Monetisation supplement by Prestige Media

IoT Now: ISSN 2397-2793

DECEMBER/JANUARY 2018 • VOLUME 7 • ISSUE 5

MONETISATION SUPPLEMENT TALKING HEADS PTC's Jeff Miller says IoT success starts with turning pain points into proof points and innovating for success

PLUS: Monetisation news • IoT EVOLUTION EXPO 2018: Read our 8-page preview inside – including our special IoT Now Reader Registration offer • While cost efficiencies are a driver for IoT, don't forget the new revenue generation opportunities • Latest news online at: www.iot-now.com

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CONTENTS

IoT Now MONETISATION SUPPLEMENT

S10

MONETISATION NEWS

MONETISING IoT

S6 TALKING HEADS

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IoT EVOLUTION EXPO 2018 PREVIEW

IN THIS ISSUE S4

NEWS InterDigital launches Chordant platform, Bell and Howell selects PTC ThingWorx, thyssenkrupp extends predictive maintenance benefits TALKING HEADS Jeff Miller argues IoT success relies on turning pain points into proof points – and then looking round the next corner for a bigger opportunity

S10 MONETISING IoT Peter Dykes says show me the money S12

EVENT PREVIEW Seven pages exploring next year’s IoT Evolution Expo event start here

Cover sponsor: PTC has the most robust Internet of Things technology in the world. In 1986 we revolutionised digital 3D design, and in 1998 were first to market with internet-based PLM. Now our leading IoT and augmented reality (AR) platform and field-proven solutions bring together the physical and digital worlds to reinvent the way you create, operate and service products. With PTC, global manufacturers and an ecosystem of partners and developers can capitalise on the promise of the IoT today and drive the future of innovation: www.ptc.com

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IoT Now Monetisation Supplement - December/January 2018

MONETISATION NEWS

NEWS IN BRIEF

InterDigital launches Chordant platform with aim of enabling smart cities to monetise data

Survey finds industrial organisations increasingly focused on IIoT adoption Bsquare, a provider of Industrial Internet of Things (IIoT) solutions, has released the findings of its first annual IIoT Maturity Study. This explores the current IoT adoption progress of business buyers in manufacturing, transportation and oil and gas. According to the 2017 study, 86% of industrial organisations are currently adopting IoT solutions and 84% believe those solutions are very or extremely effective. In addition, 95% believe that IoT has a significant or tremendous impact on their industry. However, the study also shows that most IIoT investments are focused on connectivity (78%) and data visualisation (83%). In addition, only 48% are doing advanced analytics on that data and only a small number (28%) are automating the application of insights derived from analytics. “Our study shows that while industrial organisations have enthusiastically adopted IIoT, a majority have not yet moved to more advanced analytics-driven orchestration of data insights,” said Kevin Walsh, the vice president of marketing at Bsquare.

Amazon Echo and Google Home to be in over 50% of US households by 2022 A new study from Juniper Research has found that smart speakers such as Amazon Echo, Google Home, and the Sonos One will be installed in over 70 million US households by 2022, reaching 55% of all homes. Total installed devices will exceed 175 million. Juniper forecasts that Voice Assistant devices across all platforms – smartphones, tablets, PCs, speakers, connected TVs, cars and wearables, will reach 870 million devices in the US by 2022, an increase of 95% over the 450 million estimated for 2017. It believes that advertising is the biggest revenue opportunity for voice assistants, forecasting ad-spend to reach nearly US$19bn (€16.38 bn) globally by 2022; although it is not without pitfalls.

Jim Nolan, InterDigital

InterDigital has launched its smart city-focused Chordant business. The Chordant platform is designed to tackle the key business and data challenges in today’s smart city deployments.

The Chordant platform has been developed to enable cities to unlock value from any data source, allowing them to build smart city solutions using a best-of-breed, easily deployable platform. Its oneM2M standards-based approach serves as a means of bringing the legacy and future assets together in what InterDigital calls “a future-proof, standards-compliant solution”. The Chordant platform hides the underlying complexity from application developers, so they can focus on

creating applications for cities, consumers and enterprises alike. The platform also features a simple interface for partners to access and onboard their services. Furthermore, by bringing all the data assets into one environment, cities can open the door to innovation that will result in efficiencies and benefits to their citizens. In addition, the Chordant platform is already being utilised in a transport data marketplace and other smart city solutions. “Building Smart Cities is becoming an important focus for government bodies worldwide. However, it is challenging for cities to effectively utilise all their data,” said Jim Nolan, executive vice president, Chordant, at InterDigital. “If cities are to maximise and monetise their data, they need a strong, collaborative, interoperable ecosystem capable of delivering smart city solutions. Chordant provides just the platform to deliver on that commitment.”

