Maritime Digitalisation & Communications 3rd Quarter 2018

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3rd Quarter 2018

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Contents 3rd Quarter 2018 volume 12 issue 3

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10

Regulars 5 INDUSTRY COMMENT 6 ON THE AGENDA 8 OPERATOR FEEDBACK 68 FORESIGHT

Special report 10 Government backing for Shipping 4.0

Big data analytics 12 The four ages of maritime data

15

Artificial intelligence 15 Real time benefits are being derived from AI

Crew Welfare 20 Crew communications have never been more affordable or available

Satcoms 23 How partnerships are delivering faster VSAT

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Bridge systems 27 Enhanced detection. New technology. More market consolidation

Wireless and wifi 32 Wireless transmission. High-throughput and low cost achieved 33 Integration not interconnection. Sensory breakthrough

Vessel tracking 35 The biggest leap in transparency in decades

56

Vessel monitoring 39 Ed Martin visits Carnival Corp’s Fleet Operations Centre in Hamburg 40 Talking technology with Furuno, Reygar and Transas

Container ships 43 Zodiac Maritime’s forward looking view on VSAT 44 The Global Shared Container Platform reviewed

Blockchain 46 Capt Herbert Soanes breaks down blockchain and what it means for the industry

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Maritime Digitalisation & Communications | 3rd Quarter 2018


Contents 3rd Quarter 2018 volume 12 issue 3 Forward thinking 51 ABS’s Howard Fireman on what drives digitalisation

Digitalisation 54 Wilhelmsen are out to disrupt the market

Internet-of-things

www.maritimedigitalisation.com Head of Content: Edwin Lampert t: +44 20 8370 7017 e: edwin.lampert@rivieramm.com Marine Communications: Martyn Wingrove t: +44 20 8370 1736 e: martyn.wingrove@rivieramm.com Sales Manager: Paul Dowling t: +44 20 8370 7014 e: paul.dowling@rivieramm.com

56 The outlook for a transforming industry 60 Shipowners will spend US$2.5M each on IoT technology

Sales: Jo Lewis t: +44 20 8370 7793 e: jo.lewis@rivieramm.com

Cyber security

Head of Sales – Asia: Kym Tan t: +65 9456 3165 e: kym.tan@rivieramm.com

62 The view from Westminster 64 The key talking points from Riviera Maritime Media’s European Maritime Cyber Security Summit

Norway

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66 Ed Martin reports from the Norwegian Competence Centre in Ålesund 67 Norway’s maritime Silicon Valley is setting its sites on augmented reality

Subscriptions: Sally Church t: +44 20 8370 7018 e: sally.church@rivieramm.com

Next issue

Chairman: John Labdon Managing Director: Steve Labdon Finance Director: Cathy Labdon Operations Director: Graham Harman Head of Production: Hamish Dickie

Special report: Scandinavian shipowners; Satellite communications; Ship optimisation; Safety and security; Digitalisation Ship type: Workboats

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Maritime Digitalisation & Communications | 3rd Quarter 2018

Disclaimer: Although every effort has been made to ensure that the information in this publication is correct, the Author and Publisher accept no liability to any party for any inaccuracies that may occur. Any third party material included with the publication is supplied in good faith and the Publisher accepts no liability in respect of content. All rights reserved. No part of this publication may be reproduced, reprinted or stored in any electronic medium or transmitted in any form or by any means without prior written permission of the copyright owner.

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INDUSTRY COMMENT | 5

Making sense of the digital revolution Edwin Lampert Head of Content

T

here has never been more data at our fingertips. Analogue has given way to digital and ushered in new possibilities for the maritime industry – including better and more informed decision making and more profitable operations. The key is knowing how to store, analyse and make best use of the welter of data out there. Without this maritime intelligence, companies face overwhelming information overload, which means underperforming operations. To keep pace and position for the future the market has had to adjust its focus. At Riviera we are doing the same. For eight years we have brought you Marine Electronics & Communications. At SMM in Hamburg in September we will replace this title with Maritime Digitalisation & Communications. Our commitment to market leading coverage of marine communications is unchanged. Readers can continue to expect coverage on satellite communications,

Ecdis, VSAT. Nor will we neglect coverage of what might be regarded as traditional electronics topics. At the same time readers can now also look forward to our new focus on maritime digitalisation. This will see our editorial team sifting, sorting and making sense of the rapidly changing maritime digitalisation landscape to bring the information and insight needed to support operations and strategy. We will look critically at developments, engage directly with those shaping and leading maritime digitalisation, and offer robust analysis and opinion. In short, we will be the one-stop-shop – in print and online – for the maritime data, maritime communications and maritime intelligence you need in fast changing and challenging times. Please enjoy this first issue. Edwin Lampert Head of Content, Riviera Maritime Media

What does the future hold?

Rohit Talwar, CEO, Fast Future

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As a global futurist*, I advise clients on the future. That includes what forces are shaping it, how they can prepare for it, and how they can create the future they want. I foresee the shipping sector experiencing quite significant transformations over the next fifty years. We already see manufacturers pushing innovation in areas such as Internet of Things (IoT), autonomous shipping and augmented and virtual realities. It is now up to shipowners to start asking themselves questions and consider how they deal with

this change, how quickly they should move and how they can experiment more. Fundamentally, they need to ask how they can ensure that in a fast-changing world their leadership is thinking flexibly and future-proofing the organisation. Artificial intelligence (AI) is about creating algorithms that can mimic the human brain’s ability to plan, to reason and other abilities. As AI develops we will see it being used in ship design, to produce more fuel-efficient and streamlined vessels. As well as placing more processing into the cloud, we will see next-generation

computing architectures such as quantum computing. It is even possible that data could be stored in DNA and that bacteria could carry out computing transactions. The sensor-rich environment of IoT will blur the boundaries between the physical, the chemical, the biological and the digital quite dramatically. In the future we could reach a point where individual molecules are given their own digital signature, so if an oil tanker has a spill the precise location and depth will be easy to track as well as the efficacy of the clean-up operations. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


6 | ON THE AGENDA

MSC amends emergency communications and bridge regulations

MSC amended key shipping regulations covering safety communications and navigation

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ecisions made by IMO’s Maritime Safety Committee (MSC) at its 99th session will have great influence on the future of maritime emergency communications, integrated bridge systems and passenger ship safety. The committee approved amendments to key shipping regulations and adopted new amendments during meetings in London between 16 and 25 May. One of the biggest decisions with ramifications for emergency communications was enabling other satellite operators to provide services to the Global Maritime Distress and Safety System (GMDSS). This involved replacing all references to Inmarsat with a “recognised mobile satellite service” in a raft of regulations including SOLAS chapter IV, the International Code of Safety for High Speed Craft and the Code of Safety for Special Purpose Ships. These amendments are expected to enter into force on 1 January 2020. MSC then recognised Iridium Satellite, with its low Earth orbit constellation of satellites as a future provider of GMDSS. It recognised Iridium Safety Voice, short-burst data and enhanced group calling services. Iridium now has a lengthy process of approvals and certification before it

can provide safety communications of GMDSS levels. It will be working with the International Mobile Satellite Organisation (IMSO), the inter-governmental organisation appointed by IMO to manage oversight of satellite GMDSS providers. IMSO will monitor the implementation of the Iridium services and report to MSC when the public services agreement with Iridium has been concluded and a letter of compliance issued. Iridium expects these regulatory hurdles will be overcome for a commercial GMDSS service to be ready in 2020. It may then take a further year before IMO finally approves Iridium’s service to begin commercially. MSC also adopted a statement of recognition for services provided by the Inmarsat Fleet Safety to GMDSS, in the coverage area under the Inmarsat-4 satellite, which is the Middle East and Asia. MSC also instructed the next Navigation, Communications and Search and Rescue (NCSR) sub-committee to evaluate China’s BeiDou navigation satellite system as a future GMDSS provider. Updates to the International Aeronautical and Maritime Search and Rescue manual were approved and include a new section related to search and rescue operations in remote areas.

Maritime Digitalisation & Communications | 3rd Quarter 2018

IMO’s Maritime Safety Committee (MSC) changed regulations that cover safety communications, routeing measures, navigation and bridge systems at its 99th session

For all forms of communications, MSC asked the NCSR sub-committee to consider changes to communications and navigation requirements for vessels that operate in polar seas, but do not come under IMO’s International Code for Ships Operating in Polar Waters (Polar Code). This includes cargo ships of between 300 gt and 500 gt, pleasure yachts of less than 300 gt and fishing vessels of more than 24 m in length. MSC adopted amendments to IMO’s revised performance standards for integrated navigation systems (INS) that relate to the harmonisation of bridge design and display of information, and approved interim guidelines for the harmonised display of navigation information received via communications equipment. The committee also adopted performance standards for shipborne Indian regional navigation satellite system receiver equipment and approved updates to IMO’s e-navigation strategy implementation plan. MSC adopted new ship routes including routeing measures in the Bering Sea and Bering Strait, a traffic separation scheme and other routeing measures in Dangan Channel, in China, and in the vicinity of Kattegat (Denmark and Sweden). For passenger shipping, MSC amended SOLAS regulations II-1/1 and II-1/8-1 for implementation from 1 January 2020. These concern computerised stability support for the master in case of flooding for existing passenger ships. The committee also approved guidelines on operational information for masters in case of flooding for passenger ships constructed before 1 January 2014. MSC started reviewing how safe, secure and environmentally sound maritime autonomous surface ships (MASS) operations may be addressed in IMO instruments. It endorsed a framework for a regulatory scoping exercise which includes approving preliminary definitions of MASS and degrees of autonomy. MDC

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ON THE AGENDA | 7

Owners still need to break the IoT barriers Digitalisation technology enables shipping companies to reduce operating costs and sail safer, but wariness of data sharing and perceived costs remain barriers

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nternet-of-Things (IoT) is ready for full fleet implementation, but many shipowners and charterers are not. There are multiple barriers currently preventing owners and managers from investing in IoT despite the proven financial, efficiency and safety benefits. These were the benefits industry leaders described to editor Martyn Wingrove as he moderated a webinar on the subject of shipping and IoT. During this event Inmarsat head of communications Mark Warner explained how some early adopters of IoT have already seen these benefits. “There is polarisation between the leaders and laggards in IoT implementation,” he said. However, more shipping companies will follow these early adopters if chief executives can be persuaded of the benefits. “Change is leadership-driven,” said Mr Warner. “It has to be pushed from the board down.” Early IoT adopters are using networks of sensors to collate information on ship systems. They then use satellite communications, including Inmarsat’s fifth-generation constellation, to transfer data in significant volumes from ship to shore, so these bytes can be analysed for operational trends. ClassNK lead business strategist Vikrant Sharma predicts falling communications costs and higher satellite capacity will drive construction of IoT-connected ships. “This is also likely to lead to more remote operations.” He expects implementation of IoT will be assisted by developing “open platforms to access data from ships safely, easily and efficiently.” Collaborative working on such an open platform will “foster innovation and create new value” he said.

taken up yet” by operators. “It is still very common for ships to travel faster than they need during the early stages of their voyages, then wait for considerable time at anchor.” Wariness towards data-sharing and transparency are also barriers, he added. However, Mr Kuutti thinks regulations such as the EU’s monitoring, reporting and verification (MRV) will “drive a lot of technology uptake that will deliver valuable statistical data.” He also believes the majority of shipping companies will adopt IoT and digitalisation technologies. “Within five years, IoT will be used by most ships to benefit the stakeholders,” he told MDC. These benefits will include “optimising performance, speed profile optimisation and routeing.” Mr Kuutti went on to highlight the fuel efficiency benefits. “Greater than 5% improvements can be easily gained just through better voyage planning and execution.” Danelec Marine chief executive Hans Ottosen highlighted the safety benefits of IoT. “Each time you have an accident, there are usually 20 near misses,” he explained. “Currently we are not learning from the near misses, but only when there is a serious incident. If there had been good IoT monitoring this accident could have been avoided.” MDC This webinar, moderated by Maritime Digitalisation & Communications, can be viewed online using this link: http://bit.ly/MEC_IoT_Webinar

IoT team effort

Napa president Ilmo Kuutti thinks collaboration across the whole shipping industry will be vital to further technology adoption. “IoT will be a team effort between the captain, owner, charterer and weather information provider, who will together create the best possible operations,” he said. However, Mr Kuutti told Maritime Digitalisation & Communications that charterparty agreements are the biggest challenge to IoT adoption. “They are based on the traditional way of shipping and make barriers to IoT. They prevent ship operators, owners and charterers from taking the benefits,” he said. One of the earlier IoT technology innovations was virtual arrival, which enables a ship operator to plan a vessel’s voyage to arrive at a port at the optimum time for its cargo requirements, thus reducing fuel consumption. But Mr Kuutti said virtual arrival “has not been

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IoT webinar panelists (L-R): Hans Ottosen (Danelec), Mark Warner (Inmarsat), Martyn Wingrove (Moderator), Ilmo Kuutti (Napa), and Vikrant Sharma (ClassNK)

Maritime Digitalisation & Communications | 3rd Quarter 2018


8 | OPERATOR FEEDBACK

GAC set to extend digital platform to workboat fleets A digital platform will be deployed on offshore support vessels, towage tugs and ships to reduce fuel costs and improve operations

Martin Wallgren: GAC will extend an Internet-of-Things platform across its fleet

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AC is extending its integrated digital platform across its fleet of workboats, offshore support vessels, towage tugs and ships to improve fuel efficiency and operations. It has already developed a successful and unique digitalisation platform across its logistics and shipping agency businesses. One of GAC’s next tasks is to expand this to its owned, operated and managed fleets. However, there are technical challenges to overcome, said GAC group

chief information officer Martin Wallgren, who is ultimately responsible for the group’s IT systems. He explained that these challenges include the ability of its communications systems on its operated vessels to transfer large volumes of data. GAC operates a fleet of 14 anchorhandling tugs, eight tugs, eight barges, 14 crew vessels and 10 workboats in the Middle East, Caspian, the North Sea and out of Sri Lanka. It supports rig moves, cargo towage, crew supply and goods supply in the offshore oil and gas and marine construction industries. Extending an internet-of-things (IoT) platform across this fleet will be a challenge because of the size and diverse operations of these vessels. GAC needs the IoT platform for “calculating engine performance and measuring fuel consumption,” said Mr Wallgren. This data can be analysed to reduce fuel and maintenance costs. “This is what we want to achieve,” he said. The data would be transferred over satellite links or coastal 3G or 4G networks and analysed to produce information for shore managers and vessel masters. “We

GAC FLEET Type

Middle East

Caspian

North Sea

Sri Lanka

Anchor handling tugs

5

3

0

0

AHTS

2

4

0

0

Tugs

8

0

0

0

Landing craft

1

0

0

0

Supply vessel

0

1

0

0

Crew boats

7

0

0

7

Workboats

0

0

6

4

Barges

8

0

0

0

TOTAL

31

8

6

11

Maritime Digitalisation & Communications | 3rd Quarter 2018

are investigating what to measure and what we need to maintain, and we will need a platform for analytics,” he said. When vessels are operating close to shore, data can be transferred over the local mobile phone 3G or 4G networks, “but handling data over these is tough,” said Mr Wallgren. When vessels operate outside this coverage, data transmissions would be over satellites. However, there is not enough space on board some of GAC’s vessels to install the antennas needed for high-bandwidth satellite communications. “There is less communications capacity for large volumes of data transmissions,” said Mr Wallgren. “So, we need to find a way to store data on board and then send the data as packages when these vessels are close to shore.” GAC also wants to deploy IoT technology on ships on time charter. “We want to get owners to invest in IoT as we need to find a way to implement IoT on ships we do not own,” said Mr Wallgren. If owners are willing to invest in IoT technology, one of the questions to answer is who has the rights to the data. Cyber security is another issue to overcome. GAC has already implemented several elements for its existing integrated platform, including training anyone with access to computers in cyber hygiene. GAC also has protective technology layers such as firewalls, antivirus software, machine learning, data encryption and penetration testing. GAC’s integrated platform is a value-generating asset that combines an integration engine, a data lake and in-house-developed applications, said Mr Wallgren. It differentiates GAC from its competitors because it generates value by integrating data for clients and providing rapid and automated logistics. MDC

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10 | SPECIAL REPORT German shipowners & managers

German shipping embraces Shipping 4.0 Owners such as DS Tankers, Hapag Lloyd and ER Schiffahrt are investing in digitalisation and faster communications technology, writes Selwyn Parker

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Anselm Gehring (Dr Peters)

One of the busiest chief executives in Germany’s shipping industry, Anselm Gehling heads up the Dr Peters Group, a conglomerate involved in shipping and aviation. He joined the company in 2011 and became chief executive and chairman a year later. He runs the corporate strategy, business development, communications and marketing for the whole group.

he German Government is backing the digitalisation of its maritime industry that employs 400,000 people in 2,800 mainly mediumsized companies. Under the German Government’s Maritime Agenda 2025, Berlin has pledged to support Shipping 4.0 as a key element in the future of an industry that contributes an annual turnover of about €50Bn (US$58.7Bn) to the national economy. One of the earliest German operators to spot the potential of digitalisation in ship management was DS Tankers under the guidance of Anselm Gehling, chief executive of parent group Dr Peters. This company is developing ship-to-shore maintenance and inspection processes that are at the very forefront of Shipping 4.0. It is leveraging a range of communications platforms and basing the system on video conferencing, while using inspection tools provided by UK’s Kamelya. The gains have gone straight to the bottom line, Mr Gehling explained: “As a result a huge amount of travel cost is saved,” he said. “Also, the flexibility, quality and efficiency of the ship’s processes are highly improved.” Hapag Lloyd chief executive Rolf Habben Jansen is another believer in Shipping 4.0 and his company is

embracing digitalisation. The average age of its vessels is around seven years, with commensurately modern communications installations. “We invest in modern communication technologies on a frequent basis,” he said. This includes internet connections for crew welfare and data transmissions to shore for better control of services and ships, and remote engine monitoring. In addition, ER Schiffahrt is proving it is possible to digitalise its fleet at relatively little capital expense. It operates a fleet of 23 bulk carriers and 61 small container vessels as of July 2018. Under chief executive Nils Aden, ER Schiffahrt has installed an array of communications technology on 158 m freighter ER Tallinn, which operates between Hamburg and the Baltic region, as a testbed for technology. This vessel boasts a powerful mobile telecommunications systems that allows the crew and ship to be online around the clock. There are web-linked cameras that visualise the present state on board while a stream of useful data flows back to Hamburg, providing the current position, speed and course in five-minute timeframes. This data can be harnessed in a variety of useful ways, said DNV GL head of information management technologies Christian Cabos. “As well as providing [information] on the ship’s operations, it also helps to optimise loading and unloading-related tasks.” For instance, headquarters can provide port operations and forwarders the exact arrival time of the freighter, making life much simpler for navigators on the bridge.

