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MASSACHUSETTS INSTITUTE OF TECHNOLOGYMASSACHUSETTS INSTITUTE OF TECHNOLOGYSLOAN SCHOOL OF MANAGEMENTSLOAN SCHOOL OF MANAGEMENT
15.56515.565 Integrating Information Systems:Integrating Information Systems:Technology, Strategy, and Organizational Factors Technology, Strategy, and Organizational Factors
15.57815.578 Global Information Systems:Global Information Systems:Communications & Connectivity Among Information Communications & Connectivity Among Information
SystemsSystems
Spring 2006Spring 2006
Lecture 5Lecture 5AGGREGATORS:AGGREGATORS:The New Business The New Business
on the Interneton the Internet(c) S. Madnick & M. Siegel, 2006
-- Version 02/21/2006
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Multiple PerspectivesMultiple Perspectives
Strategy Strategy and Policyand Policy
AggregatorsAggregators
Information Integration & Aggregation:Information Integration & Aggregation:Reuse and RepurposingReuse and Repurposing
ApplicationsApplications
eCommerce, Supply Chain, eCommerce, Supply Chain, Financial Services, etc.Financial Services, etc.
TechnologyTechnology
Web wrapper & Context mediatorWeb wrapper & Context mediator
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Overview:Overview: Information Aggregation Information Aggregation –– Focus on ReFocus on Re--use and Reuse and Re--purposingpurposing
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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Aggregator DefinitionAggregator Definition
Transparently collects informationTransparently collects information
•• with with or withoutor without prior source arrangementprior source arrangement
•• resolves contextual differencesresolves contextual differences
Performs analysisPerforms analysis
•• not merely gathernot merely gather
Represents userRepresents user
•• acts as agent for useracts as agent for user
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www.evenbetter.comwww.evenbetter.com **
* Now called DealTime.com Comment: Need for Mega-Aggregators
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Mega Mega -- AggregatorsAggregators
Note: multiple book price aggregatorsNote: multiple book price aggregators
•• using differing sourcesusing differing sources
•• giving differing results !giving differing results !
What about an aggregator of aggregatorsWhat about an aggregator of aggregators
•• A A MegaMega-- AggregatorAggregator …… more later more later ……
Not just about books ...Not just about books ...
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Progressive Direct Progressive Direct -- InsuranceInsurance
Scrolling comparisons
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Aggregator Types & ExamplesAggregator Types & Examples
Investment Investment analysis, policy analysis, policy analysisanalysis
Department Department calendarscalendars
ComplementaryComplementary
Financial account Financial account aggregationaggregation
Customer Customer Relationship Relationship Management Management (CRM)(CRM)
RelationshipRelationship
Shop for best Shop for best prices (e.g., books)prices (e.g., books)
Benchmarking Benchmarking divisionsdivisions
ComparisonComparison
ExternalExternalInternalInternalSourcesSources
Types
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What is What is MaxMilesMaxMiles
You give it all your frequent flyer info, it . . .You give it all your frequent flyer info, it . . .
Does mileage management for you . . .Does mileage management for you . . .
Gathers all your frequent flyer infoGathers all your frequent flyer info
Sends a personalized report via emailSends a personalized report via email
Updates reports on web site dailyUpdates reports on web site daily
Searches for missing mileage creditsSearches for missing mileage credits
Analyzes most current Analyzes most current milagemilage offersoffers
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From US Airways siteFrom US Airways site"Access to this information is subject to the rules in "Access to this information is subject to the rules in the Dividend Miles Membership Guide. In addition, by the Dividend Miles Membership Guide. In addition, by using this site to access your Dividend Miles account, using this site to access your Dividend Miles account, you agree that you will use this site in a manner you agree that you will use this site in a manner consistent with the Dividend Miles Membership Guide consistent with the Dividend Miles Membership Guide and you further agreeand you further agree not to allow access to this sitenot to allow access to this siteto any third partyto any third party by revealing your access code to by revealing your access code to any third party for any reason. Failure to comply with any third party for any reason. Failure to comply with the foregoing restrictions on the use of this site shall the foregoing restrictions on the use of this site shall be grounds for the termination of your access to this be grounds for the termination of your access to this site and/or your membership in the Dividend Miles site and/or your membership in the Dividend Miles program."program."
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““Power of AttorneyPower of Attorney”” on on MaxMilesMaxMiles SiteSite
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Real time Tibco
Complementary AggregatorComplementary AggregatorIntegrated SpreadsheetIntegrated Spreadsheet SourcesSources
InternalExternal
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Latest Latest ““hothot”” Aggregator: Aggregator: Zillow.comZillow.com
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Everyone is impacted:Everyone is impacted:If you are not an Aggregator,If you are not an Aggregator,
you are an you are an AggregateeAggregatee
Books.comBooks.com, , MySimon.comMySimon.com, , EvenBetter.comEvenBetter.comBarnes and Noble, Borders, Amazon, . . .Barnes and Noble, Borders, Amazon, . . .
