Executive Digest #4 by Luxoft Software Development Company

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numbers talk

5,846 Current Head Count

&

37.5 Revenues FY2013

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numbers talk

700+ Agile Practitioners

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52 New clients in FY2013

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The Modern Web Latest Trends in Web Design and Development

human compatible Piotr Golczyk Internet Marketing Manager Luxoft Poland

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the modern web

A web presence is a key means of interacting with customers, partners, suppliers, and many other stakeholders. In today’s rapidly changing, multichannel, and multidevice world, companies struggle to utilize the full potential of their online presence.

A number of significant trends will continue to drive changes in web space in the near future. The mobile revolution, social media boom, latest standards in compliance requirements, emerging technologies such as HTML5, CSS3 and responsive design are raising the level of today’s consumers expectations of web sites. Organizations must adapt their online strategies to take into account these emerging trends. Disregarding such web innovations places a business at a significant competitive disadvantage.

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the modern web

HTML5

Rich Experiences Driven By HTML5 and CSS3 Technologies Recently there has been huge momentum around HTML5 as a cohesive platform for traditional web and mobile app development, making it one of the key trends in the modern web space.

+ CSS3

HTML5 is a set of proposed specifications for the next generation of HTML. It includes the fifth revision of the HTML markup language, CSS3, and JavaScript APIs, enabling complex web applications that previously could be created only for desktop platforms. HTML5 makes the web platform more powerful and addresses the limitations of HTML 4 in such areas as: graphics, multimedia, the quality of code, semantics, accessibility, offline storage, and communication. The platform introduces many cutting-edge features that give developers the ability to create web sites with improved functionality, speed, performance, and a better experience for both desktop and mobile web access. Cascading Style Sheets 3 (CSS3) separates the document content from its presentation, thus making the editing process faster, more flexible, and easier to maintain. The World Wide Web Consortium (W3C) has been working on an interoperable standard for HTML5 and CSS3.

Design and User Experience User Experience design greatly affects consumer perception and response to products and services. The trends in web design and user interfaces are evolving very quickly, but most adhere to the following standards: Leaner, faster, more efficient web sites The return of simple, minimalistic, flat, typographical design A greater focus on content: it should be of very high quality and very relevant to the consumer Simplifying the signing-in process: logging in through social network accounts Floating menus and fixed header bars, vertical and infinitive scrolling, large images and fonts Impressive, light, interactive animations A successful user experience is a valuable competitive differentiator and an important business value generator. Businesses should pay significant attention to developing mature UX strategies for their web sites.

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the modern web Responsive Design Current studies predict that mobile web browsing will outpace traditional desktop browsing within a few years as tablets and smartphones become the default choice for connecting to the Internet. That trend will usher in a new generation of user interfaces, requiring web site design that automatically adapts to multiple and diverse gadgets, including desktops, cell phones, tablets, and TVs. For organizations and marketers this shift can seem challenging as it ads a huge layer of complexity and perceived cost. One goal of responsive design is to create an optimal viewing experience for mobile devices, including easy reading and navigation with a minimum of resizing, panning, and scrolling. Benefits of that approach are quite straightforward, including a better user experience, easier maintenance, and a more convenient load time on the device. Responsive design is a relatively new approach to web strategy and organizations that utilize it will face some initial difficulties. The complexity, cost, and time needed for the development and testing of an ever-changing landscape of devices, code frameworks, and scripts are some of the major challenges that responsive design adopters will face. The rewards will be, however, an early stake in the dramatic shift from PCs to tablets and smartphones for web browsing.

Contextual, Real-Time Content In today’s world, information is made available more quickly and the quality of this information is becoming more relevant to the user. Context-aware computing is widely used by enterprises to better target and deliver highly relevant information to consumers. According to latest analytical research, 90% of organizations will use consumer-facing applications that deliver context-enriched services. Modern web sites must be as dynamic as possible to provide content that the user cares about in a particular moment, place, or scenario.

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the modern web The Social Media Boom Web 2.0 technologies such as blogs, wikis, and social networks, are now widely used by most mainstream businesses. In terms of web development, social network functionality should be organically present on all modern web sites. Studies predict that by 2015 more than 50% of all B2E portal initiatives will employ social network constructs such as profiles, activity streams, social graphs, tagging and ratings.

W3C Compliance

Section 508 Compliance

The World Wide Web Consortium (W3C) supports The Web Standards Project’s mission to “make the web a better place, for developers and for end-users, by encouraging browser and web page editor makers to follow the standards in their applications.” Compatibility with the latest W3C standards and requirements is a major strategy for high quality web sites.

Although only legally required for government organizations, accessibility considerations are important within the private sector as well. Following best practices in interactive design should include such considerations as Section 508 compliance which makes your web site accessible to people with disabilities.

Having a compliant website provides some significant benefits such as a consistent look and feel, improved search engine ranking, faster loading, ease in maintenance, and accessibility on different devices. Overall, a W3C-compliant web site is properly structured, semantically coded, and alike for everyone, regardless of the browser, resolution speeds, and other platform-specific traits.

Building web sites that comply with Section 508 accessibility guidelines might be challenging initially, but the result will be worth the effort. As corporate social responsibility becomes more and more important to consumers, an accessible web site is a “must have.”

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the modern web Conclusion While there are certain critical web trends that cannot be ignored, many organizations are still operating with a traditional web strategy. Some web technologies will be in a significant state of flux over the next few years, but in order to stay ahead, organizations need to track the maturation of these technologies and start experimenting with them now. If we avoid these key innovations, emerging from HTML5 and CSS3 technologies, as well as from mobile technologies, social media, compliance standards, and high quality & relevant content we risk placing our enterprises at an incredible competitive disadvantage.

