Internet of things: Accelerate Innovation and Opportunity on top The 3rd Platform

Son Phan
CTO at FPT Information System
May. 16, 2015

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Internet of things: Accelerate Innovation and Opportunity on top The 3rd Platform

  1. Phan Thanh Son HCMC May 15, 2015
  2. 2 The world is changing … and it’s changing very fast … And: • Micro • Camera • Touch screen • GPS • Bluetooth • GSM
  3. 3 The 3rd Platform Era • From 2013 through 2020, 90%of IT industry growth will be driven by 3rd Platform technologiesthat, today, represent just 22% of ICT spending. • 80% of competitive energy should be focused on strengthening 3rd Platform offerings and capabilities • First wave of Innovation Accelerators that depend on the 3rd Platform: Robotics, Internet of Things (IoT),Natural Interfaces, Cognitive Systems, 3D Printing, Next Generation Security • Line of business executives will be involved with 80% of IT sales by 2016, decision-maker for 40% DigitalEnterprisewave–RideitorUnderit?
  4. 4 7.26.8 7.6 IoT Is Here Now – and Growing! Rapid Adoption Rate of Digital Infrastructure: 5X Faster Than Electricity and Telephony 50 Billion “Smart Objects” 50 2010 2015 2020 0 40 30 20 10 BILLIONSOFDEVICES 25 12.5 Inflection Point TIMELINE Source: Cisco IBSG, 2011 World Population The New Essential Infrastructure
  5. 5 Political Policy in public safety, utilities, healthcare Smart meter adoption E-call requirements for new car in EU Increasing role of regulators in privacy and safety Economy Globalization Urbanization Demographic shifts IoT economics progressively more attractive Improved business efficiency Social Rise in power of smarter consumer Social media explosion driving new behaviors Health and wellness Green lifestyle Technology Declining cost of sensors, compute, bandwidth and storage Proliferation of devices Miniaturization, portability of devices Social, Mobility, Big Data/ Analytic, Cloud (SMAC) technologies/ The 3rd Platform (IDC) Key Forces Driving Internet of Things
  6. 6© 2014 Cisco and/or its affiliates. All rights reserved. Evolution of the Internet BusinessandSocietalImpact Intelligent Connections • Email • Web Browser • Search Connectivity Digitize Access to Information • Social • Mobility • Cloud • Video Immersive Experiences Digitize Interactions (Business & Social) • E-commerce • Digital Supply Chain • Collaboration Networked Economy Digitize Business Process • Sensors • M2M • Wearables • Big Data • Analytics Internet of Things Connecting The Unconnected Connecting: • People • Process • Data • Things Digitize the World
  7. 7 IoE Consists of M2M, M2P, and P2P Connections Machine-to-Machine (M2M) • Data sent / received from one machine (thing) to another • Often called the “Internet of Things” Machine-to-Person (M2P) • Data sent / received from a machine (thing) to a person • Often called “data and analytics” Person-to-Person(P2P) • Data sent / received from one person to another • Often called “collaboration” CONNECTION TYPE IoE Value (2013-2022) $7.4 Trillion $4.6 Trillion $7.0 Trillion
  8. 8 More Important Less Important Big Data becomes Open Data for Customers, Consumers to Use Information Knowledge Wisdom (Scenario Planning) Data IoT Transforms Data into Wisdom IoT Is Primarily Not About Things – It’s About Insights from Data Big Data Doubles Every TwoYears  90% of world’s data created in last 2 years  More new data generated in 2012 than prior 5,000 years  By 2020, 40% of data will come from sensors  Walmart collects 2.5 petabytes of data hourly from customer transactions  Singapore generates several Terabytes of data every day
  9. ©2014 Cisco and/or its affiliates. All rights reserved. 9 IoT Economic Value by Industry 82% IT Execs / 74% LoB Source: Cisco
