Low-Power Wide Area - Overview by Oliver Wilps, Sierra Wireless

1. Low-Power Wide-Area
Overview Oliver Wilps
September 2017

2. 2
Why IoT needs LPWA technology
Cellular (2G, 3G, 4G)
WWAN
1km
WLAN
100m
WHAN
10m
WPAN
1m
100 kbps 1 Mbps 10 Mbps 100 Mbps
WWAN
10km
Range
Speed
LPWA
PAN WLAN

3. 3
Wireless technology comparison
PANs WLANs
Legacy
Cellular
LPWA
Data Rates
(messaging, IP data) Low Med High Low
Cost
(and complexity) Low Med/Low High Low
Current
(power consumption) Low Med High Low
Coverage
(range, penetration) Short Short Med V. Long
User Setup/Install
(pairing, connected req.?)
Hard Hard Easy Easy

4. 4
LPWA technology snapshot
ADVANTAGES
• Time-to-market (closing quickly)
• Private network with no certification
requirements (LoRA Alliance TBD)
RISKS
• No quality of service guarantee
• Longevity of network availability
• Limited global deployments
• No migration path to support higher-
bandwidth real-time features in the future
PROPRIETARY 3GPP CELLULAR
LoRa Sigfox RPMA (Ingenu) LTE-M NB-IOT EC-GSM-IOT
ADVANTAGES
• Global coverage with established
ecosystem
• Guaranteed quality of service
• Supports real-time communication and
mobile applications
• Easy migration path to higher-bandwidth
cellular technologies
RISKS
• Time-to-market

5. 5
PROS
• It’s virtually everywhere
• Most secure wireless option
• Over-the-air update support
• Quick to deploy
CONS
• Expensive and complex to
integrate compared to Wi-Fi
or Bluetooth
• Power consuming features
designed for consumers
With LPWA, now is the time to try cellular
Considered cellular in the past?
Choosing cellular now makes sense for IoT applications

6. 6
What makes LPWA a new category of cellular?
C COST: More than 50% reduction
compared to broadband LTE. Think 2G
or Bluetooth.
C
CONSUMPTION: More than 100x lower
power than broadband LTE achieving
10+ years battery life.
C
COVERAGE. 5-10x greater compared to
broadband LTE.
$
Immediate Service
Global Coverage
580+ Networks
180+ Countries
Durable
Investment
Long-term availability
Global Standard
Scalable and Flexible
Trusted
Ecosystem
Built-in Security
Solid supply chain
Roaming and eUICC
PLUS the benefits of
cellular
The 3C’s of LPWA

7. 7
Two leading cellular LPWA technologies
LTE-M / CAT-M1
• Highest bandwidth LPWA technology
• Ability to support voice & roaming
• Ideal for sensor, real-time, mobile apps
NB-IOT / CAT-NB1
• Focused on very low data rates
• Ability to use both 4G & 2G spectrum
• Ideal for stationary sensor apps

8. 8
Comparing low-bandwidth cellular technologies
NB-IOT LTE-M CAT-1
comparisonREL 13 REL 14 REL 13 REL 14
Current (idle mode) <15 uA (80s eDRX) 1-2mA (DRX)
Coverage extension 164dB MCL 144 MCL
Cost (future) <$10 <$15
Worldwide SKU yes no
Data Rate (DL/UL)
CAT-NB1
27/65 kbps
CAT-NB2
65/145 kbps
CAT-M1
300/375 kbps
CAT-M1
590/1000 kbps
10/5Mbps
Resource allocation pre-allocated ~ dynamic dynamic dynamic
Quality of Service (QoS) no yes yes
Mobility no yes yes
Real Time no yes yes
Voice no yes (2018) Enhanced yes
Network positioning no yes yes Enhanced yes
Network Requirements mostly software upgrade software upgrade minor change