Corporate website cornerstones Recently Luxoft launched a new corporate website. A dedicated team worked for several months to implement the hottest trends into the code including the latest in HTML5, CSS3, Responsive Design, W3C compliant, 508 Section, Geo IP and much more. To ensure that the superior user experience will be consistent, each page was heavily tested on a few different platforms, a dozen browsers and devices. After intense work on the site with skilled expertise in web development what was once almost impossible in site development became possible. It might be surprising, but none of these emerging technologies are the cornerstone of the B2B website. Cornerstones were settled long before the first developer put the first line of code, before the first mockup and even before the draft of website structure. These cornerstones originated before the existence of internet and they include fundamentals like time, cost, trust, interdependency and most importantly B2B customer values, which we had in mind from the very beginning. The hype surrounding HTML5, CSS3, responsive design, IP location, personification, fluid design, one page, social network, coding standards, and accessibility and even hot questions like “whether interface should be a flat design or skeumorph?” – create buzz about great tools, but they are just that tools, only tools. We should not overestimate tools. The right question about the hottest technology is not if we should use it, but how. We have made every effort to examine the “how to” question in order to maintain Luxoft’s high quality standards via online interaction. Now we can invite you to experience it personally, at www.luxoft.com.


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Company Major Initiatives

Luxoft Extends Global Delivery Network with a Second Location in Poland Luxoft opened a new office in Poland, which is the second in the country and the 17th for Luxoft worldwide.

Wojciech Mach Managing Director Luxoft Poland

The new facility located in Wroclaw will offer a comprehensive portfolio of application and product development services for large enterprises and product development companies with a particular focus on solutions for the banking and financial service industries. Poland is the fourth largest global delivery location for Luxoft, which opened its first Polish office in Krakow in 2010. The new Wroclaw office is planning to hire 100 engineers in the next twelve months and management forecasts the headcount increase to 750 specialists in the next two years. Expanding its presence in Poland, Luxoft is capitalizing on its positive experience in Krakow. Luxoft is becoming one of the largest IT companies in Poland. We have found that the country’s culture and educational system encourage and support the values of Luxoft’s core culture of innovation, engineering, excellence and flexibility.

“We are very pleased with the level of Luxoft’s success in building up our software development and delivery practice in Poland, which is rapidly becoming of one of strategic importance for the company. Luxoft Poland began in 2010 with a team of 100 engineers. Poland has undisputed advantages such as; technology expertise, culture, logistics, geography, education, and legal framework, which has contributed to Luxoft’s significant growth in the country. We look forward to developing the Wroclaw location into a state-of-the-art delivery center from which clients will benefit from engineering excellence and unparalleled domain expertise.” Wojciech Mach Managing Director Luxoft POLAND

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Company Major Initiatives

Luxoft Solutions for Connected Car Space Recognized by Independent Research Firm Research Firm Gartner, Inc. named Luxoft as one of the key four operating system, software and application developers in the December 2012 report: “Innovation Insight: The Connected Vehicle Will Dominate Automotive and Mobility Innovations.”

vasily suvorov head of technology strategy

The author of the report, Thilo Koslowski, Gartner’s VP and distinguished analyst, noted that Luxoft’s automotive practice focuses its innovative development work around each of four functional areas: telematics, advanced driver assistance systems (ADASs), infotainment and mobility services. Human Machine Interface (HMI) is highlighted as one of the main differentiating factors for connected vehicle offerings. Luxoft has been making significant impact in the automotive telematics and infotainment space for years, working with the most recognized brands and world’s leading auto manufacturers. The company has been developing advanced infotainment and HMI

frameworks, tools, and processes for 3D technologies for the leading automakers, tier-one, and tier-two suppliers for nearly a decade. In line with the natural evolution of services within the in-car infotainment and telematics space, Luxoft engineers are also working on new user experiences involving gestures to interact with the next generation of infotainment systems in a very intuitive and dynamic way. Anticipating the auto market trends, Luxoft engineering experts develop product platforms that work as solution accelerators for OEMs and their first tier suppliers. These platforms allow Luxoft’s clients to build and bring to market their own products faster and in a more cost-effective way.

Luxoft

“The automotive industry will be going through a significant transformation over the next 10 years propelled by breakthrough technologies that change the purpose of a car from just a means of transportation into an information medium. The potential impact on auto engineering, consumers, insurance, healthcare and other sectors will be immense. Luxoft’s goal is to become one of the best developers and implementers of HMI and other groundbreaking technologies in this space, and we are honored to be included as a key provider today by such a prominent source as Gartner, Inc.” vasily suvorov head of technology strategy Luxoft

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Company Major Initiatives

Luxoft to Collaborate with Ford on an Open Source Car Connectivity Standard Luxoft is cooperating with Ford to develop an open-source car connectivity technology, called SmartPhoneLink. The new open standard will combine the features of Ford’s AppLink™ software with Luxoft’s open-source iviLink as well as connectivity solutions from other organizations willing to contribute their code. “Luxoft has been steadfastly committed to the creation of an industry-wide open standard for car connectivity and integration of mobile devices and apps,” said Vasiliy Suvorov, VP Technology Strategy at Luxoft. “The technology fragmentation that we currently see in the market inhibits the growth of car connectivity solutions and limits the amount of innovation and creativity that app developers can bring. We see the decision by Ford to contribute its market-leading AppLink technology to the developer community as an important milestone toward a common connectivity standard. Luxoft will work with Ford to integrate the top features of our open source iviLink technology into SmartPhoneLink and will focus on helping to bring the new platform to automakers worldwide.” iviLink is an open source technology developed specifically to facilitate bringing apps into cars safely and efficiently. iviLink attracts a large developer community, thus benefiting the industry with advanced applications and use cases. iviLink is an API-centric open technology with a profile-based architecture that gives OEMs full control over all features to guarantee safe operations. iviLink operates over any serial link such as Wi-Fi or Bluetooth, and is designed to work with a wide variety of head units and mobile devices. The GENIVI Alliance is leading the adoption of an open-source development platform for in-vehicle infotainment. Luxoft is one of the key players in the GENIVI Alliance’s effort that is focused on developing standards for technologies dedicated to connectivity of external consumer devices to a head unit. Along with other GENIVI members, Luxoft is driving the creation of a Smart Device Connectivity solution that will combine the best capabilities of iviLink and all other technologies under one roof. Such a standard will usher in a new era of car compatible apps that will redefine the car experience for drivers and passengers. Luxoft will work with Ford and the entire developer community to add such vital and unique features of iviLink as symmetrical two-way app integration to the new standard. After the new standard has been adopted by the industry, Luxoft plans to continue working on developing new applications and adding capabilities to this open source technology, which will further enrich the user experience. You can learn more about Luxoft’s car connectivity technology, iviLink, at www.ivilink.net.