“ER Schiffahrt has installed an array of communications technology”

Maritime Digitalisation & Communications | 3rd Quarter 2018

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German shipowners & managers SPECIAL REPORT | 11

“Hapag-Lloyd invests in modern communication technologies on a frequent basis”

Repair 4.0

Bremerhaven-based German Dry Docks chief executive Guido Foersterling is another who sees Shipping 4.0 as a wave that will inevitably overtake the domestic shipping industry. “The whole industry needs a change of thinking,” he said. “Similar to ‘Industry 4.0’ in machinery and plant construction onshore, the digitalisation wave has now also captured the maritime industry,” he said. Given the cost pressure in shipping, shipping will need to redefine entire work processes, work methods and efficiency of services, he said. German Dry Docks specialises in ship and engine repair, retrofit and scrubber installations. Mr Foersterling described his particular revolution as “Repair 4.0.” There are other examples of the digital maritime age already in common use in German shipping companies. Mr Cabos said major shipping companies record the technical parameters of their ships such as speed, engine power and consumption digitally and transfer this information to fleet support centres. “Captains then have access to the guidance of engineers and navigators” that could improve the cost-effective running of the ship. Onboard repair and maintenance could

be improved and ship inspections can be made much faster, simpler and cheaper. For example, an automated drone sends highresolution images from the ballast tank of a ship to reveal its condition and what needs to be repaired. A camera fitted to the helmet of the ship inspector delivers images from more freely accessible areas. The chief engineer can send images by mobile phone of the state of the shaft tunnel’s critical areas. And all these visual insights show up in a ship’s digital twin, which is a threedimensional version loaded onto the shipping inspector’s computer. Finally, the work that has to be done is discussed in a video conference with the project manager of the shipyard. “This is the ship inspection of the future,” enthused Mr Cabos. German operators are also rapidly adopting electronic certificates, which is another benefit of digitalisation. By the end of June, around 70,000 e-certificates had been issued for more than 7,500 vessels since e-certification was unveiled in October last year. These are early steps into more automated operations in shipping. There is much further to go as scientists at the Fraunhofer Centre for Maritime Logistics predict; they expect to see fully autonomous unmanned vessels crossing the Wadden Sea in the future.

Rolf Habben Jansen (Hapag-Lloyd)

A logistics specialist who started as a trainee at Royal Nedlloyd, 52-yearold Rolf Habben Jansen held top jobs in logistics companies including DHL, the subsidiary of Deutsche Post, before joining Hapag-Lloyd. He was appointed chief executive in early 2014 and his term was extended in May 2018. A believer in a modern fleet, Mr Jansen has invested heavily in renewing and modernising ships to improve group profitability.

DS Tankers invests in digitalisation DS Tankers sees itself as just embarking on its digitalisation journey. Several years ago, the group dipped its toe in the water by using satellite L-band services for both operational and crew use. Next, the group upgraded to VSAT Ku-band that provided almost global coverage, flat rates and speeds of up to 1 Mbps. During 2014 and 2015, DS Tankers hired Kiel-based maritime communications consultants Drynet to deliver higher-speed connections with unlimited data. Ahead of its time, this service was based on a centralised secure mail service and firewall platform. If a vessel had to fall back on L-band when the Ku-band VSAT lost connectivity, the costs jumped in unpredictable ways, said chief executive Anselm Gehling. To control the budget better,

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DS Tankers engaged Drynet again to implement Inmarsat’s FleetXpress, combining a 2 Mbps VSAT Ka-band service with unlimited data back-up. “We use this powerful communications platform as the basis for DS Tankers’ digitalisation strategy,” said Mr Gehling. His group then added high-value, global-roaming SIM cards that improve connectivity to vessels by using mobile data networks wherever the ships enter coastal 3G or 4G coverage, when access is through routers installed on board. DS Tankers gets near-terrestrial data performance whenever a vessel is near shore. And the journey will not stop there. “These are just the first steps for DS Tankers to fully digitalise the ship management business,” said Mr Gehling. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


12 | BIG DATA ANALYTICS

The four ages of maritime data analytics and the rise of digitalisation Maritime data analytics has developed from a passive look-up tool to the new world of digitalisation. Belatedly, shipbrokers are looking to retain control of their ‘unique’ data, but that ship has already sailed

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aritime data analytics is the term given to collecting, analysing and disseminating information on shipping activities. The core of the data is the ship specification, ownership, commercial operation and movements.

The first era of shipping data: the age of chit-chat

The first age of maritime data analytics started with chit-chat in Lloyd’s coffee houses and the subsequent publication of Lloyd’s List in 1734, literally listing vessels arriving at the Pool of London, and their cargoes. This was the age of passive data, really only of interest to those in the shipping and insurance industries. With hindsight, the use of passive shipping data probably peaked in the 1980s, when aggregators such as Lloyd’s of London Press (LLP), had exclusive access to Lloyd’s Agents in ports around the world, reporting back on vessel movements. LLP also published Lloyd’s List, registers of ships and shipping companies

Modern data analytics is a question of scale and data requirements

Maritime Digitalisation & Communications | 3rd Quarter 2018

and the Confidential Index, a directory of beneficial owners, which was only available to select clients. Larger shipbrokers such as Clarksons also published ship registers, and every respectable broker’s office had shelves groaning with ship registers from different organisations, all telling a different story about the specification of the vessel.

The second era: investigating where are we in the shipping cycle

The start of the second age of maritime data analytics, the investigative age, was triggered by several events. One was the publication of Maritime Economics in 1988 by Dr Martin Stopford. Now those entering the shipping industry had an easy-to-understand textbook explaining supply and demand and shipping cycles. A new generation of shipping analyst developed tools to investigate the changes in shipping in vessel demand, but they needed a lot of data. Aggregators like LLP collated ship details on a mainframe, cleaning out duplicates and performing basic analysis before selling the data at very high cost to government agencies. LLP extended the programming to published changes in sector size, fleet and hence cargo movement data in aggregate form in publications such as Lloyd’ Shipping Economist. Meanwhile, the ever-innovative Dr Stopford and Cliff Tyler of Clarksons Research developed the Shipping Intelligence Weekly, which took the basic broker’s report and included indicative indices and text explaining what was happening in the shipping markets. Dr Stopford has likened collecting shipping data at the time as a car driving along a road with the windscreen blacked out. It is Shipping Intelligence Weekly’s role to report the scenery passing by the front windows. Then IMO adopted Resolution A.600(15) in 1987 calling for all ships to be given a unique number, aiming to prevent fraud, identify polluting vessels and enhance safety. The IMO number came into force in 1996. Now there was a unique identifier that stayed with the ship, no matter how many times it was sold or the name changed. The arrival of the IMO number was the start of big data in shipping, but few realised the significance at the time. Which must be the explanation as to why awarding and recording the ship IMO number was not kept inhouse at IMO or tasked to an industry body like the Baltic Exchange, but was given to a private company. With hindsight, this was a huge commercial advantage and the other publishers of shipping data were livid. Meanwhile, the internet arrived, and suddenly vessel specifications and IMO numbers were on owners’ websites. This brought about an expansion in the research departments, with rooms full of analysts peering at screens to update ship specifications on an internal database and match sales in brokers’ reports, and names of vessels to those reported in Lloyd’s List and Tradewinds.

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BIG DATA ANALYTICS | 13

Crew know the intimate specification of the ship, probably better than the owner

Brokers and some shipping consultancies were at the forefront of producing online shipping databases with analytical features, but these were only available to carefully chosen clients. There was considerable paranoia about data being stolen. Indeed, at least one shipbroker was taken to court over the theft of electronic data. In the midst of all this distrust, Dr Stopford took an alternative path and chose to sell the Clarkson database of ships, prices and values through the Shipping Intelligence Network (SIN) at a reasonable price to whoever wanted it. For many years the easyto-use SIN was the de facto shipping database, and there are probably hundreds of shipping analysts today who owe a debt of gratitude to SIN.

The third era: big shipping data

We are now in the third age of maritime data analytics, which is the age of prediction using algorithms and integrating several strands of data through digitalisation. The driving force behind the digitalisation of shipping data is often outsiders to shipping. This is perfectly summed up by the activity of CargoMetrics, a hedge fund based in Boston. In 2010, Dr Scott Borgerson, a US Coast Guard Academy graduate with an impressive array of educational qualifications had an idea on how to use the fact that demand for shipping is predicated on the micro and macro supply situation. Although he was a mariner, he had little experience of the commercial world of shipping. So he set out to learn all about the commercial realities of shipping, and applied maths to the problem of predicting cargo flows, supply shortages and demand growth. CargoMetrics’ data scientists are sucking up data on commodities using customs data, vessel AIS movements (satellite and terrestrial), images and other raw data from hundreds of sources on a daily basis. The company has a dynamic register of ships (it is no secret that CargoMetrics is working with Clarkson Research Services) and has geo-tagged the global ports. This means CargoMetrics can track a ship to the berth and then cross-reference the cargo against customs data, images from ports and other data. As a hedge fund, CargoMetrics is monetising all this research arbitraging the information by trading on hundreds of stock exchanges around the world. This is an outsider using algorithms

www.maritimedigitalisation.com

to predict ship movements, with no interest in selling the data to those in shipping. Indeed, to do so would limit CargoMetrics ability to arbitrage.

What is the fourth era of maritime data analytics?

As a naturally conservative industry, there is a persistent view among shipping insiders that the data they hold is unique and valuable. The recent negotiations between the Baltic Exchange and the shipbrokers to impose value and copyright on the data they supply reinforces this stereotype. It is a question of scale and data requirements. Trading companies and their data suppliers are far larger than shipping companies, and far more profitable (the market cap of the largest shipping company, AP Møller-Maersk, is a quarter of that of any one of the top 10 traders). These companies use this muscle to create trading platforms that use algorithms to best guess the likely employment of the fleet. For example, Paris-based Kpler is scooping up data from AIS satellite feeds, customs data, port agents, shipbrokers and traders. The service claims to be able to give the employment of 70% of the vessels in its system, and predict individual vessel movements and cargo flows. The platform was built for trading houses and is now being offered in the shipping market. One characteristic of the fourth era in maritime data analytics will be workarounds for the problem of not having access to unique data, and there is one obvious group of shipping insiders whose unique access to maritime data has not been exploited. The crew know the intimate specification of the ship, probably better than the owner. They know the volume of cargo loaded, not some rounded-up figure broadcast by AIS, or some guestimate based on the AIS draught. They have the up-to-date position and speed. The fourth era of maritime data will be characterised by how and when the trading companies choose to tap into this valuable information, and how the seafarer is rewarded for participating. One option would be a smartphone app that broadcasts speed and position and offers incentives for crew to add higher levels of data. From chit-chat to passive data gathering to investigating the data to big data algorithms and digitalisation, the next era could be the crowd-sourcing of maritime data from those in the know. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


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ARTIFICIAL INTELLIGENCE | 15

Here come the machines The maritime sector is embarking on an era built on artificial intelligence

A-SUITE SHIP HARDWARE

COMMUNICATIONS ASAT I

APPLICATIONS

VSAT AIR I

ECDIS DATA SERVER ROUTER

ACCESS

AGNOSTIC SATELLITE

ADVANCED INTELLIGENT ROUTING

AID I

ADVANCED INTELLIGENT DIAGNOSTICS

AIM I

ADVANCED INTELLIGENT MANEUVERING

FLEET OPERATIONS CENTRE MOBILE

SERVICES

DATABASE ADD I

ADVANCED DATA DELIVERY

OTHER SENSORS SUPPORT ARM I ADVANCED REMOTE MAINTENANCE

The Transas A suite is a key element of the AI solution adopted by Wilson for its fleet of vessels (credit: Transas)

N

orway-based fleet operator Wilson ASA has embarked on a probably endless voyage with artificial intelligence (AI). Over the coming years the group expects to improve navigation, communication, connectivity and fleet data among other vital elements involved in running its 100-strong fleet. In early July, Wilson signed one of the first big AI-driven contracts in the maritime sector to apply machine-learning techniques on ship and shore. Working with an AI specialist, the Wärtsilä-owned Transas group, Wilson’s so-called fleet operations solution enables a highly collaborative environment between its bulk carriers and the offices on shore. The plan is to connect fleet operations with the ships, port and coastal traffic management through sharing mutually

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THESIS MANAGED SERVICE

beneficial data. Wilson’s goal is exactly what most fleet operators fervently want – better safety, reliability, efficiency and higher profits in a competitive world. Thus, with AI being taken to sea, the digital world is becoming more and more embedded in the maritime sector. “Digital solutions can add value to large fleet operations,” explained Transas leader for Wärtsilä Voyage Solutions, Frank Coles. “Joined-up technology has a definite role to play in the sector’s transition to a new era of efficiency.”

Bandwagon

As the realisation dawns that the constantly mounting complexities of shipping present challenges beyond the ability of human intelligence to provide perfect – or nearly perfect – solutions, other companies are jumping on the AI bandwagon. After all,

the thousands of cargo ships that ply the oceans constantly run into difficulties, unforeseen or otherwise. Hostile weather, congested ports where vessels are forced to wait at anchor, equipment failures, full containers on the way out and half-empty ones on the outward voyage, manning problems: they can add up to a logistic nightmare where operators, however experienced, could do with help in the shape of AI.

Developers

One of the latest to recognise the promise of AI is Orient Overseas Container Line (OOCL), which has a track record of embracing technologies that fall straight to the bottom line. So committed is the Hong Kong-headquartered group, with a fleet of nearly 60 vessels, that it employs a large team of developers around the world whose

Maritime Digitalisation & Communications | 3rd Quarter 2018


16 | ARTIFICIAL INTELLIGENCE

job is to create software that makes the skipper’s job easier. Earlier this year, OOCL engaged a machine-learning consultancy, Microsoft Research Asia, to map out its digital journey. After spending 15 weeks analysing ways to improve its shipping network operations, the group got immediate results. According to OOCL chief information officer Steve Siu, the result of that collaboration slashed about US$10M a year from operating costs. With economies of that scale lying on the table, the shipping company promptly took a big step further in April by signing an 18-month partnership to embed two fundamental elements of AI – deep learning and reinforcement learning – into its operations. The vagaries of running a big fleet of ships seem tailor-made for what machine learning can offer. “Shipping network operations involve multiple parties and variables that can change at any moment,” explained Microsoft Research Asia managing director Hsiao-Wuen Hon. Having identified the long-term opportunities, the partners are throwing a lot of resources into AI. Right now,

Microsoft Research Asia is training more than 200 machine-learning developers. (There is a global shortage of AI specialists.)

OED

But what exactly is artificial intelligence, also known as machine learning? According to the Oxford English Dictionary, it is “the theory and development of computer systems able to perform tasks that normally require human intelligence, such as visual perception, speech recognition, decision making and translation between languages.” And as we see further down, most of these tasks have direct application to the maritime sector, including ports. Land-based manufacturers were much quicker to spot the value of AI and implement its techniques in what is known as Industry 4.0. Global consultancy McKinsey is a fervent believer in the potential of AI, while recognising the challenges of installing it in a real-life situation. In a study titled Crossing the frontier: how to apply AI for impact, McKinsey analysed 40 cases where the application of machine learning beat – or enhanced – human

intelligence in resolving complex issues. To take just one example, that of predictive maintenance, increasingly seen as fundamental in the post-2020 shipping world, the consultancy said “Deep learning’s capacity to analyse very large amounts of high-dimensional data can take existing preventive maintenance systems to a new level.” Data-driven predictive maintenance is particularly valuable in the case of hardworked assets such as engines. Although the following example is not a nautical one, it is relevant to shipping. McKinsey found that AI “can extend the life of a cargo plane beyond what is possible using traditional analytic techniques by combining plane model data, maintenance history, internetof-things sensor data such as anomaly detection on engine vibration information, and images and video of engine condition.” Nor does all this necessarily cost the earth – microphones and cameras can capture a lot of predictive data.

Virtual twin

The ship construction industry might be ahead of the vessel operators. The former >>>

MSC Cruises’ Bellissima will feature an AI-created virtual hostess (credit: MSC)

Maritime Digitalisation & Communications | 3rd Quarter 2018

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Maritime Digitalisation & Communications | 3rd Quarter 2018

Artifical intellegence relies on serious computer power; the server room at the BP Centre for High Performance Computing (credit: BP)

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ARTIFICIAL INTELLIGENCE | 19

has already discovered AI in the guise of the digital – or virtual – twin. Effectively a phantom version of the real thing, the digital twin mirrors the physical structure. Currently, more and more complex vessels such as floating production and storage and offloading platforms (FPSOs or floaters) are being developed with a broad range of digital tools that create a working model in 3D. Although the digital twin is virtual, the benefits are real enough. A giant FPSO, with a capacity of 220,000 barrels a day, was launched in mid-2017 after the construction job was shortened by nine months, saving US$15M. In another example of AI adding value to these complex projects, the crew of FPSOs and other vessels can be trained in simulated work situations. Through a Siemens-developed programme called Walk Inside that creates real-life scenarios, crews became familiar with their tasks long before they get down to the business of pumping oil. And throughout the construction process, all the parties involved – designers, engineers, IT experts and owners – are kept in the loop through 3D visuals. Rather than having to pore over printed manuals, they can see on screen everything that matters, from the integrity of the welding process to the cabling. >>>

Topsides 4.0

The Siemens group has developed a package called Topsides 4.0 that is slashing costs for constructing big and complex vessels. It also cuts costs when the vessel is up and running – Siemens told the author that operating expenses for a mid-sized FPSO over a 10year period will fall by more than US$100M by applying the programme, because the package harnesses the streams of data that sensors pour out day and night. Known as automated intelligence monitoring, the data is streamed from vital assets, especially the so-called rotating ones such as pumps and heat exchangers. Customised analytics are assigned to each of these assets so they can be packaged and analysed relatively simply, albeit by experts. As Siemens’ director of digital solutions, Elgonda LaGrange said “[Topsides 4.0 came about] because we saw that we had a portfolio of intellectual knowledge that we could assemble into an overall solution that would make a dramatic difference in the oil and gas industry.” And surely, in the shipping industry. Siemens had already seen the potential of its package first hand in the automotive sector, one of the first to embrace AI on the

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“The combined package will further improve the way a vessel can sail in the most cost-efficient and environmentally friendly way for our customers”

assembly line. When Fiat Chrysler engaged Siemens to install machine learning in its Maserati plant in Modena, Italy, production jumped by 30%. As oil and gas consultancy Wood Group explained “All offshore oil and gas businesses are being prompted by the internet of things [an offshoot of machine learning] to shift their operational paradigms into the digital world. FPSO contractors and producers are no exception.”