  10. McKinsey & Company | 11 6 categories illustrate the breadth of potential IoT applications Category Description Achieving real-time awareness of physical environmentEnhanced situational awareness B Control consumption behavior to optimize resource use across a network Optimized resource consumption E Automated control of closed (self-contained) systemsProcess optimizationD Assisting human decision-making through deep analysis and data visualization Sensor-driven decision analyticsC Monitoring the behavior of persons, things or data through space and time Tracking behavior A Automated control in open environments with great uncertainty Complex autonomous systems F Information & analysis Automation & control
  11. McKinsey & Company | 12 The Internet of Things can create value through several economic levers Levers Create new dynamic pricing models for inputs and outputs Create new service models and products to monetize information assets Improve safety for consumers and workers Increase efficiency and reduce costs of energy, materials, capital, and labor Allow new customer interactionswith opportunities to engage end-users on a dynamic, ongoing basis Enable new ways of doing business Improve quality of delivered products and servicesEnhance & optimize today’s operations
  12. © 2013 Cisco and/or its affiliates. All rights reserved. 13 Today Current state Potential Connected Cars 11-13% time wasted in urban congestion (90 billion hours) Traffic management and optimization of road network lower congestion 7-12% of urban traffic is created by people looking for parking Vehicles intelligently adjust driving speeds, improving fuel efficiency 10-17% of urban fuel is wasted at stoplights when no cross traffic Optimized routes and traffic signaling 80% of accidents are caused by driver distraction (6.3M accidents) Vehicle-to-vehicle / infrastructure communication lowers accident rates Connected Car Benefits Consumer 7.5% less time in traffic 4% lower vehicle costs (fuel, repairs, insurance) Social 8% fewer accidents 10% lower road costs 3% C02 reduction Source: Cisco
  13. © 2013 Cisco and/or its affiliates. All rights reserved. 14 Smartphone Wheel-Sensor Collision Radar Low Speed Network LIN, Lo-Speed CAN Electronic Control Unit (ECU) Entertainment Network MOST, Internal Wi-FiX-by-Wire/ Safety Network Flexray Wireless In-Car Network, Bluetooth, Low-Power Wi-Fi, RFID High-Speed Network Hi-Speed CAN Central Gateway IOS Wireless Car-to-X Network DSRC 802.11p, WiFi, WiMAX, Multiple 3G/LTE Home Enterprise Web OEM Roadside Grid Audio/Video DiagnosticsTelematics Driver Assistance …. Source: Cisco
  14. Fleet Management Connected Public Transit Driver Monitoring Intersection Communications Source: Cisco
  15. © 2013 Cisco and/or its affiliates. All rights reserved. 16 Fog Platform Local Data, Events, Rules, Analytics, Visualization Cloud Platform Central Compute & Big Data Repository, Additional Big Data; Ecom, Mobile, Social, etc. Use case: FastRetailTM Sensor Fusion for Shopper Insight, Queue Management, Merchandising Optimization Flexible, hyper-local, real-time, sensor fusion, and big data analytics solutions driving the next generation of Retail Value Chains Store & Supply Chain Optimization Consumer Insights & Interaction A Road To Next Gen Value Chain Right Store Location, Range, Layout Perfect Shelf See, Spot, Select OmnichannelJourney Anywhere, Anyway, Anytime Perfect Supply Chain On-Shelf, On-Hand, On-Time Source: Cisco
  16. 17 Platform enable new services, new business models
  17. 18 Key Takeaways  The World is Becoming Increasingly Diverse and Digitalized … The 3rd Platform and Accelerators including IoT across customers, employees/ LoBs, partners driving sustainable growths and innovations … Digital Enterprise wave, Ride it or Under it  A New Data Driven World …. Chief Data Officer (?)  ICT … Essential Infrastructure …. IT and OT alignment/ convergence … CTO (?)  Transformational Opportunities … Generate $19T Economy Value in next 10 years  New Ecosystem Will be Essential … win-win-win- world  IoT is now … IoE: new opportunities ... TOMORROW Start Here  What are Your Next Steps to capture the opportunities?
  18. Thank you