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Company Major Initiatives

The Luxoft Demo Room: A Creative Way to Present Our Innovative Solutions

Luxoft is committed to long-term investment in research and development. Our in-house R&D teams produce software product platforms that are easily scaled and customized to fit the unique requirements of the client, significantly reducing the time-tomarket and overall development costs for new and updated products.

Our R&D teams have recently developed proprietary, industry-specific platforms for the automotive, energy, telecom and financial industries. The Luxoft Demo Room in Kiev is a specialized facility that is designed to demonstrate to our customers and partners our latest frameworks and software product platforms that were developed all across the globe. It enables one to see the innovative industry-specific platforms developed by our R&D teams in one place.The Demo Room consists of the demos that reveal our experts’ skills in software design, hardware development, integration and applied math. Right now the Luxoft Demo room illustrates the following innovative solutions: DMFusion Framework: the integration platform for Energy and Utilities that visualizes the electric grid, predicts issues, manages alerts and can decrease the load in that region. Twister: the distributed testing environment that can stress-load the system to verify that even in hardest conditions the system complies with its requirements or standards. iviLink: the connectivity platform that enables seamless, twoway integration between in-vehicle infotainment systems, such as head units, car radios and rear seat entertainment equipment, with Android and Apple iOS-based devices. Eyefinity 3D Demo: three-monitor, 3D visualization technology is based on Battlefield GLONASS Demo which demonstrates the interaction between the damaged car in an accident and the rescue team with a radio-based satellite navigation system. Luxoft is planning to introduce more demo rooms in the near future. The Eyefinity 3 Demo’s are also utilized in various industry trade shows and exhibitions such as DisctibuTECH, CeBit, SDN OpenFlow Congress, Telematics events, and many others. It is worth mentioning that the Luxoft Demo Room receives much interest and positive feedback from our clients, employees and guests. In the last three months, more than 15 presentations occurred in the demo room. In all of the industry verticals, Luxoft’s experts are forward thinking, creating whatever our existing or potential customers will need in the near future. We use a unique approach to innovative development that goes beyond our customer expectations to create solutions and technologies that exist only in our client’s dreams. Luxoft excels at bringing ideas to life.

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Company Major Initiatives

LuxQuest for developers Luxoft attracts the most highly skilled, experienced, and dedicated workforce across the globe. Intense mentorship programs, various internal and external training possibilities, as well as solid employer branding strategy enables us to hire and retain highly educated, motivated, and innovative IT professionals. Luxoft has built a strong brand in the Employer market in key delivery locations like Russia, Romania, Ukraine and Poland. As a part of our recent employer branding initiatives, we have launched the LuxQuest – a web-game for developers in Russia and Ukraine where the players should solve a number of IT tasks choosing their preferred programming language. The Quest is implemented in a comic like format, where all the participants become part of a captivating story, involved in challenging and interesting IT-related tasks and receive valuable prizes if they win. The main goal of the LuxQuest was to attract and entertain qualified IT engineers and developers and to select and award those who will be able to perform the tasks in the quickest and most effective ways. The results of the quest were quite impressive as it gained a lot of attention and interest from our primary target audience: 570+ registered participants 40+ potential winners 100+ new visits every day 10 players with every new task 12 000+ visits in total We plan to continue such marketing initiatives as they are extremely popular with our target audience and enable us to attract the best candidates. Our future plans include launching the Quest web-game in other key locations such as Romania and Poland.

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Luxoft’s events

B2B:

Events for IT engineers:

Aeromart Toulouse 2012, December 4-6th, Toulouse, France

Software People 2013, April 1012, 2012, Moscow, Russia

DistribuTECHv 2013, 29-31rd January, San Diego, California

33rd Degree Conference 2013, 1315th March, Warsaw, Poland

IAOP World Summit 2013, 17-19th February, 2013, Phoenix, Arizona

Find IT, May 12, 2013, Moscow, Russia Hipo Top Employers Job Fair, Spring edition, Bucharest, Romania

Embedded World 2013, 26-28th February, 2013, Nuremberg, Germany CeBiT 2013, 5-9th March, Hanover, Germany Agile Days 2013, 29-30th March, Moscow, Russia

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latest accolades

European Smart Metering Awards 2013

Luxoft has been included in the short-list for the awards under the following categories: • Smart Meter Data Management & Solutions Award 2013 • Innovation of the Year Award 2013

LUXOFT POLAND QUALIFIES FOR IDEAL IT EMPLOYERS 2013 SURVEY BY UNIVERSUM GLOBAL

IAOP Global 100 2013

Luxoft has been selected in the Leader category for The 2013 Global Outsourcing 100® Service Providers List.

The ranking reveals how attractive an employer is among students, and indicates a company’s position in relation to other ideal employers in the recruitment market.

2012 Technology Excellence Awards

• Business IT Innovation of the Year: Horizon, Deutsche Bank • Horizon team being awarded the Banking Technology Award in the Best Use of IT for the Purposes of Risk & Regulatory Change nomination. Deutsche Bank AWARD

Our work has earned us important client recognitions, including from our large multinational clients such as Deutsche Bank, which formally recognized us this year as their strategic vendor partner in Global Technology and awarded us its Relationship Excellence Award for our ‘‘sustained and structured approach in nurturing and building a new basis for doing business to deliver superior outcomes.”

