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Copyright(c)2003,Intec NetCore Inc., All Rights Reserved IPv6 Market Opportunity IPv6 Market Opportunity - - Real Business Challenges in Japan Real Business Challenges in Japan - - 2003.6.27 2003.6.27 Takashi Takashi Arano Arano CTO, Intec NetCore, Inc. CTO, Intec NetCore, Inc. Board member, IPv6 Forum Board member, IPv6 Forum

IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

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Page 1: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Market OpportunityIPv6 Market Opportunity-- Real Business Challenges in JapanReal Business Challenges in Japan--

2003.6.272003.6.27Takashi Takashi AranoArano

CTO, Intec NetCore, Inc.CTO, Intec NetCore, Inc.Board member, IPv6 ForumBoard member, IPv6 Forum

Page 2: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

ContentsContents• Deployment model

– Process– Cost

• Market creation efforts challenged in Japan

• Recent updates in Japan– Deployment WG in IPv6 Promotion Council– e-Japan II

Page 3: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Transition PhasesTransition PhasesIPv6 Ratio

TimePhase Iv6 Introduction

Phase 2v6 Spreading

Phase 3v4 Decaying

100%

Critical Mass

We’re here

Page 4: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Two Aspects of IPv6 Deployment Two Aspects of IPv6 Deployment

What’s needed?

Deployment

Motivation

Reason

Each enterprise’s initiatives and challenge

Needs government and NPO’s support

Bursting if happensSlow but steady by natural replacement

Private incentives,Speculative/competitive

Public incentives(Address holders don’t care about shortage)

New applicationsIPv4 address shortage

Page 5: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Deployment ModelIPv6 Deployment Model

DeploymentRate

Slow but Steady

If Killer Apps appear

Don’t wait for killer applications

Page 6: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv4IPv4--IPv6 transition costIPv6 transition cost

IPv4

IPv6

Transition cost

Cost differencebetween v4/v6operations

It’s like energy level transition in chemical reactions.

Page 7: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Cost BreakdownCost Breakdown• Why IPv4 operation is costly

– Address shortage increases operation costs• More complicated network design and operation

– NAT and private address– Design constraint caused by insufficient global addresses assigned– Clash (?) of private address in case of integration of intranets.

• Complicated address request process and procedure, etc.

• Transition costs (example)– Duplicated routers, servers and other equipments– Operational overhead

• Headcount, operators’ skill, education, management systems

– Almost all activities in ISP operations including service planning and development, billing system and databases, etc.

– Note: Actual costs vary depending on ISP/enterprise/home, network configuration, and other conditions.

Page 8: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Cost ComparisonCost Comparison

IPv4

IPv6

- More shortage of address-> no more allocation possible

at a certain point in the future- R&D costs for NAT and related technologies- Potential cost increase by preventing

P2P architecture

Cost for complete transit to IPv6Significant reduce of cost in the long run

Cost for keeping IPv4

Page 9: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

True Cost Reduction FactorTrue Cost Reduction Factor• IPv6 is just a L3 protocol• However, IPv6 can help improve

business process as a tool which provides– Everything on network– P2P security, etc.

Page 10: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 11: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 12: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Monitoring patientsMonitoring patients

IPv6 InternetIPv6 Internet

Breath, Heartbeat

Activities monitoringNursing care

Light

Page 13: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

IPv6 IPv6 MicronodeMicronode

Light in the room Hearbeat monitoring

Optical sensor

Micronode

BedpadLive body sensor

(Provided by WIDE project)

Page 14: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

‘‘ProfessionalProfessional’’ carecare--trainingtrainingMultiMulti--angle video transmissionangle video transmission

Interactive Control from the user - Angle & Zoom (Provided by WIDE project)

Page 15: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Farming ApplicationsFarming Applications• IPv6 address even

for cows– Traceability– Checking their health

and “estrus” by temperature sensor

(provided by Impress)

Page 16: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 17: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Example of Home Appliances Example of Home Appliances ApplicationsApplications

• utilize information which would be otherwise discarded

・frequency/time the oven function is used

・healthiness of power unit

・frequency/time of door opened・contents inside

IPv6IPv6NetworkNetwork

HA vendorsMarket researchRemote maintenance

Neighborhood Community(Grocery store, etc.)One-to-one marketing & sales

Food IndustryMarket research

Info

Money back(?)

third parties

Page 18: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 = Information Exchange IPv6 = Information Exchange PlatformPlatform

• IPv6 will grow to be a platform for Information Exchange– Win-Win situation for all

• Sell information to those who need this for their business• Pay money to users who give their information

– Information exchanges occur not only between home electronic vendors and their users, but among heterogeneousindustry sectors, home users and equipments, various sensors in public, etc.

– Authentication & authorization and privacy protection mechanism should be included in the platform.

• A lot of opportunities for new applications and your business!

Page 19: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

VI VI –– Vehicles with the InternetVehicles with the Internet

(Provided by WIDE project)

Page 20: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Probe Information Probe Information System(TrafficSystem(Traffic))

(Provided by WIDE project)

Page 21: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Probe Information System (Rain condition)Probe Information System (Rain condition)

(Provided by WIDE project)

Page 22: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

上大岡駅付近 向田橋付近

(Provided by WIDE project)

Page 23: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 24: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

An Application example in Enterprise An Application example in Enterprise NetworkNetwork

• Combination of firewall model and IPSec model would give more powerful solutions to enterprise networks.

