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Game Innovation IV:
The Disruptive Power of Game Technology
Roger Smith
SPARTA Inc.
[email protected]
407.380.0076
© Copyright 2006, Roger Smith
http://www.modelbenders.com/papers/
Invention vs. Innovation

Invention

Creating a new
technology, capability,
process, material, etc.

Innovation

Finding a commercially
valuable application of
that invention
Peter Drucker on Innovation
“One cannot manage change. One can only be ahead
of it.”
“Business has only two functions – marketing and
innovation.”
Peter Drucker
“Father of Modern Management”
1909 - 2005
Incremental Innovation – The Pen
“build on and reinforce the applicability of existing knowledge”
“improving and exploiting an existing technological trajectory”
Radical Innovation
“destroy the value of an existing knowledge base”
“disrupt an existing technological trajectory”
Radical Innovation
“destroy the value of an existing knowledge base”
“disrupt an existing technological trajectory”
Innovation & Benefits
Radical and Incremental Waves
Incremental
Radical
Time
Leifer, R. et al. (2000). Radical Innovation: How mature companies can outsmart upstarts . Harvard Business School Press.
Computer “Killer Apps”

Spreadsheet

Word Processor

E-mail

Web Browser

3D Game Engine
What Is Game Technology?
GUI
3D Engine
Physics Models
Networking
Artificial Intelligence
Persistence
Military Simulation
Medicine
Architecture
Education
Entertainment
XML … The Movie


Movies – Games – Machinima
Movie = XML Data stream




Actors, camera, words, sounds, mood
Stream fed to different game engines are
reproduced uniquely
Requires a standard data stream
Creates a new industry – digital scripts and
rendering engines
Exploration
Product Performance
Christensen’s Disruptive Innovation
Performance demanded
at the high end of the
market
Performance demanded
at the low end of the
market
Market disruption
opportunity
Time
Christensen, C. (1997). The Innovator’s Dilemma. Harvard Business Press.
Product Performance
Multi-Technology Disruption
Disruptive Game Technologies
Time
Multi-Technology Disruption
(Kiviat Graph)
3D
Persistence
Physics
Network
AI
GUI
Military Tech
Game Tech
Game Potential
Industry Disruption Potential
Game
Potential
Game
Entry
Industry
Size
90%
70%
60%
90%
20%
20%
Military
Simulation
Medicine
Education
Entertain
ment
Architect
ure
Explor
ation
Resources, Processes & Values
Energy
X
Customers
•Cool People
Energy
Values
•Focus, Culture
•What we care about
Processes
•Creative Process
•How we do it
$
Resources
•Valuable Assets
•What we are good at
Change
$
X
Products
•Cool Things
Christensen, C. (2005). Seeing What’s Next. Harvard Business Press.
Value Chain Evolution

3D Engine is a limited solution


Target “Not Good Enough”






Shift to other needs to keep growing
User Experience – intuitive, quick understanding
JIT Exercises – scenario development
Rapid DB Build – rapid terrain/environment
Lower Costs – affordable upgrades, wider distribution
Easier Deployment – smaller HW footprint, larger
audience
Target Non-consumption


Bring 3D experiences to customers who never used 3D
before
Give them an alternative to their old solutions
Disrupt the Old Guard Today …
Be Disrupted by the Next Wave Tomorrow
References




Christensen, C. (1997). The Innovator’s Dilemma: When new
technologies cause great firms to fail. Harvard Business School Press.
Christensen, C. & Raynor, M. (2003). The Innovator’s Solution:
Creating and sustaining successful growth. HBS Press.
Christensen, Anthony, & Roth. (2005). Seeing What’s Next: Using the
Theories of Innovation to Predict Industry Change. HBS Press.
Leifer, R. et al. (2000). Radical Innovation: How mature companies
can outsmart upstarts. Harvard Business School Press.