Dr. Max Lemke

Head of Unit

DG CONNECT – A3 European Commission

Horizon 2020 Info Day ICT 1, FoF 11, ICT 4, FoF 12, FoF 13

Brussels, 1 December 2015

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Outline

• Digitising European Industry

• Implementation through Horizon 2020 WP 2016/17

Action Line 1 - Innovation Hubs: FoF 12: I4MS-ICT Innov. for Manuf. SMEs–Phase 3, 33M€, Jan 17 ICT 4: Smart Anything Everywhere – Phase 2, 25.5M€, Nov 16

Action Line 2 – Platforms FoF 11: Digital Automation, 51M€, Jan 16

• Horizon 2020 WP 2016/17 topics in broader context

FoF 13: Photonics Laser-based Production, 30M€, Jan 16 ICT 1: Cyber-physical Systems, 20M€, April 16

Value creation from digitisation: Products, Processes and Business models

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"Digital inside": Innovations in all types of products

• Smart connected objects powered by e.g.

Sensors, wearables, embedded software, Connectivity, Big data, Cloud …

• Large opportunities in all sectors (Non-tech, high-tech, SMEs, etc)

Digital transformations of processes

• From logistics and product design to automations

Increasing resource efficiency, productivity, ..

Built on CPS, IoT, digital design, robotics, laser technologies, big data,..

Radical/disruptive changes in business models

• Blurring the boundaries (products-services), reshuffling value chains

XaaS, 3D Printing & customisation, CRMs, maintenance

added value services

Built on real time information, data analytics, etc.

Products Services

ICT sector

Products Services

ICT sector

The trend

Electronic Components

ICTdevices

~40% of Added Value

~50% of Added value

~40% of Added Value

~35% of Added Value

The 'digital inside' value chain

Critical Value chains

Digital process innovation in manufacturing

Robotics and automation

Modelling, Simulation, Analytics and big data Cyber-physical systems and IoT for

process (chain) optimisation

Laser-based manufacturing

Digital transformation of industry: What is the situation?

Strong digitisation in high tech industries and in some MSs.

Slowness and disparities in adopting digital solutions across industries and regions: SMEs and non tech sectors lag behind

New competition from non-EU on-line platform owners

Lack of standards and interoperable solutions

Fragmentation of effort in Europe

Skills and re-skilling of work force

Legislative and regulatory gaps

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Overview of Digital Manufacturing Initiatives across Europe

Germany Industrie 4,0 Smart Service World Autonomik fur Industrie 4.0 It's OWL (Ostwestfalen-Lippe) Allianz Industrie 4.0 (Baden-

Württemberg)

NetherlandsSmart Industry

France Usine du Futur FoF Ile-de-France

United Kingdom High Value Manufacturing Innovate UK Action Plan for Manufacturing (Scotland)

SpainEstrategia Fabricacion Avanzada(Basque region)

Italy Fabbrica Intelligente Ass. Fabbr. Intell. Lombardia

SwedenProduktion 2030

Belgium Made Different Flanders Make/iMinds (Flanders)

EU-level Initiatives Application PPPs: FoF, SPIRE I4MS Smart Anything Everywhere ICT PPPs

Multi-region Initiatives Vanguard

AustriaProduktion der Zukunft

PortugalProdutech

European CommissionDG CONNECT, Unit A3, ML

European initiatives are in redNational initiatives are in blueRegional initiatives are in green

Finland FIMECC PPP Programmes

(MANU, S-STEP, SIMP, S4FLeet)

Industrial Internet Business Revolution

IoT pilot Factory (IoT PFF)

GreeceOperational Programme in Region Western Greece

Poland INNOMOTO INNOLOT Digital manufacturing for the SME

(Mazovia)

Digitising European Industry: Proposal for four key lines of action

Speech of Commissioner Oettinger

at Hannover Fair on 14 April 2015

• Europe's future is digital: Digitising European Industry: Proposal of four key lines of action

• Focus actions on digital transformation of ALL industry

• complementing our efforts on a Digital Single Market and on broadband investment

High-level Roundtables with Commissioner Oettinger

• Member States and industrial representatives welcomed EU plans and confirmed the need for action on EU scale

Next steps/plans:

• EU policy/strategy announcements in Spring 2016

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Develop Policy – Make it Happen

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Policy Development for Digitising European Industry

• Broad consultations with stakeholders

• Policy announcement planned for Spring 2016

Make it Happen – Starting Point:

