My articles that has featured in the Mobile Operator Guide: Innovation & Transformation 2014 published by SAP. This is their 2nd annual publication released worldwide. (Page 72 to 76)

1. The Rise of the Wearables: Adding new fillip to M2M
By Sohag Sarkar (Manager - Strategy & Operations, KPMG Advisory Services)
Introduction
Over the last couple of years the term M2M (aka Machine-to-Machine) has become clichéd. In literary
sense it would mean the flow of data between machine-to-machine and ultimately machine-to-user. The
data would flow from a machine over a network, and then through a gateway to a system where it can be
analyzed and acted upon. The critics were still debating on the hype created by M2M; another avatar has
emerged that could potentially change the rules of the business: The Wearable Technology.
Wearable Technology
It represents the next-generation of connected gadgets or devices (earlier witnessed in the sci-fi movies)
that a user would wear for an extended period of time, which significantly enhancing the user’s
experience about self or the surrounding environment. A wearable device would typically include a
sensor(s) (with minimal level of independent processing capability), a wireless connectivity, a power
support and a user-interface or display where the user can interpret the data (raw or processed).
Sensors
To record or process one-
to-many dimensional data
like visual, motion, location
or biometric
Battery / Power
To provide the necessary
power backup to run the
software while the device is
still mobile (with its’ user)
User Interface
The primary user interface
to assess raw or processed
data either over the device
display, over a Smart
phone app and/or a
desktop application
Network / Connectivity
To communicate the data
over a network: wireless
(Bluetooth, Wi-Fi) or fixed
communication
Innovation prospers when ideas are conceptualized taking due cognizance of the consumer behaviour.
Technological evolution has, therefore, provided a new meaning to the hitherto wearables: watch,
spectacles, clothes, pendants, rings, etc.

2. Popular Wearables across Human body parts:
 Wrist wear: Wrist wear computers, Smart watches, Bracelets
 Eye wear: Smart glasses or goggles, contact lenses
 Foot wear: Sports or activity sensors
 Neck wear: Pendant or jewellery wear
 Chest wear: Heartbeat monitors
 Body wear: Smart fabric, arm or leg wear, smart tattoo on skin
 Others: Ring /finger wear, Smart headsets
Business Drivers: Short to Long term
One of the critical aspects of present-day wearables is the ability to communicate and provide intelligent
or more meaningful data to the user. The significant buzzword here is that “smarter lifestyle requires
smarted devices”. The key success factors for early adoption and sustained usage of wearables includes:
 Unique selling proposition: In a world full of smart phones, wearables come as an additional
cost or addendum device. Each of these wearables may address niche customer segments and
in order to expand the early adopters’ base; targeted communication should be made to
demonstrate the role, the relevance and the uniqueness of these devices. There should be a
proven benefit that the user can relate to, in order to make a purchase decision.
 Lifestyle compatibility: The product should not warrant too many behavioural changes (like
frequent charging or complex setup) to adopt the device. It should provide seamless integration,
connectivity with the destination devices and/or the servers.
 Popular Technology enablement: A closer interaction or interplay with social, mobile, location
and cloud based services makes the product more present day or relevant. “Social motivation” is
one of the required factors that are making wearables in-vogue.
 Design Aesthetics: The aesthetics have a larger role to play when it comes to wearables and
their form factor shouldn’t address technological innovation over fashion & design.
 User Engagement: The product that provides utility but fail to have a meaningful impact on users
for example an activity tracker that provides data but doesn’t inspire action -- end up failing in the
market. If the product is able to instil “habit formation” then only it would lead to long term user
engagement.

