Before analysing whether to go for 1.

2 billion RD or not

we’ll take a look at the characteristic of Interpretability

From the case perspective why, this particular characteristic is significant

We need to understand this because the company here is at the point of inflection for IoT

Samsung had already invested $100 million into R&D which had not yielded any solutions to the
interoperable standards issues

AS mentioned in the case that one of the major challenges with IoT was lack of interoperable
standards

Yoon realized that one of the biggest hurdles facing the IoT was the
lack of interoperable standards yoon’s vision was an open system
and to collaborate across industries and not just technologies.
market participants such as google, apple, amazon did not want
interoperable standards because they wanted to maximise markst
share through platform effects. Samsung needed more time to see if any
solutions to the interoperable standards problem would materialize as they
further developed the technology.
Clayton M. Christensen
To combat this phenomenon, Christensen recommended that incumbents try to
disrupt their own product lines; but they had to exercise caution, because if the
timing and execution were not carried out properly, it could be significantly
detrimental to the company’s future.
So, Samsung’s intention to establish a single solution for interoperability across
multiple industries to work on various operating systems is revolutionary, they
should take into account timing and consumer adoption, before making the
expenditure.
Even with the transformative potential they still have a long way to go.
it comes with its own set of opportunities and challenges also, the fierce
competition which is prevalent would make it difficult for standardized solutions
to be established.

 Interoperability is basically the ability for systems or components of systems to

communicate with each other, regardless of their manufacturer or technical
specifications.