© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Growing Apps for the Smart Home
Stephen VincentExecutive Director, Strategy & Product Development, Digital Life
Daniel SimmonsAssociate Director, Connected Home, IHS
Services for
the Connected
Family
The views expressed in this presentation do not necessarily reflect the views of AT&T.
The views expressed in this presentation do not necessarily reflect the views of AT&T.
1. Smart Home Background
The views expressed in this presentation do not necessarily reflect the views of AT&T.
North America is the Major Market for Smart Home
• Security Providers dominate
• Telcos increasing presence
• Utility companies to account for 30% by 2018
• MSOs slower to market
• MSOs offering basic services
• Volumes remain low
71%
12%
17%
AmericasAsia PacificEMEA
Smart Home Services - 2014 Subscriber Share by Region
Source: IHS © 2014 IHS
The views expressed in this presentation do not necessarily reflect the views of AT&T.
0% 5% 10% 15% 20% 25% 30% 35% 40%
Intruder Notification
Hazard Detector Monitor
Climate Control
Windows/Door Lock
Lighting Control
View Energy Consumption
View Camera Feeds
Remote Front Door Lock
Home Appliance Control
Home Entertainment Monitor
Relative Notification
Window Dressing Control
Personal Health Monitor
Elderly Releative Monitor
Pool Pump Monitor
% of Total Respondents
Source: IHS © 2014 IHS
1 Security and Safety
2 Energy Management
3 Lighting Equipment
4 Health Monitoring
5 Appliance Control
56% of North American Consumers Indicate a Desire to Incorporate Some Element of Smart Home
Rank
Interest in subscribing to Smart Home services – North America
The views expressed in this presentation do not necessarily reflect the views of AT&T.
Importance to consumers
Willingness to pay monthly fee
Home Security Is the Primary Feature…
…Energy, Lighting and Healthcare Are Secondary Features
Control Appliances
• Home Appliances• Entertainment Monitors• Window Dressings
Security and Safety
• Security Cameras• Locks and Sensors• Motion Sensors• Smoke/CO/Fire Detectors
Health and Life
• Elderly monitoring• Medical Devices• Telehealth• Health gaming
Lighting Equipment
• Lighting Controls• Lighting switches• Lamps• Luminaires
Energy Monitoring
• Thermostats• In-home displays• Smart Plugs• Energy Management
Security and Safety
• Security Cameras• Locks and Sensors• Motion Sensors• Smoke/CO/Fire Detectors
Health and Life
• Elderly monitoring• Medical Devices• Telehealth• Health gaming
Lighting Equipment
• Lighting Controls• Lighting switches• Lamps• Luminaires
Energy Monitoring
• Thermostats• In-home displays• Smart Plugs• Energy Management
The views expressed in this presentation do not necessarily reflect the views of AT&T.
Point Security
•Each device has its own internal intelligence and applications
Connected Security
•Traditional burglar alarm systems
•Each device is connected to a central panel with limited automation
Smart Security
•Devices are linked through one central point
•One application can manage all devices
0
0.5
1
1.5
2
2.5
3
3.5
2013 2018
Other Smart Home
Source: IHS
Home Security Deployment Types
Educating end-users remains the key for adoption and expansion
The Security Industry Has Adapted to Meet This Demand in-home
Home Security Revenue ($bn)
The views expressed in this presentation do not necessarily reflect the views of AT&T.
2. Market Landscape
The views expressed in this presentation do not necessarily reflect the views of AT&T.
• Early Smart Home subscriber uptake has been pushed by high-end specialists such as Lutron, AMX converting subscribers to cloud-based systems
• Other device based-specialists such as Nest, Revolv also grown specialist installed base, but emerged as acquisition targets
• Security and MSOs have shown biggest growth since 2012
0
0.5
1
1.5
2
2.5
3
3.5
Others DeviceMakers
Specialists MSO Security
2012 2013 2014
Source: IHS
US Service-based Uptake Currently Pushed by Security and Specialist Companies
Smart Home Subscribers (m) – by provider type
The views expressed in this presentation do not necessarily reflect the views of AT&T.