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CLIENT SPEAKS

“We are highly satisfied with the project results, as well as with the project execution. Sitecore, Ford, and Luxoft demonstrated an exciting level of professionalism, outstanding responsiveness, and strong commitment to objectives. All the three parties confirmed their market-leader reputation during our joint project”.

“We are pleased to work with Luxoft, as the relationship adds another vital capability to our ecosystem: application development services.”

“Fast-growing wireless application areas, such as ZigBee® Smart Energy™, require a significant amount of specialized knowledge. With Luxoft, our customers have access to the know-how of one of the world’s leading ZigBee® software companies.”

Dmitry Zlobin internet projects lead Promsbyazbank

Oyvind Strom Senior Directorof Atmel’s Wireless product line

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i n dust r y t r e n ds a n d h ot p oi n ts

HTML 5

Mobile

Mobile:

Big Data:

Gartner predicts that by 2014 there will be “more Internet-connected mobile devices than PCs”. - Gartner, Toolkit: Board-Ready Slides on Mobile Technology Trends and Opportunities; 11 June 2012.

“Through 2015, 85% of Fortune 500 organizations will be unable to exploit big data for competitive advantage.” - Predicts 2013: Big Data and Information Infrastructure; 30 November 2012

“Mobile payment and commerce have had slow starts but are set to rise very quickly. Gartner forecasts that mobile payment will rise to $617 billion in transaction value by 2016.” “HTML 5 and web technologies are the changing application model. This shift will create challenges as client/cloud computing models and new user interface options require developers to rethink overall application development and management strategies.” - Gartner, The Top 10 Strategic Technology Trends for 2013; 12 February 2013. “Although mobile technology seems to be at the pinnacle of its progression, future waves of opportunity are still to come. Therefore, the enterprise must have a position on how mobile technology will improve the enterprise strategy — waiting too long poses much risk of missing or not being ready for future opportunities.” - Gartner, Toolkit: Board-Ready Slides on Mobile Technology Trends and Opportunities; 11 June 2012.

However, big data will be driving a significant portion of IT spending through 2016: “In 2016, enterprise software spending driven by big data will reach $6.5 billion and nearly eclipsed by the single category of social media analytics at almost $4.4 billion. IT services spending driven by big data will reach $44 billion.” – Gartner, Big Data Drives Rapid Changes in Infrastructure and $232 Billion in IT Spending Through 2016; 12 October 2012.

Big Data

“Forty-eight percent of IT budget decision-makers said their firms planned to implement or expand their adoption of Big Data technologies in the next 12 months.” – Forrester, The Top Emerging Technologies To Watch: Now Through 2018; February 07, 2013 “The big data phenomenon is shifting from isolated projects to a strategic approach to big data that incorporates issues related to data volume, variety, velocity and complexity into a broader information management strategy.” - Gartner, The Top 10 Strategic Technology Trends for 2013; 12 February 2013

Enterprise IT Spending on Storage by Industry, 2016 ($43.7 Billion Total)*

4%

4%

Healthcare Providers

Utilities

4%

3%

Education

Wholesale Trade

5%

Transportation

20%

5%

Communications, Media and Services

Insurance

5%

20%

15%

15%

Retail

Government

Banking and Security

Manufacturing and Natural Resources

* Source: “Market Trends: Big Data Opportunities in Vertical Industries”, Gartner, 2013

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Cloud Computing

BYOD

The Internet of Things The Internet of Things

Cloud Computing:

“The Internet of Things is evolving from a niche area into a mainstream activity, especially in the next three years. Enterprises should seriously investigate and initiate pilot projects in 2013 to position themselves to exploit the coming opportunities.” - Gartner, The Internet of Things Is Moving to the Mainstream, 10 January 2013

“Cloud computing remains a major technology trend that is one of the four upcoming” - Strategic Technology Trends for 2013, 12 February 2013 “Gartner estimates that total spending on cloud services will increase from $110 billion in 2012 to $210 billion in 2016” - Gartner,”Forecast: Public Cloud Services, Worldwide, 2010-2016, 4Q12 Update” “By 2014, IT organizations in 30% of Global 1000 companies will broker (aggregate, integrate and customize) two or more cloud services for internal and external users, up from the 5% who do it today.” - Gartner, “Cloud Computing: You need to run your business in the cloud – where do you start?” www.gartner.com

Bring Your Own Device “The increasing interest in bring your own device (BYOD) is a major issue for all enterprises with emphasis shifting to implementing detail programs.” - Gartner, The Top 10 Strategic Technology Trends for 2013, 12 February 2013 Gartner predicts that by 2014 some 90% of companies will support corporate applications on personal mobile devices. By then, 80% of companies will have a mobile workforce that uses tablets, with the iPad expected to dominate the market through 2015. – Gartner, Top Predictions for IT Organizations and Users, 2011 and Beyond: IT’s Growing Transparency

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Luxoft Introduces New Mobile Applications Development Kit for Aerospace For over a decade Luxoft has been managing the various IT areas for aviation, including aircraft engineering, airline operations and airport management.

In line with the global trend of implementing enterprise mobility technologies that allow faster data access and effective communication irrespective of user location, Luxoft has developed Mobile Applications Development Kit for our Aerospace and other heavy engineering and manufacturing clients. The new kit adds another dimension to Luxoft’s existing technology solutions portfolio for engineers and includes a Mobile Bill of Material (BOM), a Mobile Certification Application, and a Mobile 3D-Visualization Tool. The ultimate goal of each of the module kits is to add capability for the engineers and mechanics to assess tasks “on the go” during a new aircraft inspection, existing aircraft maintenance or during the engineering and assembly process. The combination of mobile secure ecosystem and visualization adds granularity to every aspect of the engineering and maintenance process, streamlining the reporting, giving quick access to the bottom level of detail and bringing the entire process closer to the real-time mode. Mobile Bill of Material (BOM) provides quick access to the engineering documents for shop floor engineers. The amount of stored detail allows a view not only of systems of components, but also allows one to drill down to details on individual nodes and stand-alone detail level, hence, optimizing engineering and manufacturing processes. Mobile 3D-Visualization Tool provides for uploading and viewing of 3D models on iPads. The application enhances the scope of features used at CAD/CAM enterprises and allows for quick access to engineering models. It helps our customers reduce costs, since it does not require the standard CAD/ CAM licenses. The use of iPads also increases utilization rate of the engineers and mechanics, enabling them with mobile collaboration tools that are light, flexible and with a battery life easily accommodating an extended workday. Mobile Certification Application provides certification findings to be automatically registered to launch the process of analysis and correction. We expect that our new solutions will positively affect efficiency and production rates within segments heavily reliant on engineering. This cost savings is especially critical for the Aerospace industry which is currently overburdened with new orders.

