Foresights of

Ubiquitous Development in China, Japan, Korea and Taiwan

Hansen Yip Finpro Asia

/ 2 / © Finpro ry

Finpro – The Right Partner in International Success

Finpro is an Finnish organization focused on accelerating the internationalization of Finnish companies.

What do we offer:• Market access – deeper, wider and emerging• Go-to-market strategy• Lead generation/qualification/getting to deals• Channels, partners and ecosystems• Financing access• Extended guerrilla work force and business development

We are presented in 41 countries and 52 offices with local and Finnish know-how. We have a Global ICT Industry team, which is composed of more than 35 ICT experts worldwide and we covered all the major and most important ICT markets globally

/ 3 / © Finpro ry

Finpro Customer References

UbiAsia Project

Planning of Finnish Ubi Future

Insights of

Ubiquitous EcosystemIn East Asia & China

/ 5 / © Finpro ry

Korea

/ 6 / © Finpro ry

Development of Ubiquitous Society

ADSL , CDMAHFC

ADSL , CDMAHFC

Broadband Internet

Separate NWs

Broadband Internet

Separate NWs

Mobile / Digital Convergence

NW Convergence

Mobile / Digital Convergence

NW Convergence

Ubiquitous ITUbiquitous IT

Wibro, DMB, 3G , RFID/USN, IPv6,

FTTH

Wibro, DMB, 3G , RFID/USN, IPv6,

FTTH

Intelligent Robots4G

Intelligent Robots4G

1995 – 2004 2005 – 2009 2010 - Pictures: Ubiquitous Society – New Hope and Challenge, NCA, 2006

2006 2007

Wibro, DMB, Mobile, Human-oriented Network IT

2008 2010

Distribution, Logistics, Daily life support

2011 2014

Healthcare, Education, Improved context awareness

2015 2019

Robot

2020 2025

Autonomous service

Services

Maturity Entry Life service Expansion Mature Upgraded

Infrastructure

/ 7 / © Finpro ry

Broadband Convergence Network (BcN)

/ 8 / © Finpro ry

U-City Projects by Local Governments

/ 9 / © Finpro ry

5 Areas of U-Korea – Government Masterplan Areas Phase 1 (2006-2010) Phase 2 (2011 – 2015)

Government

• Real-time convergence between on-line and off-line

• On-site support through various mobile devices

• Strengthen real-time convergence services

• Expand intelligent services

• Converge among various sectors and industries

National Land

• Real-time monitoring of major national facilities such as roads, bridges, etc.

• Apply u-sensors for environment awareness

• Strengthen real-time environment awareness and scientific analysis

• Increase automatic -responsiveness

Economy • Introduce u-finance using RFID and mobile technologies

• Promote SMEs to adopt u-IT

• Stabilize u-finance, u-payment

• Create new products and services through integration of IT with non-IT sectors

Society • Real-time monitoring of environmental pollution, disasters, risk factors

• Replace human with robots in hazardous works

• Strengthen advance preventive functions and measures

• Strengthen automatic responsiveness

Life • Distribute u-Home

• Intelligent educational facilities and u-learning services

• Expand u-learning

• Strengthen personalized Life Networking

Phase 1 (2006-2010)

• Real-time convergence between on-line and off-line

• On-site support through various mobile devices

• Real-time monitoring of major national facilities such as roads, bridges, etc.

• Apply u-sensors for environment awareness

• Introduce u-finance using RFID and mobile technologies

• Promote SMEs to adopt u-IT

• Real-time monitoring of environmental pollution, disasters, risk factors

• Replace human with robots in hazardous works

• Distribute u-Home

• Intelligent educational facilities and u-learning services

/ 10 / © Finpro ry

IBS, IP-PABX, MSPP, USN, IP-Surveillance, Smart Card, WLAN, Tele-management

IPTV, FTTH, VOIP, Embedded SW, IP-Surveillance, Telemetering, Home Automation

CCTV, IP Surveillance, Urban Info System, GIS, RFID, Lighting Control, Environment Monitoring Sensor

U-City and Component Technologies

Road Transportation

Public Society

Education Health

Distribution Logistics

MonitoringCity Public Facilities

BuildingWork Home

U-City

U-Services

Ubiquitous Network (FTTH, USN, BcN, WCDMA, WLAN, Wibro, etc.)U-Infra

ITS, RFID GIS, WLAN Wibro, LBS Media Board USN

U-Government, Online civil application, USN, Public Portal, U-Printing, Security /Authentication

U-Learning, U-Healthcare, Interactive TV, Medical Sensor & Device, HER

RFID, Telematics, WLAN, GIS, GPS, WCDMA

/ 11 / © Finpro ry

Opportunities by Scenes

@Home (Home Network)

• Automation• Security & safety • Tele-metering • Healthcare

• AutoToll Collection• Car Navigation • Security and safety • Entertainment

@Road (Telematics)