MaxMilesMaxMilesUnited, American, TWA, US Air, . . .United, American, TWA, US Air, . . .
Universal Financial Aggregator (UFA)Universal Financial Aggregator (UFA)your banks, your brokers, your your banks, your brokers, your billersbillers , . . ., . . .
NOTE: NOTE: AggregatAggregateeeess --> Aggregat> Aggregatororss
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OverviewOverview
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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Global Comparison Aggregator Global Comparison Aggregator
http://soursop.mit.edu/global
<- Sweden selected
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Best global online priceBest global online price
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MegaMega--Aggregator: Using Regional AggregatorsAggregator: Using Regional Aggregators
US Sweden France UK
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OverviewOverview
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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Emerging TechnologiesEmerging Technologies
Web wrappersWeb wrappers
ExtractExtract selected information from webselected information from web
Allows web to be treated as large databaseAllows web to be treated as large database
Context mediatorsContext mediators
ResolveResolve semantic (meaning) semantic (meaning) differencesdifferences
Enable meaningful aggregationEnable meaningful aggregation
& comparison& comparison
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OverviewOverview
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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AggregateeAggregatee
AggregateeAggregatee
AggregatorAggregator
Financial Account AggregatorsFinancial Account Aggregators
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““Aggregation . . . The Aggregation . . . The ‘‘killer appkiller app’’ in the in the ee--finance revolutionfinance revolution””
http://www.tfconferences.com/conferences/AAG01/index.html
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FI FI #2#2
FI FI #3#3
FI FI #1#1
UserUserUFAUFA
First CallFirst Call
ExcelExcel
• AdvisorsAdvisors
•• WizardsWizards
•• AgentsAgents
Account Account Analyst Analyst
Asset Asset AllocationAllocation
Financial Financial SourcesSources
Other Internet SourcesOther Internet Sources
Intranet SourcesIntranet Sourcesand applicationsand applications
Real Value: Real Value: ““After AggregationAfter Aggregation”” ServicesServices
UserUserInformationInformation
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Advisors: Stock holdings reAdvisors: Stock holdings re--aggregateaggregate
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Wizards: Money Market (MMA) exampleWizards: Money Market (MMA) example
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MMA is also an MMA is also an aggregator,aggregator, of MM rate sourcesof MM rate sources
Better rates
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MultiMulti-- MegaMega-- Aggregator !Aggregator !
The Universal Financial Aggregator (UFA) :The Universal Financial Aggregator (UFA) :
AggregatesAggregates your financial informationyour financial information
several ways: totals and stock holdingsseveral ways: totals and stock holdings
Also uses the Money Market Also uses the Money Market AggregatorAggregator
which draws on multiple MM sourceswhich draws on multiple MM sources
including sources that are, in fact,including sources that are, in fact,
aggregatorsaggregators of some MM sourcesof some MM sources
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OverviewOverview
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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Strategy, Legal, Cultural, and Policy Strategy, Legal, Cultural, and Policy IssuesIssues Regarding AggregationRegarding Aggregation
Relationships between Aggregators and Relationships between Aggregators and AggregateesAggregateesProtection of investment in data Protection of investment in data vsvs rere--useuse
EU Database DirectiveEU Database Directive4 proposed bills in US4 proposed bills in US
Protection of consumer privacyProtection of consumer privacyLiability, consumer protection, jurisdictionLiability, consumer protection, jurisdiction
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Aggregator Aggregator ““statesstates”” exampleexample
Independent Agent ( BITS, Inc. ]
Independent Aggregator
IntershipperIntershipper
iShipiShip
Dependent Aggregator/Dominant ( UPS ]
Dependent Aggregator / Consortium
Partial Collaborative Aggregator
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Database ReDatabase Re--Use Lawsuits and ClaimsUse Lawsuits and Claims
Example CasesExample CaseseBay vs. BiddereBay vs. Bidder’’s Edges Edge
HomeStore.comHomeStore.com vs. vs. Bargain NetworkBargain Network
First Union vs. First Union vs. PayTrustPayTrust
mySimonmySimon vs. vs. PricemanPriceman
Register.com vs. Register.com vs. VerioVerio
Ticketmaster vs. Ticketmaster vs. Tickets.comTickets.com
Principles UsedPrinciples Used•• Copyright infringementCopyright infringement
•• Trespass to chattelsTrespass to chattels
•• Breach of contractBreach of contract
•• MisappropriationMisappropriation
•• False advertisingFalse advertising•• Violation of the Computer Violation of the Computer
Fraud and Abuse ActFraud and Abuse Act•• . . . . . .
