? Figuring out what to do

Doing it once you figure out how

Many problems with:

Navigation Control Display Exceptions

City  of  Oakland  Crimewatch    

And the reported price was over a quarter of a million dollars for the city, plus annual maintenance.

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Oakland  CrimespoNng:  Let  Your  Data  Go  

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A  Standard  Municipal  Web  Site  

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Honolulu  Answers  

Data that you think is worthless may be useful

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Figh@ng  Fraud  and  Corrup@on  in  Educa@on  

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MassachuseKs  Bay  Transit  Authority  (MBTA)  

Actionable, immediate

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MBTA:  Why  not  sell  the  data?  

Does  the  government  know  how  to  be  in  the  business  of  selling  data?  What  data  is  valuable  and  what  isn’t?  How  to  price  it?  How  to  negoNate  the  contracts?  

PrivaNzing  data  is  almost  always  bad:  ▪  Translink  in  Vancouver  sold  their  transit  data  to  Google.  Now  they  have  no  transit  applicaNons  and  can’t  make  any.  ▪  Admin  Office  of  the  US  Courts,  spent  $30M  to  get  digital  access  to  its  own  records,  that  it  sold  for  less  

▪  Same  office  paying  $156M  to  publish  the  same  material  online  ▪  The  US  GAO  and  Thomson  West  legislaNve  history,  similar  tale  

▪  Amazon  and  the  US  naNonal  archives  videos,  similar  tale  

▪ WestLaw  and  LexisNexis  make  ~$2B  annually  from  this  data  

Crisis  Commons  Oil  Reporter  

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Street  Bump  

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Value  from  open  data:  

Private  is  a  cost  

Available  is  good  

Relevant  is  beKer  

AcNonable  is  best  

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The  benefits  of  open  data  fit  into  a  few  categories:  Tangible,  direct:  ▪  Save  money  –  less  work,  lowered  cost  of  service  

▪ Make  money  –  direct  revenue  (unlikely)  

Intangible,  indirect:  ▪  Improved  services  

▪ Civil  /  Social  ▪  Indirect  revenue  and  benefits  through  market  growth  or  market  efficiencies    

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Open  data  doesn’t  mean  “data  you  don’t  have  to  pay  for”  

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Data  isn’t  really  “exhaust”  

The  data  exhaust  assumpNon  

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Open  data  means  “free  data”  in  a  different  way  

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Delivering  data  consistently  isn’t  always  simple  Most  IT  organizaNons  have  the  skills  and  tools  to  extract  and  publish  data.  Most  do  not  have  the  skills  and  tools  to  create  applicaNons  on  the  data.  

Anthony David Giordano

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Who  bears  the  cost?    

   Supplier  Producer  Consumer  The  cost  quesNon  is  a  red  herring:  different  parNes  benefit  based  on  their  parNcipaNon,  and  costs  vary  by  party.  

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The  Economics  of  Scarcity  is  About  Rivalry  for  Resources  

Rivalry:  the  more  I  use  the  less  you  have.  Data  is  not  a  finite  resource.  

Exclusion:  intellectual  property  law  is  exclusion;  you  can’t  use  it  unless  you  pay  me  first  

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The  Economics  of  Networked  Data  Require  New  Principles    

An@-­‐rivalry:  there  is  no  consumpNon,  only  use.  Open  licensing  is  a  way  of  addressing  the  change  in  this  dynamic.  

Inclusivity:  the  network  effects  of  inclusion  mean  more  use  =  more  value;  and  as  cost  goes  down,  usage  and  value  go  up.  

Open  data  value  is  driven  by  network  effects  

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An@-­‐rivalry  +  Inclusivity  =  Collabora@on  &  Co-­‐crea@on  

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Which  would  you  rather  have?  

Open  data  can  make  the  pie  larger,  parNcularly  for  markets  with  many  parNcipants,  like  regional  tourism.  

The  ra@onale  for  sharing  and  collabora@ng:  open  data  is  not  a  zero-­‐sum  game  

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For  most  public  data,  public  domain  

Open  data  licensing  creates  a  network  resource  rather  than  an  arNficially  limited  resource.  

With  completely  open  licensing,  there  is  the  possibility  for  many  people  to  explore  and  innovate,  more  quickly,  resulNng  in  more  chances  to  find  the  value  in  data.  

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How  do  you  get  a  fancy  open  data  app?  

 You  build  it  yourself.  ▪ Aler  training  or  hiring  the  staff  and  acquiring  the  technology  to  do  it  repeatably  and  at  scale.  

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How  do  we  get  a  fancy  open  data  app?  

You  hire  a  vendor  to  build  it  for  you.  ▪ Oakland  showed  how  well  that  usually  works.  

▪  If  you  don’t  have  the  skills  to  do  something,  you  may  not  have  the  skills  to  evaluate  the  vendor  doing  it  either.  

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How  do  we  get  a  fancy  open  data  app?  

You  open  the  data  and  someone  else  writes  it  for  you.  And  then  someone  else  builds  a  beKer  one.  

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The  government’s  job  isn’t  to  be  a  for-­‐profit  business.  It’s  to  maintain  the  infrastructure  of  a  society.  Open  data  can  make  government  more  effecNve,  creaNng  a  public  good.  

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Some  references  Sharing  data  on  the  open  web  -­‐    hKps://bmark.us/bmark/readable/88ce9a65bebc38  

ExtracNng,  Linking  and  IntegraNng  Data  from  Public  Sources:  A  Financial  Case  Study,  IEEE  Data  Engineering,  September,  2011    

Business  Models  for  PSI  Re-­‐Use:  A  MulNdimensional  Framework,  Enrico  Ferro,  Michele  Osella,  IsNtuto  Superiore  Mario  Boella,  Via  Boggio,  61  –  10138  Torino,  Italy  

OpendefiniNon.org  

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CC  Image  AKribu@ons  

Thanks  to  the  people  who  supplied  the  creaNve  commons  licensed  images  used  in  this  presentaNon:  dog_peek_fence_bw.jpg  -­‐  hKp://www.flickr.com/photos/roome/3031410585/  

shady_puppy_sales.jpg  -­‐  hKp://www.flickr.com/photos/brizzlebornandbred/5001120150  

child_whisper.jpg  -­‐  hKp://www.flickr.com/photos/cannonball_jane/120325556/  

XKCD  Heatmap  -­‐  hKp://xkcd.com/1138/  

school  small  world  bank    hKp://www.flickr.com/photos/worldbank/2765585037/sizes/o/  

beer_free_beer2.jpg  -­‐  hKp://flickr.com/photos/fzero/173386050  

laptop  face.jpg  -­‐  hKp://flickr.com/photos/sd/7746599/  

child_alone.jpg  -­‐  hKp://flickr.com/photos/beija-­‐flor/129669668/  

children  playing.jpg  -­‐  hKp://www.flickr.com/photos/beija-­‐flor/52292046/  

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