Torrents of data

MSC’s virtual hostess MSC Cruises has used artificial intelligence to create a virtual hostess whose sole job is to attend to passengers’ needs. The first cruise line to exploit AI in this way, MSC will launch the voice-activated personal assistant in 2019 on its new vessel, MSC Bellissima, currently under construction at the STX France shipyard in Saint Nazaire. Developed by Harman International, a subsidiary of Samsung Electronics, the virtual hostess is, technically speaking, “a voice-activated conversation tool that uses AI to intelligently communicate, learn and predict the needs of passengers as well as to suggest interesting recommendations.” That’s quite a mouthful, but the best way to think of the virtual hostess is as a bit like Siri, but tailor-made for the cruise line. The as-yet unnamed personal assistant is part of the cruise line’s MSC for Me, a digital innovation programme. Given the success of Siri and the imitators it has triggered, it’s certain that virtual hostesses will be appearing in competing cruise lines in the near future as they see the benefits of machine learning.

What can’t machine learning do? Promising though it is, AI has its limitations. The biggest one is managing the torrents of data that sensors deliver in ways that can be assimilated and digested to achieve practical results. As McKinsey describes it “Even more challenging in terms of scale [than developing companywide data maintenance and governance processes], is overcoming the ‘last mile’ problem of making sure the superior insights provided by AI are instantiated [embedded] in the behaviour of the people and processes of an enterprise.” Translated, it is hard to get everybody on board. Despite the obvious challenges, Wärtsilä has seen the future and thrown itself wholeheartedly into the AI vision. In fact, it liked the product so much that it bought the company. The Helsinki-based group snapped up Transas in March 2018 as a big step forward along the journey it describes as the Smart Marine Ecosystem. In big words, Wärtsilä said it plans to use AI “to disrupt the industry by establishing an ecosystem that is digitally connected across the entire supply chain through applications that are secure, smart and cloud-based.” In practical terms, Wärtsilä sees the vision as connecting smart vessels with smart ports in ways that “resolve inefficiencies in the shipping sector resulting from overcapacity, sub-optimal fuel consumption, and waiting times in ports and other high-traffic areas.” And that is precisely why OOCL hired Microsoft’s research tank. It is all about converting the promise of AI into solutions in traffic control, simulators, navigation, training and fleet operation. “The combined package will further improve the way a vessel can sail in the most cost-efficient and environmentally friendly way for our customers,” summarised the president of Wärtsilä Marine Solutions, Roger Holm. Few operators would disagree with that. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


20 | CREW WELFARE

Greater access and lower costs for crew communications

M

aritime crew communications’ global market value has fallen by 30% to around US$2.4Bn as technology has lowered connectivity prices. This is US$900M less than three years ago due to the falling cost of providing broadband to vessels. According to the Crew Connectivity 2018 survey report*, the annual at-sea connectivity market is worth around US$1.3Bn, which is a decrease of US$500M since publication of a similar report in 2015. Prices for delivering voice, text and online applications over satellite have declined as higher-capacity units have been launched. There have also been reductions in the cost of non-satellite communications to and from ships operating in coastal waters or using terrestrial services, which has a global value of about US$1.1Bn, a decrease of US$340M from 2015. Seafarers pay US$175 to US$195 per month for communications at sea and in ports, of which around 60% is on ships. Monthly costs for officers are around US$107 for satellite communications and US$85 in coastal waters or ashore, while ratings pay around US$98 over satellite and US$77 by other means. As internet and online voice services become more prevalent at sea, seafarers are paying less for these services. On average this is US$101 per month, which is a decrease of US$51 per month, or 33% less than what seafarers were paying for satellite communications in 2015. This is due to more shipowners migrating ship communications from traditional pay-per-byte L-band to fixedcost VSAT packages. For seafarers, the largest expenditure at sea is voice calls, on average US$46.7 per month, which is US$22 less than three years ago. Monthly seafarer internet expenditure at sea has also

The global value of the crew communications market has dropped 30% to US$2.4Bn, but there is much more access to internet services on board worldwide fleets

“A quarter of seafarers do not have access to internet services on board, despite more than 90% saying that connectivity strongly influences their decision on which vessels to join�

Maritime Digitalisation & Communications | 3rd Quarter 2018

fallen by nearly US$20 to US$36 per month, which includes online surfing, voice over IP and social media. But email expenditure has risen by US$4 on average to US$18.7 per month. Around a quarter (or US$337M) of the total market (of US$1.3Bn) for onboard crew communications is on passenger ships, of which there are about 7,000 in the global fleet according to Clarksons Research. Another 21.5% (US$282M) is spent in the tanker sector, 17.8% (US$234M) on general cargo ships and 16.8% (US$221M) on bulk carriers. There are more than 17,250 tankers, 16,450 general cargo ships and 11,600 bulk carriers worldwide. Another finding from the crew connectivity survey was that a quarter of seafarers still do not have access to internet services on board the ships they serve on. This is despite more than 90% saying that connectivity strongly influences their decision on which vessels to join. Around 75% of the 6,000 serving seafarers questioned said they had internet access, which is a rise of 32% since a similar survey was conducted in 2015. From this figure, it is estimated by the survey report authors that around 520,000 more seafarers have gained access to internet connectivity in the last three years. Operators of passenger ships and offshore vessels provide the highest levels of internet access, with more than 90% of survey respondents in these sectors reporting that online applications were accessible on vessels. There have also been significant improvements in internet access on merchant ships. Access on tankers has risen from 39% in 2015 to 80% in 2018. Around 65% of seafarers on container ships have access compared with just 25% three years ago. However, there are negative impacts from rising internet access. 53% of seafarers believe that crew communications had led to a decline in social interaction on board. And, only 15% of seafarers reported having received some form of cyber security training. MDC *Crew Connectivity 2018 Survey Report was produced by Futurenautics Maritime in collaboration with InterManager, BIMCO, KVH Industries, Intelsat, Alpha Navigation, PTC and the International Seafarers Welfare and Assistance Network

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Access to crew communications by sector

Provision of internet access (% of seafarers)

(% of seafarers)

2015 2018

Tanker

61% Gas carrier

Bulk carrier

22

67

Container

25

65

General cargo

24

57

Tanker

39

80

70%

Market value of crew communications at sea

Car carrier

76%

(% of total)

Bulk cargo ship

21.5%

56%

25.6%

16.8%

General cargo ship

44%

Container ship

7.7% 7.2%

2.7% 0.8%

17.8%

57%

Sector Offshore vessel

81%

Passenger ship

72%

Market value (US$M)

Tanker

282

Gas carrier Car carrier Bulk cargo ship General cargo ship Container ship Offshore vessel Passenger ship

35 10 221 234 94 101 337

Total

1,314

Average crew expenditure on communications (US$/month)

Over satellite

US$ 46.7 Non satellite

US$ 31.2 Web surfing

www.maritimedigitalisation.com

@

Over satellite

Over satellite

Non satellite

Non satellite

US$ 18.7 US$ 16.2 Email

US$ 36

US$ 32.8 Voice

Marine Digitalisation & Communications | 3rd Quarter 2018



SATCOMS | 23

Partnerships will deliver faster VSAT Mediterranean maritime satellite service providers have teamed up with companies from outside the region to deliver new crew-welfare solutions

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avarino announced at the Posidonia exhibition in Athens, Greece, in June, that it had signed agreements with Intelsat, Japan Radio Co ( JRC), Alphatron and Intellian Technologies as it prepared to offer VSAT services under its own brand. The deal with Intelsat involves Ku-band coverage from a constellation of geostationary orbit satellites including EpicNG highthroughput units. From these, Navarino will be able to offer fast communications to ships worldwide in Ku-band from Q3 this year. It already had this capability in Ka-band after becoming a provider of Inmarsat’s Fleet Xpress services in 2016. To offer Ku-band, Navarino signed a supply agreement with Intellian covering Ku-band VSAT hardware including installation and servicing on ships. It already has an agreement with rival antenna manufacturer Cobham Satcom. To further expand its reach in Fleet Xpress, Navarino signed a distribution agreement with JRC and Alphatron Marine. It will be able to supply JRC’s version of the hybrid VSAT and

L-band solution, based on the new Global Xpress Ka-band JUE-60GX terminal, which has a 60 cm antenna. This is backed by FleetBroadband L-band terminals, of JUE-251 for 250 kbps and JUE-501 for around 500 kbps of bandwidth. Maritime Digitalisation & Communications watched this agreement being signed. During that event Navarino director of strategic partnerships Andreas Dimitriadis said “JRC’s products are a natural fit for us” and that they will work together “to bring unique and innovative solutions to the maritime market.” Cyprus-headquartered Tototheo Maritime has a strategic alliance with Inmarsat covering Fleet Xpress and has been working with Cobham Satcom to supply Fleet Xpress Sailor 60 GX or Sailor 100 GX antennas. It also provides Ku-band VSAT with Sailor 900 and Sailor 800 antennas. Tototheo has started to provide new crew. welfare services using GTMaritime’s mail products, said Tototheo chief governance officer Natalia Bury Loyal, including its TM Mail using GTMail for crew email services. Tototheo and GTMaritime also provide cyber-security products. MDC

OSM develops cyber security programs Shipmanagement group OSM has developed a suite of cyber security programs for its managed fleet and is offering this to other management companies. It created these programs under its OSM Maritime Group Services (OSERV) branch. Issues with cyber fraud shifted the security focus from the IT department to the boardroom, which energised OSM to develop its own systems. It invested in penetration tests that “showed how vulnerable ships are to cyber attack” said OSERV managing director Peter Schellenberger. He said that some of the Windows-based operating systems on onboard electronics “were completely exposed.” The next step for OSM was to fix these vulnerabilities. “We fixed the patches, then we went for secure communications, using encryption and virus protection,” he said. “We wanted protection and intervention, so we developed our own services.” OSM identified that 70% of cyber issues were from crew using USBs, which it dealt with by working with DNV GL to provide online training of seafarers. “We have been running this system on OSM ships for four months, have caught potential attacks and have been able to intervene before there was any dramatic infections,” said Mr Schellenberger.

Representatives from Navarino, JRC and Alphatron signed a partnership agreement during Posidonia

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Maritime Digitalisation & Communications | 3rd Quarter 2018


24 | SATCOMS

Otesat delivers cyber-security solution with maritime satcoms Otesat-Maritel has started providing cyber security with its satellite communications packages using IRIS. This is included in L-band and VSAT packages that include Inmarsat’s Fleet Xpress. IRIS is an integrated cyber-security solution with UTM. It creates a secure framework with a combination of security and protection measures compatible with the full range of mobile satellite communications systems. Otesat-Maritel said IRIS constantly inspects and protects all data traffic to and from a vessel. It also includes a relevant and updated e-learning module for a cyber-aware crew and staff. The whole security framework is enforced by antispam and antimalware network protection, firewalling and antivirus. There are automated systems back-up and recovery

capabilities, intrusion detection and prevention activities. IRIS has real-time analytical traffic analysis, in-depth data and incident analysis. It is backed by security company Fortinet to protect IT infrastructure on board ships and company offices. Otesat-Maritel has dedicated cyber-security experts that operate in a security operations centre. IRIS is part of OtesatMaritel’s s@tGate satellite communications management and service platform. s@tGate is a networking tool that optimises data transmissions and manages satellite bandwidth. It switches connectivity between VSAT and L-band for low-cost routeing and bandwidth reliability. Port IT also uses IRIS cyber security software for its communications and crew email package.

Rock Seven and Network Innovations team up to produce vessel-tracking hardware UK-based Iridium satcom specialist, Rock Seven, has teamed up with Network Innovations (NI) to supply the field hardware for NI’s expansion into Internet-of-Things (IoT) applications in the aviation, maritime, government and land mobile sectors. The reseller partnership with Rock Seven enables NI to provide a suite of adaptable and efficient asset-tracking solutions that deliver a strong return on investment (ROI) to its customers. Network Innovations’ vertical market-solutions portfolio will expand through its partnership with Rock Seven by incorporating RockAIR, RockFLEET, RockStar and RockBLOCK into a dynamic suite of value-added tracking and IoT solutions. The dual-mode Iridium/cellular RockAIR and RockFLEET tracking devices enable improved aircraft, vehicle tracking and vessel/fleet optimisation. RockAIR and RockFLEET could ensure delivery of customer ROI by enabling least cost-routeing of location and sensor data from any point on Earth. The handheld RockSTAR two-way messenger draws upon the Iridium satellite constellation to ensure full two-way communication even when users are out of terrestrial network range. The RockBLOCK enables NI to directly integrate with OEM solutions and enables the OEMs to improve the value of their products and services to their customers. “By utilising Rock Seven’s hardware platforms, we are able to deliver complete IoT solutions to our customers faster,” said Network Innovations vice president of IoT and aviation, David Wigglesworth. “While the hardware is designed for specific vertical

Maritime Digitalisation & Communications | 3rd Quarter 2018

markets, it contains a common core for configuration and programming which enables us to reduce the costs and timeline to develop our customer solutions. Enabling customers to achieve strong ROI is a core part of Network Innovations’ strategy to deliver IoT solutions that drive customer value,” he said. “We’re pleased and excited to be teaming up with NI. NI has a long history and large global customer base in commercial and government entities. Their push into IoT solutions makes them a perfect partner to supply our hardware, as NI delivers complete end-customer solutions,” said Rock Seven director Nick Farrell. MDC BELOW: NI RockBLOCK delivers Internet-of-Things solutions

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radar BRIDGE SYSTEMS | 27

Technology detects small navigation hazards Wärtsilä is introducing new functions to its NACOS Platinum integrated bridge systems

A

s radar technology for shipping progresses, Wärtsilä and Sperry Marine are testing new radar platforms and are planning to present them at the SMM exhibition in Hamburg, Germany in September. Wärtsilä is developing its own solid-state technology for S-band radar and expects this to be available in Q4 2018, said Wärtsilä product manager for navigation products Eberhard Maass. “We are merging different radar video from S-band and X-band radar feeds in one layer to get advantages from both,” Mr Maass explained. It is introducing applications for SOLAS ships, such as ice navigation and wave measurements by using video processing algorithms and presenting the information on human-machine interfaces within Wärtsilä NACOS Platinum integrated bridge systems. “There is interest from operators of expedition cruise ships for these technologies for ice navigation,” said Mr Maass. Wärtsilä also intends to unveil Smart Quay, a smart docking product, at the SMM exhibition. This uses technology developed by UK-based Guidance Marine, which Wärtsilä acquired in 2017, for measuring the distance and position of ships from a quayside by combining radar, cameras, laser sensors and data

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processing, said Mr Maass. “We produced in pilot a device for measuring distances to piers using infrared and high-definition cameras,” he said. This could be used by very large crude carriers, cruise ships and ultra-large container ships for docking. Wärtsilä is considering integrating some of this technology into NACOS Platinum workstations this year. “We are generating solutions for extended and augmented reality (ER/AR) and overlaying information on camera feeds, such as speed and distance information, which is under testing,” said Mr Maass. “We are also testing LiDAR [light detection and ranging] technology, and will be integrating these sensors into NACOS Platinum with some type of AR capability in the future. We eventually want to use this technology on bridge windows, but first it will go on workstations.” Sperry Marine is testing a new radar platform as part of its VisionMaster Net integrated bridge system. It is trialling this radar platform to verify it can identify and track small objects in water, such as passengers overboard and fishing vessels. This uses VisionMaster SeaGuard, a new surveillance radar that operates in all weather conditions and wave heights, said Sperry Marine head of product line

Wärtsilä and Sperry Marine are separately developing radar for identifying small objects, ice navigation and docking assistance

management Ralf Magner. “It uses the latest solid-state radar technology to provide images and track functions” of surrounding vessels and objects. It can also be used by onshore vessel traffic services for ship tracking. “Radar must have high safety standards and be able to detect and track smaller objects,” said Mr Magner. VisionMaster SeaGuard uses an “X-band fixed-phase wave beam and six different waves on different frequencies, so it is not affected in harsh environments and can detect small objects,” he said. It could be enhanced further for different types of targets, such as addition ice. Mr Magner said the radar would be ideal for cruise ships that “need ice navigation for iceberg expeditions in winter and detection of small vessels for summer cruises.” Network-based VisionMaster Net enables operators to switch workstation displays from radar to ECDIS and activate radar overlays or switch to surveillance radar mode, using different types of antenna. Sperry Marine is also trialling a backof-the-bridge voyage-planning system for automatic route exchange and chart updates. “We are looking at remote assistance and remote maintenance of bridge systems for passenger ships to minimise downtime,” said Mr Magner. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


28 | BRIDGE SYSTEMS radar

Radar upgraded for oil spill detection and collision avoidance Radar can be enhanced through data processing to detect oil, ice and marine mammals on the sea surface, while a new safety function can improve situational awareness

S

ens2Sea has developed advanced sea-wave analytics for oil and ice detection, which uses an upgraded X-band pulse navigation radar scanner that rotates at high speed and has an output power of 25 kW. This feeds radar information into a signal process interface, which outputs to the bridge display. Other information also comes into the signal process interface from the vessel’s positioning and automatic identification systems. This interface also processes ship heading, roll, pitch and heave data. Small objects such as marine mammals can also be detected by this radar, said Sens2Sea expert of antenna development Silvester Heijnen. “Using the same

frequency and software we can detect changes in sea surface, such as the wake of vessels, oil spills and mammals,” he told Maritime Digitalisation & Communications. “With the sensitivity we have on this system, it can detect tiny oil discharges, as low as 3 litres and it can detect objects up to 1 km away.” Sens2Sea tested its radar on Dutch coastguard and emergency response ship Arca in 2017 in Rotterdam, the Netherlands. Sens2Sea has also installed its radar technology on an Allseas heavy construction and offshore decommissioning ship. Miros has also developed software that detects oil and ice from X-band radar images. “We measure the depth of the sea surface and use this for calculating

wave height and to identify what is sitting on top, such as oil and ice,” said Miros sales manager Scott Miller. This software processes data from existing X-band radar scanners and motion-reference sensors. Miros onboard systems can transfer this information to a cloud-based service enabling shore managers to visualise the information to detect and track oil spills and ice. “We have introduced Internet-ofThings technology,” explained Mr Miller. “This means information can be accessed anywhere, such as shore offices.” Miros is collaborating with Ocean Visuals to combine remote sensors for oil spill detection and verification. They provide customers with a set of complementary detection and verification sensors, addressing all aspects of surveillance, detection and verification. This combines Miros radar and infraredbased surveillance with Ocean Visuals’ hyperspectral laser-induced fluorescence (HLIF)-based light detection and ranging (LiDAR). HLIF LiDAR provides highresolution point measurements for detection and verification. The Norwegian companies plan to use remote sensing and combinations of different sensors that can be easily mounted on oil spill vessels and offshore production platforms.