/ 12 / © Finpro ry

KT Future Home NW Structure

•Contents Platform

•Control Platform

•Maintenance Platform

Internet

MDF

1G Fiber

Firewall

Central Server

L3 Switch OLT

Public Facilities

Parking monitoring

CCTV Teleme-tering

Automatic home delivery

Police dispatch

Shared lobby

Lobby phone

Automatic door

Platform Remote Control

PDA, Web PAD, cell-phone, PC

IDF

L2 Switch RN (optical splitter)

Fiber

Home AutomationControl by TV

Home

Home G/W

HUB ONT

IP-STB

PC, Printer, Wireless AP, Lap-top

Door-phone, TV-phone, Door-lockBathroom-phone, Wall-PAD

Gas, Lighting, Heater, Cooler, Curtain

Home Viewer, Intrusion detection,Fire detection, Emergency notice

Home Security

Home Automation

Home Terminals

Wired-Wireless Internet

TV Portal

VoD, Game, Karaoke, Weather, News, e-Government, Education, IP-TV, interactive SMS or MMS

Picture : KT, “KT Home NW Service”

USB Camera

KT, SKT, KTF – very service-oriented!

- well-segmented markets

/ 13 / © Finpro ry

5 Key Opportunity Areas:

• RFID

• Middleware Solutions for Converged Service /Intelligent Agent

• Services in Home Domain

• Healthcare Services (Mobile + Equipment)

• Context Aware Service (Telematics, Mobile Marketing)

/ 14 / © Finpro ry

Taiwan

/ 15 / © Finpro ry

Objective of U-Development - Taiwan

Objective of ubiquitous development in Taiwan:• To build Taiwan a safe, convenient and secured

society through e-services accessible at anywhere, at anytime, by any device, that Taiwan become u-network society in 2010.

• To promote industry development, e.g. services – healthcare service, medial care service, security & safety service; and products – IA house appliance, handheld devices, smart tag/sensors/readers, intelligent servers/gateway, etc.

/ 16 / © Finpro ry

Scene of safety and convenient societyEating

Medical

Living

Transpor-tation

Care

Learning

Production resume combined origin of production and dining table, to buy and to eat relieved in futureMedical care,

health consulting service accessible everywhere, that sick people, elderly and children can live secured

To promote intelligent house to form u-community protection system, to provide publicsafe, convenientand secured living environment

To provide mobile carborne equip. service, public won’t get traffic jam on the road, and can enjoy multi-mobile services.

To promote digital learning that lifetime learning is available for public fromeverywhere.

Ubiquitous Network Society

Source: III, 2006

/ 17 / © Finpro ry

2001 2002 20082006200520042003 2010

Mature PC environment

Mature PC environment

WiFi/GSM• No. 1 global production NB, MB, LCD monitor, foundry, IC packaging, PDA, WLAN, SOHO Router, ADSL modem, etc.

• Handset production of global ratio: 2004 – 10% (54.2m units)2007(e) – 24.6% (153m units)

WiFi/GSM• No. 1 global production NB, MB, LCD monitor, foundry, IC packaging, PDA, WLAN, SOHO Router, ADSL modem, etc.

• Handset production of global ratio: 2004 – 10% (54.2m units)2007(e) – 24.6% (153m units)

ADSL

Challenge 2008

e-Taiwan

WiMAXWiMAX

m-Taiwan

u-Taiwan (UNS)NTP: National Science and Technology Program for Telecommunications

NTP (2nd 5years)NTP (1st 5years) NTP

IA products, RFID, Zigbee, NG PC, WiMAX CPE, …Security service,

Healthcare service,Entertainment, etc.

IA products, RFID, Zigbee, NG PC, WiMAX CPE, …Security service,

Healthcare service,Entertainment, etc.

Policy Background

/ 18 / © Finpro ry

•Gov. Service•Surveillance•m-Traffic Service•m-Medicare•…

BroadbandPipeline

FTTH/Cable

Backb

on

e Cellular

（ GSM/GPRS/

3G/PHS ）

Taichun MetroBackbone

Kaohsing MetroBackbone

Taipei MetroBackbone

Ac

ce

ss

N

etw

or

k

AP

APWLAN/WiMAX

(Wireless Broadband ）

AP

Dual Network

•IPTV•VoIP•Video Phone•Homecare•….

•Campus Safety•Distant Learning•…

Broadband Pipeline Mobile Applications and WiMAX/WLAN-Cellular Dual Network USD 1 Billion USD 220 Million

M-

Service

.

