Post on 03-Dec-2014
2010 © Nokia Siemens Networks
Michail Angelov
Marketing and Business Development manager
startups@nsn, Machine-to-Machine (M2M)
Mobile German: +4915142605110
Mobile Bulgarian: +359878280021
E-Mail: michail.angelov @nsn.com
Nokia Siemens Networks
90 Alt-Moabit, D-10559 Berlin
Nokia Siemens Networks EOOD
118 Bulgaria, 1618 Sofia
2010 © Nokia Siemens Networks2010 © Nokia Siemens Networks
• Share market insights
• Present NSN as the partner in M2M domain
• Discuss Smart Energy
• Collect feedback
Goals
• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
2010 © Nokia Siemens Networks
• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
4 Customer Confidential © Nokia Siemens Networks
A market on the moveDevelopment of smart ‘things’
Smart Phones
Smart Devices
Smart Objects
5 Customer Confidential © Nokia Siemens Networks
The next smart ‘thing’Smart objects will enter the stage
Ubiquitous connectivity & global coverage
Mass adoption of smart object technologies
Regulation is paving the way
Overall 280 Bn € smart
services market in 2013
with an average growth
rate of 33%*
* Source Harbor Research “Pervasive Internet & Smart Services Market Forecast (2010-2013)
6 Customer Confidential © Nokia Siemens Networks
Smart Metering: Annual Market SizeMarket Value by regions
0
2 000
4 000
6 000
8 000
10 000
12 000
14 000
16 000
18 000
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
ME
UR
USA & Canada Europe (Ex. Russia) Russia & CIS Mexico & Caribbean
Sout America Africa & Middle East India, China & East Asia Southeast Asia & Oceania
Smart Metering grows at CAGR of 9% to reach €7.2Bn in 2015US & Europe are the main markets
Source: Poyry 2009
2010 © Nokia Siemens Networks
• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
8 Customer Confidential © Nokia Siemens Networks
SmartObjects Internet
Enablement
Managed Connectivity
& Access
Provider
Services Enablement
Provider
Service Provider
Chipsets -Modules
Connectivity
ProvisioningServices
€ 23B
€ 39.5 B
€ 11.2 B
€ 202.9 B
Source: Harbor Research, Pervasive internet &
smart services market forecast, 2009
VA
LU
E
DeviceManagement
SystemsIntegration
ApplicationEnablement
EnterpriseApplication
Where is the value?
9 Customer Confidential © Nokia Siemens Networks
CSP Strategies
Access Provider
Service Provider
Provide M2M specific data plans, become a bitpipe.
Some revenue, but not directly in the M2M business.
Managed connectivity is a MUST. Make sure that it is given as effectively as
possible. Reach Operational Excellence combining assets for human and
machine subscriptions. Widen the scope of offerings to encompass all that
is possible in this layer to get the most value.
Build a strong horizontal enablement layer, enhance the standard M2M
offering with Telco assets and information, and create a wide variety of
verticals on it as the market demands.
With the horizontal foundation, introducing new verticals, or reselling within the same vertical (i.e. eEnergy) is easy and cost effective. Consider the mode of delivery and operations and chose the appropriate method: buy/build a solution or use services.
Services Enablement Provider
Managed Connectivity
Provider
10 Customer Confidential © Nokia Siemens Networks
NSN assists service providers successfully realise their M2M business opportunities in three distinct areas
Energy Logistics Home Security Payment Health
Smart Objects Services Enablement
2
Smart Objects Managed Connectivity
E2E VerticalSpecific Solutions
1
3
Hyper efficient managed connectivity for service providers
Flexible smart object management, data processing and integration framework
Customised fully managed vertical specific solutions and services
2
1
3
11 Customer Confidential © Nokia Siemens Networks
Wide Variety of Customers served by NSN
iMetrik – Canada• Rental car fleet management solution
for an MVNO
• Solution based on NSN’ Subscriber Data Mgt
Operator – EMEA• On board unit - emergency call (eCall )
solution
• NSN Subscriber Data Mgmt and messaging system Solutions
Global CSP
• Lift, elevator and slide door mgmt service for an equipment supplier
• “All IP connectivity” solution, consulting and System Integration