MSOs Security Providers
Device Manufacturers Software Platforms
Smart Home
But Large Companies Are Entering the Market from Multiple Industries
The views expressed in this presentation do not necessarily reflect the views of AT&T.
• Launched HomeKitApple
• Partnerships with LG, Insteon
Microsoft
• Acquired SmartThings• Developing Tizen OS
Samsung
• Acquired Nest Labs• Acquired DropCam• Acquired Revolv
Each of the Big 4 Has Made Strategic Smart Home Moves in 2014
The views expressed in this presentation do not necessarily reflect the views of AT&T.
HARDWARE
SERVICES
SOFTWARE
And All Industry Players Are Now Focusing on Software
The views expressed in this presentation do not necessarily reflect the views of AT&T.
Two Configurations for Smart Home Are Emerging
• Communication directly to hub for remote-use
• Hub can contain different networking technologies
• Devices controlled through common protocols
• Retail devices used via applications
Hub Solution In-home Device Ecosystem
Central Smart Home Hub
The views expressed in this presentation do not necessarily reflect the views of AT&T.
3. Smart Home Use-Casesand Monetization
The views expressed in this presentation do not necessarily reflect the views of AT&T.
0.0% 20.0% 40.0% 60.0%
Smartphone
Tablet
Television
Web Portal
Control Panel
In-car
Met
ho
d o
f C
on
tro
l
Consumer preference for Smart Home control
Source: IHS ©2014IHS
Response Share
I would only choose a system
controlled by a single app37%
I would prefer a system controlled
by a single app34%
I’m happy with either 26%
I prefer having separate apps 3%
71% of users would prefer to use a single application for control
65% of Consumers Want to Control the Smart Home Through Portable Devices
The views expressed in this presentation do not necessarily reflect the views of AT&T.
This Is Moving the Market from Households Towards Remote Solutions
• Alarm updates sent via text• Remotely lock doors/windows• Remotely view network
camera feed
Security• Behaviour based alerts for
elderly care• Monitoring longer-care
health data
Health
• Remotely monitoring energy at an appliance level
• Remote residential load control
Energy Monitoring
• Remote scheduling of content• Enabling/Activating devices
prior to entering home
Appliances
The views expressed in this presentation do not necessarily reflect the views of AT&T.
• There is currently
– A software-based move for Smart Home suppliers
– Consumer demand for mobile device control
– More devices and remote use-cases for Smart Home
• The next key step is applications that allow control of multiple devices simultaneously, and that synchronize those devices 0
2
4
6
8
10
12
14
16
18
2008 2009 2010 2011 2012 2013 2014
USA W. Europe
Mobile application spend per device ($)
Source: IHS
Sp
en
d (
$)
Application Development Is Needed for Next Generation Implementations
The views expressed in this presentation do not necessarily reflect the views of AT&T.
• Over 60% of respondents were willing to share their data with 3rd parties based on some form of financial incentive (such as cheaper app)
Big Data and Analytics
• 50% of respondents found the opportunity for automatic ordering of ancillary products as valuable.
E-commerce and UI Advertising
• 80% of consumers surveyed found remote diagnostic solutions to be valuable
Remote Diagnostics
And Consumers Have Demonstrated Interest in Services or Applications Relating to Monetization
The views expressed in this presentation do not necessarily reflect the views of AT&T.
The US is 71% of the Smart Home subcriber market
Security is the key use case for Smart Home, then Energy and Lighting
MSOs and Security providers dominate Smart Home; large CE and software companies are now entering market
Software is the new battleground, as service and device vendors require interoperability
Consumers want to use smartphones and tablets for control for all devices
Remote Diagnostics, Big Data and advertising are all monetisation opportunities
Summary
The views expressed in this presentation do not necessarily reflect the views of AT&T.
