Selecting the Right IoT Platform

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@onawaz
S T R A T E G Y | I N N O V A T I O N | P R O D U C T | E C O S Y S T E M S |
IOT Platforms
THE WHY AND HOW OF SELECTING AN
IOT PLATFORM

@onawaz
© Copyright 2017 Rouge Group. All rights reserved www.Rouge-Group.com 2
Assertion: In 2017 will see start to see a shift in focus towards deployments
and monetization.
IoT Market Observations
Significant progress in 2016
Major announcement for global players; alignment of
strategies
3G not 5G
will drive IoT Deployments. 5G still few years out
Smart Enterprise & Smart City
Leading Standardization, Regulation and Security
SDN and NFV
Adoptions by network providers will help accelerate
and scale IoT deployments
POSITIVES
Too many “ Platforms ”
market ready for Consolidation
Platforms vendors pushing
Undifferentiated Features
IoT Still at its Infancy
Deployments & Revenue
Not So POSITIVES

@onawaz
IoT M&A Activity in 2016
3
Jan’16 Feb Apr Jun Aug Oct Dec Jan
Verizon
acquires
Fleetmatics
$2.4B
ARM is licensed by
Samsung and Apple for
phone and moble devices
Verizon
Acquires
Telogis
$x
Verizon
acquires
LQD WiFi
Verizon
acquires
Sensity
Systems
LED Lighting Company
(SmartCities)
Public WiFi –
Improve
Transportation
and Traffic,
enhance
security and
Urban planning
(SmartCities)
Telematics and Fleet-
logistics systems
Used by Ford and GM
GPS
tracking
system–
speed,
location,
fuel usage,
mileage
and other
diagnostics
TDK
acquires
InvenSense
$1.3B
Sensors for
consumer Electronics
and industrial Market
Asset Tracking Software using
real-time analytics to predict
which machinery might fail and
track the efficiency of their
operations (fuel usage etc.)
Oil&Gas-
AI and ML
Data
Ingestion
of
Industrial
App (AI)
Nokia
acquires
Withings
$193M
Digital health products
Wearables and fitness
devices
Automotive (Autonomous vehicles)
Semiconductor – automotive, micro-
controllers, secure - RF, NFC and
smartCard. Also Network processing
NXP acquired Freescale in 2015 - $11B
Field Service
Management
Platform
GE acquires
ServiceMax
$915M
Qualcomm
acquires NXP
$47B
SoftBank
acquires ARM
$32B
GE acquires Bit
Stew Systems
$153M
GE acquires
Meridium
$495M
GE acquires
Wise.io
$?

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| S T R A T E G Y | I N N O V A T I O N | P R O D U C T | E C O S Y S T E M S |
Over $100 Billion in IoT related investments in 2016 – H2 alone
ü Qualcomm: invested over $50 Billion in the last 5 years ($47 B in 2016)
ü GE: Invested $1.5B+ in 2016
v Vendors building their IoT product and service portfolios
v Are we seeing the beginning IoT market consolidation?

@onawaz
Types of IoT Platforms
5

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Internet of Things - Consumers
6
Source: https://medium.com/@mccannatron/internet-of-things-iot-market-ecosystem-map-28a73d1393f#.cfviosvvj
IoT ecosystem for Consumer IoT
Common application examples:
• Tracking behavior
• Optimization of resources and their consumption
• Sensor-driven decisions making

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Internet of Things - Enterprise
7
Source: https://medium.com/@mccannatron/internet-of-things-iot-market-ecosystem-map-28a73d1393f#.cfviosvvj
IoT ecosystem for Enterprise IoT
Common application examples:
• Process optimization
• Resource consumption optimization across network(s)
• Autonomous systems in open and complex environments
• Sensor-driven decisions making through deep analysis

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Too Many Platforms
360+ IoT Platforms estimated to exist in market today. 50+ from large/public multi-nationals and 200+ startups
Technology Sector Focus
Semiconductors/Processors, Communications/Networking
HW/SW, Developer Tools, Analytics
Industry Segments Focus
Home Automation, Health Care, Automotive and Autonomous
Vehicles, Enterprises/Industrial/Manufacturing etc.
Two Main Segments