China Mobile
• Generic M2M platform design and implementation including device and application integration
• Joint customer development project
Telenor Connexion
• Fleet management and remote car diagnostics for an international MVNO
• NSN’ Subscriber Data Management solution integrated into a multivendor environment as well as the highly valued support services
Operator – EMEA
• Location information enabled M2M platform as well as printer preventive care mgmt solution
• NSN’ Subscriber Data Mgmt
Non public
Non public
Non public
Servus Net
• Value-added Telco-to-Wind application, extracting data from various turbine vendors providing consolidate data into one unified view
• NSN’ Open Element Management Suite
2010 © Nokia Siemens Networks
• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
13 Customer Confidential © Nokia Siemens Networks
Horizontal M2M Application Platform
Differentiators:
• Establish one-stop-shop for service providers: integrating devices, networks, services & applications
• Cloud computing technology for low variable cost, flexibility & scalability
• Horizontal NSN M2M application platform supporting multi-device, multi-application & multi-tenant capabilities
• Experience in telco domain and partner with CSP
• Subscriber data integration, mass data analytics & processing
• Build partner ecosystem & business consulting
Marker Drivers
Limited growth & high churn with existing customer base
Smart Objects can provide favorable customer lifetime value
Horizontal integration is key to rich M2M applications
Regulation and fraud control driving successful uptake
-- Enabling new high value business --
14 Customer Confidential © Nokia Siemens Networks
Cumulocity Meter Data Management Solution
• Data Aggregation• Fault Management• Configuration Management• Performance Management
Database
• Mass Data Processing• Tenant Management• Analytics• Security
Application Integration SDK
Meter Integration (O&M Agents
3G/4G Connectivity PCL Fixed
Connectivity Aggregation
Utilities O&M Service/Field ForceEnd Customer Rating and Billing
15 Customer Confidential © Nokia Siemens Networks
M2M focus market entry
Key Market Entry Points:
Transportation & Logistics M2M
Consumer environment M2M
16 Customer Confidential © Nokia Siemens Networks
Smart Object Services Enablement solutionUSN solution – overview
Human Mobility from Mobile Networks
Human subscribers mobility data (e.g. anonymised subscriber ID, handover data)
OBU in vehicles reports data - OBU ID, GPS location, timestamp, number of passengers, etc
Public Bus
Taxi Private Car
Vehicle Mobility from OBU
Mobile Networks
Mobility Data
Mediation
USN Solution
No. of handsets
Anonymous subscriber identities
No. of passengers in vehicles
ITS applications enhanced with real-time road information
Subscribers Mobility Data
Floating Car Data
(FCD) Server
Traffic Speed on road
networks
Arrival Time
On time/delayed
Display Board
Time of arrival
Real-Time Traffic
Conditions
Object Mgmt.(Object
monitoring, data
collection &
processing)
Continental Rastrear
2010 © Nokia Siemens Networks
• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
18 Customer Confidential © Nokia Siemens Networks
3 reasons why energy efficiency matters
Energy efficiency = OPEX efficiency
• In mature markets, up to 10% of network OPEX is used on energy
• In developing markets, it can be from about 15% up to even 30% of networks OPEX for energy
• Fossil fuel prices remain volatile with high dependency
Lack of electricity supply
• Networks are expanding into rural and suburban areas –grid availability and/or quality is challenging
• 1.6bn people lack access to grid electricity (“off-grid”)
• An additional 1bn people have unreliable access (“bad-grid”)
Climate change • Average temperature is increasing annually
• Carbon emissions remain the second largest contributor to green house gas emissions after methane
• Ethical purchasing behavior among consumers becoming mainstream
19 Customer Confidential © Nokia Siemens Networks
Energy costs represent the 3rd/4th most significant OPEX item for mobile operators. Energy cost increases yearly.
