How Telecoms contribute
to IoT landscape shaping
Evolution driven by business demands
or technology constraints ?
Marcin Mizgalski
International Sales Manager
Warszawa 2016
2016-09-302
1. IoT Landscape & Telecoms connectivity capabilities today
• IoT Landscape
• Commercial & technology requirements towards end-user Devices
• Telecoms connectivity capabilities today
2. Telecom needs for both Licensed and Non-Licensed technologies
• Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc.
• Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM
3. How Telecom Providers can shape IoT landscape
• Telecom’s competitive advantage & challenges
• The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider
• CAPEX / OPEX snapshot for IoT service
• Beyond smart metering. Interesting use cases scenarios.
AGENDA
2016-09-303
IoT ECOSYSTEM INTEGRATED BY IMPAQ
Any Device equipped
with IoT sensor that
allows the device to
communicate its
performance.
Embedded Software
Pre-integrated IoT
devices
Software Agents
Custom Application
reflecting specific
requirements of the End
User
Applications fully
integrated with IoT
server
ApplicationIoT DevicesMachines
Convergent Gateway for
IoT connectivity
Charging Systems for
business capture
Usage & Cost control
Gateway
Product Management
Portal
Real time Usage &
Cost control
IoT Gateway &
Charging Systems
IoT Platform with fully
automated workflows
allowing for
· device mgmt,
· KPI measurements,
· location and map
view,
· alarm mgmt,
· reporting,
· remote control
Platform interacting
with other systems
through flexible REST
API
IoT Platform
2016-09-304
WHAT KIND OF DEVICES ARE REQUIRED?
TECHNICALCOMMERCIAL
LONG LIFE
BATTERY
TRANSMISSION RANGE
INCREASE
NETWORK CAPACITY
INCREASE
• Places with no electricity
access;
• 10 years service-free
devices;
• Movable objects
monitoring (animals,
etc.)
• Devices installation at
places with damped
Radio propagation
(tunnels, canalisation,
underground spaces)
• Protocols and network
access modifications
allowing single BTS
serving for milion
devices
• Types of network
services prioritization
DEVICES LOW
COST
INSTALLATION LOW
COST
OPERATIONS LOW
COST
• Low data volume
generating relative low
revenue streams per
device
• Large number of
devices geographically
scattered
• Plug&Play required
• Devices operations
costs can exceed
revenues generated by
them
• New tariff plans to be
offered by the Operators
TELECOMS CONNECTIVITY CAPABILITIES TODAY
High speed transmission & low latency
2-way communication with the device
Popular technology, known by society
Near 100% network coverage
2016-09-305
2G/3G Advantages
Radio networks limited capacity
(1-2k users registered per BTS)
Complicated signalling protocols
(increased energy consumption)
Complicated infrastructure (high
CAPEX/OPEX)
2G/3G Disadvantages
2016-09-306
1. IoT Landscape & Telecoms connectivity capabilities today
• IoT Landscape
• Commercial & technology requirements towards end-user Devices
• Telecoms connectivity capabilities today
2. Telecom needs for both Licensed and Non-Licensed technologies
• Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc.
• Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM
3. How Telecom Providers can shape IoT landscape
• Telecom’s competitive advantage & challenges
• The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider
• CAPEX / OPEX snapshot for IoT service
• Beyond smart metering. Interesting use cases scenarios.
AGENDA
2016-09-307
ALTERNATIVES TO 2G/3G
Non-Licensed Bandwidht
(LPWAN)
Licensed Bandwidht
(LPWAN)
(Subject for standardization processes)
BENCHMARK: LORA ALLIANCE
2016-09-308
• Open, non-profit association of IoT members
providing open global standard for secure, carrier-grade IoT
LPWA connectivity
• However, radio chips manufacturer, the only one
compatible with LoRa standards is Semtech company.