An alternative band

ISPAS has developed Ku-band oil spilldetection radar with the first installations on production platforms in the Norwegian sector of the North Sea. In 2017, four of these radar were installed on Lundin Petroleum’s Edvard Grieg platform and Statoil ordered six for its new platforms. Because of the radio frequency they use, ISPAS’ radar can detect oil spills even on

Raymarine’s Quantum 2 radar operates on the Axiom and Axiom Pro series of multifunction displays


Sens2Sea radar was tested on Arca, which has three transceivers

quiet sea surfaces and during low visibility, said managing director Richard Norland. “Our Ku-band radar operates at 15.75 GHz frequency and measures sea clutter,” he said. “It improves detection capability by 70%, especially in quiet sea states, compared with X-band radar.” It can detect and identify targets using horizontal and vertical polarisation and its frequency does not interfere with satellite communications (Ku-band VSAT). “Ku-band has a longer detection range than X-band. It operates at high frequency and with dual polarisation,” said Mr Norland.

New navigation radar

Japanese bridge-system manufacturers have introduced new radar series to improve ship navigation. Japan Radio Co ( JRC) and Furuno Electric have unveiled new radar models with enhanced target identification, tracking and radar display. JRC’s JMR-5400 radar series successfully completed its first sea trials in May after being introduced in November 2017. Its partner in the sea trials, Alphatron Marine, provided a JMR-5425-7 radar to its Iberia dealer, Hidronav, for installation on a fishing vessel. This radar system, installed on 40 m bottom trawler Novo Alborada, includes a 25 kW scanner. It was used during voyages to and from fishing grounds in the Gran Sol area, between the Gulf of Biscay and south of the UK. JRC said the vessel skipper required a high-power scanner to track and discriminate other fishing vessels with the longest detection capability possible for the sharpness of port contours and vessel targets. JMR-5400 radar series has Cat 2 certification, so it is IMO-compliant and certified by a classification society under the EU’s Marine Equipment Directive. It comes with a 25 kW X-band NKE-2255 scanner or a 250 W, S-band solid-state antenna. JMR-5400 radar comes with 19-in or 26-in displays, greater processing power and an updated human-machine interface. It is also compatible with JRC’s proprietary remote maintenance system (RMS), which uses JRC’s voyage-data recorder and satellite communications to remotely link the equipment on a vessel to shore for performing remote diagnostics and preventive maintenance. Furuno Electric has developed a new series of radar with more advanced functions, such as improved clutter and noise reduction and faster target tracking than its previous series. The FAR-2xx8

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series has an S-band solid-state transceiver. FAR-2xx8 series is a successor model of the FAR-2xx7 series and complies fully with the latest IMO performance standards. Furuno said this radar series uses automatic clutter elimination to detect and reduce radar reflections from sea and rain from being displayed on the screen. It has updated the interface with an instant access bar that contains shortcut menus for direct access to tasks an operator would frequently use. However, the display has a similar menu structure to the FAR2xx7 series that will be familiar to operators of the earlier models. In addition, this radar series acquires a target’s tracking data within a couple of seconds, which Furuno said adds to the situational awareness of the operator, reducing the risk of collisions. FAR-2xx8 also has an automatic clutter elimination (ACE) button that enables an operator to select an optimal target display setting automatically. ACE detects sea and rain clutter from received echoes’ range and bearing trends and automatically reduces this clutter in all weather and sea conditions. Navico subsidiary Simrad introduced the NSO evo3 navigation system with integrated high-definition displays in Q1 2018. These connect to GPS, autopilot, Simrad radar and echosounders. NSO evo3 are touchscreen displays with screensplit functions and iMX6 quad-core processors for rapid chart updates. NSO evo3 can be connected to Simrad Halo radar and S5100 sounder modules for forward-looking and 3D sonar imaging and used for route planning and execution, collision avoidance and vessel system control. Displays are available in 16-in, 19-in and 24-in models.

Quantum mechanics

Also during Q1 2018, Flir Systems subsidiary Raymarine introduced its new Quantum 2 Chirp Radar with Doppler target tracking. Marketing manager for the Americas Jim McGowan explained that

compact and lightweight radar would be ideal for fast offshore vessels, including crew boats, offshore wind service craft, and fast rescue craft. Quantum 2’s Doppler radar target tracking technology “dramatically improves safety and situational awareness for watchkeepers that are transiting both congested waterways and open seas,” he said. Raymarine radar can instantly recognise subtle changes to the frequencies of its return echoes caused by targets in motion. Moving targets with a decreasing range are colour coded in red on the plan position indicator (PPI), while those with an increasing range are coloured in green. Non-moving or stationary targets are displayed in a neutral third colour. “This makes it simple for watch officers to quickly identify targets in motion on the radar scope and assess their risk of collision,” said Mr McGowan. Raymarine also introduced a Safety Sector function to its radar to reduce the risk that bridge teams will become so overwhelmed by multiple moving targets that they lose awareness of the nonmoving contacts, such as navigation aids, stopped or moored vessels, exposed rocks or land masses. Safety Sector is an invisible cone 5° wide, projected outwards to 200 m in front of the vessel on the radar PPI. “Any contacts, moving or stationary, that enter the safety sector with a decreasing range are coloured in red to highlight them as a threat,” said Mr McGowan. Raymarine also equipped Quantum 2 with its latest-generation mini-ARPA (automatic radar plotting aid) system, which he said was suited to fast offshore vessels “because of its superior ability to track radar contacts moving at high speeds and in heavy weather conditions.” Quantum 2 can automatically acquire and track up to 25 targets while calculating their course, speed, closest point of approach and time to that point. This radar operates with Raymarine’s Axiom and Axiom Pro series of multifunction displays. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


30 | BRIDGE SYSTEMS radar

Kongsberg set to acquire Rolls-Royce commercial marine Consolidation in the smart-shipping sector continues as another Scandinavian company moves to acquire digital technology specialisation in the area of intelligent marine vessel development. Kongsberg group in Norway has agreed to buy Rolls-Royce’s commercial marine business for an enterprise value of £500M (US$662M). Notably, Kongsberg’s purchase includes Rolls-Royce’s ship intelligence activities, which have developed advanced technologies to enable remote and autonomous operation of commercial vessels. The move came about two months after Finland-based Wärtsilä finalised its acquisition of maritime intelligence specialist Transas in May, in a deal worth an estimated US$250M. Kongsberg will acquire the propulsion, deck machinery, automation and control and the smart-shipping technology divisions of Rolls-Royce’s portfolio. The sale also includes Rolls-Royce’s ship design capabilities, which focus on offshore, cargo, passenger ships and fishing vessels. Kongsberg chief executive and president Geir Håøy said the Rolls-Royce acquisition makes the group “a more complete supplier to the maritime industry.” “With this acquisition, we will strengthen our strategic position with shipowners, shipyards and other customers and partners,” he said. He added that the maritime industry is globalising and undergoing considerable change driven both by technology and market forces. Rolls-Royce’s commercial marine division president Mikael Makinen said the deal “marks the start of a new horizon” for the business. “This deal comes at a time when the maritime industry is at the dawn of a new and exciting era where digital and

electrical technologies will transform shipping,” he said. Rolls-Royce has been responsible for many recent technological advancements in shipping, including development of autonomous vessel and remote control technologies as well as intelligent awareness solutions. Mr Makinen spoke to this publication in May about an impending sale of his division and the dedication of his team in developing new technologies. “This sales process is very stressful, [and] I think it is very important for me to tell the employees that we are on the same side of the table,” he said explaining he would leave Rolls-Royce once the sale is complete. In January of this year, Rolls-Royce undertook a strategic review of its operations, suggesting it was considering selling its commercial marine business to ‘simplify’ its business and focus on its three core units based around civil aerospace, defence and power systems. As such, Rolls-Royce will retain its power systems division including both Bergen Engines and its MTU division, which offer a range of both diesel and gas medium-speed engines. The transaction has been approved by the boards of both Rolls-Royce and Kongsberg and is expected to close in Q1 2019, subject to clearance from the regulatory authorities. After deducting pension liabilities and provisions, separation costs, advisor fees and working capital, the sale is expected to net Rolls-Royce proceeds of £350M to £400M. Rolls-Royce said money from the sale “will be used to improve the resilience of the balance sheet and provide additional capital to judiciously pursue opportunities that will drive greater returns for the group.” MDC

Merger produces Norwegian electronics powerhouse Norwegian leaders in marine electronics and electronic charts have merged to form a technology ecosystem in the fjords. Navico, which has a portfolio of marine electronics brands, has acquired C-Map and its electronic navigational chart (ENC) distribution services. C-Map will become another brand within the Navico group, alongside Lowrance, Simrad and B&G, forming a powerhouse in marine electronics. In reaction to this deal, Navico chief executive Leif Ottosson said the merger would accelerate the companies’ shared ambition to create the world’s biggest digital marine ecosystem. “This merger is an incredible opportunity to drive innovation in the marine industry and lead a new digital era,” he said. “We see huge potential to bring our two teams together and accelerate growth.” C-Map chief executive Sean Fernback has become the chief technology officer of Navico. He said the group has “an opportunity to create a seamless experience by developing an ecosystem that combines the best hardware, software, services and applications.” Navico’s Simrad produces a well-used range of autopilots, radar and ECDIS technology. C-Map distributes ENCs using flatfee, leasing and pay-as-you-sail agreements. These technologies and more could be combined in a larger provider of bridge systems and services technology.

Proceeds from the acquisition are expected to net Rolls-Royce up to US$400M

Maritime Digitalisation & Communications | 3rd Quarter 2018

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32 | WIRELESS & WIFI

IoT-focused wireless transmission technology launched at Hannover Messe The Fraunhofer Institute for Integrated Circuits (IIS) launched MIOTY, a miniature wireless transmission technology aimed at industrial Internet-ofThings (IIoT) applications, at Hannover Messe in April. “The technology guarantees interference-resistant wireless data transmission for several hundred thousand sensors, and reception across several kilometres at a gateway,” IIS said. MIOTY uses an asymmetrical transmission method using scores of simple sensor nodes and a complex receiver, which can handle a large number of simultaneous and robust transmissions. The low-power wide area network has a transmission range of up to 15 km and a battery life of up to 20 years, IIS said. Network density of Fraunhofer IIS’s technology can be gradually increased with additional sensors, and a software-based technology approach means it can be used in conjunction with various hardware components, such as subGHz transceiver chipsets. The European Telecommunications Standards Institute has incorporated MIOTY into its standardisation for low-throughput network protocols for radio interface A. This provides a recognised basis for users to develop new technologies and services and ensures that different IIoT systems and solutions can interact with each other.

Globecomm launches high-throughput, low-cost roaming service New York-based Globecomm has launched Globecomm Roam, a high-throughput, low-cost cellular communications service in more than 140 countries. The system offers 3G, 4G and LTE services at speeds up to 100 Mbps and bundles a cellular modem, global roaming SIM card and maritime antenna to enable connectivity up to 30 miles from shoreside cell towers. The cellular modem supports more than 15 different cellular frequency bands, including 3G and LTE standards. It includes two SIM card slots and two connections for cellular antenna. The Roam system is designed to interface with Globecomm’s Nimbus management smartbox, which the company said allows for easy changeover between satellite and cellular services. L-Band users benefit from the lower cost of cellular communications, while VSAT users benefit from the ability to use cellular connections in case of line-of-sight interruptions, Globecomm said. The Nimbus system offers a number of benefits for operators. The Nimbus Switch system is able to automatically switch to cellular service when coverage is available, providing a low-latency, high-bandwidth connection, while Nimbus Secure keeps all of the ship’s network encrypted and uses shipside and shoreside firewalls to protect data. The Roam service is offered to customers via a range of monthly bundles, with cellular consumption limited depending on the monthly fee.

Shipznet offers maritimefocused GSM services

Fraunhofer IIS’s MIOTY technology can be gradually increased with additional sensors, and used in conjunction with various hardware components

Maritime Digitalisation & Communications | 3rd Quarter 2018

Wentorf, Germany-based Shipznet is a new company offering high-speed mobile broadband services specifically aimed at the maritime sector, with seawater-resistant hardware and flexible options. The company said its large-contingent flatrate data tariffs do not incur extra roaming costs in coastal waters or harbours and its managed-service concept includes hardware, technical support, web portal access and an optional crew solution. The 4G technology used by Shipznet is

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WIRELESS & WIFI | 33

called long-term evolution-advanced (LTE-A) and allows for super-fast connections to the mobile network, with up to 300 Mbit/s download and 50 Mbit/s upload speeds. Two seperate modems allow the use of a wide range of frequency bands to ensure a stable connection and a newly developed saltwater-resistant radome antenna is used to connect to the network. Shipznet's system allows for data-heavy applications such as software updates, electronic chart display and information systems, remote maintenance, crew communications and video conferencing to be used over a near-shore connection.

Shipznet’s radome antenna is designed to be saltwater-resistant

ETELM calls for integration, not just interconnection, of Tetra and LTE Barriers preventing deployment of LTE could be removed by using an integrated, rather than interconnected, solution with terrestrial trunked radio (Tetra), said ETELM's director of sales and marketing, Nicolas Hauswald, at Criticial Communications World 2018 in Berlin. Tetra is a global standard, established initially in Europe for digital trunked radio, often used in public safety networks, transport services and the military. “There are many challenges to overcome when looking at ways to connect Tetra and LTE users, including performance, features, interoperability, management, maintainability, security and costs of operation,” Mr Hauswald commented. “These challenges are creating barriers for users to deploy LTE.” Comparing the two systems, Mr Hauswald noted that while Tetra is a widely deployed proven technology that works in lower bands with good coverage and lower costs, LTE allows for more bandwidth and “opens a new world for applications,” especially in light of the establishment of new LTE mission-critical standards by the 3rd Generation Partnership Project (3GPP). “By allowing Tetra and LTE to interwork in a unified way, the integration is not limited to the application layer. For optimum performance and maintainability, base stations from both technologies are connected to a single core and a single database,” he said. “All the switching intelligence is centralised and both technologies appear at the radio level. In addition, all interfaces are standardised.” Benefits of adopting an integrated, rather than merely interconnected, system, he argued, include “centralised management, improved PTT set-up times, reduced recurring costs, interoperability and compliance, improved network performance compared to multiple networks, unlimited intertechnology communications, extended life of legacy user equipment and network security.” Mr Hauswald said ETELM’s 4GLinked system integrates Tetra and LTE in a single-core, single-database solution. “The solution provides seamless interworking between broadband and narrowband solutions in full compliance with 3GPP LTE and MC standards, and fully integrates Tetra base stations to the LTE Core – providing a single network solution for all secure voice and data communications,” he said. MDC

Lord launches two new wireless OEM sensors North Carolina-based Lord Corp has added two wireless sensors to its product lineup. The new sensors are the TC-Link-200-OEM and the SG-Link-200-OEM models, which will allow OEMs to incorporate wireless data collection into their product “without worrying about signal condition and radio design,” said Lord’s product manager for sensing Chris Arnold. The TC-Link-200-OEM, which has already been used for monitoring fuel-cell condition on electric vehicles, is used for collecting data from several temperature sensor types including thermocouples, resistance thermometers and thermistors. The sensor was developed for use with temperature probes and includes cold junction compensation for thermocouples and linearisation of all temperature measurements. It supports high-resolution, low-noise data collection at rates of up to 128 Hz. The SG-Link-200-OEM is intended for use with strain gauges

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and has also been used for monitoring mining equipment. It can collect data from sensor types including pressure transducers and accelerometers as well as strain gauges. It includes onboard shunt calibration and supports high-resolution low-noise data collection from one differential and one single-ended input channel at sample rates up to 1 kHz. Lord said the sensor is ideal for torque-sensing applications due to its digital input allowing compatibility with a hall effect sensor for reporting RPM and total pulses. Lord said both wireless OEM sensors are well-suited for battery operation due to their compact size and potential for low-power operation. ABOVE: The two new sensors enable data collection without signal conditioning and radio design worries, Lord says

Maritime Digitalisation & Communications | 3rd Quarter 2018



VESSEL TRACKING | 35

Vessel tracking reveals valuable commercial data

V ABOVE: Satellites are built with AIS receivers and tested before being launched (credit: Iridium)

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essel tracking could reveal valuable information, not just safety, but commercial – traderoute growth, regions of weak vessel supply, volumes of cargo at sea, reliability of liner schedules and vessel or company key performance indicators. The current state of the commercial automatic identification system (AIS)derived intelligence market can be split into three types of players – the AIS data providers, the cleaners of AIS data providing ‘dots on the map’ products and the high-end commercial intelligence providers. The first hurdle in turning the

Accurate and efficient conversion of AIS data into market information could be the biggest leap in shipping market efficiency and transparency in decades, writes Craig Jallal

AIS signals transmitted by ships into commercial intelligence is acquiring sufficient AIS data. The AIS signal is received by other ships, ground receivers and satellites. Ground receivers are situated in ports and coasts around the world, but only satellites can acquire AIS signals from vessels on trans-oceanic voyages. With the recent launch of the Spire nanosatellite network, there are at least three global AIS satellite networks – Orbcomm, ExactEarth and Spire (see table). These three companies combine their satellite data with ground-receiver satellite data to offer global coverage. The global AIS data providers face two main challenges – data volume and latency. Orbcomm, which works with the European Maritime Safety Agency said it receives 28M AIS position messages per day. This is a huge amount of data to process and the required processing time adds to the latency issue. Latency is the time between the broadcast of the AIS signal by the vessel and the time it is received by the data provider. Orbcomm reported 86% of the 28M daily messages have an average latency of less than 60 seconds. ExactEarth, which works with VesselTracker (acquired by oil movements specialist Genscape in 2013) quotes a similar figure, but is somewhat coy about the number of transponders and the first-pass detection rate. However, latency is the main comparison used in the marketing. Spire entered the market in 2017, and claimed its low orbit nanosatellites have a lower latency of 27 seconds. These numbers may be an important selling point when pitching to the military and government safety agencies, but when it comes to building applications for commercial shipping, these time differences

Maritime Digitalisation & Communications | 3rd Quarter 2018


36 | VESSEL TRACKING

are marginal and easily lost in the further processing time required to produce the commercially viable intelligence.