© 2014 IHS. No portion of this report may be reproduced, reused, or otherwise distributed in any form without prior written consent, with the exception of any internal client distribution as may be
permitted in the license agreement between client and IHS. Content reproduced or redistributed with IHS permission must display IHS legal notices and attributions of authorship. The information
contained herein is from sources considered reliable but its accuracy and completeness are not warranted, nor are the opinions and analyses which are based upon it, and to the extent permitted
by law, IHS shall not be liable for any errors or omissions or any loss, damage or expense incurred by reliance on information or any statement contained herein. For more information, please
contact IHS at [email protected], +1 800 IHS CARE (from North American locations), or +44 (0) 1344 328 300 (from outside North America). All products, company names or other marks
appearing in this publication are the trademarks and property of IHS or their respective owners. V2.0-29.04.14
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Contact Us
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life Solution
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life Commercial
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Transform the cost of connecting the customer to smart things & places
Break from boundaries with a new set of wireless centric services
Create synergy with AT&T core strengths and adjacencies
Enter the market with an all IP solution that enables us to:
Digital Life Market Entry Strategy
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life Market Entry OfferingsSmart Security with optional add-on’s
SmartSecurity
EnergyPackage
CameraPackage
WaterPackage
DoorPackage
Advanced professionally monitored home security
Live video from inside and outside your home
Lock and unlock deadbolts or check garage door and close it remotely if open
Help detect water leaks before damage occurs
Control small appliances, lighting and HVAC for
convenience
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life’s Market Entry Offerings
Willingness to pay monthly fee
Importance to consumers
SmartSecurity
EnergyPackage
CameraPackage
WaterPackage
DoorPackage
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
• End to End IP solution, cloud based platform
• Take advantage of AT&T touch points to Customers
• Wirelessly connected and broadband agnostic
• From many to one Interface
• Helps promotes upselling.
Digital Life
72*
i
Transforming the Cost of Connecting in
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Extend with Wireless Centric Services
• Remotely manage from virtually anywhere
• Uniform Interface Experience
• Personalized & Custom layouts
• Remote Status & Controls
• Video and Images
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Beyond the Home to People & Places with Personal Services– Personal Emergency
– Health and Wellness
– Places: Office, School, etc.
– Automation on the move
Combining data services, context, and end user defined rules
Cloud & 3rd Party Device Interface
Mobile Device Integration & Cloud
Rules
Home Security Services
Video, Voice, and Activity Analytics
(consistent with Privacy Policy)
Digital Life
Au
tom
atio
nSe
curi
ty
Home Anywhere
Synergistic with AT&T Core Strengths
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Extend Offerings to People and Their Places
Personal Services Anywhere
• Integrated with Security, Health and Data Partners
Examples of Customer benefits
• Single application for security at home or away
• Allows customer to help family members in an emergency
• Define exactly what you want to happen in an emergency
• Show what’s happening through phone camera
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life’s Personal Services
Personal Security
• Family Connection
• Emergency
• Engage Monitoring
Health and Wellness
• Wellness
• Movement
• Daily Routine
Personal Assistant
• Geo-Fence
• Nofitications
• Controls
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Digital Life’s Market Entry Offerings
Willingness to pay monthly fee
Importance to consumers
SmartSecurity
EnergyPackage
CameraPackage
WaterPackage
DoorPackage
Health &Wellness
PersonalSecurity
PersonalAssistant
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Personal Security AnywhereSmartphone user experience – send emergency alert
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Health and LifeFor Example Digital Life CareHelps caregivers assist their elderly relative to remain in home safely and independently
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Your locationHome
Personal Assistant for the Mobile LifeRules that simplify
Comfort profile activated by crossing geo-fence
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
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Mention of a specific company or entity is not an endorsement by AT&T.
How to Workwith Us
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• Enabling integration with 3rd Party Cloud Services with Service Gateway
• Supporting Applications and Device onboarding with Developer Program
• Potential for e-commerce, UI ads and other monetized applications
Cloud Services LayerCloud Services Layer
Cloud Services Layer
AT&T Developer Program
Harnessing the Creativity of Developers
3rd partyDevices & Services
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Next Steps and Conclusion
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Potentially new Revenues & Opportunities Combining Customer bases
Uniform User Interface
Ease of Use improves Interactions
Digital Life
i72*
Monetizing with AT&T
© 2015 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.
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Mention of a specific company or entity is not an endorsement by AT&T.
Q&A
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All other marks contained herein are the property of their respective owners. Information contained herein is not an offer, commitment, representation or warranty by AT&T and is subject to change.
Mention of a specific company or entity is not an endorsement by AT&T.
Thank You