Semtech is LoRa solution & patents owner, as well as LoRa
Alliance founder
• Everyone can build own LoRa network, but Semtech chips are
prerequisite
• Founded: March 2015, First Specification release: June 2015
• Over 100 cities, over 20 countries around the globe
• Over 155 members
• Bi-directional communication
2016-09-309
BENCHMARK: SIGFOX
• Closed, private network belongs to and being operated by
Sigfox
• Subscription model, annual fee 1 USD / device
(min setup : 50 000 devices)
• Anyone can deliver the chipsets based on Sigfox license
• Limited communication towards the Device
BENCHMARK: WAVIOT, INGENU, NWAVE
• Closed, private technology
• Open wireless protocol
• Delivery Models: Solution
enabler, Network operator
• Off-the-shelf devices available
• Long range connectivity of
16+km (city) / 50+km
(countryside)
• More than 2 000 000 smart
devices within each BTS’s
range
• Artificial Intelligence: neural
algorithms and machine
learning for network self-
management
2016-09-3010
• Closed, private technology
• Worldwide available, using the
same as WiFi bandwidth
• Wide access to WiFi sensors
• Delivery Models:
• Subscription per device
• Own private network
building
• Over 30 paying customers
• Commercial networks available
only in the USA
• “Open standard” available
only members,
(membership fees)
• Technically similar to Sigfox but
network design similar to LoRa
• Internationally available and
unlicensed sub-1GHz radio
spectrum (ISM Bands)
• Offices in the UK, USA and
Denmark
2016-09-3011
BENCHMARK: LTE-M and NB-LTE / NB-IoT
• The most promising technology using cellular
standards
• Capable of competing with alternative LPWAN
• Possibility to activate in LTE and GSM bands
• Simple modems with manufacturing low cost
• June 2016 3GPP completed the standardization
(Release 13 - LTE Advanced Pro),
• First commercial deployments by end of 2016
• Simple set up by BTS software upgrades in existing
2G/3G/4G networks
LONG BATTERY LIFE
10 years with 5 Watt Hour battery
(depending on traffic and coverage needs)
SUPPORT
Support for massive number of devices:
~50.000 per cell
TECHNICAL PAREMATERS
2016-09-3012
BENCHMARK: EC-GSM
• 2G networks for IoT usage attempts
• EC-GSM- IoT Group is open to GSMA Members and
Associate Members
• First trials done
• First commercial launches in 2016/2017
SOFTWARE UPGRADES
Simple set up by BTS software upgrades in
existing 2G networks
APPLICABLE
Applicable especially in the areas where
LTE is not available
TECHNICAL PAREMATERS
SECURITY
Benefit from all the security and privacy
mobile network features, such as support
for user identity confidentiality, entity
authentication, confidentiality, data integrity,
and mobile equipment identification
APPLICABLE
Additional CDMA modulation to increase
2G capacity
2016-09-3013
1. IoT Landscape & Telecoms connectivity capabilities today
• IoT Landscape
• Commercial & technology requirements towards end-user Devices
• Telecoms connectivity capabilities today
2. Telecom needs for both Licensed and Non-Licensed technologies
• Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc.
• Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM
3. How Telecom Providers can shape IoT landscape
• Telecom’s competitive advantage & challenges
• The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider
• CAPEX / OPEX snapshot for IoT service
• Beyond smart metering. Interesting use cases scenarios.
AGENDA
2016-09-3014
TELECOM’S COMPETITIVE ADVANTAGE
WHAT IS GOOD?
WHAT IS NOT GOOD
IMPROVEMENTS?
• 2G/3G/4G networks already in
use.
• No need for infrastructure
complex investments,
(time & budgets consuming)
• Just need for software
upgrades and devices sync
• QoS transparency,
authentication, data security
• Spectrum costs
• Multiple standards, with own
development models.
• Standardization delay in global IoT
backbone roll out
• Telecoms focus still like Dinosaurs:
• Data access focus, no platform /
service enabler
• No business offering available
(all-life subscription, etc.)
• Need for QoS / Security levels
creation
• Network congestion
TELECOMS COMPETITIVE ADVANTAGE
2016-09-3015
IoT DevicesMachines
IoT Gateway &
Charging
Systems
IoT Gateway &
Charging
Systems
IoT Platform Application
IoT Gateway &
Charging
Systems
IoT Platform
Connectivity Provider
~ 10% Revenue
Service Enabler
~ 40-60% Revenue
Service Provider
~ 30-50% Revenue
Expected Reve per Device 1 EUR
(500k Devices)
Expected Reve per Device 0,6 EUR
(500k Devices)
Expected Reve per Device 0,25 EUR
(500k Devices)
MARKET EXPECTATIONS for End User MONTHLY Price per Device : 1 EUR (2Y Scenario)
2016-09-3016
WHAT IS THE INVESTMENT RANGE?
