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1 © 2013 Broadcom Corporation. All rights reserved. Scott McGregor President & CEO, Broadcom Corporation WEARABLE TECHNOLOGIES ENABLING THE NEXT WAVE OF INTERNET OF THINGS INNOVATION

WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

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Page 1: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

1 © 2013 Broadcom Corporation. All rights reserved.

Scott McGregor

President & CEO, Broadcom Corporation

WEARABLE TECHNOLOGIES ENABLING THE NEXT WAVE OF INTERNET OF THINGS INNOVATION

Page 2: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

2 © 2013 Broadcom Corporation. All rights reserved.

CAUTIONARY STATEMENT

This presentation may contain forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include the potential growth of the markets in which we compete and the development status and planned availability of new products. In fact, all statements that we make or incorporate by reference in the presentation, other than statements or characterizations of historical fact, are forward-looking statements. It should be clearly understood that these forward-looking statements, and our assumptions about the factors that influence them, are based on the limited information available to us at this date. Such information is subject to change, and we may not inform you when changes occur. We undertake no obligation to revise or update publicly any forward-looking statement to reflect future events or circumstances.

Forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those described in the statements you hear today as a result of various factors. We refer you to our Form 10-K for the year ended December 31, 2012, subsequent and forthcoming 10-Qs and other filings with the SEC, which discuss some of the important risk factors that could contribute to such differences or otherwise affect our business, results of operations and financial condition.

For additional financial and statistical information, including the information disclosed in accordance with SEC Regulation G, please see the Investors section of our website.

Broadcom®, the pulse logo, Connecting everything®, the Connecting everything logo, and the 5G WiFi logo are among the trademarks of Broadcom Corporation and/or its affiliates in the United States, certain other countries and/or the EU. Any other trademarks or trade names mentioned are the property of their respective owners.

Page 3: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

3 © 2013 Broadcom Corporation. All rights reserved.

Body-borne Computing & Sensors Everything Connected to the Network

WHAT ARE WEARABLE TECHNOLOGIES? WHAT IS THE INTERNET OF THINGS? WHAT DO THEY HAVE IN COMMON?

Connectivity

Page 4: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

4 © 2013 Broadcom Corporation. All rights reserved.

WHY THE MARKET IS INTERESTING

Source: Ericsson Mobility Report, “On The Pulse Of The Networked Society,” June 2013

THINGS

PEOPLE

PLACES

50B THINGS

connected

50

40

30

20

10

0

Billi

on

s

1900 1990 2000 2020 2010

1B PLACES

connected

5B PEOPLE connected

Page 5: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

5 © 2013 Broadcom Corporation. All rights reserved.

Source: 1Ericsson Mobility Report, “On The Pulse Of The Networked Society,” June 2013 ; 2Cisco 2013; 3Mary Meeker, Internet Trends Report 2013; 4ABI Research June 2013; 5IDC June 2013

5

60% Percent of world’s population covered by LTE by 20181

12X Growth of mobile data traffic between 2012 and 20181

30B Wirelessly connected devices by 20204

60% Mobile video traffic growth rate through 20181

10X Increase in the number of wearable devices over the next 3-4 years

$1.2T In new opportunities from the Internet of things

POINTS OF EXPECTED MARKET ACCELERATION

4.5B Smartphone subscriptions by the end of 20181 2X

Increase in mobile data traffic between Q1 2012 and Q1 20131

Page 6: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

6 © 2013 Broadcom Corporation. All rights reserved.

RETAIL AND

INTERNET IMPACT

NEW BUSINESS

MODELS

SOFTWARE

ECOSYSTEM

HARDWARE/

COMPONENT

INNOVATION

WHAT’S DRIVING GROWTH AND ADOPTION

Page 7: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

7 © 2013 Broadcom Corporation. All rights reserved.

MINIATURIZED SENSORS

Enable a broad range of health monitoring services

Offer real-time connectivity to service providers

Ensure 24/7 health monitoring

Expected to Transform the Healthcare Industry

MAJOR ADVANCES IN WIRELESS HEALTH APPLICATIONS

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Page 8: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

8 © 2013 Broadcom Corporation. All rights reserved.

Automotive Semi Demand Estimated to Reach $39B by 2018*

INNOVATIONS IN AUTOMOTIVE CONNECTIVITY

UBIQUITOUS BROADBAND CONNECTIVITY (VIA LTE AND WI-FI)

Seamless access to cloud content

SOPHISTICATED NETWORK ELEMENTS

Multimedia entertainment

Navigation and driver assistance

Passenger safety and comfort

SENSOR INTEGRATION (GPS + WI-FI + RADAR + IMAGING) WILL ENABLE SELF-DRIVING VEHICLES

R&D dates back to the 1980s funded by DARPA and the European Commission

Numerous manufacturers have announced intent to introduce autonomous driving capability by 2020

Source: ABI Research, 2012

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9 © 2013 Broadcom Corporation. All rights reserved.

MANY MORE INTERESTING APPLICATIONS IN MOTION

Pollution Detection

Smart Irrigation

Smart Appliances & Home Automation

Water Quality Monitoring

Pet Location & Fitness Smart Metering

Waste Detection

Smart Watch

Health Monitor

Patient Monitor Outside Hospital

Wearable Fitness Sensors

Glasses

Cardiac Monitoring

Healthcare, Automotive, Supply Chain, Intelligent Buildings,

Consumer Electronics, Retail, Construction, Emergency Service

Location Monitoring

Energy and Water Use

Smart Grids

Water Leakages

Structural Health

Urban Noise Maps

Traffic Congestion

Smart Parking

Smart Home Security

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10 © 2013 Broadcom Corporation. All rights reserved.

