Design London in partnership with Living Labs Global invite you to a one day symposium on how innovation in services and mobility contribute to creating sustainable cities. The event coincides with the launch of a new publication “Connected Cities: Your 256 Billion Euro Dividend”. This is the first practical guide to the market for innovation in services and mobility in cities, showcasing how cities are exploiting digital technologies to enhance their sustainability and to transform the nature, value and effectiveness of public services. Manuel Martinez, will showcase Ferrovial's vision on "Smart Cities and Service Innovation in Cities" This conference was held at the Imperial College London, on March 9th 2010 More info at: http://www.livinglabs-global.com/Events_2010_Well-Connected-City.aspx

1. London, March 9th 2010
Smart Infrastructures & Innovation
Manuel Martínez
Open Innovation Manager
Ferrovial

2. INDEX
1. About Ferrovial
2. Worldwide Situation
3. Smart Infrastructures definition
4. Smart Living concept
5. Open Innovation model
6. Smart-Structure & Smart City model
7. Innovation Center for Smart Infrastructures
8. Conclusions
2

3. 01. About Ferrovial
• World’s first private investor in transport infrastructures, owning
assets valued over 50 Billion Euros
• More than 90% of EBITDA comes from the Airports, Toll roads
and Services divisions
• International infrastructure company (85% of EBITDA)
• Over 105,000 employees in 49 countries
• Over 12 Billion Euros in revenues
Global Infrastructure Operator 3

4. Engineering Human Progress
Vision: Make a valuable and lasting contribution to humanity
Mission: Develop smart infrastructures to the customers full
satisfaction, with respect for the environment, in order to
maximise shareholder value, professionally foster all of our
employee, and make a contribution to improve our society
VALUES ACTIONS
SOLUTION Anticipate – Improve – Solve
INNOVATION Progress – Create – Inspire
EFFICIENCY Efficacy – Results – Reliability
COLLABORATION Teamwork – Cooperate – Share
RESPECT Care – Protect
INTEGRITY Ethics – Openness 4

5. 02. World Situation
Demography
• Currently 50% of the world population lives in a city, and in 2050
it will be 70% (6.4B people)
• Rapid urbanization is creating big urban stresses
Environment
• 30 to 50% of urban water is
Technology
wasted due to leaks or • There are over 4B mobile
breakdowns susbscribers in the world
• There will be 1.2B cars on the • Location-based services and social
road by 2015 networking is growing in capability
and popularity
• Convergence of digital networks,
sensors and analytics
Economy
• The top 100 metropolis currently account for the 25% of worldwide GDP
• Global turndown push governments to develop new economic stimulus, creating new productive
models and employment
5
• Traffic jams costs $78B in fuel and wasted time

6. 03. Smart Infrastructure
“Each highway, airport or city that, based on
technology and services, looks for the quality of
life of its users, being economic, social, and
environmentally sustainable”
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7. 04. “Smart Living”
Open Innovation
Ecosystem Mobility Energy
Entrepreneurs
People
Businesses
Environ-
Science Technology
ment
Public
7

8. 05. Open Innovation
“Not all the smart people in
the world, work for you”!
Bill Joy, co-founder of Sun Microsystems, partner at venture capital firm
Kleiner Perkins!
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9. Closed Innovation Model
Companies that rely entirely on their own research
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10. Open Innovation Model
Open innovation is the use of purposive inflows and outflows of knowledge to
accelerate internal innovation, and expand the markets for external use of
innovation, respectively
10
Source: Henry Chesbrough, 2004!

11. The logic of Open Innovation
! Good ideas are widely distributed today; no one has monopoly.
! First to discover is neither sufficient nor necessary for commercial success.
! A better business model beats a better technology.
Open Innovation is not about... ... but about
technology only both technology and business model
technical invention commercial value
appropriating value win-win partners
partnerships only innovation ecosystem building
cutting research costs improving R&D and innovation ROI
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12. Confidential Information
06. “Smart-Structure”
Government Users Businesses
Human Progress
SMART SERVICES
Intelligence
Engineering
Infrastructure’s Traditional Services
Infrastructure 12

13. Servicios Inteligentes
Smart City
Smart
Open City City 2.0: Agent Collaboration
Ecosystem
• Services Maintenanc
Services
Preventive
Smart City
Smart Car
Collection
Efficiency
Improvement
Buildings
Telecom
Smart
Efficient
Mobility
Energy
Access
Waste
Smart
Smart
Parks
• New Services
e
- services only illustrative -!
Assets
Smart
Sensors, Interconnectivity, Analysis
Street
Metro Parking Parks Roads
Cleaning
City Services
Water Street Lamps Sewage Urban Waste Administration
City Infrastructure 13

14. Centro de Innovación
07. Smart Infrastructures Innovation Center
FOUNDERS
PROJECTS
Open Innovation
Ecosystem
Companies
Science
14

15. Centro de Innovación
08. Conclusions
• Define a personalized strategy for the city (envision a
better city?, ensure mobility?, protect the
environment?, attract tourism?...)
• Take an holistic view of the city (interrelation among
different city systems)
• Make it flexible (allow experimentation)
• Create a safe environment to develop new ideas
coming from anywhere (citizens, entrepreneurs, SMBs,
big corporations…)
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16. Thanks!
Questions, comments and participation at:
manuel.martinez@ferrovial.es