20170207 THe Valley_Internet of things ongoing revolution

178

Transcript of 20170207 THe Valley_Internet of things ongoing revolution

Internet of Things and the Ongoing Revolution

Bernardo Campillo SotoHead of New IOT Business and Innovation27.10.2016

Telefónica SA7

Previous Industrial Revolutions removed force-associated barriers…

Source: “The Second Machine Age”, E. Brynjolfsson, A. McAfee

knowledge

…and current Digital Revolution removes information-associated barriers

As-a-Service Business Models

Platform Business Models

Marketplace Business Models

Data-Driven Business Models

Industry Retail Consumer Electronics

Smart Cities EnergyTransport

$3 TrillionRevenue Opportunity*

>2 BillionTerabytes of Data

>25 BillionIoT Connections

* Yearly revenues by 2024. Revenue 2016: $1 TrillionSource: Machina Research

Telefónica SA10

Telefónica SA11

Telefónica SA12

Photo by technovangelist - Creative Commons Attribution-NonCommercial-ShareAlike License https://www.flickr.com/photos/95745192@N00 Created with Haiku Deck

Telefónica SA13

Photo by tg | photographer - Creative Commons Attribution-NonCommercial-ShareAlike License https://www.flickr.com/photos/26202818@N08 Created with Haiku Deck

Telefónica SA14

Photo by JD Hancock - Creative Commons Attribution License https://www.flickr.com/photos/83346641@N00 Created with Haiku Deck

Telefónica SA15

Photo by Tim Geers - Creative Commons Attribution-ShareAlike License https://www.flickr.com/photos/47912915@N02 Created with Haiku Deck

Telefónica SA20

Telefónica SA21

Telefónica SA22

Telefónica SA23

Telefónica SA24

But, what is IOT? So simple as…

Devices

ConnectivityService Platforms

Analytics

The IOT Path

Really that simple?

Telefónica SA26

Telefónica SA27

Telefónica SA28

Telefónica SA29

Telefónica SA30

Telefónica SA31

Telefónica SA32

Telefónica SA33

WHAT DO

THINGS TALK

ABOUT?

Telefónica SA34

Telefónica SA35

Telefónica SA36

Telefónica SA37

Telefónica SA38

THINGS TALK ABOUT US

CCDO IOT40

Created with Haiku Deck

CCDO IOT41

CCDO IOT42

“We are in charge of creating and making it possible for people to connect with the things that matter to them,

enabling an infinite world of possibilities”

Created with Haiku Deck

Home

Vehicles

Retail

Cities

Office

Worksite

Factories

Far Away

OnLife scenarios

Who I loveWhere I Live

How I move What I do Where I work

Personal

Interactions spheres closer to and around the person…

Personal

What I do

Who I love

Where I live

How Imove

My City My space

My Workplace

CCDO IOT48

Every IOT vision is leveraged across 4 layers

IOT Analytics

Products and services

OSS/BSS/IT

Physical assets

3

2

1

4

IoT

Every IOT vision is leveraged across 4 layers

IOT Analytics

Products and services

OSS/BSS/IT

Physical assets

3

2

1

4

IoT

LPWA, Network evolution meant becoming simplerMimicking Nature

3GLTE

5GLTE-A

Data traffic per device

2G

Evolution by increasing Complexity

Cat 1

Data traffic per device

Battery Life of devices

Evolution by becoming simpler

Battery Life of devices

LTE-M

NB-IOT

mMTC (5G)

LPWA complement existing cellular networks and short range solutions for applications requiring limited data throughput

Traditional cellular networks were designed for human communications and have evolved into massive data transmission.

Machines may have other network needs.