@onawaz
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Rouge Group brings unique industry experience and domain expertise to deliver sustainable success and pragmatic solutions.
A Platform is a system that can be…
adapted to countless needs and niches
that the platform’s original developers
could not possibly have contemplated…”
~ Mark Andreessen: Venture Capitalist, Entrepreneur

@onawaz
What is an IoT Platform?
An IoT Platform is an integrated suite of components that enable:
v Development and deployment of applications
v Interaction between devices (Things) and cloud applications
v Remote data collection and analysis
v Provide secure connectivity
v Monitor, manage and control connected devices and infrastructure.
v Integration with 3rd party systems
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@onawaz
“
”
Interoperability is critical to maximizing the
value of Internet of Things. On average 40% of
the total value that can be unlocked requires
different IoT systems to work together.
“Some of the largest benefits of interoperability might be realized in the worksites setting, where the
percentage of total value requiring interoperability approaches 60 percent. This large potential reflects
the complexity and interconnectedness of the equipment.”
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Source: McKinsey&Company
Rouge Group brings unique industry experience and domain expertise to deliver sustainable success and pragmatic solutions.

@onawaz
IoT Platform Reference Architecture
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Devices / Sensors /
Things / Applications
Network /
Connectivity
Data Integration /
Ingestion
Storage,
Analytics, and
Query Visualization
Security
Lots of technologies, vendors, and approaches for each component
Source: Rouge Group LLC.

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Accelerate Innovation and Solution Development
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Why Choose an IoT Platform?
Reason: Using an IoT Platform to develop solution will bring
agility, speed, and focus to IoT development teams

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Know where Innovation will Create Differentiation
15
The cost of in house
development of common
components is too high
Specific / differentiated features
and pre-Integrated solution
Non-differentiated functions
and infrastructure
Platform
Acquire
non-differentiated
software / hardware / code
Shift focus to identify and
build features / capabilities
to create true differentiation

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Licensing low-level software – platform and pre-integrated software, will
not only free development teams from the requirement to build these
layers but also shift the burden of lifecycle maintenance of the software.
16
By using platforms that leverage PaaS solution(s) (e.g., AWS, Azure,
Cloud Foundry) developer are free to enable sophisticated IoT solutions
on a pre-integrated technology stack.
Reason:

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Choosing the Right Platform
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Features and Capabilities to Consider When Evaluating

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Source: GE, ServiceMax,
Digital twins for assets; digitizing service processes;
and analytics of service management will improve
operations and productivity by ~ $25 billion.

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v Start with business goal and objectives
v Identify business objectives that will help better serve customers and operate profitably
v Align internal capabilities, build the right governance, and lifecycle management processes
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Begin with End in Mind

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Platform Essentials: Build and Integrate
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v Software (pre | post) Integration
v API and SDKs
v Access to Processes and Data
Ability to develop diverse array of IoT use
cases by providing software integrations
and APIs
Management tools for development, code,
and APIs.
Support mainstream business processes
and interface with enterprise applications
Secure access to data via APIs
An IoT Platform should improve your ability to rapidly develop, test, launch, manage and
monitize your connected services.

@onawaz
Platform Essentials: Manage Device(s) / Things
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v Provisioning
v Real-time Asset Management
v Performance Monitoring
Platform should control
provisioning maintenance and
operations of connected devices
Handle configuration, updates
(firmware or any other software)
and provide device level error
handling, reporting,
troubleshooting.
Provide device level logs
and statistics
@onawaz
AUTOMATE
An IoT Platform can automate standard workflows around managing devices, reduce response
time and streamline operations.
v On average a type of device
may be configured 10
different ways (Sim state,
rate plan, comms plan etc.)
v Requiring 10-15
configurations per device per
year.
v Managing 100,000 devices
means 10 million actions per
year

@onawaz
Platform Essentials: Connect
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v Local and long-range connectivity & gateways
v LP & light weight messaging and protocols
v Network Operator relationships
v Scale to millions of devices
Support multiple protocols for communications
between devices and platform.
Massively scale each protocol to millions of
devices
as SW APIs.
Provide alternatives to connect / communicate
with low-power, non-IP, and passive devices
IoT Platform should support open standards and cross-protocol communication between
devices, sensors, cloud resources, IP and non-IP based devices, as well as application APIs.