Bell and Howell selects ThingWorx platform to enable smart, connected service

Ramesh Ratan, Bell and Howell

Bell and Howell has selected the ThingWorx industrial innovation platform from PTC to transform its service organisation by enabling remote monitoring and service of its connected industrial mechatronic machines.

Bell and Howell delivers innovative service and technology solutions that enrich customer communications and fulfilment for the world’s largest finance, industry and public sector enterprises. The company helps its customers streamline high-volume, high-integrity production of customer communications and product fulfilment; track delivery throughout the supply chain; maximise postal discounts and monetise every customer touchpoint. The company selected the ThingWorx platform as the foundation of an innovative next-generation IoT-enabled offering designed to further optimise service capabilities for all of its original equipment manufacturer (OEM) service partners. These partners include companies such as Cleveron, CMC,

Fetch, Hewlett-Packard, Packsize, Savioke, Sharp, and Toshiba. ThingWorx will enable Bell and Howell to reduce equipment downtime, improve First Time Fixn(FTF), increase overall performance, and boost customer satisfaction. “At Bell and Howell we are focused on innovation and creating next-generation solutions and services for our customers,” said Ramesh Ratan, the chief executive of Bell and Howell. “We selected the ThingWorx platform because we needed a complete IoT platform that could handle everything from connecting the device to building applications to analysing data. With the ThingWorx platform, we will be able to not only monitor our machines, but also have the ability to connect and remotely diagnose and service machines, which will enhance our level of service to our customers.” Jim Heppelmann, the president and chief executive of PTC, added: “By using the IoT for smart, connected service, service organisations can solve problems before the customer knows they exist, adding tremendous value to service operations. ThingWorx will enable Bell and Howell to deliver highquality services and more robust IoTenabled solutions for its customers.”

IoT Now Monetisation Supplement - December/January 2018

MONETISATION NEWS

Thyssenkrupp extends predictive maintenance benefits to more than 40,000 customers

Automotive telematics systems revenues to reach US$6.7bn globally in 2023 Global revenue from automotive telematics systems will grow at a compound annual growth rate (CAGR) of nearly 17% to more than $6.7 billion by the end of 2023, according to new research from business information provider IHS Markit. These automotive telematics forecasts from IHS Markit are driven by continued innovation in vehicle connectivity and safety technologies, and demonstrate a wide variety of viewpoints from consumers across leading global markets. The data represents production of factory-installed telematics systems, including embedded, consumer electronics (CE) and hybrid telematics. The IHS Markit research estimates that more than 33 million light vehicles equipped with some form of telematics were produced in 2016 globally. It is expected that production of such light vehicles will grow at a CAGR of 11% to reach over 66 million units in 2023. Approximately 70% of new light vehicles produced in 2023 will be equipped with some form of original equipment manufacturer (OEM) telematics systems. Embedded telematics solutions are often used for safety and security features of telematics services such as emergency calling, roadside assistance, stolen vehicle tracking, over-the-air updates and more.

The demand of embedded telematics control units (TCUs) will increase, especially with the European eCall mandate that goes into effect in 2018. Then, the total revenue of embedded TCUs is expected to grow at a CAGR of 15% by 2023, IHS Markit says.

Anna Buettner, IHS Markit

Hybrid telematics solutions, using both an embedded TCU and a connected CE device to provide a two-way data connection to the car, will have the strongest growth among the three type of telematics systems during the forecast period, according to IHS Markit forecasts. The production of hybrid telematics systems will surpass the production of other types of telematics systems in 2018. It will continue to lead the market throughout the forecast period. “A large portion of vehicles already feature multiple connections especially in the luxury segment,” said Anna Buettner, the manager for automotive infotainment at IHS Markit. “This trend is expected to spread to other lower segments during the next few years, as strong market demand will bring connectivity to vehicles and regions that traditionally lagged behind.”

GSMA mobile IoT initiative targets European connected energy market worth US$26bn The GSMA announced that mobile operators deploying new mobile IoT networks will be able to benefit from the European connected energy market estimated to be worth US$26 billion(€21.99 billion) by 2026. Data shared by analyst house Machina Research highlights the huge growth opportunity in the emerging connected energy market that could connect approximately 158 million new smart meters on LPWA networks across Europe. The total number of connections in Europe could be further increased if the 60 million cellular connections are also included with LPWA. “The Internet of Things is fundamentally disrupting the smart utility market by providing ubiquitous connectivity and realtime, actionable data. Mobile IoT networks will take this further by offering energy providers a cost-effective solution to connect millions of smart meters,” said Alex Sinclair, chief technology officer, GSMA. “There is a real sense of momentum behind the roll-out of Mobile IoT networks with

multiple global launches, however, there is still a huge runway for growth. We encourage operators to act now to capitalise on this clear market opportunity and further accelerate the development of the IoT.” The current connected energy market, which includes applications related to the generation and transportation of energy, microgeneration, smart grid and distribution monitoring and smart metering, is worth an estimated US$11.7 billion(€9.90 billion). The European connected energy market represents approximately 21% of all global revenues, with APAC claiming 54% and the Americas 21%.

