Internet of Things Deployment: The Evolution of M2M Connectivity

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1 Internet of Things Deployment: The Evolution of M2M Connectivity Nebula ADVANTAGE Jari Collin, CTO Telia Finland

2 STORYLINE New competition requires real-time capabilities Technology layers of IoT solution Evolution of connectivity layer towards 5G Telia use cases

3 TOWARDS NEW COMPETITION Digital services BUSINESS KNOWLEDGE Open data DATA DATA Information Operations Centre DATA DATA INFORMATION New networked business opportunities Company A: IT-systems Company B: IT-systems Company C: IT-systems Smart, connected products are transforming competition Data-driven service business models Cross-company data utilization is the main source of new innovations Customer value is created by sharing data in a value network

4 PRODUCT COMPANIES NEED TO BUILD NEW CAPABILITIES Customer s Demand Chain Invest Implement Maintain Operate Use Supply Chain Product Delivery Project Delivery Maintenance Delivery Operations Delivery Digital Delivery Source: Porter & Heppelmann: How smart connected products are transforming competition (HBR, 11/2014) Focus shifts from product delivery to the use of products in a customer environment Customer solutions that are optimized in real-time Four steps are needed to build real-time capabilities of industrial internet solutions Building real-time capabilities requires a systematic deployment approach

5 STORYLINE New competition requires real-time capabilities Technology layers of IoT solution Evolution of connectivity layer towards 5G Telia use cases

6 Customer value TECHNOLOGY IS NO LONGER A BOTTLENECK BUT IT CONSISTS OF PARTS THAT NEED TO BE INTEGRATED TECHNOLOGY LAYERS FOR INDUSTRIAL INTERNET D a t a s e c u r i t y P l a t f o r m LEVEL 6: Digital service LEVEL 5: Application LEVEL 4: Analytics LEVEL 3: Data storage LEVEL 2: Connectivity LEVEL 1: Sensors BUSINESS KNOWLEDGE INFORMATION DATA

7 STORYLINE New competition requires real-time capabilities Technology layers of IoT solution Evolution of connectivity layer towards 5G Telia use cases

8 THE NORDICS ARE AT THE FOREFRONT IN UTILIZING IOT 4X As many connected things per person as world average. 1,7 in 2014, growing to 4 in % Growth per year in revenues >150 Million connected things in the Nordics by Up from 45 million in 2014 Source: Arthur D. Little Connected Things 2015 & 2016

9 MOBILE DATA USAGE: TOTAL MARKET IN FINLAND Gigabytes (' ) Q1/12 Q2/12 Q3/12 Q4/12 Q1/13 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q3/14 Q4/14 Q1/15 Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Gigabytes per month per subs TOTAL USAGE USAGE PER SIM ,0 12,0 10,0 8,0 6,0 4,0 2,0 0 0,0 Note: Total mobile data traffic is more in Finland than in Germany Note: Data growth (year-on-year) is still close to 60%

10 M2M CONNECTIVITY SOLUTIONS ARE DEVELOPING FAST Optimized characteristics 1. Cost 2. Coverage / frequency 3. Data speed 4. Capacity 5. Energy consumption (battery) 6. Latency 7. Easiness of implementation 8. Security 9. Wi-Fi on top of fixed networks LPWAN LoRa Sigfox LTE NB-IoT CAT-M1 5G M2M 2G mainly

11 AND THE SPECTRUM OF CONNECTIVITY VARIES Massive Connected Infrastructure Mid to High End Connectivity Mission Critical Connectivity Utility metering Smart buildings City infrastructure Video security Connected car Autonomous vehicles Robotics Energy / Smart grid Energy management Wearables Environment monitoring Object tracking Connected healthcare Aviation Industrial automation Medical Wide coverage Big capacity Low latency

12 LTE/NB-IOT TECHNOLOGY SOON AVAILABLE IN THE MARKETS Core network New virtualized core elements provide extra capacity and support new services Radio network Narrow Band-IoT cell is a separate entity, which is embedded in a LTE cell Not significant impact to current LTE radio network only software upgrade in base stations Neither mobility nor session continuity towards 2G, 3G, or 4G networks (no handovers) Chipsets and terminals Main difference compared to M2M is long battery duration; ~ 10 years Practical NB-IoT user throughputs <10 kbit/s; max. 64kbit/s NB-IoT terminals and sensors should support several frequency bands

13

14 STORYLINE New competition requires real-time capabilities Technology layers of IoT solution Evolution of connectivity layer towards 5G Telia use cases

15 SPECTRUM OF USE CASE Inside air quality monitoring Structure state monitoring Movement monitoring Agricultural devices and animal monitoring Water and sewage system monitoring Environmental measurements Safety devices in buildings and factories Consumer applications: home and device monitoring

16 TELIA IOT ASSET & VEHICLE TRACKING A simple and low cost end-to-end solution for asset tracking What is it? Telia IoT Asset & Vehicle Tracking are services that enable monitoring your desired target s location and movement easily and effectively from distance. What does it enable? Weather-enduring machinery and userfriendly online portal allows you to monitor your targets from distance all around the world.

17 THE KEY BENEFITS All in a monthly fee Easy to use Scalability Customer support One ready-to-use solution that contains everything from the necessary device to connections and online portal. The device is easy to take into use, and the online portal is also very user friendly. The service is scalable according to your needs, and it s easy to add new devices or countries to the service. Customer support helps you in all things related to the service.

18 TELIA IOT OFFICE AIR QUALITY AFFECTS EFFICIENCY AND COMFORT Understand changes in temperature Monitor humidity and carbon dioxide levels Is your office space effectively utilized? Track your office air quality: is it cold, warm or heavy variations? Remotely monitor if the store room temperature is within limits. Trace the reasons behind bad indoor air Any complaints about drowsiness during meetings? Follow the quality of the air in a conference room. With a movement sensor at each workspace you can -display how many work stations or meeting rooms are in use -get statistics on office utilization. Are you paying for unused floor area?

19 TELIA IOT OFFICE MONITORS AIR QUALITY IN TOUHULA DAY CARE CENTERS WE ARE MONITORING AIR QUALITY TO BE ABLE TO REACT IN ADVANCE, IF NECESSARY Arto Kettunen, Real Estate Expert, Touhula WE WANT TO SHARE THE DATA WITH PARENTS AS WELL Janita Moilanen, Director, Touhula

20 5G USE CASES Enhanced Mobile Broadband with Improved Coverage, Capacity and Customer Experience Verticals and Internet of Things 5G Supporting society with advanced communication solutions New opportunities low latency and higher mobility

21 LIVE VIRTUAL REALITY WITH NOKIA OZO AND MOBILE EDGE COMPUTING AT TELIA 5G AREENA ON JUNE 15 TH 2017 VR cameras to provide 360 Live OZO stream VR gear LTE Macro enb MEC and Edge Video Orchestration Nokia LTE BTS and Mobile Edge Computing, OZO live server, 3 OZO cameras deployed at Telia 5G arena over live 4G network.

22 WE ARE READY WITH 5G 5G, AND WILL BRING IT TO YOU AS SOON AS THE WORLD IS READY..

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