IOT is Here - Where Do Service Providers Stand in the Age of IOT?

Copyright*©*RIOT*2015*All*Rights*Reserved*

IOT IS HERE: WHERE DO SERVICE PROVIDERS STAND IN THE AGE OF IOT?

Dr. Mazlan Abbas REDtone IOT Sdn Bhd

http://www.redtone.com @mazlan_abbas*

AGENDA

•  The current era of IoT: how is it different from M2M? •  Bringing IoT to future of communications and productivity •  The challenges Telcos faced in embracing IoT •  Encourage adoption and innovation of IoT •  Sensing-as-a-Service Business Model •  Promoting stakeholder collaboration

ABOUT REDTONE Our Services

IOT STATISTICS

[Source: http://www.informationisbeautiful.net/visualizations/the-internet-of-things-a-primer/ ]

HOW IS IT DIFFERENT FROM M2M?

THE CURRENT ERA OF IOT

[Source: http://postscapes.com/what-exactly-is-the-internet-of-things-infographic ]

10/90 RULE The Last 100 meter

connectivity

The “last 100 meters” represent > 90% potential number of connections

Today, the devices used in the “last 100 meters” are typically not connected. The wide-area network is to a larger extent connected e.g. through smartphones, home routers (e.g. ADSL routers) and GSM / 3G / 4G Routers.

Still Disconnected Connected World

FUTURE OF COMMUNICATIONS AND PRODUCTIVITY

BRING IOT TO THE NEXT LEVEL

Improved Performance

Reduced Costs

Create Innovative Products

New Revenue Streams

Monitor

Autonomous

Optimize

Control

BUSINESS OPPORTUNITIES Capabilities Benefits

Security and Privacy of data

Managing vast amounts of data

Fragmented industry

Finding the right business model

WHAT ARE THE BUSINESS CHALLENGES

WHY TELCOS HAVE DIFFICULTY TO EMBRACE IOT

4 REASONS

LEGACY BUSINESS IS STILL CONNECTIVITY

M2M HIGH VOLUME LOW ARPU

SIM-CARD BASED

OLD HABITS DIE HARD

LESS COMPLEX

LACK OF DOMAIN EXPERTISE

THINK BEYOND CONNECTIVITY

SOLUTIONS, SELLING AND MANAGED SERVICES

NEED GO-TO-MARKET PARTNER

MINDSET BLOCK

FULL OF SKEPTISM LOW SINGLE DIGIT GROWTH CONTRIBUTION

STABLE BUSINESS VS. RISKY VENTURES

NEED TO WORK LIKE STARTUP

IOT BUSINESS IS FLUID

END-TO-END IOT SERVICE PROVIDER

THE END GAME

s m a r t c i t y�

smart transport �

s m a r t a u t o m o t i v e �

END-TO-END IOT SERVICE PROVIDER

Device Provider

Network Provider

Platform Provider

Application Provider

Customer

Network� Platform�

CONNECTIVITY PLAYER PHASE-1

smart transport �

BUSINESS MODEL

Device Provider

Network Provider

Platform Provider

Customer

Network�

Platform�

IOT ENABLER PLAYER PHASE-2

smart transport �

BUSINESS MODEL

Device Provider

Network Provider

Platform Provider

Customer

smart transport �

BUSINESS MODEL

Device Provider

Network Provider

Platform Provider

Customer

IOT Subsidiary

IOT SOLUTIONS PLAYER PHASE-3

smart transport �

BUSINESS MODEL

Device Provider

Network Provider

Platform Provider

Customer

IOT SERVICE PROVIDER PHASE-4

smart transport �

BUSINESS MODEL

Device Provider

Network Provider

Platform Provider

Customer

smart transport �

BUSINESS MODEL -HYBRID

Device Provider

Network Provider

Platform Provider

Customer

ENCOURAGE ADOPTION AND INNOVATION OF IOT

HOW-TO

“Makers, startups and crowdsourcing efforts result in high numbers of low-revenue niche IoT applications.”

