An outlook on INTELLIGENCE in 2024
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1 An outlook on INTELLIGENCE in 2024 Paul Gray, Research Director, IHS Markit. All Rights Reserved.
2 Top 8 Transformative Technology predictions for 2018 / April 2018 IHS Markit 8 key transformative technologies for 2018 AI Industry innovations in autonomous vehicles, infotainment, natural language processing, and augmented reality, security and access AI in new vehicles ADAS or infotainment systems 2015 & 2025 IoT Compounding adoption of analytics-driven IoT platforms, computing at the edge, and data exchange brokerages (DEBs) 40B IoT devices at the edge between 2018 and 2025 Cloud & Virtualization Services enabling improved machine learning and AI, radically transforming business usage and understanding of data $124B CY 2016 $343B CY 2021 Off-Premises Cloud Services Market 22% CAGR Confidential IHS Markit TM. All Rights Reserved. 2
3 Top 8 Transformative Technology predictions for 2018 / April 2018 IHS Markit 8 key transformative technologies for 2018 Connectivity A host of other iterations of LTE, from Cat 1 to Gigabit LTE, will serve consumer, enterprise, and IoT use cases before and after 5G is commercially launched Computer vision From facial recognition software to self-driving cars, advanced robotics, and surveillance, this technology will accelerate innovation across multiple industries Ubiquitous video Continued consumption of video, to alter strategies in multiple markets not directly tied to video or display supply chains Robots & drones The potential of robots and drones to transform longstanding business models Blockchain Blockchain-based services beyond financial services are already being deployed and will continue to grow Confidential IHS Markit TM. All Rights Reserved. 3
4 Why do we care about this? Because technology is at the heart of the automotive industry and has been for a long time Confidential IHS Markit TM. All Rights Reserved. 4
5 The average value of electronic systems per car is growing at over 5% CAGR to over $1,600 by % CAGR ( ) 7% 3% 2% 5% Confidential IHS Markit TM. All Rights Reserved.
6 Top 8 Transformative Technology predictions for 2018 / April 2018 This new technology enables new features, but also creates new risks Telematics Driver more involved with data will customize system upgrades Infotainment Content through vehicle makes car a multi-use device for consumer (like smartphone) Securing the car All of this data now makes the car a vulnerable device with critical implications Data vendors Car becomes new channel to reach consumers for operators and app developers Confidential IHS Markit TM. All Rights Reserved. 6
7 Top 8 Transformative Technology predictions for 2018 / April 2018 Connectivity is being widely deployed into cars directly, via OBDs and being brought in by consumer devices Connectivity is being integrated into cars to support in-vehicle entertainment, provide information about traffic conditions, monitor engine performance and enable the car to respond to its surrounding environment. 120, ,000 80,000 60,000 America 27% EMEA 27% APAC 46% 40,000 20,000 In 2018, an estimated 65M connectable devices in the connected car Automotive - ADAS and others Infotainment Confidential IHS Markit TM. All Rights Reserved. 7
8 Top 8 Transformative Technology predictions for 2018 / April 2018 While automotive may not have the scale of other connected devices, it is now becoming part of the same broader ecosystem 8 Connected consumer devices (B) Smart Speaker Tablet Smartphone PC Games Console DMA Smart TV Confidential IHS Markit TM. All Rights Reserved. 8
9 Shipments (M) Top 8 Transformative Technology predictions for 2018 / April 2018 Auto makers are already embedding AI and deep learning systems into cars, led by speech-based infotainment control systems 140 In-car AI & deep learning systems (millions) Infotainment (Speech) Infotainment (Assistant) ADAS (Object detection) Infotainment (Gesture) ADAS (Freespace + limited object detection) Confidential IHS Markit TM. All Rights Reserved. 9
10 Shipments (M) Report Name / Month 2017 Automotive voice control is growing at a similar pace to smart home voice control (as indicated by smart speaker shipments) 50 Smart speaker shipments by platform (millions) Amazon Alexa has early mover advantage Google s global presence, greater user scale and expected price drop will see it overtake Amazon in coming years Apple will capture share but premium price positioning will limit mass market potential Installed base of over 60m by Amazon Alexa Google Assistant Apple Siri Other Prices at lower end will drop rapidly Confidential IHS Markit TM. All Rights Reserved. 10
11 Thank you! Find out more: IHS Markit Customer Care Americas: IHS CARE ( ) Europe, Middle East, and Africa: +44 (0) Asia and the Pacific Rim: Disclaimer The information contained in this presentation is confidential. Any unauthorized use, disclosure, reproduction, or dissemination, in full or in part, in any media or by any means, without the prior written permission of IHS Markit Ltd. or any of its affiliates ("IHS Markit") is strictly prohibited. IHS Markit owns all IHS Markit logos and trade names contained in this presentation that are subject to license. Opinions, statements, estimates, and projections in this presentation (including other media) are solely those of the individual author(s) at the time of writing and do not necessarily reflect the opinions of IHS Markit. Neither IHS Markit nor the author(s) has any obligation to update this presentation in the event that any content, opinion, statement, estimate, or projection (collectively, "information") changes or subsequently becomes inaccurate. IHS Markit makes no warranty, expressed or implied, as to the accuracy, completeness, or timeliness of any information in this presentation, and shall not in any way be liable to any recipient for any inaccuracies or omissions. Without limiting the foregoing, IHS Markit shall have no liability whatsoever to any recipient, whether in contract, in tort (including negligence), under warranty, under statute or otherwise, in respect of any loss or damage suffered by any recipient as a result of or in connection with any information provided, or any course of action determined, by it or any third party, whether or not based on any information provided. The inclusion of a link to an external website by IHS Markit should not be understood to be an endorsement of that website or the site's owners (or their products/services). IHS Markit is not responsible for either the content or output of external websites. Copyright 2018, IHS Markit TM. All rights reserved and all intellectual property rights are retained by IHS Markit.
12 Chris the digital assistant for drivers The smart, retrofit device for every car Strictly confidential 2018
13 Large installed base accessible for aftermarket product 220 m 47 m 3.3 m Cars on the road Cars sold m Germany USA German Autolabs Strictly confidential 13
14 Verticalization of assistants - We are the "co-driver" Home "Helping Hand" Car "Co-Driver" Office "Professional Assistance" Digital Assistant Artificial Intelligence Voice Natural Language Understanding Machine Learning User Interface Data Behaviorial Data Contextual Data Sensor Data German Autolabs Strictly confidential 14
15 Drivers are distracted - urgent need for an assistant Fatalities per 100 million miles travelled First half of the year Snapchat effect The risk of an accident is higher when drivers are distracted 5x Sending messages ~6x Programming navigation device Radio 1,1x : ,4x 1,3x Calls Audiobooks Source: National Highway Transportation Safety Administration Source: Bavaria Direkt 2017, Marketwatch 2017 German Autolabs Strictly confidential 15
16 The solution: A 100% touch-free experience Natural Language Glanceable Display Intuitive Gestures German Autolabs Strictly confidential 16
17 Chris - Your digital co-driver Voice assistant with gesture control Premium design Fits into every car Works with Android and ios Free updates and new features German Autolabs Strictly confidential 17
18 A platform turning the in-car experience into a conversation - Online and offline Roadside assistance Calendar Maintenance Contacts Parking Aftermarket Hotel booking Messaging POI Music Traffic jam Navigation Car engine Call Services Embedded German Autolabs Strictly confidential 18
19 Get in touch Daniel Mieves Head of Marketing Strictly confidential 2018
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