9. 9
Comparing low-bandwidth cellular technologies
NB-IOT LTE-M CAT-1
comparisonREL 13 REL 14 REL 13 REL 14
Current (idle mode) <15 uA (80s eDRX) 1-2mA (DRX)
Coverage extension 164dB MCL 144 MCL
Cost (future) <$10 <$15
Worldwide SKU yes no
Data Rate (DL/UL)
CAT-NB1
27/65 kbps
CAT-NB2
65/145 kbps
CAT-M1
300/375 kbps
CAT-M1
590/1000 kbps
10/5Mbps
Resource allocation pre-allocated ~ dynamic dynamic dynamic
Quality of Service (QoS) no yes yes
Mobility no yes yes
Real Time no yes yes
Voice no yes (2018) Enhanced yes
Network positioning no yes yes Enhanced yes
Network Requirements mostly software upgrade software upgrade minor change
• Both technologies meet the 3Cs
• LTE-M is faster and supports:
―Voice and mobile applications
―Real-time communication
―Network positioning from Rel 13
(NB-IOT support in Rel 14)

10. 10
Cellular LPWA rollout overview
2016 2017 2018 2019
Technology
Available
Pilot
Projects
General
Availability
Massive
Adoption
Low Cost
75% device complexity
reduction compared to
LTE Cat-1
Low Consumption
10-20 years lifetime
on AA batteries
(2500 mAh)
Deep Coverage
+20dB sensitivity
Range x 5-10
Basement coverage
Reminder: 3Cs of LPWA

11. 11
Network rollouts as of July 2017
AT&T
Verizon
Telstra
China Mobile
China Telecom
China unicom
LTE-M (Cat-M1)
NB-IOT (Cat-NB1)
LTE-M + NB-IOT (Cat-M1 + NB1)
Deutsche Telekom
Vodafone
Vodafone

12. 12
Network rollouts in 1H 2018
Telus Bell
AT&T
Verizon
KPN
Telstra
Spark
Rogers
Orange
Telefonica
China Mobile
KDDI
Softbank
NTT docomo
LTE-M (Cat-M1)
NB-IOT (Cat-NB1)
Vodafone
Deutsche
Telekom
LTE-M + NB-IOT (Cat-M1 + NB1)
China
unicom
China Telecom
Telecom Italia
Vodafone
Sprint
SFR
Telia
Megafon
M1
LG U+KT
Sources: GSA NB-IoT Report Feb. 2017; AT&T, NTT DoCoMo, KDDI, KPN, Orange, TELUS, Telstra, Telefonica, Verizon, Spark Feb. 2017, Sprint May 2017, Bell June 2017; SKT, Softbank, SFR from GSA 4G Market & Technology Update, Jan. 2017
AT&T
Singtel
Telkomsel
AIS
Viettel
T-Mobile
SK Telecom
SwisscomMovistar
Telenor
Cellcom
EE
O2
MTN
Etisalat
MTS
More networks detailed in tables

13. 13
LPWA FEATURES
Full network
rollouts does not
mean all features
have been
implemented
• Power consumption
• PSM: available now
• eDRX: ready for testing, network launches
expected in early 2018 (requires module
firmware upgrade)
• Coverage
• Mode A: being tested now
• Mode B: future feature dependent on
network availability (requires module
firmware upgrade)

14. 14
Start with Sierra, scale with CF3™ One
form factor
is all you
need with
Common
Flexible
Form
Factor
(CF3)essential connectivity integrated application processing
Ready
to
Connect
embedded
global SIM
2G 3G 4G LPWALTE-M / Cat-M1
NB-IOT / Cat-NB1

15. 15
LPWA started with Sierra
2010
LTE-M standard
submission
20162013
LTE-M roadshow to
network operators
World’s first low power
demo of LTE-M
Pilot of LTE-M
2017
LTE-M Trials
Smart meter demos
on LTE-M networks
1H
First LTE-M
deployment on live
network
Sierra Wireless
LPWA Intellectual
Property
• 4 patents essential
to 3GPP LTE
standards
• Applicable to both
LTE-M and NB-IOT
• Includes power
savings and roaming
features