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DMMessenger Empowers the Smart Grid with Targeted Consumer Engagement Luxoft has recently released DMMessenger, the energy consumer analysis and engagement tool that processes and segments highvolume meter data. “Smart Grid is not about making people to consume less, it’s about efficiency. Smart Grids enable people to consume energy in a green and a more sustainable way,”

Luxoft created DMMessenger specifically for Smart Grid solution vendors who want to empower their products with an active consumer engagement engine, meter data processing, cloud-based storage, social network integration, and two-way consumer messaging. “In order to proactively engage customers, utilities want a more effective means of communication and need software products that include extensive customer engagement functionality. DMMessenger analyzes large volumes of consumer data and identifies target groups amongst millions of clients, so it is just the tool that allows the software vendors to rapidly develop such solutions. By engaging these groups utilities can achieve a more efficient grid operation, especially in critical peak times, to save money for the consumer and the supplier,” said Minkevich. Using DMMessenger’s innovative processing engine, utility companies can classify consumers by their load profiles, location, and other parameters and then select consumers who are likely to provide the biggest reduction benefits. No sensitive information is stored in the cloud and all customer data is completely secure. Once customers have been segmented and targeted, DMMessenger provides the utility company with a rich and entertaining tool for engagement and two-way communication. DMMessenger is tightly integrated with Customer Information System (CIS) using open Application Programming Interfaces (APIs) to query the CIS database for customer records, including the contact data used for consumer subscriptions, who can choose the way they want to be contacted via: phone call, text message, email, or Facebook. Demand management events can be in the form of an alert or notification about a program start, a critical peak pricing event, or an outage event. Energy games can be set up on Facebook, giving consumers who opt-in the chance to earn bonuses and to post their game results on Facebook. You can learn more about DMMessenger by visiting www.luxoft. com/energy or www.dmmessenger.com

said Michael Minkevich, VP Technology Services at Luxoft.

mdm

crm/cis

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Ne w S olutio n s a n d O ffe r i n gs

Luxoft’s ZigBee® Network Analyzer is Now Available for Free Luxoft is proud to share its wireless expertise and offer BitCatcher, a free network analyzer that is available free to download from our website. Dresden elektronik, a specialist in wireless sensor network solutions in Germany, will distribute its popular USB dongles pre-loaded with free copies of BitCatcher software.

BitCatcher is a simple and powerful tool for analyzing wireless transmissions over IEEE 802.15.4/ZigBee-based networks covering both US and European ISM bands. The BitCatcher network analyzer is now preloaded on hardware from dresden elektronik ingenieurtechnik GmbH and is available for free download at www.luxoft.com/bitcatcher

BitCatcher’s Feature-Rich Capabilities For engineers working on products with ZigBee connectivity, BitCatcher is a powerful tool that can be used in every phase of product development, giving developers a graphical interface to observe real-time packet exchange, create and view sniffer logs, identify the reasons behind connectivity issues, and verify the communication side of application behavior. Luxoft’s BitCatcher analyzes and displays packet information based on a customizable protocol description. Developers can modify the descriptions to extend existing protocols or to create new ones. BitCatcher comes with the preloaded wireless protocol descriptions for IEEE 802.15.4 MAC, ZigBee PRO, ZigBee Smart Energy, and ZigBee Light Link. Drivers and firmware for Atmel and dresden elektronik hardware platforms are also included in the BitCatcher package. BitCatcher runs on both Windows and Linux operating systems, supports multiple 802.15.4 frequency bands, and features auto key-type detection for easy management of security keys. Coming pre-flashed with BitCatcher-enabled firmware, the devices are ready-to-use after unpacking. It is the perfect tool for developers as well as for engaged users that want to have a close look at their network activities. The dresden elektronik USB dongles deRFusb13E00 (subGHz) and deRFusb-23E00 (2.4GHz) are available in the company’s online store at https://shop.dresden-elektronik.de/ For more information on Luxoft’s BitCatcher wireless network analyzer, or to download the application, visit www.luxoft.com/bitcatcher

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o p i n io n

Hadoop for enterprises O v e r c o m i n g t h e M a j o r C h a ll e n g e s

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o p i n io n

Introduction to Big Data Big Data is an information asset that is high in volume, velocity and variety. Big Data demands cost-effective, innovative forms of information storage and processing for enhanced insight and decision-making.


o p i n io n

BIG DATA Velocity Social media produces a large, constant stream of data containing opinions and relationships that are highly valuable to customer relationship management. Facebook’s 600 million active users spend more than 9.3 billion hours a month on the site. Every month, the average Facebook user creates 90 pieces of content and the network itself shares more than 30 billion items of content including photos, notes, blog posts, Web links, and news stories.

+

Volume Machine-generated data is produced in considerably larger amounts than traditional, humangenerated data. For example, high-resolution video used in surgeries generates 25 times the data volume (per minute) of even the highest resolution still images such as CT scans require thousands of times more space than a page of text or numerical data. More than 95 percent of the clinical data generated in health care is now video.

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+

Variety Traditional data formats are strictly configured and change slowly. Conversely, non-traditional data formats change day by day. As new services are developed, new protocols are deployed, or new marketing campaigns are executed it all requires new data types to be processed.


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Big Data typically refers to the following types of data:

Traditional Enterprise Data Examples are customer information, transaction logs, and general ledger data.