@onawaz
Platform Essentials: Secure
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v Devices-based Security
v Authentication and Authorization
v Secure Network and Comms
v Device Registry
Mutual authentication and encryption
between devices and platform
Create, deploy and manage certificate and
policies from management consoles or via
API.
Registry to manage identity, metadata and
capabilities of devices
Provision, access and manage device’s
identity and operational data
Built in capabilities in an IoT Platform can reduce deployment time and relieve developers from
development and lifecycle management of such capabilities.

@onawaz
Platform Essentials: Analyze
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v Analytics to provide relevant and meaningful insights
v Support different types of analytics
v Definable rules, thresholds, and notification
Capture and store data that can be
analyzed for actionable insights
Functionality to provide different types of
analytics: Real-time, Batch, Predictive, and
interactive.
Definition of rules, thresholds, logging and
notification based on insights to improve
business processes and planning
Data aggregation, correlation and
visualization
Platform analytics should provide actionable insights on both per-device and system level as
well as integration with existing business intelligence to generate reports on KPIs and SLAs.

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Platform Essentials: Other Considerations
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Visualization
Network Management
Inventory Management
Parts Management
Service Level Management
Field Service Management
Incident and Issue Management
CRM Integration
Contract Management
Install-base Management Dispatch Management
Global general purpose IoT Platform providers are acquiring or partnering with specialist
vendors for some of these services to provide a turn key solution.
Reporting

@onawaz
Example – Fleet Management Company
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Value Proposition: On-time delivery of products in an undamaged condition
Business Objectives:
• Improve on-time delivery performance;
• Reduce fuel consumption
• Extend operational life of vehicle
• Reduce damaged good
Top Challenges to achieve Business Objectives:
• Lack of resource
• Lack of right tools
• Lack of data insights to facilitate informed decisions
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Example – Fleet Management Company
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Use Cases need to align with Business Objectives:
1. Optimize logistics operations through tracking and tracing solution
2. Improve fuel efficiency by monitoring engine performance and tire pressure
3. Maintain/extend freshness of produce by monitoring refrigerated trailer
4. Others:
While some of this data is already available in existing CRM solution, key missing data like
engine / tire performance, current route, refrigeration status will require an IoT Solution
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@onawaz
Selecting the Right Platform
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v A global fleet management company with brownfield deployment should partner with either a Global
Vertical Platform provider or Global General Purpose IoT Platform provider
v Focus on innovating on specific application and back-end infrastructure that will create true
differentiation and operational efficiency.
Brownfield
Deployment
Existing
Enterprise Apps
and systems
Existing Vehicles
in field
Gateways to connect IP and
non-IP devices to the cloud
Protocol conversions and on
device agents to
communicate with Cloud
Integrate data between apps
and IoT Cloud
Development of IoT
Application(s)
Data Storage
Desktop, Web,
Mobile Apps
Analytics (types)
Visualization,
Reporting
Connectivity: Wi-fi,
Cell, Satellite
Maintenance
Upgrades
Security
GP IoT Platforms
Standalone or
Vertical IoT
Platforms
IoT Infrastructure
Services
1
2
3
Platform Options

@onawaz
Comparing Top IoT Platforms
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General Electric (GE) Microsoft Amazon IBM
Platform Name Predix IoT Hub AWS IoT IBM Watson IoT
Deployment Models Public, Private, On-Premise Public Public Public
Pricing Models
Subscription, Pay-as-you-
go (tiers)
# of Services + usage
Subscription – different
tiers based on total
messages exchanged
Usage-based – messages
published and delivered.
(messages delivered to other
AWS services are free)
Usage-based – Data
exchange and analyzed
PaaS Platform Cloud Foundry Azure AWS
IBM Bluemix, Cloud
Foundry
Market Place Extensive Extensive Extensive Extensive
SDK / Languages Yes
.NET, and UWP, Java, C,
NodeJS
C, NodeJS
C#, C, Python, Java,
NodeJS
API / API Libraries /
Management
Yes Yes (Extensive, Open) Yes (Extensive, Open) Yes
Ingestion Layer Yes Yes Yes Yes
Identity and Access
Management
Yes Yes Yes Yes
Workflow Yes Yes Yes Yes
Events Processing Yes Yes Yes Yes
Rules Engine Yes Yes Yes Yes
Audit Yes Yes Yes Yes
Training Yes Yes Yes Yes
Starter Kits Yes Yes Yes Yes