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““ Trespass to chattels Trespass to chattels ””eBay vs. BiddereBay vs. Bidder’’s Edges Edge
InjunctionInjunction
Ticketmaster vs. Ticketmaster vs. Tickets.comTickets.com
““it is hard to see it is hard to see how entering a how entering a publicly available publicly available web site could be web site could be called a trespasscalled a trespass””
““ Copyright infringement Copyright infringement ””Protects original works of authorship Protects original works of authorship
Usually not applicable to data reUsually not applicable to data re--useuse
http://www.tomwbell.com/NetLaw/Ch06/eBay.html
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Battle over Database ReBattle over Database Re--Use Use --continuedcontinued
New Paradigm New Paradigm –– ““sweat of the browsweat of the brow””Collections of Information Collections of Information AntipiracyAntipiracy Act, Act, H.R.354 (1999) H.R.354 (1999) –– Coble billCoble bill
Consumer and Investor Access to Information Consumer and Investor Access to Information Act of 1999, H.R. Rep.1858 (1999) Act of 1999, H.R. Rep.1858 (1999) –– Bliley billBliley bill
Two other failed bills in 1996, 1997Two other failed bills in 1996, 1997
Current in USA H.R. 3261Current in USA H.R. 3261
EU Database DirectiveEU Database Directive
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International DifferencesInternational Differences
DecentralizedDecentralized
SelfSelf-- regulationregulation
No DB protection lawNo DB protection law
OptOpt--out for privacyout for privacy
CentralizedCentralized
Specific, strict regulationSpecific, strict regulation
DB DirectiveDB Directive
OptOpt--in for privacyin for privacy
U.S. E.U.
Reciprocity provisionReciprocity provision•• Not protected if home country does not have similar law for DB Not protected if home country does not have similar law for DB
protectionprotection
•• No data flow to countries without similar privacy protection lawNo data flow to countries without similar privacy protection law
Harmonization is neededHarmonization is needed•• Safe Harbor Agreement between US and EUSafe Harbor Agreement between US and EU
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OverviewOverview
Aggregator definition, types & examplesAggregator definition, types & examples
Emerging Global AggregationEmerging Global Aggregation
Enabling TechnologiesEnabling Technologies
New Emerging AggregatorsNew Emerging Aggregators
Strategy, Legal, Cultural, and Policy IssuesStrategy, Legal, Cultural, and Policy Issues
SummarySummary
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Some Insights & ImplicationsSome Insights & ImplicationsInsightsInsights•• Everyone impactedEveryone impacted
•• AggsAggs not limited to price not limited to price comparisoncomparison
•• AggsAggs can be combined and can be combined and aggregatedaggregated
•• AggsAggs create new info spacescreate new info spaces
•• AfterAfter--aggagg even more importanteven more important
•• New technologies emergingNew technologies emerging
•• Business models and market Business models and market conditions continue to changeconditions continue to change
ImplicationsImplications•• Be part of strategy planningBe part of strategy planning
•• Identify new Identify new AggAgg applications applications and business opportunitiesand business opportunities
•• Entirely new types of Entirely new types of applications can be definedapplications can be defined
•• Who will own this spaceWho will own this space
•• This must be exploitedThis must be exploited
•• Exploit these technologiesExploit these technologies
•• Must be prepared for changesMust be prepared for changes
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Current Related Projects Current Related Projects ( partial list )( partial list )• Aggregation strategies Aggregation strategies (e.g., Open aggregation)(e.g., Open aggregation)•• Regional & Global Aggregation: Regional & Global Aggregation: Cultural & legalCultural & legal
•• Financial servicesFinancial services•• CounterCounter--terrorism Information Integration terrorism Information Integration
(bio(bio--terrorism)terrorism)
•• Context Mediation & Web data extraction *Context Mediation & Web data extraction *•• Data Quality & What XML will and will Data Quality & What XML will and will notnot dodo•• Internal & Industry data standards effortsInternal & Industry data standards efforts•• Other new technologies Other new technologies (e.g., RFID infrastructure)(e.g., RFID infrastructure)
* Patents awarded in 1999* Patents awarded in 1999
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For Further Information and ContactsFor Further Information and ContactsMIT Research:MIT Research:
–– http://context2.mit.eduhttp://context2.mit.edu
MIT Technology Licensed Software:MIT Technology Licensed Software:
–– http://http://web.mit.edu/smadnick/www/patents/Patents.htmweb.mit.edu/smadnick/www/patents/Patents.htm
Email Contact: Email Contact:
–– Stuart Madnick at Stuart Madnick at [email protected]@mit.edu
–– Michael Siegel at Michael Siegel at [email protected]@mit.edu
Research funded, in part, byResearch funded, in part, by Fleet Bank, Merrill Lynch, Suruga BankFleet Bank, Merrill Lynch, Suruga Bank, , BancoBancoSantander (BSCH), Citibank, Santander (BSCH), Citibank, DoDDoD Advanced Projects Agency (DARPA), MITRE Advanced Projects Agency (DARPA), MITRE Corporation, PricewaterhouseCoopers, SingaporeCorporation, PricewaterhouseCoopers, Singapore--MIT Alliance (SMA), MIT Alliance (SMA), MITMIT--Malaysia University of Science and Technology (MUST) CollaboratiMalaysia University of Science and Technology (MUST) Collaborationon