Machine- or Sensor-Generated Data Examples are Call Detail Records (“CDR”), smart meters, weblogs, equipment logs (often referred to as digital exhaust), and trading systems data. Forecasts by IBM, Intel, and others indicate that more than 60 billion intelligent devices exist in the world today and that this figure will rise to more than 200 billion by 2015 as the “Internet of Things” becomes a tangible reality.

Social data Examples are customer feedback streams, micro-blogging sites such as Twitter, and social media platforms such as Facebook.

Why Big Data for Enterprises?

For decades, companies have been making business decisions based on transactional data stored in relational databases. Beyond that critical data, however, is a potential treasure trove of non-traditional, less structured data such as weblogs, social media, email, sensor data, and photographs that can be mined for useful information. When Big Data is distilled and analyzed in combination with traditional enterprise data, enterprises can develop a more thorough and insightful understanding of their business, which can lead to enhanced productivity, a stronger competitive position, and greater innovation — all of which have a significant impact on the bottom line.

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Big Data Use Case Examples by Industry:

Financial Services

Big Data technologies allow risk managers to improve statistics and forecast accuracy with greater granularity, resulting in better risk assessment and the creation of optimized product offerings targeted toward individuals.

General Business

Big Data adds value to every business by tapping into data about consumer behaviors, attitudes, social relationships, and influences, thereby optimizing customer engagement and ultimately, profitability.

Energy and Utilities

With Big Data technology adopted, Energy and Utility companies can receive detailed data about individualized use patterns. The broader incorporation of external demand influences leads to significantly improved demand management and groundbreaking energy savings.

“ “

Retail

In the Retail sector, Big Data allows users to get enhanced insights and understanding of customer likes, dislikes, influences, and behaviors, resulting in increased sales and profitability.

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Big Data technologies allow risk managers to improve statistics and forecast accuracy with greater granularity, resulting in better risk assessment and the creation of optimized product offerings targeted toward individuals.

Big Data adds value to every business by tapping into data about consumer behavior, attitudes, social relationships, and influences, thereby optimizing customer engagement and ultimately, profitability.

With Big Data technology adopted, Energy and Utility companies can receive detailed data about individualized use patterns. The broader incorporation of external demand influences leads to significantly improved demand management and groundbreaking energy savings.

In the Retail sector, Big Data allows users to get enhanced insights and understanding of customer likes, dislikes, influences, and behaviors, resulting in increased sales and profitability.


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Telecommunications

Transportation and Logistics

Online Businesses

Big Data provides telecom operators with proper storage and processing of Call Detail Records and allows proactive user behavior analysis, clasterization of subscribers, and numerous new dimensions for prediction that offer the possibility of building more progressive business models and maximizing revenue.

By using Big Data approaches in Transport and Logistics, analysts are able to optimize routes, loads and resource usage, that leads to improved services and new service options.

Using a Big Data framework, online businesses, media agencies and content publishers can get detailed data about customer preferences and social interactions, cross-selling, up selling, and recommendation models leading to better understanding of customer behavior and priorities, as well as significantly increased revenue.

What Are the Big Data Adoption Issues at the Enterprise Level through 2015?

Big Data provides telecom operators with proper storage and processing of Call Detail Records and allows proactive user behavior analysis, clasterization of subscribers, and numerous new dimensions for prediction that offer the possibility of building more progressive business models and maximizing revenue.

By using Big Data approaches in Transport and Logistics, analysts are able to optimize routes, loads and resource usage, that leads to improved services and new service options.

Using a Big Data framework, online businesses, media agencies and content publishers can get detailed data about customer preferences and social interactions, cross-selling, up selling, and recommendation models leading to better understanding of customer behavior and priorities, as well as significantly increased revenue.

According to Gartner Research, business analytics requirements within the Enterprise sector will drive 70% of investments in the expansion and modernization of the information infrastructure. However, recent analytical research shows that 85% of Fortune 500 organizations will be unable to exploit Big Data for the needed competitive advantage. The top business constraints against Big Data technology adoption are: Analytics Capabilities & Skills Infrastructure and Capitalize Architecture

85%

of Fortune 500 organizations will be unable to exploit Big Data for a competitive advantage

Investment, Budget, ROI Privacy and Security Risks

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Luxoft’s Approach to Overcome the Challenges

Analytics Capabilities and Skills Constraint:

Without a doubt, Big Data is a major trend in the worldwide IT space. Various whitepapers, analytical research papers, and independent articles draw an attractive, but abstract picture of Big Data’s advantages. However, enterprises frequently don’t see the concrete ways in which Big Data can add value to their business and don’t have the experts inside the company who can profitably deploy and integrate a Big Data solution. Luxoft’s Solution: That’s why we created the Big Data Solution Accelerator: a unique set of Big Data application development services that combine innovative approaches to comprehensive information storage, processing, and analysis with fundamental multi-industry experience and efficient, low-risk system adoption for private enterprises. The Solution Accelerator is based on an iterative approach that allows users to see results quickly, moving from small Proof of Concept to Long Range Goal. Our customers benefit from our unique preliminary assessment, which contains a business evaluation and consulting with our Big Data scientist. This detailed review and comprehensive analysis allows us to find the right Big Data solution that will ideally balance cost-effectiveness, functionality, and needed capacity. Our experts have significant experience in creating enterprise-wide, business critical solutions based on Big Data technologies and are experts at delivering tangible benefits to our clients. Our architects, consultants, and developers each have up to seven years of experience in Big Data technologies (both open source and proprietary) and can propose effective solutions for a variety of business cases.