Wide Range (i.e. 10 km) and low-throughput

Deep indoor coverage

Lower cost connectivity and devices

Reduced battery consumption

LPWA Value Proposition

Connectivity technologies ecosystem: New technologies for new communication paradigms

Connectivity technologies ecosystem: New technologies for new communication paradigms

LTE for IoT: Application SegmentationNB-IOT is focused on massive applications

29/17Kbps

1Mbps

10Mbps

100Mbps

NB-IOT

CAT-M

CAT 1

CAT 4

MASSIVE SENSORSGas/Water/Electric Metering, Street lighting, Parking control, Agriculture monitoring, Smoke detectors, Assets tracking, Environment monitoring, Industrial monitoring

WEARABLESPersonal/Pet trackers, Fitness bands, Patient monitors, Smart Watch, Kids Tracking

DATA DEVICESConnected healthcare, InCar hotspot, Video surveillance, Retail Kiosks, Digital signage, Alarm panels

ROUTERRouters, IoT Gateways, Network bridges

5$

6-9$

15$

40$

64CONFIDENTIAL

65CONFIDENTIAL

66CONFIDENTIAL

67CONFIDENTIAL

68CONFIDENTIAL

IOT vision is leveraged across 4 layers

IOT Analytics

Products and services

OSS/BSS/IT

Physical assets

3

2

1

4

IoT

AMAZON WEB SERVICES and IOTArchitecture templates, building blocks and applications

AMAZON WEB SERVICES and IOTOne stop shop for application development, deployment and management.Flexible and scalable. Real-time infrastructure adaptation.Pay-As-You-Grow models.

FROM CONNECTION TO DATA ROUTING

Source: IOT MEGATRENDS 2016 – Vision Mobile

There is a great opportunity and key players are building and leveraging in open approaches for different sectors and IOT scenarios.

WHY an IoT OPEN ECOSYSTEM?

IoT developers evolution

Developers flood into IoT

fast

21% oriented to Smart Home

There is a huge developers’ talent market to capture….

Source: IOT MEGATRENDS 2016 – Vision Mobile

1 in 3 developers:

HOBBYISTS or EXPLORER

10M

5M

2016 2017 2018 2019 20202015

Already 4.5 million individuals active as IoT

developers in 2015

WHY an IoT OPEN ECOSYSTEM?

Industrial IoT Open Ecosystems at a glance

Developer Commmunity Business Model

2.350 Active developers2.760 Apps

PAY PER USE• Billing by Amazon: 20%

• Billing by Dev: Free

2,5 MM Developers3.000 Apps

3,8 MM DownloadsMONTHLY FEE

• No billing by Salesforce

2 MM Developers3.800 Apps

PAY PER USE• Billing by Azure

WHY an IoT OPEN ECOSYSTEM?

Telco Open Ecosystems at a glance

Developer Commmunity Marketplace Pricing &

Business Model Comments

10.000 developers(through Eclipse IDE

and Eclipse SmartHome Project)

Deutsche Telekom.Partner channels

Oriented to partners and cross-vendor

ecosystem.

Focus on SmartHome.Qivicon brand in Germany and licensed to other operators

(e.g. KPN, eww Austria).Partner network of compliant devices providers.

AT&T Developer Program

AT&T own channels (mainly online)

Free: Max 10 devicesPro: 99$ p/year plus a fee per device/month depending on volume and data point usage

M2X (development) and Flow (deployment) tools.Telco capabilities: SMS, PoC, call mngmt, webRTC,

landline messaging, identity, etc.IoT Starterkit including m2m SIM and hardware.

Seamless integration with MS Azure and IBM Bluemix. Partnership with OpenShift (RedHat PaaS).

Orange PartnerAPIs for IoT Orange App Shop

Free. Paid modes coming

soon.

M2M France (managed connectivity), LiveObjects API (MQTT-based) and connection with telco capabilities (SMS, Identity

management). HW starter kits (incl. LoRa offer).

http://www.pcworld.es/aplicaciones/orange-app-shop-nueva-tienda-de-aplicaciones-movileshttps://m2x.att.com/pricing

WHY an IoT OPEN ECOSYSTEM?

Understand developers by looking at their goals and motivations

Knowing the developers…IoT Developer `s Segments

Source: IOT MEGATRENDS 2016 – Vision Mobile

HobbyistsMoonlighters building their own IoT solutions to learn and have fun.

ExplorersIndependent developers gaining experience as a side Project to seize on future opportunities.

HuntersExperienced developers building an IoT business. Focused on making money from device sales, apps or services.

