Petr Duvidovic

Channel, Cisco Austria

The New Digital Era

Introducing Cisco- A Desire to Connect

Revenue FY15: $49.2B

4% growth Y-Y

Total Cash:$50+B

R&D Investments:

$6.3B13.4% of Revenue

ProductRevenue:$37.9B

ServicesRevenue:$11.4B

19 %Others

35 %R&D20 %

Services

26 %Sales

70k+ co-workers380+ offices

“ The future is here…it’s just not evenly distributed” William Gibson

2005 2013

Digital Shift- Papal Elections

VS

Source: Cisco & IMD Global Center for Digital Business Transformation

Pace of Change

Point-of-SalePrint

AdvertisingCarHotel

Bookstore Taxi Music

Speed of Innovation

0

60

iPhone 1 in 2007; Mobile app economy

$100B in 2015; 10M developers

15B 50B 500B connected-

40% traffic M2M

Hyper-Connectivity

Lowered Costof Innovation

$5M in 2000 $5K in 2015

Increased Volume of Innovation

$50B venture funding

Market Disruptors

ignore proactive

4/10Companies will be displaced by

digital disruption in the next 5 years

45% 25%Source: Cisco & IMD Global Center for Digital Business Transformation 7© 2016 Cisco and/or its affiliates. All rights reserved. Cisco Confidential© 2015 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 7

What industries will self-driving cars disrupt?

Media / Entertainment

Energy

Retail

Public Transportation

Parking Garages

Insurance / Financing

Airlines

Automotive/Manufacturing

HealthcareHotels

Taxis

One disruption can redefine many industries

Auto repairs / Auto parts

Real Estate

Law Enforcement

Education

Source: Cisco & IMD Global Center for Digital Business Transformation

IoT Unlocks Digital Business Value

Transform Existing

BusinessEnable New

Business Where is the value

Source - McKinsey: The Internet of Things: Mapping The Value Beyond The Hype

50 Billion smart devices by 2020 will

connect the unconnected

IT and OT convergence,

hyperconnectivity across

organizations

<1% of data currently used,

more can be used for optimization

and prediction

Interoperability across siloed

systems required to capture 40%

of IOT value

IoT Needs a Holistic Approach

From: Fragmented & Complex

1010100

01 01

10 11

0101110

Applications

Cloud

Verity of

devicesSecurity

Rugged

Reliability

Data

AnalyticsData

Privacy

To: Integrated IoT System

Extreme

Edge

Proprietary Disjointed Custom

Cisco IoT Architecture: Secure IT & OT Convergence

Application Enablement

IoT Connectivity

Fog Computing Management & Automation

Security

Defense

City

UtilityManufacturing

Oil and Gas

Service Provider

Transportation

Public Safety

Analytics

EcosystemVertical solutions Applications

Emerson BombardierRockwell

Automation

SK GroupHoneywell GE

OSI soft Bitstew Systems Itron

SAPDavraNetworks Alstom

Lilee Systems

This fragmented approach is inefficient,

has limited effectiveness, and is not economical

Cities Have Traditionally Addressed These Issues in Silos

Traffic Management

Pollution/Environment

Waste Management

City LightingPublic SafetyParking

Optimization

IoE Digital Platform

Analyze VisualizeCollect

EdgeEdge Edge

Traffic

Mgt.

Public

Transport

Parking

Smart

Meters

Street

Lighting

Security

Cameras

Smart Cities- a Holistic Approach SCC Wi-Fi SCC Parking

SCC Smart

TrafficSCC Lighting

70%30%population growth

2010-2050

downtown traffic caused

by parking search $82Bspend required

to modernize

cities per state

in value over 10 years

with smart buses

in value over 10 years

with smart parking

new jobs created with

startup innovation$28M $53M 44,000

Smart Connected Cities- Example Smart Lighting One Platform for Various Services

Smart Lighting Control Security

Parking Analysis

Plus 100’s of Additional Apps

One Network

Maintaining already existing Hardware

Traffic Analysis

Business Needs

• Create safer, less congested roads

• Greater visibility into road conditions

• Improve operational efficiency

• Better communication in emergencies

Cisco Connected Roadways

Business Outcomes

• Centralized communication between agencies

• Reduced TCO w/end-to-end converged network

• Prevent traffic jams with dynamic speed limits

• Better traffic management and real time updates

• Maximizing road utilization

Connected 70,000 Sensors, 6,500 Traffic Cameras

Over Converged IP Network

Further IoT Examples- Connected Industry

Factory Wireless

Factory Security

Connected Machines & Edge Compute

Factory Virtualization

Data Center and Cloud

Analytics & Big Data

Supply Chain Collaboration

Factory Collaboration

Factory Network

Further IoT Examples- Connected EnergyConvergence to an “Intelligent Energy” Future…

• Smart Meter

• Intelligent Grid & Demand

Management

• Renewable Energy

• Mobility, Preferences, and Real-Time

• Big Data and Complex Event Processing

• New Service Models.. Cloud

• Cyber Security

• Smart Phone and Tablet Technologies

• Affordability Information accessibility

and sharing

• Internet of Things

OPERATION & BUSINESS TECHNOLOGY

INFORMATION TECHNOLOGY

CONSUMER TECHNOLOGY

Intelligent

Energy

Solution &

Services

CONVERGENCE

“The best way to predict the future is to create it”

Peter F. Drucker