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Stage: 1

Stage: 2

Business Assessment

Big Data Scientist Consulting Analysis of client’s functional business needs

Dive deep into the client’s business with a detailed assessment of needs

Big Data technologies proposal

Resources identification (client resources, technologies, planned budget)

Industry-specific implementation approach proposal

Identification of potential benefits for Big Data technology adoption

Detailed assessment of client’s technology environment Client’s corporate standards, policies and security requirements assessment Identification and assessment of systems to be integrated with the Big Data solution

Stage: 3

Stage: 4

Architecture Design

Application Engineering Software development

Architecture proposal that considers industry-specific business and technical environments and proposed technologies

Performance Engineering Software Quality Assurance and Testing

Architecture design including vision, goals, priorities, and features Architecture optimization and governance, including rationalization, blueprints, guidelines, and refactoring

Stage: 5

Stage: 6

Integration Services

support L1: Front-end support

Transparent incorporation to corporate infrastructure

L2: Administrative level support

Seamless integration with corporatelevel tools and platforms

L3: High-end support L4: Escalation point beyond the organization

Security and process compliance Systems orchestration Disaster recovery

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Infrastructure and Architecture Constraint:

The Big Data paradigm as well as the Hadoop framework was initially created for internet companies, such as Google and Facebook. Making the framework usable for business analytics on an enterprise level requires adapting it for private infrastructure, security, and process requirements, which are strict. Also, any enterprise has relational databases within its infrastructure that can’t be fully replaced by Hadoop at the moment. An effective merge of Hadoop with Relational principles can become a nightmare for an internal IT. Luxoft’s Solution: Luxoft offers a smooth, lowrisk Hadoop implementation. We know how companies can optimize the use of Hadoop with other enterprise systems to improve overall analysis and to build new data-driven products. Our expertise includes: Ways to achieve highperformance integration between Hadoop and relational-based systems Hadoop+NoSQL versus Hadoop+SQL architectures High-speed, massively parallel data transfer to analytical platforms that can aggregate web log data with granular fact data Strategies for freeing up capacity for more explorative, iterative analytics and ad hoc queries

“With the aim of reusing existing architecture, companies must plan to adopt big data technologies that complement current investments.” Forrester, “The Big Deal About Big Data For Customer Engagement,” 2012

Without question, Apache Hadoop is an open-source framework that provides a cost-effective and innovative approach to advanced Big Data analytics and potentially can be used as a core Big Data technology for enterprises. Hadoop provides scalable, reliable, distributed computing with significant cost savings because of its license-free distribution. Luxoft’s architects, consultants, and developers understand the Hadoop platform and its unique risks to private enterprises. Luxoft has significant experience in the development of large, business-critical applications combined with a mature expertise in Hadoop-based systems development adapted to unique corporate requirements and rules. We have “hands on” expertise in the development of large, business-critical applications combined with a mature expertise in Hadoop-based systems development adapted to unique corporate requirements and rules. Luxoft is a partner of Cloudera, the market leader in Big Data platforms for enterprises, and implements their innovative technologies to maximize Hadoop adoption value for its clients.

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Investment, Budget, and ROI Constraint:

“Big data initiatives require holistic planning, and companies must plan for a phased rollout to ensure positive business outcomes.” Forrester, “The Big Deal About Big Data For Customer Engagement,” 2012

Privacy and Security Risks

The Enterprise IT community is still distrustful of solutions using Big Data technologies because the ROI versus the needed investment are unclear. Today’s CFOs want to see empirical evidence of business value before the company invests a significant amount of money.

Constraint: Hadoop isn’t designed to be a secure processing environment, making security a risk and a requirement for enterprises using the technology for their Big Data initiatives. To compound the risk, many companies centralize traditional and non-traditional data—and centralized data is the most difficult to secure. Securing large volumes of highly dynamic, unstructured data is a known challenge.

Luxoft’s Solution: To realize the substantial benefits of Big Data, Luxoft begins with a clear strategic understanding of how the data will be used (i.e., market clarity or product distinction) and its business value. Then we apply a rigorous approach to spending that balances the cost of deployment with the benefits accrued to insure a speedy return on investment. Luxoft recommends an iterative approach, beginning with a Proof of Concept (PoC) and small, short-term projects that add value while working toward the proposed global solution. This way, the client will see benefits quickly in terms of their own business goals and environment. Luxoft’s cost-effective Big Data deployment approaches include:

Luxoft’s Solution: At Luxoft, we provide Big Data solutions for many global enterprises. Multinational investment and retail banks, which have the strictest security policies, trust our company to secure their data. Based on our experience, we understand that there is no single solution to security challenges for all enterprises and our experts work diligently to identify the security strategy that will ideally fit the rules and processes within your company.

Innovative processing that leverages low-cost servers/CPUs

Conclusion

Use of the increasingly robust array of open-source and freeware technology

With Luxoft as your technology partner, you can begin to adopt Big Data technologies that you need to stay competitive with low-risk system adoption and that maximize your current technology investments.

“Start Small and Scale at Need” information processing model

For more information about Luxoft’s Big Data development services, visit (www.luxoft.com/bigdata) or contact Vadim Iasenik, mob: +7(985)7602243, Vadim.Iasenik@luxoft.comt

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c a se stud y

With Luxoft,

Ford Gives Consumers a Safe, Interactive Tutorial for their In-Car System


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MyFord Touch速 App Simulates the In-Car Experience to Reduce the Learning Curve. When Ford Motor Company introduced the MyFord Touch速 in-car communications and entertainment system, they decided to develop an interactive tutorial to help new drivers and auto dealers learn the system as quickly and conveniently as possible. The intent was to provide drivers and dealers with a dynamic, yet user-friendly and completely intuitive guide to clearly demonstrate how to use all the features of their newest infotainment system.

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c a se stud y

Ford wanted the MyFord Touch Guide available as a free download from their website, as well as from Apple’s App store and Google Play, making it a truly innovative approach within the automotive industry. To realize their vision, Ford had to find a highly qualified software development partner. During Ford’s rigorous selection process, Luxoft emerged as the clear provider of choice. Luxoft’s unique combination of software development expertise and deep domain experience in automotive infotainment and mobile application development was the deciding factor in Ford’s choice.