thyssenkrupp continues to transform how it delivers service in the elevator industry, which transports over a billion people each day and is valued at US$44bn per year (€37.26bn/year). After teaming up with Microsoft in 2015 to launch MAX, the first predictive maintenance solution for elevators enabled by Microsoft’s cloud platform Azure, thyssenkrupp has now connected more than 110,000 elevators with the IoT-based system, enabling the reduction in downtime for 41,369 customers across 48,340 sites. MAX collects and sends realtime data from connected elevators to the intelligent cloud, where the remaining lifetime of each elevator’s key components and systems are calculated, determining which parts will require maintenance and when. Speaking at StartupCon 2017 in Cologne, thyssenkrupp Elevator chief executive, Andreas Schierenbeck, said: “We developed MAX because we knew that elevator service could be done much better than the industry norm. With an estimated unavailability of 190 million hours worldwide each year, we felt that the uptime of the world’s 12+ million elevators could certainly be improved. And now the benefits from MAX are real: reduction of downtime for our customers, reduced service intervention times for our technicians, and in some cases we have been able to solve a problem before the customer even knows there is one. With M2M learning, the benefits of MAX will just keep getting bigger and better.” A thyssenkrupp MAX service technician

The European Commission recently published a proposal indicating that approximately 200 million electricity smart meters and 45 million gas meters will be rolled out by 2020. The Commission also estimates that by 2020, approximately 72% of Europeans customers will have a smart meter for electricity and about 40% for gas.

IoT Now Monetisation Supplement - December/January 2018

TALKING HEADS

Early success in IoT relies on turning pain points into proof points – and then looking round the next corner for a bigger opportunity Jeff Miller is vice president of PTC’s IoT Transformation Advisory Practice. He and his team help companies maximise the value of their investments in IoT technologies and solutions through transformation strategy, business insight, monetisation and programme consulting services. Here, he tells George Malim, the managing editor of IoT Now, how organisations can construct attractive business cases for initial deployments that also position them to benefit from greater second and third wave opportunities as IoT understanding and capability matures

Jeff Miller: You’re right that for some companies, investing in IoT does take a leap of faith. To reduce risk, we advise our customers to begin with small, well-scoped projects that solve specific problems or provide needed new capabilities, prove the business value of them, and then rapidly scale or expand their uses. We encourage customers to select performance issues or opportunities with identifiable and quantifiable ROI, that also have broader application across the business, and can be launch pads for later expansion of IoT capability. For example, we know asset connectivity and analytics using sensor data are foundational IoT capabilities, so it’s wise for customers to start their IoT journeys by applying these capabilities toward solving known business issues or creating new business capabilities. Asking companies to identify where their operating performance or customer satisfaction metrics are negatively affected by a lack of asset connectivity and data is a good start. Establishing basic connectivity, asset monitoring and simple analytics – albeit at small scales – to reduce or eliminate those impediments demonstrates value and helps to encourage further adoption. It’s important for companies to recognise that IoT programmes are fundamentally different from large enterprise solution deployments. Many IoT sponsors and programme leaders find it’s actually easier to define the ROI

opportunity of an enterprise SAP implementation based on process cost reduction, because the business process models are so well established. IoT is different because most often one begins with a solution or innovation platform – a technology stack – through which to build purpose-defined applications that solve specific business issues. There is no well-established reference process architecture to emulate. This is why we counsel new IoT adopters to begin with what they know, or strongly suspect is needed to improve their businesses, to develop and deploy IoT apps and solutions towards solving one or two well-defined business issues first, and scale from there. This doesn’t mean organisations should set low ambitions for the value of IoT solutions. Rather, we believe the value of IoT is often driven by the network effect. For product companies, that means identifying a first pain point opportunity, defining what to measure and why, acquiring data, building analytics and using the resultant insight to improve performance and prove that the new capability delivers value. With that accomplished, we advise customers to consider expansion, scaling and broader integration to second third and even fourth order opportunities along their value chains. The key is identifying the right place to begin and the right foundation capabilities to establish. GM: ROI isn't necessarily about generating revenue. For many organisations, the greater value lies in enhanced process efficiency, better customer satisfaction or improved productivity. What are the difficulties of extracting clear values from each these potentially subjective areas? ▼

George Malim: One of the barriers to increased adoption of IoT has been that it requires organisations to make a leap of faith in the absence of quantifiable return on investment (ROI). What are the challenges of constructing ROI models across the varied and complex dimensions of an IoT business case?