M-L

earnin

gM

-Life

M-Taiwan A National Program to Realize TW-WiMAX Blueprint

Source: IDB

/ 19 / © Finpro ry

Proceeding of e-m-u-Taiwan

Japan & Koreapromoteu-policy todevelop towards UNS

1st stage: ICT infrastructure construction & government service & industries digitalized

2nd stage: Promote multi-mobile application to deepen ICTtechnologyapplication feasibility

Deepen ICT Application tosolve developmentissue & to promote IT service industry &technology servicedevelopment

Source: III, 2006

/ 20 / © Finpro ry

OperatorsSystem

Integrators

Deployment ofM-City Network

M-Service Applications

M-Life Applications

M-Learning Applications

Public Sectors

Private Sectors

Educational Bodies

MobileMobileTAIWANTAIWAN

Innovative Mobile

Applications

Development in cooperation

with governmental

policies

Local Governments

Implementation Structure of M-Taiwan Program

Source: IDB

/ 21 / © Finpro ry

Japan

/ 22 / © Finpro ry

Scenes of ubiquity in Japan

Forecast of ICT U-trend in 2008-2010:

• Broadband: number of contract will reach 30 million by 2010, where FTTH leads market demand:

• Digital broadcasting: almost all the broadcasting channels will be digitalized on 24th July 2011,

• Mobile access: cellular phone technology will shift from 3G/3.5G to 4G, subscription to the service (human) will reach 97.78 million in 2010,

• Public wireless access: current PHS data communication users (2.5…3 million as of 2006) are expected to switch to Public Wireless LAN service, for which still several technologies are considered as its platform: e.g. WiMAX, WiFi, iBurst, etc

• Private wireless access: ad-hoc network are easily built by user with using ISM (Industrial Scientific Medical) band equipment at in-door environment: e.g. WiFi, Bluetooth, ZigBee, DSRC… both for private and business usage

/ 23 / © Finpro ry

Ubiquitous applications in JapanServices by category:• Entertainment:

IP-multicasting, VoD, digital TV, ISDB-T (equivalent of DVB-H), digital radio, digital data casting, internet music store, Chaku-Uta (music DL to mobile phone),information retrieval (browsing), gourmet guide

• Commerce: credit card transaction over internet, internet shopping, internet contents download, mobile shopping, official/unofficial content DL, putting to phone bill,e-money, e-ticket, e-commuter pass, micro payment, value charge, reward/coupon, Electronic Toll Collection (at highway),

• Security & safety: certification service for individual, timestamp certification,electronic application (e.g. e-TAX), access control to premises, remote access to home appliances,remote sensing/monitoring, remote caring, tracing, tracking,emergency information service

• Communication:circuit switching telephone, VoIP, IM/Presence, Push to X,real-time video, high-realistic sensation communication,internet e-mail, multi media messaging

• Transportation:route guide for car, traffic information service, pedestrian navigation, on-line buss time table

Opportunity Areas

• Integrated Billing

• Multi-channel / options of communication

• New market for non-human Application (e.g. car)

• Digital Control (e.g. Digital-Media Controller @Home)

• DRM (Content Value, Holder’s rights, Distribution rights)

/ 24 / © Finpro ry

Scene: at Home

/ 25 / © Finpro ry

Scene: in car

/ 26 / © Finpro ry

Scene: on the street

/ 27 / © Finpro ry

China

/ 29 / © Finpro ry

Key Findings – China Ubi Big Picture (1/3)

What are normally said: • The ‘Content’ itself is what the customer buys and cares……

the means of delivery is just a small part

• Community-based services will be really hot in Chinese society (e.g. Virtual community, Blogging, IM etc)

• Local Giants are putting huge efforts on Digital Home area

• A giant handset manufacturer did a large scale market research in 3G user experience: The users only knew that it will be faster and more expensive. Nothing else. IPTV / Mobile TV will probably be the first application to impress customers

• Mobile Phone will become more and more centered in life. Set Top Box will become more important than PC

/ 30 / © Finpro ry

Key Findings – China Ubi Big Picture (2/3)• TV Watching Time decreases & there is a growing trend of

spending more time in cyberspace e.g. PC, virtual community. Why? Chinese cultural reason – family-oriented and lack of personal space look for a space in cyberworld

• SPs predict that user-generated content will account for 40-50% of content on www, especially in Web 2.0 world

• Free and Cheaper service are still prioritized because of limited disposable income Tech can’t go too far from customer wallet

• Music – Currently Music Record Labels claimed that the ringtone revenue has accounted for their 40-45% revenue in China. They see that Mobile Music will further improve the situation as the customer would have control to buy different volume of music at different times (Not buy all songs in an album all at once)

• Broadcast Network Operator may emerge

/ 31 / © Finpro ry

Key Findings – China Ubi Big Picture (3/3)

• The Service concept will be highly emphasized

• Banks like to explore the possibility of micro-payment (more transactions), but operators think they will be taking more risks. Mobile manufacturers are going to grab this Opp (NFC)

• The Service Accessibility and Service Experience are Critical Success Factors• Service Accessibility – more mobility• Service Experience – from ‘Virtual feeling in virtual world’

to ‘Real experience in virtual world’

• Biggest Barrier of Ubi future: Business and Political Issues – Hard to agree on things. e.g. Province Vs Province, Bureau Vs Bureau….Banks vs Banks etc

• Security and Customer Trust on internet and mobile channels are still very low (e.g. internet banking)

/ 32 / © Finpro ry

Thank You

Hansen YipFinpro Email: hansen.yip@finpro.fi

MM HongKong Email: hongkong@mobilemonday.net