Enterprise Technology Squashes Innovation

Don't Get Blinded By Your Vendor's Stories

In today’s competitive investment community, money goes towards short-term profit and not innovation or value to customers, as seen in the billions of dollars chasing AI. Big tech companies began as small, disruptive innovators, fueled by a passionate vision to create a better world through technology. However, in the 1990s, their focus shifted toward market consolidation and stifling competition, transforming into "Enterprises.”

What is Enterprise?

At a high level, it provides a comprehensive suite of tools with varying degrees of integration, designed for seamless transitions between them. For instance, you can share documents in Microsoft Teams, communicate about those documents, and conduct online meetings. While this sounds ideal, the reality is often less seamless, obliging you to settle for less innovative and useful applications because they are offered by your enterprise vendor at a lower cost or for free. We have returned to the factory days of boring, colorless conformity.

Enterprise Lockin Puts the Vendor in Charge

Once your organization, typically led by IT with support from Purchasing, commits to an Enterprise solution, it becomes almost impossible to opt for alternatives outside their product line. Examples abound, such as Zoom versus Microsoft Teams, Slack versus Google Chat, and ArcGIS Online versus other online mapping tools.

Vendors often develop or acquire mediocre solutions and bundle them into the Enterprise License, presenting them as free tools. When a new sector, like AI, emerges, they quickly acquire innovative companies and incorporate these advancements into their enterprise offerings without much thought.

All parts of the vendor’s ecosystem change when it becomes “enterprise-enabled.” Support is outsourced offshore to cut costs on new addons, while sales shifts focus to target large organizations, and prioritize site licenses. Marketing becomes a powerhouse promoting the “One Ring to Rule Them All,” message while the legal team revises licensing terms to encompass user data and intellectual property. Simultaneously, partners become instrumental in expanding the enterprise, and customers, along with their data, are confined within a closed, internally connected ecosystem.

Development often constructs or reconstructs tools tailored to fit the enterprise model, resulting in mediocre products aimed at the common denominator. Ironically, these companies often invest in enterprise systems like Microsoft's, collectively stifling innovation by a decade or two. This creates an endless cycle of stagnation, persisting until a significant shift occurs in the landscape—much like Apple's introduction of the iPhone or Salesforce’s CRM in the Cloud.

What Can You Do?

As organizations anticipate the next disruption, they can foster innovation through projects, new requirements, and creative thinking. Remember, an organization’s competitive advantage is found by innovative thinking. Although it requires effort to explore and assess novel methods, relying solely on your enterprise vendor is risky. Consider adopting open-source technology, conducting a pilot with a startup, or seeking proposals from other firms to discover alternatives. The insights gained from these efforts will enhance your standing as an informed enterprise customer, even if you decide to remain with your current vendor.

Allow teams within your organization to utilize technology outside the enterprise framework. Embracing a variety of applications fosters new communities, ideas, and opportunities. This openness might also attract top-tier job candidates.

What About Geospatial?

The Earth Observation (EO) market continues searching for a market outside of defense/intel. The continued focus on data as a product designed for one sector will continue to flummox customers, staff, and investors until new products are developed that integrate into non-raster workflows. SatSummit is a gathering of experts in this market that includes open discussions about possibilities in this sector.

The GIS market is no different than other industries in its innovation stagnation due to ESRI's enterprise strategy. By capturing the majority of large/medium organizations, they stifle investment in startups. Their emphasis on proprietary data formats and a closed technology approach limits opportunities for their clients and their client's customers. Fortunately, a vibrant geospatial community is challenging the outdated 1990s geospatial platform. Examples include Cloud-Native Geo, FOSS4G open-source solutions, cutting-edge mapping technology, and spatiotemporal databases. Please share other resources in the comments!

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