IoT Now Monetisation Supplement - December/January 2018

Jeff Miller: PTC

JM: IoT platforms are fundamentally different from enterprise-scale solutions, and the ROI arithmetic is different, too. Platforms support the creation of new ITenabled business capabilities without the constraints of the process models upon which packaged enterprise solutions are usually based. That means customers have much greater flexibility to develop – or purchase – the precise apps or solutions they need to solve their particular business issues. That flexibility means that ROI models may be driven by much wider sets of factors than just revenue lift, or simple direct cost reduction. In the factory for example, an IoT application for monitoring machine performance beyond basic supervisory control (SCADA) may provide analytical data that improves spare part management for that machine. Less unplanned downtime improves operational equipment effectiveness (OEE). So, an IoT app may affect a measure like OEE much differently than how an enterprise solution would. We suggest that customers ask themselves where the absence of connectivity and/or access to product operating data has impeded their ability to improve the performance and overall customer value of their products. We use the growing set of validated IoT use cases to help customers then identify areas where they can generate value from well-defined IoT investments. These areas become the starting points for their own use cases. GM: For IoT and organisations' attitudes to it to mature, does there always have to be a dollar value attached to IoT investment? Wouldn't, for instance, something like a 10% reduction in downtime be of obvious business value?

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JM: There are always questions about costs and measurable returns on investment. It’s important for company leaders to recognise that the costs of entry into IoT technologies are low compared to enterprise solutions – and what this difference means in operational terms. First and foremost, it means the cost of experimenting is also relatively low for the potential performance improvement returns. It also means the returns on those investments may be narrowly defined to a particular process or function, may not be measured in financial terms, and may be less predictable. This complexity in determining value is being compounded by a new phenomenon we’re beginning to see across companies; IoT fragmentation. Because of the ease with which IoT experimentation may be conducted, individual departments are creating IoT

IoT Now Monetisation Supplement - December/January 2018

TALKING HEADS

applications that provide localised capabilities and solve narrowing defined, functional problems. That’s a good thing to do, as long as companies recognise the need for new governance and architectural controls to prevent the inefficiencies that come with the absence of standards. It means the definitions of value and ROI for IoT investments will broaden. GM: What metrics other than cash generation are being used and accepted by organisations as ROI contributors? JM: While the lower cost barriers to IoT are democratising performance improvement, and the definitions and measures of value are becoming more varied, there are a few large trends we see coming from broader adoption of IoT. Metrics related to customer experience are increasingly recognised because organisations are focusing on the role of IoT to improve fielded product performance, availability and reliability, all of which are basic requirements for happy customers. And, it is not only product companies that are thinking this way – pure service companies like salesforce.com are taking this approach, too. An even broader opportunity for ROI from IoT is the movement away from the purchase of assets, and toward the purchase of outcomes – the wellestablished product as a service strategy. The number of successful case examples of such progression is increasing. Large capital equipment companies are leading the way by accelerating their IoT-related investments in areas that improve the customer/owner/operator experience and reduce the respective costs for the outcomes each stakeholder seeks. More companies are placing such investments at the centre of their strategies for market differentiation. A well-designed, IoT-enabled product function or service feature that measurably improves a customer’s performance, cost or satisfaction metric is worth a lot in a competitive market. GM: Which IoT app areas do you see as having the clearest or most easily identifiable business and ROI cases? JM: Taken together, the platform technologies and cloud-based infrastructure services that make up today’s conventional definition of the Internet of Things technology stack may be the most important enabling capability of the everything-as-a-service world toward which we are moving. For the external customer model,

applications that improve customer experiences and financial performance will remain the highest priorities across the enterprise. These include apps for, 1) sourcing data and monitoring asset performance, 2) merging and contextualising data to make it more usable in business operations, 3) synthesising operating insights to predict product performance and recommend preventative service actions, 4) orchestrating ecosystem actions and responses to issues, and 5) engaging ecosystem resources to take action. In addition, applications that utilise digital twins, also called software defined products, will expand dramatically. The digital twin is the centrepiece of today’s most powerful and useful IoT solutions, and is a foundational component of the augmented reality strategy that every company needs to create. Apps that utilise digital twins facilitate the design, sale, installation, use and service of complex products, and produce parts through additive manufacturing. Applications in these areas will continue to grow rapidly because of their powerful value propositions. They will drive down costs of product ownership and pay for themselves quickly. For a thorough examination of the role of augmented reality in the industrial enterprise, see the Harvard Business Review article by PTC’s CEO James Heppelmann and Harvard Business School Professor Michael Porter in the November/December, 2017 issue. PTC has defined the industrial innovation process model in these five stages: source, contextualise, synthesise, orchestrate and engage. This model offers sound guidance for developing an IoT strategy, a capability roadmap, and apps that deliver value quickly. GM: Please can you share any customer success stories of constructing ROI models? JM: I’ll offer two examples. The first is Hirotec, a global maker of automotive parts, which sought to invest in IoT technology for improved predictive analytics in its factories. It built a case for the investment around reducing unplanned machine downtime, and through its experience found the value proposition was much stronger than originally thought. As it turned out, the operating performance improvements Hirotec realised were so great that they offset the need to buy additional production machinery to meet a demand for more capacity. Hirotec improved its operating expense performance, and at the same time avoided the capital expense of purchasing additional capacity. ▼

