Monetizing your Wi-Fi Networks with...

Rad SethuramanVice President, Product Management

Monetizing your Wi-Fi Networks with cnMaestro

Future is bright for Enterprise-Grade Wi-Fi

• Enterprise Wi-Fi market is robust: 6.5B in 2018, CAGR of ~10% – EMEA: 29% of total TAM

– Explosion in number of client devices, IoT, and video traffic making high Density Wi-Fi deployments common place

– Explosive growth in Cloud Managed Wi-Fi (47% CAGR)

– 802.11ax will be a key driver in 2019 & beyond

• Wi-Fi is mission critical for enterprises of all sizes – small sized businesses upgrading to enterprise class Wi-Fi

– Fueling strong growth in lower-end of the enterprise market

– Simplicity, ease of management & TCO trump feeds & speeds

– Driving demand for Managed Wi-Fi (MSP)

• National Broadband initiatives driving growth in public Wi-Fi deployments

Copyright 2014 Cambium Networks, Ltd. All rights reserved.2

$ 6.5 B$ 7.1 B

$ 7.9 B$ 8.5 B

2018 2019 2020 2021

WW Enterprise WLAN Market Forecast

CAGR : 9.7 %

Wi-Fi Market Opportunity

Copyright 2014 Cambium Networks, Ltd. All rights reserved. 3

Cloud Managed WLAN a fast growing segment of the market

REV• Total WLAN market (2017): 5.7B; CAGR: 9%• On-premises: 4.8B; CAGR: 4%• Cloud Managed: ~ 1B; CAGR: 47%

Cloud Managed License Rev rose to 44% of Total Cloud Managed Revenue in 2017 from 37% in 2015

AP HW Rev

Cloud License Rev

2015 2016 2017

Total Enterprise AP Units 13.8M 15.8M 18.4M

Cloud Managed AP Units 1 M 1.7M 2.5M

Cloud Managed as a % of total 8% 11% 14%

$ 4378 M $ 4533 M $ 4784 M

$ 445 M$ 686 M

$ 967 M

$ 0 M

$ 1000 M

$ 2000 M

$ 3000 M

$ 4000 M

$ 5000 M

$ 6000 M

$ 7000 M

2015 2016 2017

CLOUD MANAGED VS ON-PREMISES WLAN (Rev)

Total On-prem Managed WLAN Rev Total Cloud Managed WLAN RevUNITS

• Cloud Managed AP units growth CAGR: 58%

Industry Average and Competitive ASP’s on Cloud Managed AP’s


$382

$514 $433

$340 $375 $260

$213 $251

$296

$199 $217 $215

44%

51%

32%

41% 42%

17%

0%

10%

20%

30%

40%

50%

60%

$-

$100

$200

$300

$400

$500

$600

I N D U S T R Y A V E R A G E

C I S C O A R U B A R U C K U S A E R O H I V E H A U W E I

VENDOR HW & LICENSE ASP

Total ASP HW LicenseReality Check on “True” AP costs

• Industry tendency is to compare HW prices• Important to compare “true” AP price

(AP Hardware + Cloud License)

• Industry Average • Total AP ASP: $382• Cloud license is 44% of the total ASP

• Cambium Cloud License fee today: $0

A sizeable market opportunity for affordable enterprise class Wi-Fi


Enterprise Class Wi-Fi

Consumer Class Wi-Fi

High Priced AP’sAP licenses

Management LicenseAnnual SW Support contracts

Larg

e En

terp

rise

s,

Tier

1 S

P’s

($

3.5

B)

Mid

-Mar

ket,

SM

E($

3 B

)

Low-cost consumer grade UBNT, MikroTik, TPLink others

Cisco, Aruba, Ruckus, others

Enterprise Grade Wi-Fi Reliable, Simple, Low TCO CAMBIUM OPPORTUNITY

”Business Outcomes”

Strategy to target the unique needs of the target segments


Enterprise Class Wi-Fi

Consumer Class Wi-Fi

Larg

e En

terp

rise

s,

Tier

1 S

P’s

($

3.5

B)

Mid

-Mar

ket,

SM

E($

3 B

)

“Set and forget”

• Prefer Simplicity over feature set• Have basic management needs• Prefer Low priced HW• Not willing to pay for software

• Need Advanced Capabilities• Need sophisticated Management• Willing to pay for advanced features• Vertical Specific requirements for

e.g., Guest Experience in Hospitality

Enterprise IT

SI / MSP

Lean IT /No IT

cnM

aest

ro (

Free

)

cnM

aest

ro P

ro

MSP

cnMaestro Offers


Enterprise Class Wi-FiLa

rge

Ente

rpri

ses,

Ti

er 1

SP

’s (

$3

.5 B

)M

id-M

arke

t, S

ME

($3

B)

Tier 1 Hopitality:Major Brands – e.gMarriott, Hilton

Tier 2: Smaller Hotel Chains, Boutique Hotel Chains

Tier 3 & below: Independent properties & resorts, campgrounds, RV parks, Multi-Dwelling-Units (MDU

HOSPITALITY

Higher Ed, Large K-12

Small Campus –Community Colleges; medium sized K-12

Small K-12 Schools

EDUCATION

Large Big Box Chains

Medium sized stores, regional chains e.gQuick Service Restaurants

Smaller independent retail outlets, coffee shops

RETAIL

cnM

aest

ro (

Free

)

cnM

aest

ro P

ro

MSP

cnMaestro Offers

Penetrating deeper into the enterprise segment with a verticals focused approach

…

OTHERS

cnMaestro Evolution: Cloud Management to Services


Gartner Feedback - “… a bulk of the functionality you are building in cnMaestro are capabilities that customers are willing to pay for and expect to do so…”

Troubleshooting Tools

WLAN Controller

cnMaestro Essentials (Free)

Zero Touch Provisioning

Management / Monitoring

Guest Access

7-day Data Retention

Policy / Security

Predictive Support

Future Evolution

Network Analytics

Location

3rd Party Ecosystem

IoT GatewayClient Dashboard

cnMaestro Advanced (Subscription)

Advanced Mgmt.