CREATION OF SMART CITIES

Location Monitoring

Energy and Water Use

Smart Grids Water Leakages

Structural Health

Urban Noise Maps

Traffic Congestion

Smart Parking

10 © 2013 Broadcom Corporation. All rights reserved.

Page 11: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

11 © 2013 Broadcom Corporation. All rights reserved.

ACCELERATION IN SMART HOME SYSTEMS

Pollution Detection

Smart Irrigation

Smart Appliances & Home Automation

Water Quality Monitoring

Pet Location & Fitness

Smart Metering

Waste Detection

Smart Home Security

11 © 2013 Broadcom Corporation. All rights reserved.

Page 12: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

12 © 2013 Broadcom Corporation. All rights reserved.

GROWTH OF WEARABLES TAKING SHAPE

12 © 2013 Broadcom Corporation. All rights reserved.

Page 13: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

13 © 2013 Broadcom Corporation. All rights reserved.

ACCESSORIZING YOUR SMARTPHONE

BRAINS AND PERFORMANCE Application processor Full suite of connectivity

Mobile baseband Bluetooth Wi-Fi NFC

Platform for applications Readable

The SMARTPHONE is your hub and can be paired with a range of wearable technology

© 2013 Broadcom Corporation. All rights reserved.

Page 14: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

14 © 2013 Broadcom Corporation. All rights reserved.

WEARABLES PRODUCTS SOLD ESTIMATED TO GROW 366% BY 2017*

© 2013 Broadcom Corporation. All rights reserved.

Source: Juniper Research, January 2013

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15 © 2013 Broadcom Corporation. All rights reserved.

FAVORABLE MARKET DYNAMICS

No Standard Device Type

Established Infrastructure

No Entrenched Competitors

Lots of Niche Markets

Low Barriers to Entry

Innovation Will Win

Page 16: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

16 © 2013 Broadcom Corporation. All rights reserved. 16

OPEN THE DOOR TO INNOVATION

ROBUST SOFTWARE ECOSYSTEM

iOS and Android

Millions of experienced developers

LOW COMPONENT COSTS

Connectivity for $2-$10

Low entry costs

OPEN STANDARDS

Wi-Fi

Bluetooth

NFC

Many CPU options

Multiple embedded RTOS

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Page 17: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

17 © 2013 Broadcom Corporation. All rights reserved.

WHERE THERE IS NO WALLED GARDEN

Page 18: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

18 © 2013 Broadcom Corporation. All rights reserved.

LONG BATTERY LIFE

UNOBTRUSIVE

STYLIZED

ACCURATE SENSOR

ACCESSIBLE

POWER EFFICIENT

SMALL FOOTPRINT

CONNECTED

SECURE

COST EFFECTIVE

KEY ATTRIBUTES FOR WEARABLES

Page 19: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

19 © 2013 Broadcom Corporation. All rights reserved.

BROADCOM WIRELESS INTERNET CONNECTIVITY FOR EMBEDDED DEVICES (WICED)

Health and Wellness

Games and Entertainment

Home, Security and Automation

Home Appliances

WICED™ WI-FI Always on Connection to the Home Network

Health and Wellness

Sports and Fitness

Home, Security and Automation

Automotive

WICED SMART Bluetooth Boost for Low-power Products

Connecting

Everything,

Everyday

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20 © 2013 Broadcom Corporation. All rights reserved.

Extensive Peripherals

Up to 20ch ADCs

Up to 4 Ch PWM

Small form factor

Timed wakeup

Low Voltage, Low Power Operation

Direct drive from a Zn-O [1.2V] battery

Can run for >year on a CR2016 coin cell

Power consumption (DC-DC 3V):

Tx(0dBm) [I= 9.1mA, P= 27.3mW]

Rx(0dBm) [I= 9.8mA, P= 29.4mW]

Deep-Sleep [I= 750nA, P= 2.2uW]

Multiple Interface Support

SPI, I2C and UART

Security

RSA library build into the ROM (BCM20737)

Enhanced LE security

Easy Gateway Integration

WICED SMART leverages WICED Bridge

ROM-based Profile Support Includes

Proximity, find me, BGM, CGM, HRM, Cadence

Temperature

Network and Time, Automation

WICED SMART ADVANTAGE FOR WEARABLES

Blood Pressure, Pulse

Glucometer

Smart Pills or Internal Sensors

Weight/Body Composition

Environmental Sensors

Pedometer

ECG

Smart Bandages

Page 21: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

21 © 2013 Broadcom Corporation. All rights reserved.

WHAT’S EXCITING ABOUT THE WEARABLE OPPORTUNITY

© 2013 Broadcom Corporation. All rights reserved.

OPEN DEVELOPMENT PLATFORM

CONNECTED AND UNOBTRUSIVE

ALWAYS-ON

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Page 22: WEARABLE TECHNOLOGIES - bi.snu.ac.kr · WHAT WHAT IS THE INTERNET OF THINGS?WHAT DO THEY HAVE IN COMMON?ARE WEARABLE TECHNOLOGIES ? Connectivity ... of wearable devices over the next

22 © 2013 Broadcom Corporation. All rights reserved.

Don’t Sacrifice performance for looks

Forget wearables are part of your digital footprint

Connect things just because you can

Develop electronic isolation

Do Connect to what matters to you

Try a new health or fitness wearable

Support innovation and innovators

Imagine the unimaginable – and then make it real

THINGS TO KEEP IN MIND

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THANK YOU