PTC has defined the industrial innovation process model in these five stages: source, contextualise, synthesise, orchestrate and engage

SPONSORED INTERVIEW IoT Now Monetisation Supplement - December/January 2018

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In the coming year, examples of successful IoT deployments in single factories will be eclipsed by examples in which ecosystems of stakeholders across different commercial organisations and functions achieve notable, unique new capabilities

That’s a great template. Selecting an area of factory operation where you can generate meaningful ROI, such as reducing unplanned downtime, while remaining alert to other opportunities. The lesson of cases like Hirotec is to build an ROI model for a well-scoped first use case, and then consider second, third and even fourth order effects and opportunities. The other example I’ll share is in commercial aircraft manufacturing. The use of remote monitoring and predictive analytics has been wellestablished in commercial aviation for decades. A leading airframe manufacturer sought to expand the concept and use of such data beyond aircraft engines, landing gear and flight control systems into the aircraft’s interior systems. The airframer worked with its air carrier customers to identify problems which might be solved with this kind of IoT. It learned that galley oven failures on longhaul routes were either no-go items – grounding an aircraft until repaired, or a significant customer satisfaction issue. A solution was defined to monitor galley ovens, and with actual failure data collected over time, future failures based on warm-up time data became predictable. That’s the first order value – knowing when the oven is likely to fail, and reacting appropriately by ordering spare parts ahead of the need. But, the air carrier and third party aircraft maintainer went farther, integrating predictive failure data with aircraft scheduling and routing data, spare oven inventory data – especially, locations of spare ovens, and the availability and locations of skilled labour to remove and replace the oven prior to its predicted failure. The result is a significant reduction in oven failures and resultant AOG (aircraft on ground) time. This example shows the power of the network effect which IoT solutions make possible. This is what’s going to be the characteristic of IoT in the coming years; the ability to uncover second and third order opportunities through IoT investments to address specific, first-order opportunities. GM: To what extent do you see it as the role of a vendor to help you customers calculate the ROI of IoT solutions? JM: The value propositions and ROIs of IoT investments are determined first by business models and then by the technologies that enable them. PTC is recognised as having the leading

IoT Now Monetisation Supplement - December/January 2018

industrial innovation platform for IoT, but that is only part of what differentiates us from other vendors. Our focus on helping industrial innovators achieve rapid first value, then expanded and sustained value from the technologies of digital – physical convergence, connectivity, data sharing and analytics sets us apart. The value of a vendor’s technology is measured by the business value realised by its users. GM: Do you think this challenge will continue to exist as organisations become more mature in their usage and approaches to IoT? JM: Yes, it will continue to exist but it will transition into a more diffuse and multi-participant challenge. Two years on from the large upturn in IoT interest and activity, we’re at a stage where first order value of IoT is being achieved by more companies. So many, that basic IoT capability is table stakes for most large industrial competitive markets. The challenges of identifying ROI and calculating it will become more complex as opportunities expand in scope and organisations seek to prioritise multi-participant deployments with the greatest business value. In the coming year, examples of successful IoT deployments in single factories will be eclipsed by examples in which ecosystems of stakeholders across different commercial organisations and functions achieve notable, unique new capabilities and offer new value proposition to their end customers. CEOs and senior leaders have to think about their ecosystem and trading partners, and how well they have designed and engineered their offerings to fits the needs and expectations of customers. This is the new calculus created by IoT. CEOs know they won’t achieve market differentiation solely because their factories are more efficient. They cannot cost-improve their paths to market leadership. Instead, they increasingly see IoT as a means by which they can fundamentally transform their businesses, with the added benefit that they can fund their experimentation and solution deployments with solid business cases based on demonstrable ROIs.

www.ptc.com

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MONETISING IOT

Never mind the tech, it’s all about the money An increasing number of companies across many industries are adopting IoT, but their reasons for doing so are very different, writes Peter Dykes. One of the primary reasons, it seems, is making cost savings through efficiencies such as monitoring remote plant or tracking assets as they move around the world. But should they be focusing more closely on generating new revenues?