3. Wearables: A specialized diversification
The wearables are finding relevance across multiple industries and opening up a world of opportunities
for the OEMs:
Industry Applications Product Portfolio
Heath care & Medical Vital signs monitoring, in vivo implants,
chronic disease management, brain-eye
movement, geo-tagging, unobtrusive
patient monitoring, self diagnostics
 Bio feedback patch
 Heading aids
 Insulin pump patch
 Wireless ECG Headset
Wellness Physiological monitoring, weight /
energy monitoring, posture correction
(general / driving), interactive
instructions
 Sleep / emotion / stress tracker
 Sensor bands / connected bracelet
Sports / Fitness Sports performance, fitness monitoring,
virtual coaching, outdoor navigation /
location tracking or sharing, activity
tracking, goal monitoring / management
 Activity Tracker
 Heat rate monitor / BioHarness
 Heated Jacket
 Smart shoes
 GPS Ski Mask
Infotainment &
Communication
Data, voice/video & media access,
email/text/messaging, social media,
share experience, organizer, interactive
gaming, real time information /
navigation
 Smart Watches
 Smart Glasses / Goggles
 Heads-up display
 Augmented Reality Gaming
Industrial & Military Responsive / aided learning, quality
control & security, real time information
/ navigation, communication, work force
automation, military / emergency
services, identity recognition, rescue /
tracking, remote monitoring,
 Hand worn terminals
 Hand scanners
 Smart clothing
 Smart Glasses / Goggles
 Heads-up display
Security & Safety Emergency services, identity
recognition, remote monitoring, security
profiling, real-time data, hazmat
detection
 Connected fire-fighting jacket
 Biometric insoles
 Handheld scanners
 Personal locator beacon
Source: IHS Electronic Media, Beecham Research (2013)
Wearables: The new threat to the Smart Phones?
Experts are debating if wearables would cause the
future displacement of presently popular smart phones
and in the process pose a threat to the technological
evolution of smart phones. A pure-play M2M device is
self sufficient and has the capability to communicate
directly with the server (Example: a passenger car
telematics device can automatically send emergency
assistance notification); on the other hand the present-
day wearable devices (Example: a fitness tracker
which can provide user activity summary) leverages
Cloud Web Server
Smart
Phones
(Hub)
M2M Device
Cloud
Wearable Device(s)
Web Server

4. the power of smart phones to communicate to the end server or cloud based application.
The key consideration here is that having cellular connectivity built into wearables makes it a redundant
feature. The wearable devices can connect to the smart phone via Bluetooth (or any other technology),
and send and receive data via the smart phone's Internet connectivity. Also, it would not be prudent to
expect an economic wearable device which is fully loaded and will provide the required battery life and
processing power of that of a smart phone. By offloading processing and connectivity onto a smart phone,
the cost of wearables can come down (considering the price of sensors keeps dropping). Therefore going
forward the smart phone - wearables combination (a symbiotic relationship) maybe more workable. And
multiple wearables can get connected via a single hub device (or the smart phone).
Wearables: What’s in it for the Operators?
The technology industry is bullish on the wearable technology as it has announced that the year 2014 will
be the “Year of the wearables” (during the Consumer Electronics Show and Mobile World Congress
earlier in the year). The operators have a vital role to play in the overall equation of Wearables or M2M
roadmap and should focus on the following considerations going forward:
 Network experience: Though the wearables address only niche customer segments, the network
needs to be planned in accordance with the future data consumption of the tech-savvy customers.
Some of the wearables may introduce different packets which would require prioritization or different
routing. The current model of network testing to assure QoS involves deep network visibility into traffic
and packet inspection. With data traffic almost doubling on an annual basis the testing models need
to be extended further into the network to ensure data delivery.
 Collaboration with Niche Players: In order to provide value addition to the subscribers (similar to
VAS), operators have to collaborate and define innovative business models with niche players so as
to provide specialized device and subscription based services. The operators can also leverage their
enterprise services to offer cloud based services to these players.
 Heterogeneous Networks: Considering higher frequency bands for the next generation data
technologies (3G/LTE/BWA); the operators need to ensure efficient and seamless indoor coverage by
deploying small cells, DAS or Wi-Fi hotshots.
 Bundled Offering: The operators have become the launch pad for most of the Smart phone OEMs
and wearables are being positioned as a bundled offering. The operators can thus leverage their
distribution and marketing skills to further cross-sell the wearables.
By ensuring an optimal network and providing a bouquet of technology devices; the Operators can define
a win-win value proposition with key players in the Wearables value chain. Needless to mention, a larger
portfolio of “always connected” devices would further enhance the data revenues and add to customer
loyalty & experience.