Amazon had been successful in capitalizing on its digital publishing and mobile device technology capabilities to develop a strong foot hold within the educational sector. However, traditional publishers responded by consolidating, capitalizing on their relations and developing digital capabilities.

Currently a new wave of disruption is impacting the industry, namely web 2.0 and collaboration technologies. Could this technologies really rewire our educational system and transform it from a one to many model in to a more customized many to many model? And how could Amazon react to that?

Check out our recommendation to know the answer to those questions:

http://portal.sliderocket.com/BAXEB/Amazon1212

Digital Media Network Analysis and Lessons Learned

Network Analysis

Please enjoy the following presentation on our network analysis of the Digital Media and Entertainment industry. We manipulated the network diagrams to better demonstrate the ties between layers in our stack model, which we found to deliver some great insights into the complexity of this industry.

A class assignment in Networks

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Lessons Learned

Given that the Digital Media industry stack has changed significantly over the last five years, with new players in OTT services, new avenues of distribution (digital v. physical), and a new platform layer that is ever evolving, the landscape and subsequent industry stack is sure to change again in the next five years.

Here are some lessons that we learned throughout the semester:

• The digital media industry is in constant flux. With each new innovation or change, the entire industry shifts (Hulu is a great example of this). Firms in the industry must always be looking forward and be willing to take calculated risks in order to keep up.
• Networks and studios are developing both vertically and horizontally to cover all bases as the industry transforms. We anticipate a move to extradite themselves from the ventures that do not prove to be effective and over the next few years shift back down to their core capabilities. Tech giants Amazon, Apple, and Google may have an advantage, as their core capabilities tend to naturally span horizontally across multiple layers.
• Incorporation of analytics and customization of content to mobile devices will certainly continue to shape this industry.
• Content producers are joining the online streaming game, and will likely stop licensing (or increase license fees) with 3rd party OTT services once they have built the requisite capabilities (and/or user base) to offer content directly to consumers.
• The network for the industry is still missing a few links between hardware and content producers. Networks and studios should develop their own streaming capabilities in order to protect and improve margins on their original and library content.
• Defining capabilities, industry networks, and stack models is more of an art (design) than a science, since different choices must be made depending on the level from which it is viewed (such as the firm or industry)

Jeff Bezos Owns the Web in More Ways Than You Think

Ever wondered how Amazons Owns the Web? Check out this Wired Magazine interview with Jeff Bezos the CEO of Amazon.com.
http://www.wired.com/magazine/2011/11/ff_bezos/all/1

I particularly liked the comparison it made of both Apple and Amazons competitive strategy.