Peter Coleman, a partner at consulting firm Simon-Kucher, says a recent cross-industry survey conducted by the company, which included IoT deployments, found that 81% of those questioned had made investments in digitalisation in the last three years. When asked what they were trying to achieve, 21% said they were trying to reduce costs, a similar number said they were looking to increase revenues and 54% said it was a combination of both. However, taking all those who said they were trying to increase revenues to some degree – 75% of respondents in total – only 23% said they had seen any degree of top-line impact. Coleman puts this down to a lack of adequate planning. “It may well be that someone has set themselves a goal without clear targets,” he says. “But we know from the same survey that unit cost reductions are not realistic and that

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they will stay the same or increase. So we’ve got a dichotomy where they know the opportunity is on the revenue side, they know the cost position isn’t likely to get better and may even get worse, they know they want this stuff to affect the top line, but what they’ve done so far hasn’t been sufficient.” Of course, the situation that Coleman describes could just be because many IoT deployments are just at the proof of concept stage. Jonquil Hackenberg, the head of Advisory Practice at Infosys Consulting believes that many companies are just dabbling in new tech, just to see how it can be used in different scenarios, although there is a good case for profitability in the future. This is especially true in things like proactive, automatic stock reordering ordering where a company may make more sales as a result. “There is a massive opportunity for a return on investment, increasing revenues and introducing new lines of business,” he says. “However, once they stop dabbling with proof of concepts and start working out the end-toend consumer journey they’re trying to create, that’s when it will stop being about making savings and becomes more about money making.” Indeed, While IoT has been discussed for many years, it is only relatively recently that tangible deployments are becoming mainstream. It’s true that many of these are focused on creating operational efficiencies, but IoT deployments that are likely to be most ▼

A lot of people seem to think so. So far as digitalisation in general is concerned however, many companies do seem to be aware of the need to think in terms of revenue growth through investment in technology, but a significant proportion are having problems in achieving that end. While there are distinct advantages to using a new technology to make a business more efficient, it’s important to make sure the initial investment can be recouped. This is particularly important with IoT because, so it would appear, it is not widely understood by its potential beneficiaries.

IoT Now Monetisation Supplement - December/January 2018

£ Theresa Bui, Cisco Jasper

Jonquil Hackenberg, Infosys Consulting

successful in the market will create new revenue by delivering IoT services that enhance the customer’s experience. Theresa Bui, the director of IoT Strategy at Cisco, says there is no doubt that the market is moving in this direction and it is likely that there will be an increasing number of companies wanting to provide services to IoT devices. But to do this, companies need automated IoT connectivity and data management platforms – paired with reliable networks – to deliver these services. Without the ability to automate the management of connected devices and the data they produce, delivering IoT services to thousands or millions of devices becomes unfeasible. She adds, “While connected services are critical to monetising IoT, those services need the support of automated IoT platforms as well as reliable networks that can guarantee their market viability.” These are issues over which the Wireless Broadband Alliance (WBA) has been deliberating, with both operators and vendors working on both interoperability and roaming. The problem is that different verticals will use different radio technologies and different networks, so it is vital that everything related to mobility is interoperable and capable of roaming. Use cases such as global asset tracking and fleet management will require such capabilities as they travel around the world and so addressing these issues is vital for these particular segments. On the subject of segments, there is a very clear difference in the requirements between segments such as IIoT and smart cities on the one hand and the connected home on the other. Nowhere is the division clearer than in

their respective drives for revenue growth. The former is very much a slow-burn market, while the latter is already growing quickly. Tiago Rodrigues, the senior director for Project Management and Membership Services at the WBA explains, “If we look at the enterprise or industrial type of company, many of them are looking for some kind of efficiency gain through production. In the connected home market however, companies are looking to increase revenue by providing security services, or remote control for things like lighting and heating. This is an area in which network operators are also looking to make money from as well as the automotive vertical.”

While IoT has been discussed for many years, it is only relatively recently that tangible deployments are becoming mainstream

He adds, however, that because the industrial and smart city sectors are not moving as fast as the connected home market the implication is that the first two need additional expertise to implement those technologies In addition, they have to change their processes to be able to make use of the new data they are collecting. “Somehow, they have to reorganise the way that some of these companies are set up,” he says. In the case of smart cities, another topic for discussion at the WBA recently because, they don’t know about telecommunications, they don’t have the system engineers and they don’t have the expertise available, adds Rodrigues. So, depending on your vertical, the logical thing to do seems to be to work out longerterm strategic goals, try out the technology and see where it fits in terms of revenue generation and only then go for a roll-out. But if this process seems too long-winded and the money too far away, maybe you should be in the connected home market instead.