OPPORTUNITY TO DIFFERENTIATE

•  This means you can focus on a specific customer other businesses may have missed.

•  Separating your business from the pack - Add purchase value •  Find niche within fragmented industry •  Increase vertical integration to gain more control over its production

process •  Corner the market with scarce resources

SENSING-AS-A-SERVICE BUSINESS MODEL

OUR HYPOTHESIS

Copyright*©*RIOT*2015*All*Rights*Reserved*WHAT IF – we can create Compound Applications across industries?

Copyright*©*RIOT*2015*All*Rights*Reserved*Data Fusion & Compound Applications

Connect

Aggregate

Derive Actionable Insights

All personal items, such as mobile phones, wrist watches, spectacles, laptops, soft drinks, food items and household items, such as televisions, cameras, microwaves, washing machines, etc

Private business organization has the right to take the decision whether to publish the sensors attached to those items to the cloud or not.

Public infrastructure such as bridges, roads, parks, etc. All the sensors deployed by the government will be published in the cloud depending on government policies.

Business entities who deploy and manage sensors by themselves by keeping ownership. They earn by publishing the sensors and sensor data they own through sensor publishers.

Personal and Households

Commercial Sensor Data

Providers

Organizations

Public Private

[Source: “Sensing as a Service Model for Smart Cities Supported by Internet of Things”, Charith Perera et. al., Transactions on Emerging Telecommunications Technology, 2014]

CHALLENGES – DATA OWNERSHIP

MAKING SENSE OF SENSOR DATA … BUT WHAT DATA?

THE GOLD RUSH

Wisdom

Knowledge

Information

More Important

Less Important

Evaluated understanding

Appreciation of

Answers to questions.

Symbols

Understanding

Answers to questions

WHERE WHEN

VALUE IS CREATED BY MAKING SENSE OF DATA

VALUE PYRAMID

SENSING-AS-A-SERVICE NEW BUSINESS MODEL

Smart Parking Smart Waste Management

Smart Street Light Smart Transportation

Static Data Storage

Real-Time Data Storage

Open Data Parking Garbage Collection

Lighting Public Transport

Smartphones Users

Smart City Hub

Social Media

SMART CITY IOT APPLICATIONS

IOT Applications

Sensor Data

LIVABILITY PUBLIC SERVICES PUBLIC SAFETY NATURAL DISASTER

Open Data Smartphones Users

Social Media Static Data Storage

Real-Time Data Storage

#SmartCityMsia

Sensor Data

RIOT SMART CITIZEN – 4 THEMES Public Services

Livability

Natural Disaster

Public Safety

•  Pot-hole/broken road photo •  Faulty traffic lights photos •  Faulty street light photos •  Missing drain cover photos •  Presence of unattended

garbage photos •  And many others

•  Noise pollution map •  Presence of open WiFi APs •  Cellular coverage strength •  Air pollution map (if we can

get air quality sensors)

•  Flash flood photos •  Fallen tree photos •  Landslide photos

•  Crime reporting •  Graffiti on the wall photos •  Illegal parking/double

parking

Mobile Crowdsensing

Smart Citizens

City Councils

Urban Planner

National Security Council

Police

Stakeholders

PROMOTING STAKEHOLDER COLLABORATION

BUILDING AN IOT ECOSYSTEM – WIN-WIN GAME

IOT VALUE CHAIN – WHERE IS THE MONEY?

Device Provider

Network Provider

Platform Provider

•  No. of devices

•  Edge devices/sensors

•  Gateways •  System

Integration •  ….

•  SIM-Cards •  Fixed Line •  Data

Bundled packages

•  Data Speed •  SMS/MMS •  Dedicated

APN •  Fixed IP •  Voice/Data •  …

•  No. of connected devices

•  Data streams

•  Storage •  API Keys •  Email/SMS

APIs •  Support Type •  ….

•  No. of dashboards

•  No. of users •  No. of data

sources •  Consulting •  Type sof

Analytics (Basic/Advanced)

•  ….

THANK YOU

IOT is Here - Where Do Service Providers Stand in the Age of IOT?

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