The term platform is commonly associated with vibrant ecosystems that connect various sets of users — drivers with riders (Uber), property owners with renters (Airbnb), searchers with advertisers (Google), sellers with buyers (Alibaba), or social groups with app developers (Facebook). These digital platforms have generated unprecedented value, overshadowing many established companies that have dominated their industries with produce-and-sell value chains. Until recently, most traditional companies could not adapt their established business models to participate in the so-called sharing economy. But sensors and related technologies are changing that reality.
Consider Ford vehicles equipped with voice-activated technology that can order coffee through Amazon’s Alexa. Using data on weather, traffic, and the vehicle’s location, the car can request a coffee to be ready precisely when the driver arrives at the nearest Starbucks. The driver can pick up her coffee without waiting in line. And the FordPass app that contains her mobile payment information can automatically complete the transaction.