IoT Now Monetisation Supplement - December/January 2018

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EVENT PREVIEW

18TH EVENT SINCE 2009 Orlando is open for IoT Evolution in January 2018

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IoT Now Monetisation Supplement - December/January 2018

Special registration offer for IoT Now readers Register with code NOW and Save US$500!

Key exhibitors Include: • Accelerated Concepts • Altaworx • Anaren • Axis Communications • Bridgera • Citrusbyte • Cradlepoint • Encore Networks • Exakom • IBM • Ingenu • KORE Wireless

The January 2018 IoT Evolution event provides attendees with access to expanded content that explores not only the IoT technologies that are driving enterprise growth and proficiencies, but the vertical markets where IoT will be most impactful. IoT Evolution is carefully developed to educate and inform attendees on how to strategise and build end-to-end IoT solutions. From building a network of edge devices to IoT gateways to scalable IoT connectivity networks, IoT Evolution covers all the critical issues and provides attendees, regardless of knowledge level or implementation stage, an unmatched resource for information, contacts, partners and providers. The conference includes content on IoT business intelligence and analytics, solutions for enterprise operations, fog computing, and sessions focused on IoT’s business and financial implications. In addition, there are several collocated conferences with laserfocused content on key verticals, IoT connectivity and security. ▼

• Nimbelink

The IoT Evolution event to be held on 22-25 January, 2018 at Disney Contemporary, Orlando, Florida, USA, will welcome 3,500 visitors and host more than 60 exhibitors. Here, IoT Now provides a preview of the show and conference

• Octo Telematics • Rev.io • ServiceMax, a GE Digital company • SIMCom Wireless Solutions • Systech Corporation • Twin Oaks Computing • Virtium Solid State Storage and Memory

IoT Now Monetisation Supplement - December/January 2018

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EVENT PREVIEW

Conference tracks include: IoTE business intelligence and analytics: In this track, attendees will delve into the inner workings of strategic business intelligence and analytics. Learn how sensors and IoT technology at the edge of the network deliver information, and how that intelligence is processed, managed and utilised to help enterprises make powerful tactical business decisions that will lead to real improvements in business outcomes.

Enterprise Ops:

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Operations is where the work of IoT implementation happens in the enterprise. To explore the ways to enable operators to make use of remote management and asset tracking to maximise operations, lower costs, be more effective and find new revenue opportunities. Here, enterprise executives will learn how to build systematic IoT strategy, engineers will learn where to focus their efforts for the greatest returns and business development will see the trends that will shape the industry.

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IoT Now Monetisation Supplement - December/January 2018

Collocated events: http://www.lora-con.com/east LoRa-CON explores the technologies and deployment benefits associated with LoRa and related connectivity solutions. Take a deep dive into LoRa technologies as well as narrowband IoT, (NBIoT), CAT M1 and Cellular. Compare and contrast these solutions and see what is right for your application and your company. Other topics will include security and application case studies in logistics, smart cities, industrial solutions and more.

http://www.iiotevent.com/east/ The Third Industrial Revolution is embodied in the IoT, and innovation is the heart of our industry. At the Industrial IoT event, which hosts a series of forward-looking sessions and breakouts, attendees will look ahead to make plans for implementing the Systems of Things that will shape the future of todayâ&#x20AC;&#x2122;s manufacturing and production functions. Learn from IIoT test beds and use cases, hear about factory floor solutions that improve production management and control and get technical solutions to mitigate cybersecurity risks.

http://www.iotsecurity40.com/east/ At the IoT Security 4.0 Conference, you will learn how to protect assets, actions and information. Learn how the world of cybersecurity is evolving into new paradigms of management and control. Key topics include; advances at the silica level that minimise opportunity for human error, session layer and software defined systems that isolate and target specific devices to avoid attacks, plus block chain and other identity management strategies that keep documentation and systems monitoring current.

http://www.thesmartcityevent.com At the Smart City Event, discover the nearly limitless potential of smart cities and how connected solutions will drive city wide improvements, better quality of life for residents and business opportunity for enterprises. Hear how your company can use these new capabilities to create new business models and drive revenue.

http://www.iotevolutionhealth.com/conference/ IoT Evolution Health is laser-focused on showing attendees how IoT technologies, and associated business initiatives, can improve patient outcomes, drive down costs and expand patient's treatment options. This is the leading education and networking forum for healthcare enterprises, IoT developers, suppliers and health OEMs. All attendees will have an opportunity to learn from each other and collaborate on solutions that will lead to improved efficiencies, new profit centres and better health outcomes for patients.