Dots on the map

Below the level of the raw AIS data providers are those companies providing AIS data-cleaning services and producing what are known as ‘dots on the map’ products. But why is this step needed? The problems with AIS data start on the bridge of the vessel. The AIS transceiver may have been switched off by the crew on orders from the vessel operators. This may be to conceal commercial activity, or even illegal activity. There might be bridge instrument problems with co-ordinates, producing a voyage where the vessel cuts across Africa via the Sahara. Leaving and entering port is a fraught time on the bridge, and with some systems the AIS report is updated manually, sometimes days later. Crucially, this includes draft changes, used by many commercial application providers to nominate if a vessel is laden or in ballast. Then there is the problem of multiple spellings, where cargo could be ‘iron ore’, ‘ore’, or blank. The destination could be ‘Rotterdam’, ‘Rdam’ or ‘Armed guards on board’ (a favourite in pirate waters). In high-traffic regions, like Singapore, even though there is sophisticated circuitry involved, the AIS signals clash, ship-toship, creating gaps and nonsense in the raw data. A large proportion of these AIS errors are solved using artificial intelligence (AI) algorithms that learn, via human input, to record the most likely event. Such is the effort needed to process raw AIS data that there are intermediates offering these

“A large proportion of these AIS errors are solved using artificial intelligence (AI) algorithms that learn, via human input, to record the most likely event”

services. AIS provider Spire will preprocess data using AI to reduce the latency, while data factory Maerospace uses proprietary algorithms to predict vessel voyages to show the latest likely positions. Without this preprocessing, the AIS data feed could have vessels with positions ranging from a few minutes old to several days old. The aim of the algorithms is to produce a series of most likely events for each vessel, and using the (hopefully uncorrupted) AIS timestamp, string them together to form the voyage. Key decisions to be made by the algorithm are when did the voyage start? Was the ship laden, ballast or part loaded? Why did the ship stop during the voyage (bunkers, repairs, delay, arrival and so on)? When and where will/did the voyage end? These crucial events are not always apparent in the AIS data and may need an expert opinion. This has to be done for all ships in the data set. It becomes clear that hours, if not days, are needed for the algorithms to run through all the AIS data.

Commercially viable intelligence

The third level of AIS data usage is to provide commercially viable intelligence. There is no single definition, but depending on who you talk to in the shipping industry,

GLOBAL AIS DATA PROVIDERS WITH OWN SATELLITE CONSTELLATIONS Orbcomm

ExactEarth

Spire

Satellites

18 OG2

18 Iridium Next

40 nano

Average number of vessels

150,000

165,000

#

60

60

27

28,481,735

7,000,000

#

86%

83%

#

Average latency (seconds) Average number of messages/day First pass detection rate

Source: Orbcomm, ExactEarth, Spire, June 2018. # Spire has yet to release this data

Maritime Digitalisation & Communications | 3rd Quarter 2018

there are certain demands and expectations of what such a product should provide. Providers include: Windward, ASX Marine, Reuters Eikon, IHS Markit, Platts and the hedge fund CargoMetrics. The products should provide the ability to drill down through the AIS data to answer specific questions, and in doing so, provide the user with a level of competitive edge quicker and more accurate than conventional means. These demands and expectations can be assessed by a product's ability to answer questions in the following scenarios: 1. Economic fundamentals: What is the current rate of growth on a trade route? 2. Investment appraisal: Where to invest? Which sectors are showing weak supply growth compared to demand? 3. Forecasting freight rates: Can AIS data be used to forecast future freight rates?* 4. Commodity trading: What is the volume of iron ore at sea? How much coal is due to arrive at Indian ports in the next five days? 5. Benchmarking shippers: Liner schedules versus actual performance. 6. Operations: Growth in port congestion, slow steaming, idle. 7. Key performance indicators: How are my vessels performing compared to rivals? None of these scenarios would have been remotely possible even a decade ago, but with more satellites thrown up, the decrease in processing times and evercleverer algorithms, the time will come when commercial shipping data will be commoditised and as easily discoverable as the price of crude oil. MDC *According to Mathias Olsen and Truls Rønne Kopke da Fonseca, researchers at the Norwegian School of Business, the answer is no. In their paper Investigating the Predictive Ability of AIS-data: the Case of Arabian Gulf Tanker Rates, they concluded that there is “weak evidence in favour of using AIS-data for forecasting purposes.” This is one area in which freight traders are intensively interested.

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Carnival VESSEL MONITORING | 39

Carnival monitors cruise fleet from Hamburg C

arnival Corp monitors and manages a fleet of 37 cruise ships from its new Fleet Operations Centre (FOC) in Hamburg, Germany. When Maritime Digitalisation & Communications visited this centre, it looked similar to a NASA mission control room, with banks of monitors on rows of desks facing a screen that takes up an entire wall, all busy with data. This is perhaps apposite, given that the FOC was set up with the goal of providing “aviation-level safety standards” with around-the-clock, year-round monitoring for a fleet of 37 vessels. It is staffed by 15 officers with nautical experience working in three-person shift patterns. They monitor and analyse data from a range of sources and are in constant contact with captains and crews to oversee the Costa group’s 26 vessels under the Costa Crociere, Aida Cruises and Costa Asia brands, plus 11 vessels from P&O Cruises and Cunard Line. Costa’s proprietary digital and navigation and surveillance platform, Neptune, gathers a range of data from each vessel including: • Stability conditions • Global positioning • Routeing • Speed • Engine condition • Energy use • Emissions levels • Water management Data on position, speed and direction

Carnival Corp has combined vessel-monitoring technology and human expertise to keep track of its fleet of cruise ships, writes Ed Martin

is used to ensure vessels are not straying from a predetermined course corridor. Any deviations from these voyages results in a real-time notification to the FOC, resulting in an immediate investigation into the cause. Neptune ensures vessels are in compliance with company, national and international environmental regulations by automatically reporting any deviation from targeted values. Almost 2M bits of data are collected by Neptune from each vessel each day, which are used for immediate and longer-term analyses to identify trends and optimise forecast models. This allows for predictive analysis to improve maintenance of vessels and their engines, optimise resources and automatically predict efficient routes. As well as this, external information such as weather forecasts, port infrastructure issues, health risks and reports of political unrest are used to adjust routeing and departure times to ensure vessel safety. Should an incident arise, regardless

FOC has banks of monitors on rows of desks facing a screen that takes up an entire wall

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of whether it relates to passenger safety, engineering issues or a vessel’s arrival at or departure from a port, a crisis meeting is held where staff at the FOC and aboard the vessel will review all available information to determine the best course of action and how to enact it. The Hamburg facility opened in 2015 and complementary facilities were opened in Seattle in 2017 and in Miami earlier this year. They are all individually capable of acting as FOC for Carnival’s entire fleet of 103 cruise ships, should the need arise.

Connectivity technology

The cruise ships are connected to the FOCs over VSAT communications, which Carnival is steadily upgrading on its ships. Carnival is deploying its MedallionNet broadbandat-sea system on cruise ships to boost bandwidth for operational requirements, passenger use and crew welfare. Cruise ships in the fleet already have bandwidth of more than 20 Mbps through Ku-band and C-band VSAT. Some are also using Ka-band from SES’ medium Earth orbit O3B constellation. Carnival is upgrading VSAT on ships in the Princess Cruises brand to boost bandwidth well beyond 50 Mbps levels. It started with Regal Princess in 2017 and this broke the bandwidth-at-sea record in February this year by reaching 2.25 Gbps during a specific media-driven event. In March, Carnival chief experience and innovation officer John Padgett said that MedallionNet will be installed on more Princess ships and then introduced to other brands in the group. In May, Costa Crociere successfully tested a new IT element on a cruiseship bridge that enables crew to better understand the vessel’s trim. The test involved Eniram Trim functionality on Wärtsilä Marine Solutions’ integrated navigation systems, Nacos Platinum, on cruise ship Costa Atlantica. Eniram Trim enabled the bridge team to immediately respond to changing conditions to maintain an optimum trim of the cruise ship in real-time. Wärtsilä has added this trim function to its Nacos Platinum control system for navigation, automation and dynamic positioning. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


40 | VESSEL MONITORING

Monitoring vessels improves safety and efficiency Furuno has unveiled bridge systems’ monitoring, Reygar combines automatic and manual reporting, while Transas and ABB provide service suites

F

uruno Electric has introduced remote monitoring and diagnostics for its range of ship integrated bridge systems. Its HermAce gateway was unveiled at the Posidonia exhibition in Athens, Greece, in June. The HermAce remote monitoring and troubleshooting platform is connected to a series of bridge electronics including radar, ECDIS, speedlog, sonar, voyage data recorders and alarms through an Ethernet network and Dell-supplied hardware. This can be used for real-time monitoring of performance and condition of bridge systems, said Furuno UK area manager Paul McKenzie. He said if there was an issue with ECDIS, radar or other bridge equipment, the ship’s superintendent would be alerted and they could review the problem through a portal. “A technical manager could view the status of the equipment and interrogate any problems,” he said. Furuno would also be alerted and “would advise the shipowner on how to fix the problem,” said Mr McKenzie. To achieve this, sensors within the integrated bridge system would be connected to the ship’s satellite communications through a Dell gateway unit to send information to the shipmanager’s office and to Furuno’s monitoring centre. This communications pipeline can be either VSAT or an L-band connection.

Remote fleet management

Remote monitoring is a rising trend in shipping, but on most vessels masters still produce manual daily ship status reports for onshore fleet managers. Which is one of the reasons why Reygar developed Digital-DPR (daily progress reports) that combines daily reports with data captured automatically by its BareFleet system. This combines data captured by sensors with information from the master, such as personnel on board, drills performed, personnel transfers and bunker levels. BareFleet automatically records a host of fleet-monitoring data, including machinery health and alarms, fuel efficiency, vessel motion and navigational information. To augment this, a master would input his daily information on to a console to automatically generate a report to be sent to shore. Digital-DPR was developed in close co-operation with Global Marine Group’s CWind, which uses BareFleet to monitor its entire fleet of offshore crew transfer vessels (CTVs). CWind head of CTV fleet operations Josh Brennan said using Digital-DPR alongside BareFleet helps “us to better monitor fleet performance and personnel activity on a day-to-day basis.” This information can then be shared with CWind’s clients. Digital-DPR

Maritime Digitalisation & Communications | 3rd Quarter 2018

reports can be tailored to other shipping sectors. Vessel monitoring can incorporate suites of information for improving fleet operations, as Norway-based fleet operator Wilson Ship Management is finding out from using Transas services. Wilson signed a fleet operations contract with the Wärtsilä subsidiary in Q1 this year. This included obtaining fleet data from shore-based locations, onboard navigational and communication components, e-learning courses and a portfolio of decisionsupport tools developed by Transas. This Fleet Operations Solution provides vessel-performance monitoring and machine-learning techniques to increase navigational safety and enhance efficiency. Wilson expects access to fleet data will improve situational awareness for both crew and shore managers, said Wilson general director Thorbjørn Dalsøren. “We expect that within a short period Transas will be able to equip our vessels and support them,” he said. Edda Accommodation is also seeing the benefits of vessel monitoring. It is using ABB Ability’s Octopus marine advisory system on its flotel Edda Fiddes to optimise operational performance and improve safety during crew transfers on gangways between the ship and offshore production facilities. The system incorporates alarms to provide onboard warnings if preset limits are exceeded and allows shoreside staff to monitor vessel performance via the Octopus Fleet Portal. MDC

Furuno integrated bridge systems are monitored remotely for any faults (credit: Riviera Maritime Media)

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CONTAINER SHIPS | 43

Owners upgrade VSAT and tighten cyber security Container shipping companies have turned to VSAT and tightened cyber security for operational connectivity and crew welfare

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ontainer-ship managers and owners are upgrading satellite communications on fleets of ships to improve connectivity for operational use, container monitoring and crew welfare. Maersk Line has upgraded its ship connectivity with larger data packages over VSAT. It has renewed contracts with its previous satellite communications provider, which it has not named. Maritime Digitalisation & Communications spoke with the president of the VSAT service provider to Maersk Line during an event at the Posidonia exhibition in Athens, Greece on 6 June. He said that around 300 ships will have faster bandwidth and higher data packages over Ku-band with L-band set as a backup service, which will be achieved without changing the VSAT antennas or cabling, but through upgrades to the below-deck equipment and software upgrades. Rival container-ship operator Zodiac Maritime was more forward in discussing its VSAT upgrade and cyber security. It has extended a satellite communications agreement with Satcom Global for a fleet of more than 80 ships. Satcom Global’s Aura VSAT is being installed this year on Zodiac-managed vessels, which also include tankers and bulk carriers, with at least 40 systems already installed. Satcom Global is installing Intellian v100 Ku-band antennas and Iridium Pilot L-band backup terminals across this varied fleet. It is using ports across Europe and Asia for the installations when Zodiac’s ships are loading and unloading cargo. Zodiac has also implemented a policy to prevent infection of bridge systems from malware. It has a rule that prevents seafarers from taking USB memory sticks or devices on the bridges of the ships it manages. Zodiac manager for quality, health, safety and the environment Capt Karl Meher-Homji said this included banning the use of USB devices for updating electronic navigational charts (ENCs) into ECDIS. He said ECDIS updates were conducted using CDs or over

“VSAT delivers exceptional value in terms of operational efficiency and offering our valued crew fast, effective, and reliable communications”

www.maritimedigitalisation.com

Zodiac is installing Aura VSAT with Intellian v100 antennas on 80 ships

a secure internet link, which is provided by VSAT. If that is not available and ENC update CDs cannot be sent in the post, then a local supplier will be used to provide the required charts.

Agile VSAT plans

Another international shipmanager, Nordic Hamburg, is investing in VSAT for a fleet of feeder container ships. It has contracted KVH Industries to provide AgilePlans subscription-based VSAT for its vessels. By 20 June, VSAT had been installed on 13 vessels. There are plans to deploy VSAT on another 12 ships through the rest of 2018 by installing KVH’s TracPhone V7-HTS antenna equipment and CommBox network devices on the ships. Nordic Hamburg operations and insurance manager Jacobus Varossieau said VSAT delivers fast data speeds and better crew-welfare services. He said there is exceptional value and connectivity for shipowners, which “applies to both our operational efficiency and offering our valued crew fast, effective, and reliable communications.” Services included in AgilePlans include NewsLink TV for news, sports and entertainment content and e-learning programs provided via KVH’s IP-MobileCast content delivery service, which uses Ku-band VSAT. KVH’s TracPhone V7-HTS is a 60 cm Ku-band antenna that uses high-throughput satellite technology linked to a CommBox modem and network management unit. KVH can provide download speeds up to 10 Mbps and upload speeds up to 3 Mbps. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


44 | CONTAINER SHIPS

Blockshipping’s world-first registry to have ‘huge impact’ on container management The Global Shared Container Platform looks set to save shipping lines money and completely change the way they manage their container fleets, writes Rebecca Moore

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lockshipping has taken a major step towards its Global Shared Container Platform (GSCP) with the launch of an initial coin offering (ICO) on 14 May. And it already has a top-20 container carrier signed up to the world-first registry of the world’s 27M containers – and is in discussions with six other shipping lines. Chief executive and founder of Blockshipping Peter Ludvigsen, who has 39 years of experience in the container shipping industry including lengthy spells at Maersk, has been interested in setting up such a platform since the mid1990s and told Martime Digitalisation & Communications “It is my life’s dream to make this happen.” The platform promises a lot to cash-strapped carriers – it is set to save the global container shipping industry US$5.7Bn annually through smarter handling and repositioning of containers. Mr Ludvigsen explained “It is a completely new way of managing containers – carriers are spending huge unnecessary costs on repositioning empty containers.” The blockchain register of the world’s container fleet will allow much better transparency, allowing the location of containers to be seen in real-time. It will be possible to reduce the container fleet by 15%, not only reducing costs but leading to annual CO2 reductions of 4.6M tonnes. It will have a huge impact as carriers will

no longer need to own a fleet of containers, as they can simply make a reservation on GSCP. Currently around 50% of containers are owned by leasing companies and 50% by carriers – but GSCP is set to change this. Mr Ludvigsen said “Leasing companies that are savvy and modern and see the benefits of sharing containers will probably embrace this and carriers will see that there is no need for them to have a lot of financial assets tied up in containers when they have that same kind of security and certainty by using our platform.” He said he had a long-term vision for Blockshipping whereby container investment syndicates of ordinary citizens can be set up via the platform to invest in containers. “This means that they are no longer wholly owned by around 12 leasing companies but will democratise containers, lowering the costs for carriers to lease them.”

Peter Ludvigsen (Blockshipping): Container fleets will be democratised, lowering the costs for carriers to lease them

Maritime Digitalisation & Communications | 3rd Quarter 2018

Carriers join up

He is very pleased with GSCP’s first customer, a carrier ranked in the top 10-20 largest shipping lines. “This carrier has always been interested in shared containers and was the perfect match,” he said. This shipping line will also be Blockshipping’s first member of its customer advisory board, so will help to shape and develop the products developed by Blockshipping. “I am quite confident that we will get some of the biggest carriers joining, but in the beginning, it will probably be mediumsized carriers who join.” Crucial to the register is that it will use blockchain. “Carriers are fierce competitors but using blockchain makes it easier for them to use a shared platform. They can get comfort from using our platform because all operating rules are built in, so they need not be afraid of one company getting an advantage over another. Carriers can decide who they want to share equipment with.” Crucial to launching GCSP is the ICO, which ran until 14 June. The target is to raise US$24.8M. “I am very confident that we will achieve this,” Mr Ludvigsen said. “Our ICO is quite unique. It is built on a sound business case and we have had a lot of interest from the container shipping community.” The ICO also provides credibility to the company, underlining that their outlook is long term. It is the first shipping ICO in Scandinavia and the first ever in Denmark. “The ICO is the fastest way to get funding in place for the full development of the platform – without it, it would take about five years to develop.” The ICO will cut this down to 2.5 years. Product development will start in June this year, with the plan for the first product to be up and running in January next year. When fully developed, the GSCP platform will include more than 34 different products and services related to the global handling of freight containers. MDC

www.maritimedigitalisation.com


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46 | BLOCKCHAIN

Blockchain is here to stay Capt Herbert Soanes explains what exactly the blockchain is, and what opportunities and risks it brings to the maritime sector

Capt Herbert Soanes (Anchoredge): “With blockchain there’s no single point of failure because it’s all decentralised and there are many nodes”

Maritime Digitalisation & Communications | 3rd Quarter 2018

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he concept of the blockchain seems inescapable. Originating in the world of cryptocurrencies, the concept is being mooted for use in a range of applications, including tracking cargoes in the shipping world. One of the biggest names considering the possibilities afforded by the technology is Maersk, who alongside IBM plans to establish a joint venture to provide efficient and secure methods to conduct trade via blockchain. Anchoredge Inc’s chief commercial officer Capt Herbert Soanes became aware of the blockchain in the context of the cryptocurrency bitcoin, but soon realised “it has a lot of potential not just for maritime and shipping but across industries,” he said. Speaking at the European Maritime Cyber Risk Management Summit in London on 15 June, which took as its theme ‘People, Processes and Products’, Capt Soanes gave a breakdown of the ideas behind the blockchain and its ramifications for cyber security. Capt Soanes said that blockchain can be thought of as “a decentralised network which holds information in documents across a peer-to-peer network,” with the blocks in the chain forming a distributed ledger. Each individual block contains information along with a cryptographic hash, which acts like a fingerprint that uniquely relates to the information contained within the block. If even a single character in the information contained within the block is changed, the hash will cease to match and a new one will be required. Alongside the data a block carries and its own hash, each block also contains the hash that relates to the information contained within the preceding block, hence forming a chain.