Graphical Reports

API13-month

Data Retention

MSP

cnMaestro Pro Offers


`

Wi-Fi Pro

cnMaestro Advanced (Subscription)

Fixed Wireless Pro Managed Services Provider

CnMaestro Offer as it stands today

cnMaestro Essentials (Free)

Draft Subscription Pricing (MSRP)• 1 Year: $30/AP ($2.50/AP/month)• 3 Years: $60/AP ($1.67/AP/month)• 5 Years: $90/AP ($1.50/AP/month)

Draft Subscription Pricing (MSRP)• 1 Year: $20/device ($1.67/dev/month)• 3 Years: $40/device ($1.11/dev/month)• 5 Years: $60/device ($1.00/dev/month)

Draft Subscription Pricing (MSRP)• 1 Year: $10/AP ($0.83/dev/month)• 3 Years: $20/AP ($0.56/dev/month)• 5 Years: $30/AP ($0.50/dev/month)

Competitive Comparison – Wi-Fi Pro


Per AP Subscription → I Year 3 Year 5 Year

Aruba

Device Mgmt $100 $300 $500

Per service (Guest, Policy etc) $50 $50 $50

Cisco Meraki $150 $300 $450

Ruckus $95 $190 $285

Mojo $180 $360 $540

Interesting comment on the UBNT Community Page-

New UniFi cloud pricing-

seriously?

04-07-2018 12:21 PM

“Does anyone else think the new

cloud controller pricing is

astronomically high compared to

what we’re getting?

I have 12 devices on my

controller and instead of $200/yr

it’s going up to $500/yr when I

renew in July…”*Draft Pricing, subject to change

Cambium Networks* $30 $60 $90

cnMaestro Subscription Model

Guiding Principle : Keep it Simple

A token based approach


cnMaestro Subscription ManagerSubscription tokens and pricing based on • Type of Service • Number of Devices• Subscription Term

Customer / PartnerEvaluate new offersEstimate token needsManage token usage

Buy Tokens• A single SKU on the price list - $1 per Token• Apply to device count or subscription term• Subscription renewal

Deposit Tokens in cnMaestro• Apply to device count or subscription term• Subscription renewal

Wi-Fi Pro

cnMaestro Pro Subscription


• cnMaestro Subscription Manager in cnMaestro Cloud

• Details

– Devices under subscription

– Which Services consumed

• For on-premises deployment, download license to deploy



• Track token usage

• How many tokens are used?

• How many available?



• Purchase – get an entitlement ID for the number of tokens bought

• Enter entitlement ID in the Add Tokens page

• Tokens are uploaded to the cnMaestro account and can be applied to add new devices or extend the subscription

cnMaestro Wi-Fi Pro - Example


Customer has a 500 AP Wi-Fi network and interested in a 3-year subscription for cnMaestro Wi-Fi Pro

Greenfield Customer

• cnMaestro can compute the number of tokens needed

• 30 tokens per AP * 500 = 1500 tokens

Brownfield Customer

• 500 AP’s in addition to their network• 30 tokens per AP * 500 = 1500 tokens• cnMaestro will adjust term

appropriately so that all AP subscriptions will expire together

Customer procures tokens – same process as any other product. Single SKU for 1 token

priced at $1 each

Upload Tokens to cnMaestro

A Selection of cnMaestro Wi-Fi Pro Features


Enabling Managed Service Providers

• Allows a MSP to create a separate managed account for each one of their customer networks that can be independently configured and administered

• The MSP capability has the following two components

– Managed Accounts: groups cnMaestro devices and configuration objects (such as AP Groups, WLANs, Templates, Networks, and Sites) into independent administration domains within a single cnMaestro Company Account

– Branded Service: Allows the service provider to create a customized version of the cnMaestro UI that will be used by their Managed Account customers. Each Branded Service can be shared between different Managed Accounts

• Use Cases

– Enables MSP to create their own branded service with their branding

– An enterprise that has departments that are managed independently

Copyright 2014 Cambium Networks, Ltd. All rights reserved.18

Provides deep down details on a specific client on the network

• Search capability to search for specific client by client name

• Some of the detail delivered

– Client History

– Client Experience Indicators over time: RSSI, SNR, Data Rate, Re-transmissions

– Data Usage

– Application Traffic

Client Dashboard


Inventory Reports


• What’s on my network?

• Device Analytics

– Type and health of devices

– Connection statistics

Graphical Reports


• Inventory: Wi-Fi AP’s & Sites

• Filter based on device groups such as System, Network, Site, AP Group, and WLAN)

• Select Timeframe - “Last Day”, “Last week” etc

• Reports generated and can be downloaded from the UI

Sample Use Case

A managed service provider maintains the Wi-Fi network for a local auto dealership. The provider generates a weekly graphical report summarizing the health, traffic and client count to provide visual feedback of the services rendered.

• RESTful API’s for Monitoring – available now

• Configuration API for basic configuration tasks

– Onboarding

• Secure (standard) method for applications to communicate with cnMaestro

• WebHooks API

– Stream cnMaestro alarms and notifications to 3rd party applications

– Leverage applications such as Splunk to mine notifications and alarm data

– Receive SMS notifications through integration with PagerDuty

Modern API


cnMaestro Advantage


• Modern Cloud Architecture: Scalable & Flexible

• Enterprise Wi-Fi Feature Set

• Solutions to drive business outcomes

• Modern API to integrate with the ecosystem

• Right Sized Economics: Freemium model

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