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Comparing Top IoT Platforms
30
General Electric (GE) Microsoft Amazon IBM
Platform Name Predix IoT Hub AWS IoT IBM Watson IoT
CRM / ERP Integration Manual Manual Manual Manual
Field Service Integrations ServiceMax Manual/Partners Manual/Partners Manual/Partners
Visualization Yes Yes Yes Yes
Analytics - Hot Path Yes Yes Yes Yes
Analytics - Cold Path Yes Yes Yes Yes
Machine Learning Yes Yes/API(managed Service) Yes
BigData - Hadoop Yes Yes with HDInsight Yes with Amazon EMR
Notification and Alerts Yes Yes Yes
Device Lifecycle Mgmt Yes Yes Yes Yes
Device Security Yes X.509, TLS X.509 TLS
Device – Device SDK Yes Open source SDK Open SDK Yes (limits - TBD?)
Device - Protocols Yes
AMQP, MQTT, HTTP,
WebSockets
MQTT, HTTP, Websockets MQTT, HTTP
Device - Gateways Yes Yes Yes Yes
Object Storage Yes Yes Yes Yes
Top IoT Platforms starting to look the same when comparing feature-by-feature. 2017 and beyond will bring clarity on their vertical
industry and market focus. For example Enterprise, Manufacturing, Services, Consumer, etc.

@onawaz
v IoT Platform evaluation focus needs to shift to: deployments,
business models, ecosystems, pre-integrated technologies
and vertical solutions
31
Reason: As IoT market matures, feature-by-feature comparison of IoT
Platforms is futile.

@onawaz
v Leverage existing investments including knowledge, expertise, and tools is vital for
success of project
v The right IoT Platform will improve productivity and agility of your development, IT and OT
teams
v Platform should allow you to quickly and effectively respond to business and market needs.
IoT Solutions are about Economics and Services
It is not just technology and interfaces.
v IoT strategy teams should not expect that industry standards or mega-vendors offerings alone would provide a
complete solution and consistent experience for your desired business outcome

@onawaz
What’s Next
v Its not just about technology, focus to deliver business objectives and customer value
v IoT solutions will continue to scale massively and become more complex. When designing your
solution think open, scalable, extensible and of course secure
v Building on the right platform will accelerate innovation and focus on creating true differentiation.
v Leverage existing investments including knowledge, expertise, and tools is vital for success of
project
v Choose a platform that is:
v Open;
v Has a large developer community;
v Extensive partner ecosystems;
v Consumption model that aligns with your business model; and
v Aligns with your internal capabilities and systems

Rouge Group helps its clients realize their vision and achieve sustainable success by creating unique, pragmatic and enduring solutions.
34
THANK YOU
Contact:
Omar Nawaz
Email: omar@rougegrp.com
Twitter: @onawaz www.rougegrp.com
If you have any questions or comments, please drop use a note.

@onawaz
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APPENDIX
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@onawaz
Pitfalls to Avoid
v Design your IoT solution for your customer, not yourself.
v Create true differentiation, not just more features
v Constantly check aligned with your business objectives, don’t do it just
because you can
v Regularly validate with customers, avoid assumptions
v Connect only devices and collected data that is required to deliver the
use case, more is not always better
v Deliver complete use-cases, customer shouldn’t have to integrated to
realize the value of solution.
v Start with simple and then add more, avoid over complication
36

@onawaz
IoT solution teams, must shift their focus to deliver
capabilities that align with business objectives and
create value for customers
37
Reason: In order to realize the value of solution, productivity, operations, and
support needs to improve.

Selecting the Right IoT Platform

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