CategoriesEntrepreneurshipInnovation

The business model of the cloud age

Yesterday TNW posted a video of their TNW Conference of 2012 of Phil Libin. Nice talk with an interesting insight on the three business models of the various ages:

  • Industrial age > perceived value decreases over time > transactional revenue model
  • Information age > perceived value remains constant over time > subscription / advertising revenue model
  • Cloud age > perceived value increases over time > Freemium revenue model

The key is to synchronize monetization to the point of greatest perceived value.

Interested? Watch the video starting at 21:50 at TNW.