Delivering Multi-Platform Selection and Groundbreaking Instruction in Record Time Ford had three primary objectives for the MyFord Touch Guide. First, the application had to be built to run on multiple mobile platforms: iOS, Android, and Windows. Second, the learning process had to be supported by a virtual avatar that provided narrative and video instructions on how to use the in-car climate control, phone, entertainment, and navigation features. Lastly, the guide had to be completed in just six months to coincide with the release of the MyFord Touch® update in the first quarter of 2012. An international project team successfully developed the MyFord Touch Guide app, with 90% of the engineers working from Luxoft engineering centers based in Eastern Europe. Using the new syntactic features of HTML5 (video, audio, and graphical), Luxoft’s engineers were able to create a rich, flexible multi-platform app with an extremely short development lifecycle.

Going the Extra Mile One month prior to the planned release of the MyFord Touch Guide simulator, several important updates were made to the actual in-car system that had to be incorporated into the tutorial. Luxoft’s use of the right technology and the availability of its global resources ensured that all changes were incorporated into the tutorial on time. The Ford and Luxoft partnership has proven to be a huge success. The MyFord Touch Guide, a free application available on Google Play and iTunes, is revolutionizing the in-car infotainment system learning experience by providing a safe way to practice the in-car features before you get behind the wheel of the car. The MyFord Touch Guide app can be updated as needed and users are notified instantly when updates are available. The application has also become a popular and effective training and sales tool for Ford dealerships around the world, enabling salespeople to communicate the advantages of the MyFord Touch system to their customers easily.

“The MyFord Touch Guide is now being downloaded by many of our customers and dealers through the Apple App Store and Android Market,” said Paul Mascarenas, CTO and VP of R&D at Ford.

“I have installed this on my iPhone and iPad, and find it very useful for impromptu demonstrations of the systems capability,” he adds. The MyFord Touch Guide application strongly reinforces the reputation Ford has earned as one of the world’s most technologically innovative car companies.

Luxoft’s ability to think differently and deliver quality products resulted in an additional win for Ford who plans to expand the MyFord Touch Guide pilot into a full platform that would enable in-car infotainment control from a smartphone.

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c a se stud y

Client:

Challenge:

Ford Motor Company, a global automotive industry leader based in Dearborn, MI

Deploy a user-friendly, intuitive MyFord Touch simulator that can be run on iOS, Android, and Windows-based mobile devices within a six month development time frame.

“Luxoft not only met our objectives, but exceeded our expectations.” Jim Buczkowski Technical Fellow and Director of Electrical and Electronics Systems Ford Research and Innovation

Technologies Used: HTML5 Android

Summary:

Results:

Develop a multi-platform mobile tutorial application for the MyFord Touch® in-car system

The app is a popular download with high user ratings on Google Play and the iTunes Store

iOS Windows JIRA Jama Contour

MyFord Touch Guide met and exceeded all requirements and was delivered on time

Why Luxoft: Ford chose Luxoft as the best possible software development partner based on Luxoft’s established expertise in innovative software development and extensive experience in automotive infotainment and mobile application development.

Interactive and intuitive user guide is an example of innovation in automotive infotainment industry Groundbreaking guide reinforces Ford’s position as world class technology innovator

MFT Guide Downloads:

iTunes

Google Play

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C O MPANY N E W S

ORGANIZATIONAL CHANGES

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co m p a n y n e w s

ORGANIZATIONAL CHANGES

Mr. Serkan Arslan

Director, Business Development Automotive Industry Expert to Lead Luxoft Automotive Business Globally from Germany unique blend of deep business acumen and unparalleled intercultural skills that will help him lead Luxoft’s success in the all-important German automotive market and beyond. We set ambitious goals for this year and we are confident that Serkan is the right person to help us meet and exceed them.”

Newly appointed Global Director of Business Development Automotive, Mr. Serkan Arslan will drive business development, sales and account management for Luxoft Automotive. Additionally, he will manage Luxoft’s operations in Germany. Serkan brings more than 15 years of extensive international experience in such automotive domains as In-Vehicle Infotainment (IVI) systems, connectivity, telematics and mobility services in both sales and business development roles. During that time he gained invaluable insights from both OEM’s (Original Equipment Manufacturers) as well as the Tier I side of business. Previously, Mr. Arslan held top management positions at the leading automotive companies such as Daimler and Delphi. He also has vast experience in business consulting helping major OEM’s develop new markets in the EMEA region. At Luxoft, Serkan will be a catalyst for Luxoft Automotive to become a partner of choice for OEM’s and Tier I suppliers globally.

Michael Minkevich, VP Technology Services of Luxoft, added: “In his new role, Serkan will manage the company’s front-end organization and grow business with automotive OEMs, Tier I suppliers and mobility service providers worldwide. Luxoft now offers its partners an impressive array of product engineering services ranging from design and development of user interfaces (UIs) and user experience (UX) for car HMI to driver workload management solutions to smartphone and app integration.”

“I am excited to join Luxoft, a fast-growing and innovative company,” said Serkan Arslan. “Luxoft is more than just a product engineering service provider. Besides having in-depth expertise in automotive infotainment and telematics, Luxoft possesses a vision and actively invests into creating cutting edge product platforms that accelerate the product creation for its clients. Automotive industry is rapidly changing with new trends such as mobility and connectivity entering cars, and Luxoft is perfectly positioned to lead this transformation. I look forward to spearheading Luxoft expansion globally.”

LUXOFT Automotive Raiffeisenstrasse 30 70794 Filderstadt, Germany office: +49 (711) 90770-473 mobile: +49 (172) 8520677 email: sarslan@luxoft.com

“We are pleased with Serkan joining our team,” said Dmitry Loschinin, CEO and President of Luxoft. “Serkan brings a

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Luxoft Switzerland

Site

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www.luxoft.com

Bundesstrasse 5, 6300, Zug, Switzerland Tel: +(41) 445 568 446 Luxoft USA

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FOR CAREER SEEKERS Tel.: +7 (495) 967 8030 Fax: +7 (495) 967 8034 hr@luxoft.com

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