www.maritimedigitalisation.com


BLOCKCHAIN | 47

Bitcoin needs at least 51% consensus from 7,000 nodes to change the data in just one block in the chain

Perhaps the best known example of a blockchain is the bitcoin cryptocurrency, which users access via a digital wallet that comprises a piece of software that stores the public and private keys used to receive or spend their cryptocurrency. If someone attempts to tamper with the information contained in a block, the hash will change and the chain is broken. To rectify that, the hash of the subsequent block would need to be updated and so on. “Of course, changing the hash is easily done – with today’s computing power you can generate hashes extremely

Capt Herbert Soanes Capt Herbert Soanes is chief commercial officer of Anchoredge Inc and has wide-ranging experience in executive management and value creation in global shipping and offshore. He started his career at sea and captained a VLCC for Wilhelmsen, the youngest person in that company to do so. He holds three masters’ degrees, in executive leadership development, corporate finance and maritime management, from Stanford University, the University of Oregon and Maine Maritime Academy, respectively.

www.maritimedigitalisation.com

quickly,” said Capt Soanes. Bitcoin dealt with the issue of how to monitor and slow down the process of moving from one block to another with the ‘proof of work’, which Capt Soanes described as “a mathematical puzzle that nodes perform in order to put new information on the blockchain,” which takes an average of 10 minutes to complete. This is where the peer-to-peer aspect of bitcoin comes in; multiple nodes in the peer-to-peer network must reach a consensus of at least 51% on the answer to the proof of work for new information to be added. The proof of work prevents double payment, an example of which would be a user with the equivalent of, say, US$500 in his wallet attempting to trick the system by sending two payments, of US$500 each, simultaneously. Without the proof of work, this might be successful, but with the time delay incurred it is not possible for the transaction to be completed before the system recognises that information has already been transferred. This is where the cyber-security applications come in. Noting that to successfully hack a bitcoin blockchain, 51% of the 7,000 nodes processing each transaction must be compromised, Capt Soanes said “the ledger is decentralised. There’s no central point of failure and that’s what the beauty of the system is.” As well as the decentralised nature of the network, which does not rely on a single central entity and therefore has no single point of failure, blocks of information are held in a chronological chain. This means that entries cannot be amended or appended

Maritime Digitalisation & Communications | 3rd Quarter 2018


48 | BLOCKCHAIN

without consensus, said Capt Soanes, and historical records are maintained forever. Further, once a block is on the chain, anyone with access to that chain can see all of the transaction details in real-time, creating a high level of transparency, he said. All of these factors make the possibility of fraudulent action on a blockchain very low, explained Capt Soanes, making it very conducive to what is known as ‘distributed trust’, which is used in situations where many stakeholders need access to the same set of information. He illustrated this with the example of a shipping container travelling from the Far East to Europe. Such a situation would require many kinds of declaration, clearance and other certification that need to go to not just one or two but possibly hundreds of different parties along the route. “Once you put this on the blockchain, it becomes visible to everybody at the same time and you don’t have to keep sending documents to and fro like we do now,” said Capt Soanes. This is very useful when the parties involved don’t have a preexisting relationship based on trust, Capt Soanes noted, offering the example of a customs official who would be able to know for certain that documents relating to a cargo are accurate and haven’t been tampered with. However, blockchain should not be seen as a solution to all ills, Capt Soanes warned, noting that currently many business ideas are flying around that proclaim themselves to be based on blockchain technology. Citing the example of cyber security, he said that it’s worth considering whether the same solution being advertised still works without the blockchain – “maybe it does but many of them are using blockchain because it’s a buzzword,” he warned. Turning to the issue of whether the blockchain has been compromised so far, Capt Soanes said that while cryptocurrency exchanges in Japan and South Korea have been hacked, he sees these as appendages to the blockchain, rather than the blockchain itself, and it is in these appendages where the risks lie. He gave the example of communities where people may hold multiple cryptocurrencies and use smartphone apps as the wallet by which these are accessed. In this context, phones become a target for theft not for the phone itself but rather for the access to the owner’s cryptocurrency that the phone’s ownership makes possible. Two-step authentication is often used to control access to cryptocurrency wallets but once in possession of a phone

Perhaps the best known use of blockchain technology, bitcoin users access their funds via a digital ‘wallet’

Maritime Digitalisation & Communications | 3rd Quarter 2018

a thief would have access to the SMS messages used for this, Capt Soanes noted, reiterating that in his view he saw this not as hacking the blockchain itself but rather hacking its appendages. “The beauty in blockchain is its decentralised security,” said Capt Soanes, contrasting it with traditional cyber-security methods that comprise “a central entity storing all your data and information.” “It’s like having a castle on a mountaintop with a huge flag” visible to all, he said, expanding the metaphor by adding that “even with thick walls, if somebody somehow finds a small opening” this can lead to access being gained and a knock-on effect of compromised systems. “With blockchain there’s no single point of failure because it’s all decentralised and there are many nodes,” said Capt Soanes, noting that even sequential hacks are not effective because the consensus nature of the chain would require at least 51% of the nodes to be compromised simultaneously. Another strength of the blockchain is its lack of the vulnerability inherent in the human element of cyber security, for example manipulating people into taking actions or divulging confidential information. “This is more or less eliminated” with blockchain, he added. “In shipping we’re probably lagging,” Capt Soanes said, noting that in other sectors, such as financial services, blockchain has found a lot of acceptance, with Nasdaq looking into its potential applications for settling financial trades. “I think we’ll find that blockchain and cyptocurrencies are here to stay,” he added. Responding to an audience question about whether blockchain has a capacity limit, Capt Soanes said “the limit comes in terms of speed – how many data computations it can do per second.” Bitcoin is currently capable of a hundred data computations per second, he added, noting that other cryptocurrencies have a much faster transaction speed. He pointed out the technology is still relatively young, adding “there is a limit and that is one of the things that has to be resolved moving forward.” Another audience member raised concerns about whether blockchain technology could prove its viability in commercial scenarios involving identity authentication or the protection of financial or private data. Capt Soanes responded that while the aspects of the blockchain that have been compromised have related to authentication for access, this is an issue with any other technology that requires both accessibility and authentication for access. However, where the blockchain is unique is that privacy of data contained in blocks is assured through cryptography, which other technologies cannot guarantee. He noted that to state the blockchain cannot be hacked would be untrue, as security mechanisms will always be breached and require further measures to be developed. “There will be some incidents over time but I don’t think the technology will fail because of that,” said Capt Soanes, adding that he anticipates further security measures being developed. In response to a question about what levels of investment might be required to stay ahead of threat actors when using the block chain, Capt Soanes said “when you build a blockchain application you don’t need to construct the whole blockchain yourself – you build the application on an existing blockchain.” He gave the example of the Ethereum network, which is open-source and contains some 25,000 nodes. While there’s no getting around the cost of building an application, Capt Soanes said this is not “overly expensive” and ownership of the nodes in the blockchain is not required. “You have to pay a transaction fee, of course, but you’d be incurring that in any situation, so the resources required may not be as large as one might think,” he concluded. MDC

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50 | FORWARD THINKING class

Howard Fireman (ABS): Digitalisation will impact a vessel’s lifecycle starting with design, vendor developments, ship operations and management


class FORWARD THINKING | 51

A touch of class: ABS’s Howard Fireman ABS senior vice president and chief digital officer Howard Fireman provides an exclusive review of how digitalisation is changing shipping

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hipping should embrace digitalisation and evolve with changing global trends, said ABS senior vice president and chief digital officer Howard Fireman. Digitalisation improves vessel lifecycle management and fleet supervision and enhances data analytics to enable better decision making, he believes. Sectors that have adopted digitalisation processes have reduced fuel and maintenance costs and improved compliance, said Mr Fireman. Below, he provides answers to the questions on every shipping executive’s lips.

• Advanced analytic solutions, including machine learning. Other examples will exist in future but for now, practical and impactful technology is providing opportunities across the shipping industry value chain.

What sectors of maritime are further ahead in the digitalisation evolution?

We have seen and participated in numerous pilot projects across the maritime industry, driven by various desired outcomes. These outcomes include achieving lower maintenance or fuel costs, spares and parts optimisation, digitising processes and improving day rates. In terms of early adopters, we have observed more investment in the energy-related maritime sectors generally, with assets that have high degrees of technical complexity.

Why should shipping companies invest in digitalisation and adopt smarter fleetmanagement systems?

The shipping industry has many different markets. The various sectors have their own competitive pressures and are evolving at different depths, breadths and speeds. Digitalisation will impact a vessel’s lifecycle starting with design, vendor developments, ship operations and management and charterparties. How we manage the data generated in this process and use it in a practical and pragmatic way is the challenge. Ultimately, each sector has its own commercial drivers and data and digitalisation will be part of all of them at various levels of sophistication over time.

As companies prepare for the world of digital business, I would recommend they work to define and align their digital strategy to their required business outcomes. The investment decisions should be driven by their return-on-investment requirements and market positioning, which support their business strategy. Tools such as fleet-management systems offer a variety of capabilities to improve the efficiency of shipping company and shipmanager operations. This includes a range of decision processes from managing assets, compliance, workforce and operational performance, to finance and commercial practices. Investing in one or all these capabilities must be supported by the ability to achieve the desired objectives. ABS is developing a digital-class platform that will enable us to improve digital services across a range of topics, ultimately impacting many areas of the class process, with enhanced service delivery for customers using ABS Nautical Systems products.

What are the main factors driving shipping towards greater levels of digitalisation?

What technologies has ABS already adopted and what is in the pipeline?

How do you see shipping’s evolution into a more digital industry and its adoption of digitalisation?

The main factors in the digitalisation journey are our clients’ needs for efficient, data-driven compliance and performance solutions, which are enabled by the development of: • Fleet-management software solutions. • Affordable cloud-based data platforms. • Faster satellite communications. • Advanced ship automation. • Cheaper sensor technology.

www.maritimedigitalisation.com

Our digital team is setting the pace in innovation, building a new data-solutions suite including a data platform, data analytics, data-centric inspection technologies, mobile technologies, cyber-security programmes and our Nautical Systems fleetmanagement system. ABS has also delivered a new data access platform, Mobile Survey Manager App, which offers up-to-date vessel data via a smartphone or tablet. ABS has completed and released its

Maritime Digitalisation & Communications | 3rd Quarter 2018


52 | FORWARD THINKING class

new electronic certificates offering, supported by our certificate authorisation tool, to support client needs for accurate on-demand e-certificates.

What maritime-specific guidance does ABS have to assist shipping to adopt digitalisation?

The importance of people in this digital revolution, or in any technology-based upheaval, cannot be overstated. Although technology is often a vehicle for great change, it is always built and steered by human beings – guided by the vision of leaders and realised by the actions of staff. Industry leaders should recognise that these fantastic systems and devices are, in the end, just sophisticated tools. As leaders, managing change focused on enabling people through these technologies is key in the adoption of digitalisation.

What are the risks from greater levels of ship connectivity?

Greater connectivity from satellites and ship networks has introduced growing risk within the maritime domain. Vessel risk profiles are increasing with use of advanced control systems and the impact of internet of things. ABS was the first class organisation with cyber-related notations and standards that concentrate on control systems, operational technologies and their associated risks. Our cybersecurity programme is built on three levels of maturity: • Informed (CS1) – The client is aware of cyber-security requirements and has started addressing those requirements. • Rigorous (CS2) – The client is managing its cyber-security programme. • Adaptive (CS3) – The client is continuously improving its cybersecurity programme.

How is shipping taking on the challenge of training seafarers for the future IT skills that will be needed in digitalisation?

The operational side of the shipping industry is seeing ships with increased automation and complexity along with the introduction

of cyber-physical systems. Introducing this new advanced technology will require seafarers with an increased knowledge of basic IT, cyber-related risks and maintenance routines on ships. Fleet managers will need to implement change-management processes, new policy and procedures, incident response and, of course, ongoing training.

When do you expect to see the first commercial autonomous ship operate and in which sector will this be? There are multiple projects developing around the world, from workboats and offshore support vessels to small container ships and bulk carriers, with vessels designed for various levels of autonomy. Most field testing is taking place in coastal waters by remote operation. The technology is developing at ever-greater speed, but as a minimum, we need international regulation, such as IMO requirements, in place, before we see oceangoing commercial autonomous ships in operation.

What is your opinion on the role classification societies will play in an established digital maritime industry?

The classification sector is already embarking on this journey. We are seeing some of the benefits to surveyors, owners and operators and seafarers that stand at the heart of protecting safety of life and property at sea. This digital revolution will have a major impact on how class delivers its primary services. The objective of class is setting standards for safety and excellence in design, construction and operation. The process of how we deliver services will be transformed from plan review throughout the life of the asset. The journey is going to be fast-paced and exciting. Classification in 2030 should be more effective, efficient, informed and flexible, providing the global maritime industry with safe and affordable services. MDC Cyber-security was discussed at Riviera Maritime Media’s European Maritime Cyber Risk Management Summit, held in association with Norton Rose Fulbright on 15 June. For more information on the event, visit www.shipcybersecurity.com

ABS is using drones to assist surveyors in ship inspections

Maritime Digitalisation & Communications | 3rd Quarter 2018

www.maritimedigitalisation.com



54 | DIGITALISATION

Inge Sandvik (Wilhelmsen): The companies that are investing in digital transformation will get the opportunities

Wilhelmsen seeks to disrupt business models through digitalisation The maritime industry is in an important position for both global trade and development, but is still in the stone age when it comes to business operations, argues Wilhelmsen chief digital officer Inge Sandvik


DIGITALISATION | 55

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hipping giant Wilhelmsen rejects the oft-repeated label that our industry is conservative, with chief executive Thomas Wilhelmsen telling a DNB-organised conference in January “if you are conservative in the maritime industry, you will not make it.” The group is engaged in a programme of digital transformation, and to this end brought on board chief digital officer Inge Sandvik, who has a long history of ‘disrupting’ and digital development in the Norwegian start-up scene, in January 2017. In a wide-ranging interview, Mr Sandvik shared details of what digitalisation means for the group, and his experiences so far. “I think the maritime industry is in an amazingly interesting and important position if you think about both global trade and development, but we are in the stone age when it comes to how we operate this business,” said Mr Sandvik. “Within the next few years you will see the winners and losers differ a lot compared to how they are today. And the companies that are investing in digital transformation will get the opportunities,” he added.

Dolittle acquisition

While technology is an enabler, digitalisation is about changing business models, said Mr Sandvik. The group realised that while they have domain knowledge of how the maritime business works and how to gain customers’ trust, they did not have the knowledge or framework to build digital products and services. To this end they acquired a 50% stake in Dolittle, a start-up that produces new architecture and frameworks for digital product building, in May this year. “We can take our domain knowledge and put it into a framework that enables us to build applications much faster and in a safer and scalable way,” said Mr Sandvik. One model where Dolittle’s expertise is paying dividends is in the product-as-a-service model. This replaces the traditional one-time transaction model of sales with one that fuses the actual product itself with accompanying services and monitoring software, with possible payment options including a fixed subscription fee or even performanceor outcome-based models. Wilhelmsen are investigating this possibility with ropes, incorporating sensors into the rope that gathers usage data that is then transferred to an app on a shipboard tablet and to shoreside staff for analysis. With Dolittle’s assistance, the software component of the project, both backend and frontend, was developed in just two weeks. Once the framework for this is established, its scaleable nature means it can form the basis of potentially hundreds of simultaneous projects and processes across a range of potential applications. As part of the smart ropes project, the company is also looking at making different product types compatible. For example, the API of the ropes enables them to ‘talk’ to sensor-enabled winches. This enables products to be provided in bundles that can provide data not just on the operations of individual pieces of equipment, but also how they work together, for example the tension on ropes from the winches. These new business models make it possible to drive down costs for service and product providers as well as customers. For Wilhelmsen this means becoming much more data-driven. While the companies that comprise the group produce a lot of data, this is currently quite siloed. “We see a huge potential in terms of building better customer experiences by working more horizontally,” both within the group’s companies but also with partners and customers, he said.

Machine learning

Wilhelmsen is also looking at deploying machine-learning models onto ships that can provide operational decision-making support for crews. “Most shipping companies, if they even do that, are sending data ashore” for computation, Mr Sandvik said. “They’re looking in the rear-view mirror and just seeing what has happened.” By deploying machine-learning models that utilise edge computing it is possible to anticipate problems with preventative maintenance by computing

www.maritimedigitalisation.com

“We see huge potential in terms of building better customer experiences by working more horizontally”

data on board. On shoreside, these same models can then be further developed and deployed in real-time to vessels, said Mr Sandvik. The cost of communications is another issue that Wilhelmsen seeks to address, said Mr Sandvik. Extension of 4G connectivity further offshore is being investigated, as is peer-to-peer communication between vessels. Looking to the future, it is anticipated that vessels will be narrow-band enabled, meaning there would be shipside industrial wireless networks enabling data to be captured at a very low cost from sensors in a much more efficient way. Wilhelmsen is testing out both 5G and the long-range wireless data-transfer technology LoRa as possible narrow-band systems. Wilhelmsen came together with Kongsberg earlier this year to create Massterly, a joint venture company that will allow the two firms to create a complete autonomous shipping value chain, covering design and development, control systems, logistics services and vessel operations. Explaining the decision to set up the JV, Mr Sandvik said Wilhelmsen observed that areas of landside logistics were inefficient and environmentally not optimal – “to put it mildly” – and saw the opportunity in disrupting by transferring this to autonomous shipping on water, “a road that doesn’t need any maintenance, has no capacity problems and has huge capability.” He added that this is “not only disruptive by being more environmentally friendly, but by really disrupting existing business models.” “For the first time in history we see that environmentally friendly regulations are being disruptive from a business perspective,” he said, adding “It’s going to be impossible to compete against these types of shipping concepts in the future.” Looking to the future, Mr Sandvik noted that while humans will remain on board vessels, they will be operating in a very different, much more data-driven way. “The future of ship management will be very different for those companies that are able to take advantage of these new data platforms and the new way of building both products and services that can drive down costs”, he said. “That’s what it’s all going to be about, driving down costs and increasing customer experience.” Expanding on this, he noted that in future there will be more focus on “creating products and solutions that customers love to use.” Traditionally, user experience has not been a priority in the maritime sector, he said, adding “we will be simplifying a lot of the things that people hate today.”

