Technical and business aspects of IoT. Ioan Demeter BCS March 20th

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1 Technical and business aspects of IoT Ioan Demeter BCS March 20th

2 Agenda Introduction Actuators and sensors Connectivity Licensed Unlicensed IoT platforms Key players Main modules Main functionalities PaaS Vertical applications Industries Use Cases and associated business cases Enterprise Consumer 2

3 Introduction: IoT overall architecture Application Billing Prepayment ERP CRM VERTICALS Master Station Platform Platform IoT PLATFORM CLOUD CONNECTIVITY GPRS/3G MSTP/Ethernet MV PLC Data Concentrator Unit (DCU) PLC/RS485/ZigBee/RF ACTUATORS SENSORS PLC module NB IOT LoRaa Sigfox ZigBee/RF module

Introduction: IoT overall architecture Smart appliance SmartHome Pet tracking Fleet tracking 3 rd Apps Smart Utilities APP SDK VERTICAL APPLICATIONS Connectivity Management Device Management API

4 Introduction: IoT overall architecture Smart appliance SmartHome Pet tracking Fleet tracking 3 rd Apps Smart Utilities APP SDK VERTICAL APPLICATIONS Connectivity Management Device Management API exposure IoT Platform BIG DATA ANALYTICS 3 Rd Cloud IOT PLATFORM Cellular Local Hub NB IoT LoRa, Sigfox CONNECTIVITY ACUTATORS, NB IoT Smart Home T-Box/OBD Camera Smart watch Pet tracker SENSORS

5 Sensors and Actuators Transducer to convert physical property into electrical information 5

6 Sensors and Actuators Transceiver : GPRS/LTE/NB IoT, LoRa, Sigfox, zigbee, Bluetooth, Micro-controller functions: Power management Device management Connectivity management The front-end module is the key element in deciding the connectivity technology. Penetration loss, power consumption and cost are attributes in design and commercial decisions 6

7 Connectivity 7

8 Connectivity Requirement Massive connections: 10K/site Deeper coverage: 20db+ Low power: 5-10 years battery life low cost <5$/module Comparison of 3GPP and non-3gpp M2M technologies Licensed Spectrum IoT NB-NB IoT(3GPP GERAN) emtc Cat M1(3GPP RAN) Long Range Solution LPWAN ISM Spectrum (industrial, scientific, medical) and 868Mhz UNB (Ultra narrow band)(sigfox) LoRa Alliance (CSS chirp spread spectrum)(semtech) Short Range Solution On ISM spectrum Zigbee W_Mbus RFID Z wave Sub1G RF UNB Weightless(Neul) 8

164dB Network Investment Coverage Scenario constraint duty cycle & power 43dBm 23dBm Limited UE traffic & Weak downlink Full

9 Connectivity Comparison of 3GPP and non-3gpp M2M technologies Sigfox vs NB IoT: Overview 6dBi 15dBi Link budget = 162dB Link budget = 179dB New base station & New Core Network *Software Upgrade Reuse Current Asset MCL (min coupling loss) = 156dB MCL = 164dB Network Investment Coverage Scenario constraint duty cycle & power 43dBm 23dBm Limited UE traffic & Weak downlink Full usable DL Schedule_based Co-channel interference in ISM Dedicated license spectrum, high QoS UE traffic & Downlink Network Reliability 9

10 Connectivity The battle of technologies will continue 10

11 Connectivity Application CRM Billing Prepayment DMS ERP APPS GIS Data bus Platform IoT Platform Huawei Cloud Edge Network Terminal LPWAN MOBILE OPERATOR Vertical Specific Module Chip-set

12 IoT Platforms The key roles of an IoT platform: To connect any IoT device to other IoT devices and applications to relay information using IP transfers To fulfil the gap between device sensors and data networks and provide liaison with backend applications Top players: Huawei, AWS IOT, Microsoft Azure IOT, Google Cloud Platform, Thingworx, IBM Watson, Cisco, HP 12

13 IOT platform Unified horizontal platform across multi-verticals Key Values of OceanConnect IoT Platform Smart Home Bicycle Lock Tracking Other Fast device integration 20+ IoT standard protocols Multiple NB-IoT chipset/module pre-integrated Restful API Series of IoT agents Codeless GUI based tool improves the period of development from 2 weeks to 2 hours Ecosystem and Openness Abundant 3 rd party devices pre-integration 3rd Party Human & Things Interworking Cloud API IoT Platform Application Enablement API Third Party Cloud 3 rd party vertical industry cloud communication Enable Service innovation and new business scenario Flexible deployment model Connectivity Management Device Management Huawei public/ private cloud 3rd party public/private cloud Multi-tenancy support

14 IoT Platforms 14

chain 2 Unified IoT platform reduces TCO when carrier holds many different applications 3 IoT platform helps to decouple

15 Move up the Value Chain Silos Horizontal Services Connectivity Management Platform Connectivity Application Enablement Device Management Connectivity Management Huawei IoT Platform (Ocean Connect) Devices 1 Help OpCos moving up in the value chain 2 Unified IoT platform reduces TCO when carrier holds many different applications 3 IoT platform helps to decouple applications and devices that will improve TTM and facilitate innovation IoT Platform Must Meet the Business Evolution Trend 16

16 Vertical Applications 8 Categories-58 Subcategories Car, Cities, Health, Industry, Home, Business, Energy, and Consumer Electronics Car (11) Fleet management *** In vehicle emergency call sys In vehicle entertain and internet access In vehicle voice Lease rental HP and share car management Roadside assistance ** Stolen vehicle recovery *** Usage based insurance UBI ***** Vehicle diagnosis *** Vehicle navigation *** Vehicle platform *** 17

17 Vertical Applications 8 Categories-58 Subcategories Car, Cities, Health, Industry, Home, Business, Energy, and Consumer Electronics Health (7) Assisted living *** Clinical remote monitoring Clinical trials Connected medical environment First responder connectivity Telemedicine *** Worried well personal monitoring ** Connected Home 5 Building automation and security-residential ***** Household information device *** Network equipment Network infra residential White goods 18

18 Vertical Applications 8 Categories-58 Subcategories Car, Cities, Health, Industry, Home, Business, Energy, and Consumer Electronics Business 3 Building automation and security *** Network infra commercial *** Office equipment *** Energy 4 Micro generation *** New energy sources Smart grid-distribution monitoring *** Smart metering ***** 19

19 Vertical Applications 8 Categories-58 Subcategories Car, Cities, Health, Industry, Home, Business, Energy, and Consumer Electronics Cities 5 Electric vehicle charging Environment and public safety Environment monitoring Public transport *** Road traffic management ** Consumer electronics 5 Audio visual display Audio visual sources Other consumer electronics Personal media ** Tracking apps *** 20

20 Vertical Applications 8 Categories-58 Subcategories Car, Cities, Health, Industry, Home, Business, Energy, and Consumer Electronics Industry 17 Boundary control *** Commercial appliances Construction equipment monitoring Construction site monitoring Defence ***** Emergency services ***** Extractive industries Fishing Homeland security *** Land agriculture *** Manufacturing and processing Public space advertising Retail and leisure specialist apps Specialist office equipment Supply chain Vending machines *** Warehouse and storage *** Reference: Machina Research 21

21 Use Cases and Associated Business Cases Osterwalder Business Model Framework 5 Use cases based on real projects Water Parking Elevators Insurance Fleet 22

22 Business Model framework for IoT applications (Osterwalder) ARPU, EBITDA, ROI, Revenue, Cost: CAPEX, OPEX, Revenue Models: Cost based, Revenue Share

23 Thank you! Ioan Demeter, Huawei Technologies

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