20 Customer Confidential © Nokia Siemens Networks
Smart Metering Drivers for CSP own usage
CSP
-Huge consumers of energy
-
Smart Metering
•Automated & remote meter reading
•Statistical report
•Demand Forecast
•SLA monitoring
2. EnvironmentalRegulation
save energy and resources
(Government regulation)
Problems:
•Verify green features impact
•Inflexibility due to NW topology
•Distribution Energy providers are not flexible
1. Own information: 3. OPEX Reduction
21 Customer Confidential © Nokia Siemens Networks
Smart Meter Data Collection
GPRS
network
Cumulocity Meter
Control and Data
Management
22 Customer Confidential © Nokia Siemens Networks
Value Propositions
Traffic
QoS
Energy
Consumption
Correlation
• Smart energy metering can save a large electricity consumer up to 15% on their energy bill
• Correlation with FM, PM and planning parameter would allow stricter control of the Green features implemented in the network
23 Customer Confidential © Nokia Siemens Networks
Nokia Siemens Networks Solution Components
Local data collection:
• Equipment needs to be installed at the sites to allow collection of data
• NSN Green Energy Control is used for complex sites, Smart Meters an option for “standard” sites
DCN:
• Green Energy Control uses GPRS to send data
• Smart Meters have multiple options (inclGPRS)
Management system:
• NetAct is already installed at customers
• Energy data correlated with telcodata
GPRS / Ethernet /
O&M-network
NSN Green Energy Control
3rd party smart meter
•NetAct with data collection using
•Cumulocity as Meter Data Management
24 Customer Confidential © Nokia Siemens Networks
Nokia Siemens Networks Green Energy Control
Opportunities for Telekom:
• reduce OPEX by remotely managing
energy sources
• efficient control and monitoring of
multiple energy sources
• charging & discharging cycles under
control
• Up to 70% of OPEX savings
• Up to 50% reduction of
carbon footprint
Interfaces all power sources and smartly manages performance
remotely
2010 © Nokia Siemens Networks
Agenda• M2M Marketplace
• Value Chain & Strategies
• Horizontal offerings
• Smart Energy for CSP
• Smart Energy for Utilities
• Discussion
Agenda
26 Customer Confidential © Nokia Siemens Networks
Smart Grid
Opportunity Space• Millions of endpoints
• Reasonable latency and security requirements
• Fertile vertical and horizontal application market
• Innovation spawned by deregulation
27 Customer Confidential © Nokia Siemens Networks
Smart Metering Drivers for Utility provider
Utility Provider
-Electricity
Smart Metering
-Automated & remote meter reading
- Demand control
- Dynamic tariff
- Reduced fraud
- Remote disconnect
2. Environmental
Regulation
save energy and resources
(Government regulation)
3. Competition
tariff flexibility
(Smart homes/
cost cutting)
1. Revenue
Protection
(Fraud control)
28 Customer Confidential © Nokia Siemens Networks
Utilities Business Case Inputs for Smart Metering
REVENUES
1.Losses1.Technical: known and measurable
2.Non-technical losses: variable
1.Illegal connections
2.Bypassing the meter
3.Influencing
4.Others
2.Bad Debt:1.Subscribers not paying their bill
3.Differentiation:1.Sales increase
2.Tariff flexibility
OPEX SAVINGS
1.Remote comp. to manual
2.Increased reliability
29 Customer Confidential © Nokia Siemens Networks
Smart Object Applications in Smart Grid
Invoicing
CRM
ERP
Rating and
Billing
Meter data
reading
Site & grid management(generation, distribution & consumption)
User authentication
User database
Smart Meter
Rating & Billing
Smart Grid
Management
eMobility
Authentication
and Roaming
M2M communication
30 Customer Confidential © Nokia Siemens Networks
OSSelement,
meter data &
fraud management
BSStariffing
rating & billing
prepaid
ERPinvoicing
reports
customer care
Operation
Care
Implementation
Smart Meters
Connectivityradio access
PLC
DSL ...
smart
metering
solution
NSN Smart Meter Rating and Billing solution
One-stop-Shop
31 Customer Confidential © Nokia Siemens Networks
NSN Smart Metering, Rating and Billing solution
Energy
Connectivity / Agregation
CRM ERP system
InvoicingCustomer Self Care
Customer Care
Business Intelligence
Reports
SOA interface server
Prepaid or Postpaid billing
Rating engine
Event history data Customer data Tariff data
Tariff
management
Bad Debt
management
FCAPS
Multi-Vendor/Industry/Provider Data Collection
Pre-processing Object Management Meter data
management
Non-Technical
Losses
32 Customer Confidential © Nokia Siemens Networks
Cumulocity FCAPS
Fault management– Map display & table
Configuration Management– Object settings
Accounting– Object Connectivity quality
Performance
– Histograms
Security
– Object Activation/Deactivation
Electricity/Gas/Water Security/Enterprise Automation/….