• Experiment for IPv6-VPN with constructing company.

Joint Venture co. A

File server

Printer

Security unit

JV co. B

Z co. employeeX co. employee

Y co. employeeX co. HQ

the Internet

Security unit of X co.

IPv6TunnelingwithIPSec

FW

Page 25: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

P2P and SecurityP2P and Security• ORCA (Online Receipt Computer Advantage),

a medical information network, employs IPv6, connecting doctors, patients and medical information DB.– More than 100 IPv6 sites are operated at this

moment• P2P increases the level of security

– Private address and NAT of IPv4 hides who send information.

– P2P ensures identity of the sender. Only IPv6 can do this.

Page 26: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 27: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

P2P CollaborationP2P Collaboration• P2P collaboration tools can enhance

productivity of enterprises– Application/database sharing in realtime– Multi-media communication– Presence management

Page 28: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

No NATNo NAT• Functionally and logically, you can do

everything even with NAT and IPv4.• Practically, IPv6 and p2p make difference in

terms of design, operation and finally costs.

• Simplifies network design• Reduces vendors’ burdens

– They don’t have to worry about compatibility among NATs and their software.

• No servers needed in remote sites

Page 29: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

HotNaviHotNavi• Sample listening system in CD shops• Marketing data collected• Management of each terminal

Internet

Contents Server(MP3Data)

CD shop

Supply Music Data

③ Download Data

④Audition

② Request Music Data

Wireless LAN(IEEE802.11b)

Main Specification

●Wireless LAN(IEEE 802.11b)

●MP3 Decoder

●Bar code reader

●IPv4/IPv6 Dual Stuck●Manage terminals in a store●Titles/frequency of audition are investigated

and utilized for marketing.

Prove Application

① Get Barcode Data on CD Package

It is easier implementation with IPv6.

Shop Server(stocks about 4 hundred thousands music)

Page 30: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita,

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 31: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

SkyPerfecTVSkyPerfecTV• Satellite broadcasting

company• Delivers contents by

IPv6 multicast to where satellite communication is unavailable.

• Saves link costs

transmit to the bases where CS tuner can be

accessed from a satellite

transmit through IP-VPN to the bases cannot receive an electric

wave from a satellite

IP-VPN

transmit picture

Page 32: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

IPv6 Opportunity SummaryIPv6 Opportunity Summary

SkyPerfecTVSONY

EfficientContents DeliveryMulticast

Open and inexpensive platform

Fixed / pre-assigned address

Light-weighted,Simple and low-cost design & operation

P2P Security,Fine grained Security,Dynamic VPN

New information generated

Remote monitoring and operation

More Function,Upgradable from net

Matsushita, etc.

Yokogawa,NTTComAriel

NTTCom

Taxi company, etc.

Fujisawa, Gifu, Sanyo, etc.

SONY, Panasonic, Toshiba, Hitachi, etc.

BASITS

IP

Home applianceMobile IP

Collaboration (Video conf, etc.),Server-less groupware

P2P (No NAT)

IPSec VPNSecurity(IPSec)

ITSMedical, etc.

Camera, Sensors

Home applianceSufficient Addresses= Everything on IPv6

Products Expected Merits Key Players

Page 33: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Enhance value of the asset through improvement of portfolio

• Tremendous operation cost– Especially energy cost is high– Inefficient procurement for proprietary

equipments• Open standards are more desirable

– Independent management systems for each elements (air-condition system, power control, elevators….)

• More integration required• Reduction of energy consumption is expected

from environmental concerns.– COP3

Building AutomationBuilding Automation

IP is a promising solution

Page 34: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Japanese Status Japanese Status UpdatesUpdates

Page 35: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

DeploymentDeployment--WGWG• Established in IPv6 Promotion Council in May, 2003• Goal

– Develop deployment guideline– Input to IETF v6-ops WG– Advise related organization such as governments, standardization

bodies• Areas

– Home, Unmanaged, Large Enterprise, ISP• Collects real experiences and real know-hows and develop the

guideline– Scenario– Security architecture– Network design and operation tips

• First guideline will appear by the end of this year

Page 36: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

EE--Japan IIJapan II• Japanese government strategy for information

industry• Proposed in May, 2003

– Now under review• Goal

– To be #1 country by 2005 and continue to be after that– “Spirited, Relieved, Impressive and Convenient” human lives

• Focuses more on application– Seven initiative area

• Medical, Food, Finance for medium/small companies, Home lives, Intelligence, Labor, Government services

• IPv6 is a fundamental piece of infrastructure for these goals

Page 37: IPv6 Market OpportunityP2P Security, Fine grained Security, Dynamic VPN New information generated Remote monitoring and operation More Function, Upgradable from net Matsushita, Yokogawa,

Copyright(c)2003,Intec NetCore Inc., All Rights Reserved

Any Questions?Any Questions?Thank you!Thank you!

[email protected]@inetcore.com