Sharing in Shipping to Unlock $237 Billion New York, NY, April 23rd, 2020 - A new authoritative market report by a team of academic experts and business leaders commissioned by OrbitMl has found that sharing in shipping can unlock $237 billion by 2027. The report is especially pertinent as the Covid-19 crisis has highlighted the vital importance of sharing data. This became apparent when Moderna, a Boston based US biotech, used data that China had open-sourced on the genetic structure of the virus to develop a vaccine in record time. Scientists around the world are sharing data to develop vaccines and viral therapies. Government strategies for containment, suppression and mitigation have also been based on shared data and modeling. The sharing economy, a digital innovation widely deployed in this B2C arena, is explored in this paper in the shipping sector. The report is the first of its kind to integrate robust econometrics models to precisely calculate the economic impacts of sharing in shipping. The findings show substantial economic opportunity through sharing, which arrive at a highly opportune time. The shipping industry is under increasing pressure from international regulators to support sustainability imperatives. Shared data will become of growing importance for the advanced modeling to improve vessel route optimization reducing carbon footprints. The report also highlights how sharing data in shipping may also be the mechanism to preserve the market share of the key players. A go-it alone mentality puts the shipping industry at risk from formidable companies outside the sector, such as Amazon who have signaled their intentions to move more deeply into logistics and shipping. As the leader of the world’s largest shipping company, Soren Skou, CEO, A.P. Moller Maersk A/S, previously told Bloomberg,” Amazon is a threat, if we don’t do a good job for them". To fend off this external industry competitive threat, and meet the growing challenges of sustainability, ship owners and operators can work together to leverage the power of their most valuable untapped commodity: data. Sharing in shipping could increase market size and spur profitable growth, in an industry which is vulnerable to macro-economic challenges. Ali Riaz, CEO of OrbitMl, a maritime intelligence platform which commissioned this report said: ”By now, you have likely heard about the concept of the collaborative or sharing economy, roughly defined as a host of activities based on acquiring, providing, or sharing access to goods, services and data, often facilitated by online platforms that connect buyers, sellers, partners and other stakeholders. Those ideas sound largely positive and progressive, but for a traditional industry such as shipping they may sound alien, if not intimidating. How do we move from secrecy to sharing? What benefits are achieved through sharing? We asked critical Future to
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.