• EU Schemes

• National initiatives

…

…

Outline

• Digitising European Industry

• Implementation through Horizon 2020 WP 2016/17

Action Line 1 - Innovation Hubs: FoF 12: I4MS-ICT Innov. for Manuf. SMEs–Phase 3, 33M€, Jan 17 ICT 4: Smart Anything Everywhere – Phase 2, 25.5M€, Nov 16

Action Line 2 – Platforms FoF 11: Digital Automation, 51M€, Jan 16

• Horizon 2020 WP 2016/17 topics in broader context

FoF 13: Photonics Laser-based Production, 30M€, Jan 16 ICT 1: Cyber-physical Systems, 20M€, April 16

Digitising European Industry - Growing the Ecosystem: Action Line 1 - Reaching out to every Region in Europe

Regions/MSs with initiatives

Establish catalogue of initiatives EU-wide

Reinforce links between initiatives

Concentrate EU funding on x-border actions

Other regions (e.g. less developed)

Establish digitial innovation hubs

Co-fund hubs thru ESIF et al

Digitising European Industry Strategy proposed by Commissioner Oettinger

Leitmotiv: Ensuring that every business in Europe can fully benefit from digitial transformation

Action Line 1: One world-class digital innovation centre in every region in Europe

Planned Launch: Before summer 2016

…

Organically Growing the Ecosystem Launch I4MS Mentoring and

Sponsorship Programme (2M€)

Bootstrap ~25 Innovation Hubs in non-I4MS Regions

Call for EoI 11/2015- close 3/2016

3rd party contracts to potenial hubs

Link smart specialisation to I4MS competences

Best Practice feasibility studies

Link to local funding (ESIF et al)

First Steps in Making it Happen

Max Lemke, European Commission, CONNECT-A3

in a nutshell

Objective: Enhancing digital transformation in manufacturing SMEs and mid-caps

Phase 1 + 2: 75 + 35 M€ of EU funding 7 + 4 large projects 40 + 30 competence centres 140 + 80 experiments 22 Members States and Ass. Countries Focus on 4 areas of ICT adoption in the FoF:

HPC cloud-based modelling, simulation and analytics services

Industrial robotics systems Laser-based manufacturing Smart sensors systems, CPS and IoT

I4MS is part of the Factories of the Future PPP

FoF 12 = I4MS phase 3

ICT 4 – 2017: Smart Anything Everywhere Initiative (SAE Initiative)

Stimulate the development of the next wave of products with digital technologies inside

Challenge is to accelerate the design, development and uptake of advanced digital technologies by European industry, especially SMEs and mid-caps, in products that include innovative electronic components, software and systems.

www.smartanythingeverywhere.eu

ICT 4 - Smart Anything Everywhere

LEIT ICT 2 2016 Thin,

Organic and Large Area Electronics

20 M€

Call Deadline 12 April 2016

Call Deadline 8 November

2016

LEIT ICT 1 2016

Smart Cyber-

Physical systems 20 M€

LEIT ICT 3 2016

SSI – Smart System

Integration

18,5 M€

LEIT ICT 4 2017 Smart Anything Everywhere – Wave 2

(cutting across four areas of technologies) 25,5 M€

Call Deadline 25 April 2017

LEIT ICT 5 2017

Customised and low energy

computing 26 M€ R

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Outline

• Digitising European Industry

• Implementation through Horizon 2020 WP 2016/17

Action Line 1 - Innovation Hubs: FoF 12: I4MS-ICT Innov. for Manuf. SMEs–Phase 3, 33M€, Jan 17 ICT 4: Smart Anything Everywhere – Phase 2, 25.5M€, Nov 16

Action Line 2 – Platforms FoF 11: Digital Automation, 51M€, Jan 16

• Horizon 2020 WP 2016/17 topics in broader context

FoF 13: Photonics Laser-based Production, 30M€, Jan 16 ICT 1: Cyber-physical Systems, 20M€, April 16

Action Line 2: European Leadership in Digitial Industrial Platforms

Not only:

• Stakeholder groups = Plattform Industrie 4.0, European Technology Platforms (ETPs)

• Technological platforms = middleware, reference architectures, toolboxes, …

More comprehensive:

• Economical definition: Multi-sided market gateways creating value by enabling interactions between two or more complementary customer groups

• Innovation definition: Reference architecture/implementation with an innovation ecosystem triggering broad value creation