• Devices Cost (Sensors)
• IoT Cloud Platform
• IoT Cloud Platform SetUp & potential
adaptations
• Devices Installation
(not included in this calculation)
• Operator Connectivity
• IoT Cloud Platform
(Fees for Devices Usage)
• IoT Cloud Platform (Platform support)
• Devices Field Maintenance
(not included in this calculation)
€ 9.29
€ 4.02
€ 2.10 € 1.68 € 1.32 € 0.97 € 0.75
1 000 5 000 20 000 40 000 100 000 500 000 1000 000
[EUR]
[Number of Devices]
INTERESTING USE CASES
(most based on Cumulocity Platform)
2016-09-3017
M2M Global Connectivity
Management & Control,
Business Enablement
Remote Monitoring and
Configuration of Industrial
Sewing Machines
IoT Device Management
and Application Enablement
Platform
Drug Cooling Management
System
Remote Condition Monitoring
for Conveyor Belt Systems
Central Command
and Control System
Remote Tank Fill Monitoring
for Heating Oil and Water
tanks
Vending Telemetry
for Nespresso Machines
2016-09-3018
IMPAQ VALUES
We focus on success, learn from the
past projects and develop new ideas.
We pride ourselves in quality of our
deliveries, measured by Customer
feedback and our own Quality
Assurance. Focus on Quality
guarantees the satisfaction of
Customers and our own team.
An individual wins a game, Teamwork
wins championships.
In IMPAQ, we believe that working
together creates positive atmosphere
and motivates us. Our roles are driven
by our Team goal
In IMPAQ, we keep the promises we
make. We push to exceed
commitments made to ourselves and
others. We feel responsible for our
team members.
Innovation is our drive, Innovation is
our style. All innovations contributing
to IMPAQ growth are considered and
addressed by Innovation Capture
Process. This way we create the
future of our company.
Thank you!
Welcome to
discuss further details
Marcin Mizgalski
International Sales Manager
IMPAQ Sp. z o.o.
ul. Wołoska 22, 02-675 Warsaw, Poland
Mobile: +48 600 41 20 14
marcin.mizgalski@impaqgroup.com
www.impaqgroup.comIMPAQ Sp. z o.o.
ul. Wołoska 22
02-675 Warsaw
Phone: +48 22 31 46 000
POLAND
IMPAQ AG
Badenerstrasse 580
CH-8048 Zurich
Phone: +41 44 405 21 00
Fax: +41 44 405 21 01
SWITZERLAND
IMPAQ UK Ltd.
9 Bridle Close, Surbiton Road
Kingston upon Thames
Surrey KT1 2JW
Phone: +44 20 85 49 2133
UNITED KINGDOM

How Telecoms contribute to IoT landscape shaping

  • 1.
    How Telecoms contribute toIoT landscape shaping Evolution driven by business demands or technology constraints ? Marcin Mizgalski International Sales Manager Warszawa 2016
  • 2.
    2016-09-302 1. IoT Landscape& Telecoms connectivity capabilities today • IoT Landscape • Commercial & technology requirements towards end-user Devices • Telecoms connectivity capabilities today 2. Telecom needs for both Licensed and Non-Licensed technologies • Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc. • Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM 3. How Telecom Providers can shape IoT landscape • Telecom’s competitive advantage & challenges • The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider • CAPEX / OPEX snapshot for IoT service • Beyond smart metering. Interesting use cases scenarios. AGENDA
  • 3.
    2016-09-303 IoT ECOSYSTEM INTEGRATEDBY IMPAQ Any Device equipped with IoT sensor that allows the device to communicate its performance. Embedded Software Pre-integrated IoT devices Software Agents Custom Application reflecting specific requirements of the End User Applications fully integrated with IoT server ApplicationIoT DevicesMachines Convergent Gateway for IoT connectivity Charging Systems for business capture Usage & Cost control Gateway Product Management Portal Real time Usage & Cost control IoT Gateway & Charging Systems IoT Platform with fully automated workflows allowing for · device mgmt, · KPI measurements, · location and map view, · alarm mgmt, · reporting, · remote control Platform interacting with other systems through flexible REST API IoT Platform
  • 4.
    2016-09-304 WHAT KIND OFDEVICES ARE REQUIRED? TECHNICALCOMMERCIAL LONG LIFE BATTERY TRANSMISSION RANGE INCREASE NETWORK CAPACITY INCREASE • Places with no electricity access; • 10 years service-free devices; • Movable objects monitoring (animals, etc.) • Devices installation at places with damped Radio propagation (tunnels, canalisation, underground spaces) • Protocols and network access modifications allowing single BTS serving for milion devices • Types of network services prioritization DEVICES LOW COST INSTALLATION LOW COST OPERATIONS LOW COST • Low data volume generating relative low revenue streams per device • Large number of devices geographically scattered • Plug&Play required • Devices operations costs can exceed revenues generated by them • New tariff plans to be offered by the Operators
  • 5.