Objects Meters DevicesSensors
33 Customer Confidential © Nokia Siemens Networks
Cumulocity: Object Management
Object Interrogation & Control for the Focus Objects
Pull more frequent readings & connectivity checks
Connect/Disconnect on Payment balance
Objects
Rating and billing layer
Smart Objects
Simple
Objects
- No
connectivity
Regular push
object readings
(Initiated by the
object)
Manual
reading
process
Focus Objects
Low credit
Poor connectivity
Mediation
Pull
reading
and
object
control
34 Customer Confidential © Nokia Siemens Networks
Cumulocity: Meter Fraud Application
Non-technical loss location
– Balanced Network analysis
– Tamper alarm forwarding & alarm activation
– Correlation with collected events from meters
– Service disconnects/average usage changes
– Analysis
Bad Debt
– Hot billing
– Pre-paid
Objects
Connection
layer
Balanced Network analysis
∑meters + allowances + non meters sites
Comparison to Sub Station meter
Meter events correlation
Alarm threshold activation
‘Alarm’
<
35 Customer Confidential © Nokia Siemens Networks
Cumulocity Multi-Vendor/Industry/Provider
Multiple Tenants
Multi-Language– XML
– DLMS
– Multi-Speak
– SOAP …
Multiple Objects
Energy Logistics Home Security Payment
Over various connection methods: Fixed, Mobile, PLC, …
Tenant Management
Multi-Operator/Service provider
Multi Country
Multi-Industry
Health
Connection
layer
Object data
management
36 Customer Confidential © Nokia Siemens Networks
Payment Fraud control - Prepaid
ERP layer
Objects
Connectionlayer
CRM
Charge@Once
• Creation of Prepaid account
• Top-up & decrement of credit
• SMS notification of low credit
• Disconnect processing
• Customer portal
• Prepaid Billing
Cumulocity Mediation, Meter alarm handling, Connect/Disconnect, Meter Portal
Please top up your Energy credit
Energy Service disconnected
Thankyou. Service re-connected
Time
KWh KWh KWh KWh KWh KWh
37 Customer Confidential © Nokia Siemens Networks
Summary: Smart Metering Delivery Model
Service Provider
● Market position and brand
● Existing customer base
● Channels to market
● Communications industry expertise
● Robust network infrastructured
Our Partners
• independent SW vendors
• Smart device makers
• Specific domain knowledge
Nokia Siemens Networks
Communications industry expertise
Managed services / Cloud based platform / B-O-T
Application & device integration
Smart object management
Data collection & management
Partner & developer management
Enterprise
• Software as a Service
• Cost effective solutions
• Participation in an application ecosystem with revenue diversification
38 Customer Confidential © Nokia Siemens Networks
Large scale real life grid demonstration platform:Smart Grid in Kalasatama district of Helsinki
Fault tolerant power grids
Self-healing concept by a high level of grid automation
Island mode operation of the distribution grid and distributed energy storages
New end customer services
New services for eMobility
New market based energy services
VPP concepts including solar, wind and demand response
Energy storages
Elements of a carbon neutral power system
Distributed renewable generation and market based demand response
eMobility
Energy efficient buildings and energy systems of the buildings adapting to the needs of the inhabitants
39 Customer Confidential © Nokia Siemens Networks
Customer quote
Heikki Lassila, VP of Operations
DigiEcoCity Ltd
Benefits
Solution overviewNokia Siemens Networks will provide DigiEcoCity Ltd
with consulting services for the planned digital eco-city
in Gongqing in the Jiangxi Province of China.
The partnership is aimed at developing Gongqing into
a model city based on the principles of sustainable
development that uses digital technology to provide a
high-quality of life to its residents.
The initial consulting project will focus on smart
metering, energy management and ICT infrastructure.
Customer Logo
DigiEcoCity is the first smart city developer in the
world to incorporate “Digital” Infrastructure design
into the early phase of city planning.
NSN provides business model and architecture design
input to the “Digital” part of the Gongqing City
Regulatory Plan, which will be used as benchmark
for other future DigiEcoCity projects.
The consultancy project will also establish a good
position for NSN to provide NWS/BSO infrastructure
in the upcoming Gongqing City construction phase.
“The Gongqing DigiEcoCity project will
serve as the benchmark for future DigiEco
Cities. The prime difference with other
similar projects is incorporation of digital
infrastructure design into the early phase of
city planning. Nokia Siemens Networks will
bring the much-needed knowledge in this
area to help us realize our aim faster.”
The NSN China BSO and BD teams with Heikki
Lassila (2nd from the left) at contract signing.
DigiEcoCity Ltd
Gongqing City
40 Customer Confidential © Nokia Siemens Networks
.
.
NSN actvely driving the Smart Grid- initiatives
Nokia Siemens Networks is participating
the research program aiming at next
generation smart grid power networks
and management systems.
Nokia Siemens Networks is
participating EU program
with the local distributed
power generation sector,
the manufacturers of local
renewable sources and the
distribution system
operators aiming greener
society.
Fortum and Nokia Siemens Networks
are doing a pilot to address key
challenges in electric vehicles,
especially identifying the easy user
interfaces and billing options.
41 Customer Confidential © Nokia Siemens Networks
NSN eMobility solution – Proof of concept projects
NSN in SmartWheels project in Germany NSN / Fortum project in Finland
regional utility
e-charging
equipment
telco technology associated
member
consortium members (list not complete) :
smart wheels is a
“Leuchtturmprojekt”
funded by
Research
drive
technology
2010 © Nokia Siemens Networks
Thank You
Time for Questions and Answers