The amazing growth of sharing apps promises to mark the spring of 2014 as the beginning of a new era demonstrating the power of the swarm. Just as the summer of 1998 marked the beginning of the mainstream Dot Com era and the spring of 2008 saw the advent of global social media, the April IPO of Opower marks a new digital-physical era, the collaborative economy.
The collaborative economy will make cities more convenient, less costly and more sustainable. To provide a mental model of this new world, think of cities as hives for “swarms” of physical activities optimized by, or made possible through open urban data schemes. Earlier this month, I presented this concept in Vienna (ranked as one of Europe’s top smart cities) at IconVienna, a Central European investment forum on smart cities and innovation.
Cities are similar to beehives as they provide the physical locations for the activities of the swarms they host. Of course, both cities and hives need to be in the right place to attract and maintain the largest, healthiest swarms. For beehives, it doesn’t hurt to have access to sunlight, water and flowers. (Admission: I’m an urban beekeeper) Swarms of bees, if they are wild, decide on locating in a hive according to consensus (15 bees must approve of the location) and then they develop optimal social structures according to simple rules and communications.
Cities or metros set laws, regulations and policies at the level of the hive. But emerging swarms, based on digital maps of locations and characteristics of “flowers,” optimize according to physical needs, desires and energy. When bees find flowers, they go back to their hive and dance to show the location of pollen-laden flowers.
Imagine if bees could compare with other nearby swarms how much energy they were using (as Opower enables its users to do), how much other swarms were gathering and the quality of their haul. Or if Airbnb offered swarms an easy way to find convenient unused hives, saving much energy and reducing greenhouse gases in the process.
More and more we humans are using rich digital maps and pricing information for sharing rental rooms, office space, cars, bikes, food, and energy use. Our pollen dance will be our testimonials, use patterns, geo-location, and referrals.
Some swarms will get smaller or even die off, while other swarms will grow until they divide and form new swarms based on emerging needs and changing conditions. Open data will reduce urban traffic congestion: no longer must cars circle downtown blocks as real-time parking rates and open spaces become transparent. Even more sustainable are those who are deciding to telecommute or use public transit on days when they know that parking costs are spiking or when spaces are unavailable.
Likewise mobility and housing availability will be based on shared uses through sharing and peer-to-peer platforms such as ZipCar, Lyft, Uber, and Airbnb. Walkability data through Walkscore already allows people to analyze and select the most walking-friendly housing, jobs and vacations, so they don’t even have to depend (or spend!) on cars or transit. At a TEDx Mission a while back, I showed how hacktavists use open data from the Paris Velib bikeshare program to map bicycle availability in real time.
For energy use, besides Opower, companies such as C3 Energy and Stem provide Big Data energy analytics for businesses and industries, so they can reduce energy consumption through more intelligent use of utilities. These applications differ from sharing platforms, but still rely on bottom-up use strategies based at the level of digitized electrons—with energy being the last realm of digitization in our society, after communications, entertainment, and financial or healthcare services.
In Vienna, the hive and swarm concept I presented was met with excitement. European Union contingents of investors are planning trips to explore San Francisco Bay Area sharing economy start-ups as a result. The European Union is spending $92 million Euros on an ambitious smart city funding and strategy effort as part of its Horizon 2020 program, yet I was told that swarm-type user-centric applications have been largely overlooked so far. That omission is not surprising, as even in the US, cities such as Los Angeles are only now preparing to open up their data.
Hives (cities) must offer not only the best amenities, such as high quality of life, transit on demand and walkability, but they also must reduce restrictive policies favoring business as usual in order to enable massive, easy and open access to city data.
The swarms are coming: if you’re a city leader, you can block them or anger them. Or you can accommodate the swarms and share in the eco-efficiency and abundant honey they make when they prosper.