Gun for HireSeasoned professionals developing IoT solutions on commission.

Product ExtendersCompanies using IoT technology to promote or extended non-IoT products.

OptimizersEngineers and system integrators using IoT to increase organizational efficiency and reduce cost.

Data BrokersCompanies that monetize digital content or data.

Gold SeekersIoT startups aiming to hit VC gold.

HOW to build an IoT OPEN ECOSYSTEM?

Knowing the developers…Stages of ecosystem evolution and key developers segments

Source: “How to kick-star an ecosystem” – Vision Mobile

Seeding“give hope to early adopters”

Growth“give money to pros”

Maturity“reach brands, verticals & media”

Hobbyist

Explorers

Guns for Hire

Hunters

Gold Seekers

Product Extenders

Content Publishers

Corporate IT

Hobbyist

Explorers

Guns for Hire

Hunters

Gold Seekers

Product Extenders

Content Publishers

Corporate IT

Hobbyist

Explorers

Guns for Hire

Hunters

Gold Seekers

Product Extenders

Content Publishers

Corporate IT

HOW to build an IoT OPEN ECOSYSTEM?

Knowing the developers and the market: Developer segment mix is an indicator of market maturity

Source: IOT MEGATRENDS 2016 – Vision Mobile

Professional and SME approach. Closer to B2B proposal.

Recreational and exploration approach. Closer to B2C proposal approach.

Increased maturity

HOW to build an IoT OPEN ECOSYSTEM?

IOT vision is leveraged across 4 layers

IOT Analytics

Products and services

OSS/BSS/IT

Physical assets

3

2

1

4

IoT

IOT AnalyticsValue

added servicesConnectivity

All IOT P&S feed a powerful IoT Analytics layer

Hardware

How to build a Big Data / IOT Analytics strategy

2.Big Data usages

3.Focus on your own and customers’ needs

4.Our Big Data strategy formulation

1.Understanding our Data: The 4 V’s

1.- Understanding our Data: The 4 V’s

VarietyVolume VelocityVariability

BI Dashboards - ReportingData Analysis

(trends, patterns, alerts)

Predictive AnalysisPredictive Engines + Machine Learning

Prescriptive AnalysisPrescriptive Engines + Business

Knowledge + Cognitive Computing

Descriptive Analysis

B

A

C

2.- Big Data usagesVa

lue

Difficulty

Retrospective

Insight

Anticipation

What happened?

Why did it happen?

What will happen?

How to make it happen?

Descriptive

Diagnostic

Prescriptive

PredictiveA

B

C

3.- Focus on your own and customers’ needs

Can we monetize all available data?

How could we use data to enhance our processes?

How are we going to generate value from data for our proposal

to customers?

1

2 3

Starting point: 3 fundamental questions to focus on the Big Data opportunity

4.- Our Big Data strategy formulation

Category Description Monetization Target Customer

Big Data as Business Insight

Offers insights from our own business analyzing data from

devices, connectivity and other sources.

Operational efficiency enhancements that enables you

to offer new services to our customers.

Internal consumption(Operation, Business Units)

Big Data as Added Value

Adds value to our existing services, proving specific benefits for

customers on functionality, ROI, etc.

Widen and enhances our P&S’s value proposal with the

integration of data analysis.External customers and

Business Units

Big Data as a New Service

Offer access to data sets that can be correlated among them and with

other external data sources.Access to and usage of data sets

can be commercialized.External customers and

Partners

1

2

3

CCDO IOT121

CCDO IOT122

CCDO IOT123

CCDO IOT124

CCDO IOT125

CCDO IOT126

Photo by anotherjesse - Creative Commons Attribution-NonCommercial-ShareAlike License https://www.flickr.com/photos/44124365282@N01 Created with Haiku Deck

CCDO IOT131

CCDO IOT132

CCDO IOT133

CCDO IOT139

CCDO IOT140

CCDO IOT141

CCDO IOT142

CCDO IOT143

CCDO IOT144

CCDO IOT162

Bernardo Campillo SotoHead of New IOT Business and Innovation

[email protected]@twitter