16. Know the limitations of proprietary technologies
APPENDIX 2

17. 17
LPWAN Comparisons
3GPP LPWA
Semtech /
LoRa V1
SigFox V1 RPMA (Ingenu)
Application Service Requirements
Native IP Support ✓ ✗ ✗ ✗
Short Message Service ✓ ✓ ✓ 12 bytes (deployed) ✓
Real-Time
(human interaction 300ms) ✓ ✗ ✗ ✗
Voice (40ms) ✓ ✗ ✗ ✗
Predictable Service Level
(licensed vs unlicense band)
✓ ✗ ✗ ✗
Spontaneous MT Data ✓ ✗ ✗ Only on AC power
MO Latency 100ms 400ms + backhaul 2-6 seconds > 2.3 Sec
Mobility Seamless Hand off
Claim to be high speed capable
with CSS No roaming - nomatic No roaming - nomatic
Battery Life- MO use case Great Great Poor Great
Battery Life- MT use case Great Poor Poor Poor
Security & DM
Standard DM (OMA) ✓ Not Today Never Not Today
Standard FW update (OMA) ✓ Not Today Never Not Today
Keys stored in Secure element ✓ (SIM) ✗ ✗ ✗
Standard Authentication ✓ ✗ ✓ ✗
Standard Encryption ✓ ✗ ✗ ✗
Device Identification IMEI/IMSI - Via BABT/CTIA Not regulated Not regulated Not regulated

18. 18
LPWAN Comparisons
Feature 3GPP LPWA
Semtech /
LoRa V1
SigFox V1 RPMA (Ingenu)
Technology
Best Coverage UL Throughput 375kbps 22kbps 160bps 7kbps
QoS (MaxBR, MinBR, MER….) ✓ ✗ ✗ ✗
Link Budget (MCL) 164dB 160dB 165dB 172dB
Capacity
No issues
Shown to support 1M users per
km^2 Likely Yes Likely
Deployment Risks
Life Cylcle > 10 years ✓ Risky Risky Risky
Multiple Chipset Vendors ✓ ✗ ✓ ✗
Multiple Module Vendors ✓ Limited ✓ ✗
Multiple Infra Vendors ✓ ✓ ✗ ✗
Multiple MNO ✓ Maybe ✗ ✗
Protocol Standardization ✓ RAN and CN Partly in LoRa Alliance ✗ ✗
Formal Certification and IoT ✓ ✗ ✗ ✗
Commercial Networks Worldwide 2018
Mostly EU
Trials in other areas
Com in EU
Trials in NA Small deployments in NA
OTA Subscription Management
(e.g. Swap operators) ✓ ✗ ✗ ✗
NW deployment time Fast Slow Slow Slow
NW deployment Cost
eNB S/W Upgrade
Share Spectrum w/H2H Install new HW Install new HW Install new HW
Cost
Module Cost As low as $7 -TBC $3 chip only Low cost High cost

19. Deeper Dive on Network Rollouts
APPENDIX 1

20. 20
Timing of key operators in NAM
NB-IOT LTE-M EC-GSM-IOT
Sierra Wireless Q1 2018* Q1 2018* TBD
Verizon TBD Q1 2017* -
AT&T TBD Q2 2017* -
AT&T Mexico - Q1 2018* -
Sprint - Mid-2018* -
T-Mobile Late 2017* TBD -
US Cellular - TBD -
Rogers TBD TBD -
Bell TBD 2018* -
Telus TBD Pilots 2H 2017* -
*based on publically disclosed dates, actual dates may vary
2017 is for the operators
• to roll out live networks
• to roll out certification
and pricing plans
2018/19 is for deploying
commercial products

21. 21
Timing of key operators in APAC - 1
NB-IOT LTE-M EC-GSM-IOT
Sierra Wireless Q1 2018 Q1 2018 TBD
Telstra 2H 2017* TBD -
Vodafone Aus (VHA) 2H/2017* - -
Spark NZ Early 2018* Early 2018* -
Vodafone NZ Q4 2017* Early 2018* -
NTT Docomo 1H 2018* Q1 2018* -
Softbank Q4 2017* Q4 2017* -
KDDI 1H 2018* Q4 2017* -
SKT - - -
KT - No Plans -
LG+ - No Plans -
M1 Q4 2017* 2018* -
SingTel Q4 2017* Q4 2017* -
*based on publically disclosed dates, actual dates may vary
2017 is for the operators
• to roll out live networks
• to roll out certification
and pricing plans
2018/19 is for deploying
commercial products

22. 22
Timing of key operators in APAC - 2
NB-IOT LTE-M EC-GSM-IOT
AIS Q4 2017 - -
Telkomsel Q4 2017 - -
Viettel 2H 2018 2H 2018 -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
*based on publically disclosed dates, actual dates may vary
2017 is for the operators
• to roll out live networks
• to roll out certification
and pricing plans
2018/19 is for deploying
commercial products

23. Thank you.Oliver Wilps
+49 171 86 55 668