IoT Now Monetisation Supplement - December/January 2018

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Other special events: Connectivity showcase Industry leaders will battle live to prove their preferred connectivity standard is the best for IoT applications. In an exciting competition, companies will present their best cases for LPWAN, NB-IoT, CatM1, Bluetooth, Z-Wave, Satellite, Small Cell, LoRa, RPMA or any other IoT connectivity technology.

Business Impact Awards: The IoT Evolution Business Impact Award is a special awards programme focused on recognising companies and business leaders who have successfully implemented M2M and the IoT solutions to solve a business issue, launch a new service or create a revenue opportunity. Winners present their solutions during the event.

IoT Evolution All Conference Party An opportunity for all conference attendees to network and establish new connections, in a fun, relaxed atmosphere.

Pre-Conference Workshops on Monday, 22 January 2018: IoT Security Certification The greatest hurdle facing the IoT right now is security and what’s even more challenging is that it’s a moving target. Recognising that, IoT Evolution is bringing this IoT Security Certification programme to its preconference agenda with the goal of arming attendees with the most upto-date tools for protecting their networks and their customers. Topics include: edge computing and intelligence, IIoT, breach response/countermeasures, risk assessment and more.

Fog Computing Workshop Realize the benefits of distributed computing, networking, and storage infrastructure and learn how to extend the cloud to the edge to drive big data, analytics and IoT applications. Hear how fog will reduce service latency, improve quality of service (QoS) and provide superior end userexperience

IoT Certification

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Sessions specifically focused on identifying best of breed solutions as well as managing the IoT ecosystem of partners and competitors to maximise your IoT opportunities. Hear how IoT reseller and value-added reseller (VAR) relationships can help create and implement your go to market strategy. Find out how to go simple from a simple IoT prototype, to a market-leading solution faster with the Verizon ThingSpace Platform.

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IoT Now Monetisation Supplement - December/January 2018

Keynote Speakers:

Gary Davis, chief consumer security evangelist, McAfee

Rhonda Dirvin, director, IoT and Embedded, ARM

Dipti Vachani, vice president of the Internet of Things Group, Intel

Veeru Ramaswamy, vice president, Watson IoT Platform, IBM

George Mulhern, chief executive, Cradlepoint

Additional speakers include: ABI Research, Ryan Martin

Harbor Research, Alex Glaser, vice president

Accenture, Abhishek Joshi, strategist

Hewlett-Packard Enterprise, Douglas Humphries, IoT cyber security executive, architecture lead

Adaptive Mobile, Ciaran Bradley, CTO Aizoon, Rob Dolci ARM, Rhonda Dirvan Axis Communications, Vince Ricco, business development Ayla Networks, Craig Payne, security and privacy officer BEC Technologies, Andy Germano, vice president CalAmp, Julie McGowan Canaccord Genuity, Mike Walkley Cassia Networks, Felix Zhao, CEO Cisco, Chuck Byers, principal engineer and platform architect Cisco, Sudarshan Krishnamurthi Cisco, Wes Sylvester, director, Digital Transformation Coris, Marc Josephson, CEO Cradlepoint, Todd Krautkremer

IBM, Tim Hahn, chief architect, Internet of Things Security Infineon, Steve Hanna IoT-Council, Claudio Lima J Brehm & Associates, James Brehm, founder and technology evangelist Kansas City Water, Andy Shively MultiTech, Sara Brown, CMO NetFoundry, Galeal Zino OpenFog Consortium, Lynne Canavan, executive director Oracle, Travis Russell, director of network security SAP, Pushkar Ranjan Silicon Labs, Christian Legare, chief of software engineering SPEC Sensors, Edward Stetter, general manager

Decisiv, Rob Bradenham, vice president of Data Services

Verizon, Marybeth Hall, senior director of marketing and product management and development

Dell, John Holleran, security and surveillance solutions architect

Verizon, Uzair Siddiqui, senior product and marketing manager

Digital Turbine, Daphna Steinmetz, CTO

Verizon, Doug Wilson, IoT specialist

Drakestar, James Turino, managing partner

Woodside Capital, Greg Mischou, senior partner and managing director

FreeWave Technologies, Scott Allen, CMO Steve Brumer, 151 Advisors Global Scape, Greg Hoffer, vice president, engineering

IoT Now Monetisation Supplement - December/January 2018

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IoT by the numbers

3,500

750+

60+

75+

expected attendees

Exhibitors

Companies participating

Speakers

Who should attend IoT Evolution conference and expo? • M2M platform companies • Device manufacturers • Sensors and embedded systems companies • Systems integrators • Service providers – fixed, wireless and satellite • Enterprise executives in: - Fleet - Supply chain and logistics - Manufacturing and production - IT • Developers • Retail executives • Municipalities and government • Healthcare management executives and healthcare ecosystem

www.iotevolutionexpo.com