    TELECOMS CONNECTIVITY CAPABILITIESTODAY High speed transmission & low latency 2-way communication with the device Popular technology, known by society Near 100% network coverage 2016-09-305 2G/3G Advantages Radio networks limited capacity (1-2k users registered per BTS) Complicated signalling protocols (increased energy consumption) Complicated infrastructure (high CAPEX/OPEX) 2G/3G Disadvantages
  • 6.
    2016-09-306 1. IoT Landscape& Telecoms connectivity capabilities today • IoT Landscape • Commercial & technology requirements towards end-user Devices • Telecoms connectivity capabilities today 2. Telecom needs for both Licensed and Non-Licensed technologies • Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc. • Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM 3. How Telecom Providers can shape IoT landscape • Telecom’s competitive advantage & challenges • The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider • CAPEX / OPEX snapshot for IoT service • Beyond smart metering. Interesting use cases scenarios. AGENDA
  • 7.
    2016-09-307 ALTERNATIVES TO 2G/3G Non-LicensedBandwidht (LPWAN) Licensed Bandwidht (LPWAN) (Subject for standardization processes)
  • 8.
    BENCHMARK: LORA ALLIANCE 2016-09-308 •Open, non-profit association of IoT members providing open global standard for secure, carrier-grade IoT LPWA connectivity • However, radio chips manufacturer, the only one compatible with LoRa standards is Semtech company. Semtech is LoRa solution & patents owner, as well as LoRa Alliance founder • Everyone can build own LoRa network, but Semtech chips are prerequisite • Founded: March 2015, First Specification release: June 2015 • Over 100 cities, over 20 countries around the globe • Over 155 members • Bi-directional communication
  • 9.
    2016-09-309 BENCHMARK: SIGFOX • Closed,private network belongs to and being operated by Sigfox • Subscription model, annual fee 1 USD / device (min setup : 50 000 devices) • Anyone can deliver the chipsets based on Sigfox license • Limited communication towards the Device
  • 10.
    BENCHMARK: WAVIOT, INGENU,NWAVE • Closed, private technology • Open wireless protocol • Delivery Models: Solution enabler, Network operator • Off-the-shelf devices available • Long range connectivity of 16+km (city) / 50+km (countryside) • More than 2 000 000 smart devices within each BTS’s range • Artificial Intelligence: neural algorithms and machine learning for network self- management 2016-09-3010 • Closed, private technology • Worldwide available, using the same as WiFi bandwidth • Wide access to WiFi sensors • Delivery Models: • Subscription per device • Own private network building • Over 30 paying customers • Commercial networks available only in the USA • “Open standard” available only members, (membership fees) • Technically similar to Sigfox but network design similar to LoRa • Internationally available and unlicensed sub-1GHz radio spectrum (ISM Bands) • Offices in the UK, USA and Denmark
  • 11.
    2016-09-3011 BENCHMARK: LTE-M andNB-LTE / NB-IoT • The most promising technology using cellular standards • Capable of competing with alternative LPWAN • Possibility to activate in LTE and GSM bands • Simple modems with manufacturing low cost • June 2016 3GPP completed the standardization (Release 13 - LTE Advanced Pro), • First commercial deployments by end of 2016 • Simple set up by BTS software upgrades in existing 2G/3G/4G networks LONG BATTERY LIFE 10 years with 5 Watt Hour battery (depending on traffic and coverage needs) SUPPORT Support for massive number of devices: ~50.000 per cell TECHNICAL PAREMATERS
  • 12.
    2016-09-3012 BENCHMARK: EC-GSM • 2Gnetworks for IoT usage attempts • EC-GSM- IoT Group is open to GSMA Members and Associate Members • First trials done • First commercial launches in 2016/2017 SOFTWARE UPGRADES Simple set up by BTS software upgrades in existing 2G networks APPLICABLE Applicable especially in the areas where LTE is not available TECHNICAL PAREMATERS SECURITY Benefit from all the security and privacy mobile network features, such as support for user identity confidentiality, entity authentication, confidentiality, data integrity, and mobile equipment identification APPLICABLE Additional CDMA modulation to increase 2G capacity
  • 13.