Cyber security

Of course, with increased connectivity comes increased cyber-security risks. “Cyber security is the number-one priority for anyone that wants to digitise a ship – it’s an enormous risk,” said Mr Sandvik, noting that this risk is only going to increase. Wilhelmsen is keen on the collaborative approach to managing this risk and is working with other companies to define standards and establish forums including participants from across industry to address the challenges posed. Looking back at his 1.5 years with Wilhelmsen, Mr Sandvik said he had observed a significant cultural change, with people becoming much more willing and open. “The most important thing is, we’re still talking about people, not technology,” he said, noting that the same changemanagement principles of getting people on board apply as elsewhere. “I’m super excited to be in a company where there’s so much excitement around innovation and being able to adapt.” MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


56 | INTERNET-OF-THINGS

The maritime IoT landscape in the next decade IoT technology is enabling operators to become global logistics experts

The maritime industry is evolving. Smarter ships, intelligent cargo tracking, automation and a host of fringe technologies are beginning to make an impact on the way shipowners do business. All will come together to form new standards across the next decade, writes Malek Murison

M

any new digital solutions, which range from the buzzwords of big data and blockchain to the more literal buzz of drones, robotics and autonomous systems, offer game-changing alternatives to the traditional way of doing things. Maritime operators are steadily automating operations, dealing proactively with maintenance, improving security and developing greater visibility across the supply chain. And, for certain shipping giants, increased connectivity has made possible exploration and evolution. Instead of being limited to ferrying goods from one location to another, Internet-of-Things (IoT) technology is enabling operators to become global logistics experts and pioneers in emerging fields. All of which is timely. Operating costs, geopolitical risks and tensions over trade are coming to the fore. There is also the small matter of adhering to IMO’s greenhouse-gas emission targets, a challenge that necessitates industry-wide co-operation and innovation. Maersk Line has an established connected container solution; OOCL is working with Microsoft to embrace artificial intelligence to streamline operations;

Maritime Digitalisation & Communications | 3rd Quarter 2018

Cargotec and Orange Business Services have announced a global connectivity partnership; CMA CGM is working with French startup Traxens to add greater visibility to its logistics chain using IoT technology; and previously fringe technologies including drones and blockchain are gaining traction. So how are these technologies set to shift the maritime landscape over the coming decade?

Visibility at sea

With IoT connectivity comes a huge amount of data from which insights can be gleaned. This is the case at every level of the maritime industry, from the individual components of a ship’s engineroom to cargo containers, fleet management and connected ports. Global IoT connectivity is gradually bringing together all of these disparate elements. And in turn, shipping companies have more data than ever regarding their operations and working environment, as well as a slew of new data-based revenue opportunities. The most obvious benefit of IoT connectivity lies in how it can transform day-to-day operations at sea, at port and as part of a wider logistics network. Issues can

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INTERNET-OF-THINGS | 57

be pinpointed, downtime can be reduced, and processes can be streamlined, changing the face of the maritime industry as we know it. Nowhere is this clearer than at the Port of Rotterdam, where an endless stream of information is received and analysed regarding ships in dock, cranes in the yard and individual containers. Senior manager of IT at MVII terminal Rudy Muller claimed when the port opened that “the IT department has come out of the basement and onto the main floor.” And he has been proved right three years down the line. The terminal now operates at full capacity, and its operators are moving 25-50% more containers per hour than any other of its competitors in northern Europe. The port has also partnered with IBM to create a ‘digital twin’, an exact digital replica of its operations that mirrors the movement and status of ships, infrastructure, weather and water data. This twin enables test scenarios to be run in a no-risk environment and in the long run, will help managers cut out inefficiencies. In terms of cargo visibility, Maersk’s remote container management sits among the market leaders. With the simple addition of a modem, a wireless SIM card and a satellite link, Maersk technicians can pinpoint the location and operational details of any one of its 270,000 refrigerated reefer containers around the world. These containers are used to transport perishable goods from A to B, and as such require specialised environments and close monitoring. With IoT connectivity, operators avoid being caught unawares if a problem arises. They learn about issues in time to rescue the situation. The numbers speak for themselves. Maersk used to spend US$200M each year on physically inspecting containers. The company also paid out millions in claims to customers inconvenienced by damaged cargo. With IoT connectivity, that waste and expenditure can and will be a thing of the past. Maersk’s connectivity has largely been supported by network provider Ericsson. And they are not the only ones working with global connectivity providers to help clients keep tabs on cargo. At the end of 2017, Finland’s Cargotec signed a deal with Orange Business Services to develop a global handling network. In part these partnerships will be formed out of necessity. Maritime leaders do not have the required expertise or infrastructure

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to build a global connectivity network. That was certainly the case with Cargotec. “Orange Business Services has expertise on global mobile connectivity,” said a spokesperson for the Finnish company. “No one player in the market has all the needed knowledge and capabilities inhouse.”

are vital to the digital transformation of the maritime industry moving forward. “The shipping industry is at a critical stage of transformation with technologies such as AI... We are glad to see more collaboration and engagement through partnerships on these emerging technologies.”

From visibility to intelligent decision making

Drones: monitoring emissions and revolutionising maintenance

The mountains of data generated by IoT connectivity can provide visibility where previously there was none. But making sense of it and turning it into actionable intelligence is another matter entirely. That’s where AI steps in, recognising patterns, connecting disparate data points and proactively directing operations to keep vessels moving and in profit. AI enters the maritime stage in the familiar guises of predictive analytics and preventative maintenance. But it’s from wider AI analytics that shipowners stand to benefit most in the years to come. In April Microsoft partnered with OOCL, bringing AI capabilities to the Hong Kong-based shipping company in a 15-week upgrade that OOCL chief information officer Steve Siu estimates will save the shipping company around US$10M every year. Unsurprisingly, the two went on to announce an 18-month R&D partnership that will apply machine learning across OOCL’s shipping and network operations. Microsoft has expertise in deep and reinforcement learning, a type of AI that uses goal-orientated algorithms to attain an objective.The partnership puts OOCL at the forefront of the latest AI R&D, making the most of Microsoft’s domain experts and proven business-impact validation in the process. Mr Siu argues that these partnerships

From transport to construction to offshore oil and gas platforms, drone technology is having an impact in many industries that need data at scale, require regular inspections and carry an element of risk for maintenance crews. These factors are all applicable in the maritime industry, where downtime has an immediate impact on bottom lines and operating costs are on the rise. That’s where drones come to the fore with smarter and safer inspections of key infrastructure. For shipowners, drones provide a new way to process and optimise cargo-hold inspections, collecting data at speed without putting crew members at risk. And they do so while adding more objectivity in the process. Video footage can be replayed and analysed. Mistakes will slowly become a thing of the past without the need to rely on recall and subjectivity. Because drone technology is advancing so rapidly, shipping companies can benefit from higher-quality aerial video than ever before, automated surveys and sophisticated computer vision. In simpler terms: safe, speedy inspections, high-definition video feeds and results in real-time. And as accompanying technologies such as predictive analytics and machine learning advance, autonomous aerial platforms could yet take the next step: handling inspection processes from start to finish, monitoring the integrity of vital structures around

It is from wider AI analytics that shipowners stand to benefit most in the years to come

Maritime Digitalisation & Communications | 3rd Quarter 2018


58 | INTERNET-OF-THINGS

the clock, analysing data at the edge and preventing minor issues from escalating and disrupting operations.

global trade: a world in which cargo crosses borders while checks and notifications are automated and recorded for the whole supply chain to trace and track.

Drydocking here

Aside from revamping conventional inspection and repair methods, drone technology is being adopted to help shipping companies stay on track with emission targets. Several operators, including Denmark’s Explicit and the UK’s Martek Marine, are developing aerial platforms capable of flying into emission plumes to ‘sniff ’ the carbon and sulphur ascending from a ship’s engines. The technology has already been adopted for enforcement purposes by the Norwegian Maritime Authority in conjunction with the coast guard. Officials can remotely assess ships’ emissions in 30 minutes – cutting down on the previous procedure that would take an entire day.

Making waves: blockchain

Blockchain is fast becoming the inescapable technology buzzword of our time. Although many of its applications and adoptions are far from convincing, there is little doubt that it holds great potential when it comes to organising and securing a complex web of transactions. At the start of the year, Maersk and IBM teamed up to establish a joint venture dedicated to exploring Blockchain’s potential in global trade. Elsewhere, in March a consortium made up of AB InBev, Accenture, APL, Kuehne + Nagel and a European customs organisation completed successful tests of a blockchain solution. Competing against more established

The end game: true autonomy and crewless ships

Maersk and IBM are establishing a joint venture dedicated to exploring Blockchain’s potential in global trade

names is CargoX, a Slovenia-based fintech startup with a solution that already promises to ease the “biggest pain points” in global logistics. CargoX offers an automated bill of lading based on blockchain, which replaces the conventional and expensive paper-based process with a transaction that rivals online banking in terms of speed and efficiency. The company’s smart bill of lading can quickly be created, transferred from the freight forwarder to the exporter, on to the importer, and finally to the release agent at the port of destination. The first official smart bill of lading was issued by CargoX on 27 July 2018. The race to perfect paperless shipping is underway. The end goal could transform

Whatever the timeline for crewless ships, there’s no doubting the appetite for innovation; emerging technologies are ready to transform the maritime industry

Maritime Digitalisation & Communications | 3rd Quarter 2018

There was a time when giants of the shipping world rolled their eyes and dismissed the futuristic prospect of fully autonomous ships. But it increasingly seems as though they represent the endgame of IoT technologies, artificial intelligence and autonomous systems in maritime. If you ask Rolls-Royce, crew reductions could begin as early as 2020 as levels of automation increase and operators begin to take control of ships from land. By 2025, the company predicts the presence of remote-controlled unmanned coastal vessels. By 2035 – just 17 years from now – RollsRoyce expects our oceans to be home to fully autonomous, crewless cargo ships. So it makes sense that, together with Google, the power, propulsion and engine specialist has started to develop AI with situational awareness that could be the precursor to an automated captain. However, two Norwegian companies are working to an altogether more ambitious schedule. Agriculture firm Yara International and guidance system manufacturer Kongsberg are currently building Yara Birkeland, a US$25M electric vessel capable of operating with full autonomy. The pioneering container ship is expected to enter service as a manned vessel later this year before remote operations start in 2019. IMO has in recent months taken the important step of agreeing a definition of what constitutes an autonomous ship. The next move will be to build a regulatory framework for their operation. The benefits would be huge. Whether or not they are powered by electricity, crewless ships would operate as part of a wider connected ecosystem, taking decisions in real-time based on a stream of data from other vessels, ports, weather conditions and more. But for now, despite the advances in autonomous technology, it’s likely that concerns over liability, safety and cyber security will restrict widespread adoption. Whatever the timeline for crewless ships, there’s no doubting the appetite for innovation. The tide is turning. All of these emerging technologies are ready to transform the maritime industry in the years to come. MDC

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60 | INTERNET-OF-THINGS

Shipowners will spend US$2.5M each on IoT technology Shipping companies will adopt IoT to reduce fuel costs and improve regulatory compliance, but are concerned about security

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hipping companies anticipate spending US$2.5M on average implementing Internet-ofThings (IoT) technology during the next three years, connecting onboard systems to shore for data analytics to reduce fuel consumption, improve regulation compliance and navigational safety. This investmest forecast comes from a report, produced by Vanson Bourne, on industrial IoT adoption in maritime as part of the Inmarsat Research Programme 2018, prepared after speaking with 125 vessel-operating companies.* Inmarsat Maritime vice president for applications Stein Oro said the owners were asked their views on IoT technology, its adoption and barriers to implementation. They were classed as either IoT laggards, starters, progressives or leaders

depending on their approach to the technologies. Researchers found 35% of respondents thought themselves leaders in IoT, another 32% considered themselves IoT starters, 28% laggards and 5% progressives. Shipowners' need to reduce fuel costs is driving investment, with 56% of maritime respondents either using or trialling smart asset monitoring. Environmental compliance is also driving IoT adoption in shipping, said Mr Oro. Around 47% of respondents are already using IoT to monitor fuel use for both commercial and regulatory requirements. “This will rise to 100% by 2023,” he predicted. Another driver of adopting IoT technology is route planning, with 57% of vessel operators saying they are using or trialling voyage optimisation services. Reducing operating costs is

Maritime Digitalisation & Communications | 3rd Quarter 2018

driving owners’ investments, with a third of responders expecting IoT solutions to deliver 10-20% cost savings within five years. However, 14% do not expect any savings, leaving 53% expecting savings of less than 10%. Another of the report's findings is that maritime does not have the skillset for implementing IoT technology, with 46% of respondents believing they are laggards in having the skills required. Another 25% are progressives, 15% starters and 14% leaders. “So many need more of these skilled people to adopt IoT,” said Mr Oro; 42% of respondents said their organisation would benefit from additional IoT skills. Another barrier cited, by 20% of shipowners, was lack of communications capacity. This is important as 69% said they rely on satellite connectivity for IoT-based solutions, while 66% said they use radio-based networks. “Satellite communications enable real-time monitoring of equipment on ships and data transmissions from ships,” said Mr Oro. He said security of IoT was also a concern to maritime, with shipowners worried about data-storage methods,

network security, mishandling or misuse of data and targeted attacks; 87% of respondents said their protection against data mishandling could be improved, while 72% said their organisation’s processes to combat data theft or malicious damage to hardware or software could be stronger. Despite the perceived barriers and security concerns, on average, shipping companies expect to gain 14% cost savings from IoT-based solutions and are willing to invest on average US$2.4M to achieve this. Around a quarter of respondents expect to invest more than US$3M over the next five years. About 55% of respondents consider themselves as progressive in IoT investment, 35% starters and around 10% laggards. The research demonstrated that shipping lags behind other sectors in the implementation of IoT technology, said Mr Oro. Around 30% of responders said shipping lags behind other sectors in terms of IoT adoption. MDC *Of these respondents, 92 operate on average 23 commercial ships. Another 33 owners of fishing vessels responded, operating on average eight vessels.

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How will the maritime sector invest in IoT?

Key:

Laggards 10%

Laggards

Starters 35%

Starters

Progressives 0%

Progressives

Leaders 55%

Leaders

What is the maritime sector’s overall readiness?

15%

27%

How mature is the maritime sector’s approach to IoT security?

23%

22%

25% 33%

How mature is maritime in relation to IoT adoption?

28%

32% 5% 35%

US$2.5M Average investment in three years

>US$3M

55%

Does the maritime sector have the skills it needs for IoT?

46%

15% 25% 14%

Respondents using IoT for monitoring fuel

47% 100% in 2018

in 2023

24% expect to invest

www.maritimedigitalisation.com

Maritime Digitalisation & Communications | 3rd Quarter 2018


62 | CYBER SECURITY

The view from Westminster: the UK Government’s maritime cyber-security strategy In the face of rising levels of malicious cyber activity by both state and non-state actors, the British Government and the National Cyber Security Centre want to foster a risk-aware and well-protected maritime sector, writes Ed Martin

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s the former director of incident management at the UK’s National Cyber Security Centre (NCSC), John Noble is a man whose views on cyber-security are worth listening to. Speaking at a cyber security workshop in London organised by Templar Executives, he outlined the UK Government’s cyber security strategy, how NCSC fits into this, and what this means for the maritime sector. There are two quite worrying trends in cyber security, noted Mr Noble; the first is that tools used for cyber attacks are becoming cheaper and more widely

available via the dark web. The second is that more and more countries are utilising cyber, whether for disruptive attacks or for espionage and to spread influence. Predicting that we will see more and more disruptive attacks, Mr Noble noted that the maritime sector is a key part of national infrastructure and that a cyber attack on it would have a major economic impact. In order to provide a bulwark against this sort of threat, then-chancellor George Osborne established the NCSC in 2016 as part of GCHQ, the UK’s signals intelligence service based in Cheltenham, to provide an authoritative hub of cyber expertise. The

More countries are utilising cyber, whether for disruptive attacks or for espionage and to spread influence

Maritime Digitalisation & Communications | 3rd Quarter 2018

NCSC has four main goals, said Mr Noble. The first is to understand the threat. For the maritime sector, this means understanding what state actors may be interested in carrying out attacks and why. Information generated by looking into this can then be shared with interested parties. The second goal is to mitigate the impact of attacks – to share knowledge and help vicitims of cyber attacks to recover from the attacks themselves and from the knock-on consequences of the attacks. The third goal is to create partnerships between industry and the government. To this end, the NCSC has a transport-sector lead whose role is to share best-practice information with industry. And fourth, the NCSC wants to grow the UK’s cyber-security capability. This means making sure there is an available, diverse pool of talent to draw from, as well as improving resilience by encouraging the “secure by design” philosophy, which encourages developing software with security integral to its design right from the start and not as a bolt-on added later. Mr Noble explained that NCSC sees eight main reasons why companies’ cyber security is being compromised, with reference to the maritime sector. First is how companies make riskrelated decisions. “Time and time again we go to a company that has been compromised and discover that they have made basic decisions, often at board level, about accepting risk that they really didn’t understand,” said Mr Noble. With increasing shipboard use of the internet of things, many countries have issued guidance on how to factor in cyber risk. In the UK, the Department for Transport published a code of practice for maritime cyber security providing advice to organisations on assessing cyber security, managing risk and handling incidents. The code can be used alongside a similar document

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CYBER SECURITY | 63

produced for ports. The US Coast Guard has produced a similar guide to provide advice too, so governments can provide support to organisations in assessing cyber risk. Second is getting the basics wrong. Mr Noble estimates 80% of cyber attacks could be avoided by taking care of the basics, for example ensuring that software is kept up-to-date with the latest patches, and incorporating two-factor authentication. Third is network complexity. Organisations may have networks so complex they do not understand what they are trying to protect. A way around this is to assess what equipment really needs to be network, and what could be compartmentalised. Fourth is use of legacy equipment that no longer receives software updates. Mr Noble said that a lot of the time when NCSC detects malicious activity on an organisation’s network and warns them of this, the weak point is a piece of such legacy equipment. This is especially an issue in the maritime sector, he added, noting

that again, if you can’t afford to replace unsupported equipment you should at least assess whether it can be compartmentalised. Fifth is the supply chain, which Mr Noble noted has been a big factor in recent months, particularly in attacks originating from state actors. “If you have connectivity with someone who has failed to use basic cyber hygiene you’ll inherit their risks,” he added. Sixth is M&A. “Every time you make a merger or acquisition you will be bolting on cyber risk,” said Mr Noble, noting that while financial and operational risk form part of due diligence processes, cyber is rarely a factor. Seventh is outsourcing, where again poor cyber hygiene on the part of the supplier can provide an entry point for cyber attacks. A lot of companies outsource to the cheapest provider without factoring in cyber security, said Mr Noble, but “if something goes wrong with one of your suppliers, you will be the one that suffers reputational damage.”