• Examples - On-line Platforms with proprietary kernels

• Google: People who search - advertisers

• Apple/Android: People who buy a phone - developers of apps

• Amazon Marketplace: People who search a product - companies selling products

• Examples – Open Industrial Platforms => collaborate on integration – compete on components and functionality

• AUTOSAR: Standardized architecture for embedded automotive SW and HW easing cooperation between car manufacturers, suppliers and IT developers

• ISOBUS: communication/data exchange between tractors, land machines, mobility and control SW emerging ecosystem of agricultural OEMs, suppliers, seed companies, IT/big data companies

• CRYSTAL: ARTEMIS/ECSEL supported platform for safety-critical systems building on on EU leadership on safety-/time-critical systems, cutting across rail, automotive, aerospace, health sector, involving several groups of market actors across the value chains

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Platforms - What are we talking about?

3rd Dimension

Value chain

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Sectors

Computing

Autonomous systems/Sensing

Big Data

Safety-critical Systems

Marketplace

IoT/Connectivity

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Digital Industrial Platforms:

A Simple Model

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AL2 – Platforms: Key Analysis and Principles (1)

Time is crucial: overlap all stages of platform building

Constituency building

Reference architecture development

Reference implementations

Test-beds

Demonstration and validation

Standardisation in international standardisation bodies

Build alliances to increase weight and scale

With competitors – agree on what to collaborate / compete on

Vertically across the value chain

Horizontally across industrial sectors

Between industry and RTOs/academia

Open platform approaches

Do not start from scratch

Integration of legacy

peer-to-peer integration with other platforms

allowing for proprietary components/systems to be part

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Choose quasi-standardisation approaches

getting on-board key actors on each level of the value chain

But not trying to agree everything with everybody

Build on EU strengths

in vertical sectors such as auto, energy, agro-food, manufacturing,…

exploit synergies + integrate horizontally increasing weight/scale

"bring engineering excellence to the digital world" (EU strength) as opposed to "bringing digital innovation to the physical world (US strength) (INBENZHUB4.0 Studie)

Follow in parallel all issues relevant for ecosystem building

Identify any need for regulation

Skills development

Infrastructure needs

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AL2 – Platforms: Key Analysis and Principles (2)

FoF-11-2016: Digital automation

1. Collaborative manufacturing and logistics

2. Novel architectures for factory automation

Reference implementations of platforms AND Multi-sided market ecosystem AND User-driven proof-of-concept demonstrations & validation in several different scenarios: e.g. through testbeds AND Outline business case and industrial exploitation strategy

RIA 100%

Outline

• Digitising European Industry

• Implementation through Horizon 2020 WP 2016/17

Action Line 1 - Innovation Hubs: FoF 12: I4MS-ICT Innov. for Manuf. SMEs–Phase 3, 33M€, Jan 17 ICT 4: Smart Anything Everywhere – Phase 2, 25.5M€, Nov 16

Action Line 2 – Platforms FoF 11: Digital Automation, 51M€, Jan 16

• Horizon 2020 WP 2016/17 topics in broader context

FoF 13: Photonics Laser-based Production, 30M€, Jan 16 ICT 1: Cyber-physical Systems, 20M€, April 16

ICT 1 - Smart Cyber-Physical Systems

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Photonics

Cyber-Physical Systems (ICT1)

ECSEL (Joint

Technology Initiative)

Low power Computing

Internet of Things

CPS in Manufacturing

Following ARTEMIS-IA

Agenda

Robotics…

5G

Big Data

EPoSS IA SRA

AENEAS SRA

EFFRA SRA

Cloud

ITEA: Software Intensive Systems Societal Challenges

Member States

Initiatives

Two complementary modes of implementation

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Implementation in JTI

Implementation in H2020

Inte

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Industrially-driven R&D

Capital-intensive R&D&I,

Pilot lines, Demonstrators / Applications

Pan-European Innovation: Take-up,

Assessment, Infrastructure, Design services

Advanced R&D

THANK YOU Digitising European Industry: https://ec.europa.eu/digital-agenda/en/digitising-european-industry Digital Agenda for Europe – Components and Systems: https://ec.europa.eu/digital-agenda/en/science-and-technology/components-systems DG CONNECT (Communications Networks, Content and Technology): http://ec.europa.eu/dgs/connect/index_en.htm Horizon 2020 on the web: http://ec.europa.eu/research/horizon2020/index_en.cfm ICT Innovation for Manufacturing SMEs: i4ms.eu Structural Funds 2014-2020 and Smart Specialisation: http://ec.europa.eu/regional_policy/index_en.cfm

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