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NEW Business models for ITS

Periodic Reporting for period 2 - NEWBITS (NEW Business models for ITS)

Reporting period: 2018-04-01 to 2019-03-31

NEWBITS (New Business Models for ITS) aims to provide further understanding of the changing conditions and dynamics that affect and influence the deployment of ITS innovations. This will minimize the failures inherent to ITS innovation diffusion, evolve present business models, and identify effective policy incentives to accelerate ITS deployment.
In order to address the current challenges of the ITS/C-ITS markets and assist the EU industry to improve its competitiveness and overall performance, NEWBITS sets up 4 objectives.
O1 Applying a business ecosystem’s concept for C-ITS
O2 Improve the understanding of C-ITS enablers and barriers implementing a holistic intelligence process
O3 Effectively implement a networked business modelling method for C-ITS/ITS
O4 Validation of new business models, translation and capitalization of results
NEWBITS provided a framework at the ITS macro level (WP2), by clearly defining all relevant concepts (e.g. ITS, C-ITS, ITS initiatives, ITS services) and by providing an overview of ITS initiatives in the EU and the US. By applying the relevant ITS categories for the project deployment, NEWBITS validated the four case studies that have been considered as the empirical material for WP3, 4 and 5.

To understand the market environment, WP3 performed a market research analysis of ITS/C-ITS markets and a conjoint analysis. The results of these activities are:
- A synthetic overview of the different approaches and strategies adopted in the EU and the US regarding the deployment and diffusion of ITS innovation product and processes.
- The selection of the ITS innovation areas, the identification of their main characteristics and a comparative analysis.
- The identification of key innovation diffusion determinants based in technological, organizational, policy-related, financial and regulatory factors. Relevant recommendations about boosting ITS innovation diffusion on the EU and US markets are formulated.

In order to understand how the EU ITS (C-ITS) industry can extend its experience by business model change and establish a solid theoretical foundation, WP4 focused on the global practices and models that exist in the literature and performed a thorough literature review to present the latest state of art as well as build-up a conceptual framework for the value network analysis. Also, four case study-based ideation workshops were organised and carried out from the consortium in Spain, Italy, the Netherlands and the UK.
To respond to specific challenges that delay ITS deployment in Europe, the NEWBITS methodology exploited at a conceptual level – the business ecosystems, and at an operational level applied the value network approach. This shed more light on how companies cooperate and collaborate to create and exchange value in innovative ITS projects, which allowed us to develop a five-step formal process for crafting new business models described as a network with shared value and risks among all stakeholders.

Moreover, in WP5 the designed business models were then validated by an extensive Cost – Benefit analysis, the conclusions of which were enhanced in a practical framework with critical success factors and performance indicators. The goal is to accelerate ITS deployment in Europe. Based on this work we were able to provide the industry with business case guidelines and an online training programme.

Finally, WP6 began to enhance the operation of an informal network of Communities of Interest (CoI) having as members all the participants in the case studies plus other representatives or entities related to the themes of each case. To improve the actual cooperation between stakeholders in innovative ITS projects, we developed a NEWBITS Network Platform ( to provide stakeholders with various opportunities through the differing functionalities to communicate, interact and exchange knowledge and practices. It gives them incentives to expand their collaboration and design their own networks with Communities of Interest.

Through the analysis of all four cases in different work packages, we show the emergence of new business models described as networks, where stakeholders collaborate effectively by undertaking a particular business role and executing specific functions that add value to the network as a whole.

In the end, the proposed policy recommendations highlight the necessity of approaches that the European policy-makers will have to consider in order to allow the emergence of such new business models for the ITS services, products and applications. The Consortium presented their recommendations to the European Parliament on 21st March 2019.
I. The ideation workshops (WP4) provided the opportunity to have a direct interaction with the stakeholders of all four NEWBITS case studies. As a result, NEWBITS validated the surveys’ results during the period January – March 2018. The goal of the workshops was to enable argumentation and discussion among all stakeholders about network relations, crafting value propositions and identification of barriers, as part of the value network analysis. The workshops provided a platform for the network’s actors to better understand their relations and needs of other players. The local debates enabled them to think more through the perspective of the networked business approach and a shared value created together with the rest of the network. The consortium provided the knowledge, the methods and processes to the case study leaders to be utilized in the ideation workshops’ activities.

II. The network platform’s design (WP6) facilitates the interaction among European stakeholders and can be made easier, performed on a daily basis. The configuration processes for the Community of Interest has been elaborated as follows:
- the CoI conceptual elements,
- the scope of setting the CoI,
- the branding of each of the four CoIs,
- the categorisation and description of incentives for joining a CoI
- elaboration of flow chart and description of processes.
The network platform that has been developed serve as a useful and essential tool for ITS / C-ITS networks, particularly facilitating stakeholders’ interactions.

III. To summarise the expected impact from the project’s work (WP7), on 21st of March 2019, the NEWBITS consortium presented its 14 policy recommendations for accelerating ITS deployment across Europe in a round table at the European Parliament in Brussels (Presentation). In an interactive session with guests from the European Commission (DG MOVE), the European Parliament (ECR Group), as well as representatives of stakeholders, industry speakers and members of the ITS community, the NEWBITS consortium highlighted the necessity of approaches that the European policy-makers have to consider in order to allow the emergence of such new business models for ITS services, applications and products.

Through an online poll on the NEWBITS Network Platform ( the representatives on-site were asked what priority should be placed on each of the 14 policy recommendations according to which the policy recommendations were then ranked in order by priority sub-classifying them into recommendations, which were endorsed by more than 90%, 75% or 50% of the respondents. The interactive session that took place during the final conference validated and re-confirmed the NEWBITS recommendations, which were given as major directions in this policy field.
NEWBITS final conference Brussels
Workshop: VERONA, Italy, 22nd February 2018
Workshop: BARCELONA, Spain, 18th January 2018
NEWBITS final conference Brussels
Workshop: BARCELONA, Spain, 22nd March 2018
Workshop: VELNO, the Netherlands, 14th February 2018
NEWBITS final conference Brussels
NEWBITS final conference Brussels