    2016-09-3013 1. IoT Landscape& Telecoms connectivity capabilities today • IoT Landscape • Commercial & technology requirements towards end-user Devices • Telecoms connectivity capabilities today 2. Telecom needs for both Licensed and Non-Licensed technologies • Benchmark on Non-Licensed technologies LPWAN – LORA, Sigfox, etc. • Benchmark on Licensed technologies LTE-M (evolution to NB-IoT), EC-GSM 3. How Telecom Providers can shape IoT landscape • Telecom’s competitive advantage & challenges • The role of the Telecom Provider: Service Provider, Service Enabler, or just the Connectivity provider • CAPEX / OPEX snapshot for IoT service • Beyond smart metering. Interesting use cases scenarios. AGENDA
  • 14.
    2016-09-3014 TELECOM’S COMPETITIVE ADVANTAGE WHATIS GOOD? WHAT IS NOT GOOD IMPROVEMENTS? • 2G/3G/4G networks already in use. • No need for infrastructure complex investments, (time & budgets consuming) • Just need for software upgrades and devices sync • QoS transparency, authentication, data security • Spectrum costs • Multiple standards, with own development models. • Standardization delay in global IoT backbone roll out • Telecoms focus still like Dinosaurs: • Data access focus, no platform / service enabler • No business offering available (all-life subscription, etc.) • Need for QoS / Security levels creation • Network congestion
  • 15.
    TELECOMS COMPETITIVE ADVANTAGE 2016-09-3015 IoTDevicesMachines IoT Gateway & Charging Systems IoT Gateway & Charging Systems IoT Platform Application IoT Gateway & Charging Systems IoT Platform Connectivity Provider ~ 10% Revenue Service Enabler ~ 40-60% Revenue Service Provider ~ 30-50% Revenue Expected Reve per Device 1 EUR (500k Devices) Expected Reve per Device 0,6 EUR (500k Devices) Expected Reve per Device 0,25 EUR (500k Devices)
  • 16.
    MARKET EXPECTATIONS forEnd User MONTHLY Price per Device : 1 EUR (2Y Scenario) 2016-09-3016 WHAT IS THE INVESTMENT RANGE? • Devices Cost (Sensors) • IoT Cloud Platform • IoT Cloud Platform SetUp & potential adaptations • Devices Installation (not included in this calculation) • Operator Connectivity • IoT Cloud Platform (Fees for Devices Usage) • IoT Cloud Platform (Platform support) • Devices Field Maintenance (not included in this calculation) € 9.29 € 4.02 € 2.10 € 1.68 € 1.32 € 0.97 € 0.75 1 000 5 000 20 000 40 000 100 000 500 000 1000 000 [EUR] [Number of Devices]
  • 17.
    INTERESTING USE CASES (mostbased on Cumulocity Platform) 2016-09-3017 M2M Global Connectivity Management & Control, Business Enablement Remote Monitoring and Configuration of Industrial Sewing Machines IoT Device Management and Application Enablement Platform Drug Cooling Management System Remote Condition Monitoring for Conveyor Belt Systems Central Command and Control System Remote Tank Fill Monitoring for Heating Oil and Water tanks Vending Telemetry for Nespresso Machines
  • 18.
    2016-09-3018 IMPAQ VALUES We focuson success, learn from the past projects and develop new ideas. We pride ourselves in quality of our deliveries, measured by Customer feedback and our own Quality Assurance. Focus on Quality guarantees the satisfaction of Customers and our own team. An individual wins a game, Teamwork wins championships. In IMPAQ, we believe that working together creates positive atmosphere and motivates us. Our roles are driven by our Team goal In IMPAQ, we keep the promises we make. We push to exceed commitments made to ourselves and others. We feel responsible for our team members. Innovation is our drive, Innovation is our style. All innovations contributing to IMPAQ growth are considered and addressed by Innovation Capture Process. This way we create the future of our company.
  • 19.
    Thank you! Welcome to discussfurther details Marcin Mizgalski International Sales Manager IMPAQ Sp. z o.o. ul. Wołoska 22, 02-675 Warsaw, Poland Mobile: +48 600 41 20 14 marcin.mizgalski@impaqgroup.com www.impaqgroup.comIMPAQ Sp. z o.o. ul. Wołoska 22 02-675 Warsaw Phone: +48 22 31 46 000 POLAND IMPAQ AG Badenerstrasse 580 CH-8048 Zurich Phone: +41 44 405 21 00 Fax: +41 44 405 21 01 SWITZERLAND IMPAQ UK Ltd. 9 Bridle Close, Surbiton Road Kingston upon Thames Surrey KT1 2JW Phone: +44 20 85 49 2133 UNITED KINGDOM