And eighth is the human factor. This can be issues such as the competence level of people responsible for cyber security and what sort of training is provided to foster a good level of cyber hygiene at all levels of the company. In terms of what the industry as a whole can do, collaboration is essential, said Mr Noble. “Sharing in a highly competitive industry may not feel the right thing to do but it absolutely is,” he said. If one company gets hit it is highly likely that others in the sector will also be at risk, so a way must be found to share threat information and best practices, he said. “The opposition are very good – they’re agile and they can move quickly when they identify a vulnerable company.” Riviera Maritime Media’s European Maritime Cyber Risk Management Summit took place in London on 15 June, 2018 with the theme Maritime Cyber Security: People, Processes and Products.

Don’t wait for 2021 – get cyber secure now Speaking at a maritime cyber-security workshop in London promoting the Maritime Cyber Emergency Response Team in July, Norton Rose Fulbright partner Philip Roche addressed the legal and industry imperatives for investing in cyber security. He began by pointing out that while IMO has given shipowners and managers until 2021 to incorporate cyber risk into ship safety, this is not soon enough and that it is in everyone’s interest to start taking action now. Addressing the concerns of those who feel cyber security is too expensive, Mr Roche pointed out that need not be the case. There are many resources available from organisations such as BIMCO, class societies and P&I clubs that can help owners with cyber security without the need to bring in external contractors. But the fundamental message, he said, is that risk assessment is key. There are a lot of points of access on a ship through which attacks can be made, said Mr Roche, giving examples such as somebody boarding a vessel with an infected flash drive in port, or malware or vulnerabilities being included in a software update. “All you need is for one of those parties to have bad cyber hygiene or malicious intent and your ship can be quite vulnerable,” he said. While current regulation encourages shipowners to take action, Mr Roche sees this as a flawed approach and thinks it is liable to change. Even if IMO doesn’t introduce regulations until 2021, there is nothing stopping port states from taking action sooner, with Mr Roche noting that a port state could opt to detain vessels it deems to be a cyber-security risk. He added that while it may be arguable whether the International Safety Management Code, which mandates standards for safe operation of vessels, currently covers cyber security, this

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will not be disputable in the next couple of years. “Even if you’re the most reluctant and recalcitrant shipowner, you’re going to find that if you want to do business with big multinational companies such as an oil major, they are simply going to start leaning on you and saying ‘We’re not going to charter your ship unless you have good cyber security,’” said Mr Roche, noting that Norton Rose Fulbright has already written a clause that large companies are using to try to force contractors to get on board with cyber security. Addressing the issue of the legal standard for due diligence, Mr Roche said that while a couple of years ago it would have been possible to stand in front of a judge and claim you were unaware of the risks of a cyber attack, “that time is gone and even the most backwards-looking shipowners are aware that there is a risk to safety and security, and it would be very hard to persuade a judge that you were not aware of this.” He added that the standards used to determine due diligence would involve demonstrating the company’s board had made a real effort to address cyber risk by having the right software, consultants and support network and it had made efforts to train employees. But an important issue relates to communications of a different sort, said Mr Roche, noting that “The C-suite don’t talk the language of the lawyers and the risk people” and that the problem is even more pronounced with the disconnect between information technology experts and board members. “Successful companies solve that by having an information officer, making them a board member or close to the board,” he said, noting that an approach like that of the ISM code’s “Designated Person Ashore” is necessary for good communication. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


64 | CYBER SECURITY summit review

Industry needs collaboration to prevent cyber attacks Shipowners, operators and managers, regulators and the supply chain need to collaborate to reduce the risk of cyber attacks

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here are more and more cyber security-related regulations shipping companies have to comply with. But there is guidance for them to follow that reduces the risk of an attack in the first place and being hit with heavy fines by regulators afterwards. Some of this guidance was provided to delegates at Riviera Maritime Media’s European Maritime Cyber Risk Management Summit, held in London on 15 June in association with Norton Rose Fulbright. At that summit, Templar Executives director Chris Gibson said shipping companies need to be proactive and learn from the way other organisations have responded to cyber attacks. He specifically mentioned the 2017 cyber attack of Maersk Group and its impact on container shipping and terminals. “There is no such thing as too much collaboration, but it is not something that can be mandated,” said Mr Gibson. It is about building relationships and trust “and the wider those relationships are the better.” He also highlighted the importance of cyber security within a shipping company’s supply chain and supporting players, as there are ship-to-ship, ship-to-

Chris Gibson (Templar Executives): Shipping companies need “overarching support and advice”

port, and owner-to-supplier relationships. “It is not just vessels, as ports and thirdparties can be hacked,” said Mr Gibson. “Supply chain is important, as there are many levels of interaction.” In response to these potential attack vectors, shipping companies need to decide what the risks are and what they need to do to mitigate them. “They need to have overarching support and advice, a central one with corporate response and crisis management,” said Mr Gibson. Templar Executives is working with Wärtsilä to build a maritime cyber centre of excellence in Singapore. This would respond within the first 24 hours of any incident that impacts a shipping company.

Regulations with teeth

Norton Rose Fulbright partner Philip Roche summarised how some of the new regulations and requirements may impact shipping companies and port state control. His colleague, head of operations and cyber security Steven Hadwin, explained regulators are already more active in cyber security, whether it is the EU general data protection regulation (GDPR) or the EU directive on the security of networks and

“Regulations have teeth – the EU could impose a fine of up to 4% of that organisation’s global annual turnover”

Maritime Digitalisation & Communications | 3rd Quarter 2018

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European Maritime Cyber Risk Management Summit

information systems (NIS) directive. “Data protection and cyber security needs to be taken seriously from a legal point of view,” said Mr Hadwin. Courts will focus on the importance of personal data and cyber security. Data could then “become a considerable liability for an organisation, such as a cruise ship operator,” he said. These shipowners can hold vast amounts of data about passengers and could be liable if a loss of this data led to personal distress and a collective legal action. If this data loss affected a European entity, then GDPR could come into play. Under GDPR, if an organisation loses data, “it will need to speak to a regulator within 72 hours,” said Mr Hadwin. “It could impose a fine of up to 4% of that organisation’s global annual turnover.” PwC UK cyber-security director Niko Kalfigkopoulos explained the legislation and reasoning behind the NIS Directive, which went into full effect in May this year. These “regulations have teeth” he said because of the potential size of fines and damage to company reputation from being a victim of a cyber attack. This is one of the reasons why boardroom executives should be aware and understand what is required for compliance.

Class support

Class societies provided their guidance to delegates. LR cyber-security product manager Elisa Cassi said shipping companies should have a third party monitor their IT network, the operational technology and people to “stop people sharing data or compromising procedures.” Shipowners “need to identify any compromise before an attacker tries to penetrate.” Ms Cassi explained technology can support the early detection of cyber incidents on ships, ports or offices, and intercept and prevent a cyber attack. She added that shipping companies need to “investigate the vulnerabilities through analytics and machine learning,” understand the behaviour of potential threats and use predictive analysis. LR conducts surveys of cyber security of on board systems and can determine whether a ship is safe to navigate. Ms Cassi said LR is also working with other class societies to define cyber-secure ship notations. Also during the summit, Anchoredge chief commercial officer Herbert Soanes explained how blockchain technology can

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be used for secure transactions of the decentralised ledger. The ledger provides a record that "prevents double payment of crypto currency, which prevents fraud". The transaction is secure because "the block has a unique cryptographic hash". “A change of character would generate a new hash, so tampering with the document means that hash will not match any more,” said Capt Soanes. There is no reliance on a single central entity, “the blocks of information are held in a chronological chain and blocks cannot be changed without consensus” he said. “A block is visible to everyone in real-time, which creates high levels of transparency.” This means a block data cannot be changed without 51% consensus from the minors. “Cryptography makes the possibility of fraud very low, it makes counterfeiting very low and that is highly conducive to distributed trust as many people can visualise changes.” MDC

Elisa Cassi (LR): “Shipowners need to identify any compromise before an attacker tries to penetrate”

What is the role of port state control in enforcing cyber security? Norton Rose Fulbright partner Philip Roche believes port state control will play a limited role in enforcing cyber security, writes Jamey Bergman. Mr Roche, the global co-head of the firm’s shipping group, told attendees at the European Maritime Cyber Risk Management Summit in London that the shipping industry was likely to continue to rely on classification societies and P&I clubs to understand regulatory compliance. “It is hard to see a port state control officer – a guy who’s been at sea, who understands engines and fuels and lifeboats – suddenly becoming armed with the ability to check a ship’s cyber security,” Mr Roche said. “It seems to me a lot of reliance is going to be, as it is now, put on classification societies certifying whether a ship is safe to go to sea.” In addition to class notations Mr Roche said the industry could also see something akin to an international oil pollution prevention certificate which ships would carry around to prove they are compliant. “What I can see is port state control doing basic checks. I cannot see them doing penetration testing, I cannot see them going into great depth, but I can see them doing a check that there is a policy in place.” However, he said there was still room for both P&I clubs and classification societies to collaborate to develop and unify compliance guidelines. “I understand there is a P&I working group, that the classification societies have gotten together to get a working group and to have a think about these things and deal with how compliance may well look,” he said. Mr Roche said he did not expect port state control in many countries to be quick to create an enforcement regime. He cited the UK Maritime and Coast Guard Agency’s yet to be defined methods of enforcing the IMO 2020 sulphur cap, saying port state response tends to follow “rather slowly” after the enactment of regulations.

Maritime Digitalisation & Communications | 3rd Quarter 2018


66 | NORWAY

Digital twins optimise vessel design, maintenance and performance Norwegian experts from across the sector are working on an effective standardised platform for creating digital twins for maritime use

T

he Open Simulation Platform (OSP) initiative, which is working toward the creation of an industrystandard open-source digital simulation platform for models and systems, is one of the many areas of digitalisation where Norwegian players are seeking to lead the way. At the Norwegian Competence Centre (NMK) in Ålesund, DNV GL principal engineer and project manager for OSP Kristine Bruun Ludvigsen provided Maritime Digitalisation & Communications with more details on the project. The OSP was established via the signing of a memorandum of understanding at NMK by Rolls-Royce Marine, DNV GL and SINTEF in July 2017. It was officially launched in March 2018, when new partners including Hyundai Heavy Industries, Kongsberg Digital, Vard and Offshore Simulator Centre, which also has a presence at NMK, came on board. A platform such as the OSP allows so-called digital twins to be built. These are complex complete simulations of vessels and their systems. Such systems are already used in the automobile industry. The idea is that contributors create virtualised versions of their hardware (for example, a thruster) by gathering performance data from the asset using sensors, Ms Ludvigsen explained. As the digital twin is built from data gathered from the physical asset, it is still compatible with the software used on that, she added. These virtualised versions are the digital twins, and under OSP would be submitted to a central library that could be accessed by other participants in the platform to see how different systems interact with each other. OSP will develop a standardised co-simulation interface that will allow virtualised versions of assets to be simulated together (for example, it would allow a thruster to be simulated alongside the engine that powers it). This will bring together the digital

The ‘digital twin’ concept allows for complex simulations of vessels and their systems (credit: Rolls-Royce)

twins into a co-simulation master algorithm, incorporating multiple systems. This allows for simulations ranging from individual pieces of equipment right up to a complete vessel with all of its complex systems and pieces of equipment together. Potential uses for digital twins include optimisation, requirement design and type approval during the design phase of a project; integration, testing and acceptance, interface management and certification in the construction phase; and change management, troubleshooting, training and classification in the operational phase. Ms Ludvigsen said that while models and simulation are already widely used, re-use of models between parties – for example, with vendors sharing the models with customers or class societies – was limited due to reluctance to share intellectual property and cyber-security fears. While the goal of the project is to share information (ideally vendors would supply models of equipment as a matter of course for mutual benefit), Ms Ludvigsen explained that vendors who wished to keep certain information such as sensitive design data to themselves would have the option of simulating their systems on their own servers and providing the customer with just the output data. Vendors can also opt to make models available freely or charge a fee to users wishing to access them. A protoype of the system is already running, simulating a vessel and a DP system conducting a dynamic positioning operation. This prototype uses cloud computing to allow teams in different locations to work together to optimise the system design and vessel performance, to verify correct handling of controlsystem failures for the vessel’s automated positioning system and to vary system changes and their operational impact before they are deployed to the actual vessel. MDC


NORWAY | 67

Augmented reality could be the vision of maritime’s future Training crew in new skills and assisting with maintenance and servicing are just two potential applications for the technology under development

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ased in what is sometimes referred to as the maritime equivalent of Silicon Valley, the Sunnmøre region on Norway’s western coast, Fostech is working to provide augmented reality solutions for the maritime sector. Augmented reality – whereby the real-world environment is augmented with computer-generated information projected on the field of vision – is a growing area of tech development. Apple’s Tim Cook said it could potentially be as big as the smartphone in a 2017 interview with Business Insider, and Equinor chief executive Eldar Saetre has identified it alongside big data and artificial intelligence as a key area of technological development. Equinor has already experimented with the technology on its Mariner platform while it was under construction at the Daewoo shipyard in South Korea. According to IT director Åshild Hanne Larsen, Equinor tested how long it took to find a specific tube in one of the platform’s modules. It found that without the glasses it took a full hour, while using the glasses it took only three minutes. Possible applications the company foresees are for maintenance, or when planning modifications to, or installation of, equipment in the field. Fostech’s founder Håvard Notøy has worked in the maritime sector for 30 years, starting work at a local shipyard at the age of 17 and going on to work in aftersales and services in a variety of

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Fostech’s technology is built around the Microsoft HoloLens headset

roles at Rolls-Royce Marine and Havyard. The company was launched in October 2015 and has offices in Fosnavaag and at the Norwegian Maritime Competence Centre in Ålesund. It currently has six fulltime and four part-time employees. The company’s projects include a crane education programme designed to be carried out from the comfort of a crew member’s cabin, removing the need to travel and attend courses in person, and a simulated fire emergency that produces a virtual fire complete with smoke and audio to allow for evacuation training in real-world environments. Carrying out such drills at a training centre “can’t compare to going down to the machine room and actually doing this together with your colleagues on board a ship,” said Mr Notøy. He added that a Norwegian shipyard is already using the technology for supervisors during vessel construction. Using this, the supervisor can inspect newbuild vessels and instantly bring up blueprints and plans and compare them with the finished product. Should any discrepancies be found, the supervisor can then use the headset to Skype with engineers. Mr Notøy also sees a use for the technology with the rise of autonomous

vessels. Explaining that as crew numbers on autonomous vessels decrease, those left aboard will need more and more knowledge of equipment and procedures to carry out services. Using augmented reality will allow for data such as manuals and blueprints to be easily brought up and accessed, aiding the crew member – an area that Rolls-Royce also sees applications for augmented reality in. “None of the solutions here exist in today’s maritime market,” said Mr Notøy, adding that shipping companies Fostech have demonstrated the technology to have been quick to recognise its high value as a means of driving down operational costs and allowing them to carry out services themselves without being reliant on aftersales support from manufacturers. Mr Notøy accepts that equipment manufacturers would not be thrilled with this as it would reduce their turnover from services. But he also points out that “if you ask any equipment manufacturer they will say to you that man-hours [spent carrying out servicing] are not very profitable, but spare parts are extremely profitable,” and customers looking into the technology’s use already include equipment manufacturers. MDC

Maritime Digitalisation & Communications | 3rd Quarter 2018


68 | FORESIGHT

Flat panels can revolutionise vessel communications Isotropic Systems will be competing against Kymeta Corp and Phasor to develop flat-panel and electronicsteered antennas for maritime satellite communications

A

greements and technical developments this year have shown there is potential for flat-panel antennas to be used in maritime for broadband communications. Electronically steered flat panel antennas are intended to replace the existing parabolic receiver/ transceiver antennas widely used for VSAT on commercial ships, offshore support vessels, yachts and passenger ships. Two main flat-panel technology developers, Kymeta Corp and Phasor, are testing these in marine environments and have signed agreements with service providers. A third player, Isotropic Systems, has arisen in this market and has also signed agreements with satellite providers and technology groups. Flat-panel antenna technology has already been tested for onshore applications, particularly road vehicles and is now being trialled in the marine industry over the next 12 months. Satellite operators, such as Inmarsat, SES Networks, Intelsat, OneWeb and LeoSat, and service providers have tied up with the technology developers. Speedcast International announced a partnership with Kymeta in late June to develop and roll-out product offerings featuring the Kymeta KyWay terminal, which integrates the mTenna flat panel Ku-band antenna. Speedcast executive vice president for products, marketing and business development Tim Bailey said KyWay “will bring

Comparison of a conventional antenna setup on a yacht versus one with flat-panel antennas (credit: Kymeta)

Maritime Digitalisation & Communications | 3rd Quarter 2018

game-changing technology to many of the market segments” that Speedcast serves, including yachts, passenger ships and onshore mobility markets. Kymeta also has an affiliation with Intelsat for developing the VSAT terminals of the future. Intelsat director of mobility solutions Andrew Faiola said these terminals would be required to operate over both its geostationary orbiting satellites and the low Earth orbit (LEO) satellites Intelsat affiliate OneWeb is investing in. Phasor continues to test its electronically steered antenna technology in marine conditions. It has also focused this technology on aviation applications and onshore mobility. In March this year, Phasor started working with LeoSat to develop Ka-band antenna capable of transmitting and receiving over a LEO satellite constellation. Isotropic Systems has also struck deals with satellite operators and technology providers for its optic-array flatpanel antennas. Its terminal includes a microwave refractive beamformer that can be electrically steered to control radio wave propagation in Ku- and Ka-bands. Isotropic believes these devices could be installed on ferries, cruise ships, fishing vessels, yachts and offshore support vessels. In March, Isotropic reached agreement with OneWeb, Inmarsat and SES Networks to further develop its technology. Inmarsat is considering this technology to support its Ka-band Global Xpress constellation. It wants Isotropic to develop electronic tracking terminals that will enable Inmarsat to reach new market segments. Isotropic will ensure these terminals operate over multiple beams with seamless motion between beams and satellites with low power consumption, which Isotropic says is just 10% of conventional terminals. OneWeb is looking to Isotropic for terminals that operate using its LEO constellation of satellites, scheduled to come into service from 2019, which is when Isotropic plans to release its first commercial terminal. OneWeb founder and executive chairman Greg Wyler said these electronic tracking terminals will “make it possible for OneWeb to provide affordable broadband services to people around the world.” LEO constellations will incorporate hundreds of small satellites travelling around the globe in multiple orbits providing complete broadband coverage. Antennas designed to operate with these constellations will need to seamlessly and rapidly transfer between beams and satellites. SES Networks signed a partnership with Isotropic to jointly develop electronic scanning terminals to operate over the O3b mPower Ka-band network, including a constellation of satellites operating in a medium Earth orbit. Isotropic also signed an agreement with VT iDirect to create terminals with integrated modem technology. Isotropic intends to have two slots for modems within its terminals to reduce costs for broadband in mobility markets. MDC

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