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Introducing The Internet of Things Technology Today #3.

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1 Introducing The Internet of Things Technology Today #3

2 Time to take notice “It is clear that the M2M market has moved from a period of development towards a commercial deployment phase,” said Jürgen Hase, Vice President M2M Competence Center, Deutsche Telekom. “M2M is of significant strategic importance to our business with huge growth potential across a number of industry segments. We can already see the impact it is having on our everyday lives.” “Our customers are becoming more sophisticated in their use of M2M technology and more aware of the opportunities it creates. We believe that by aligning ourselves with their approach to the market we are creating new and stronger partnerships to help expand the adoption and use of M2M globally,” Jari Salminen, M2M business development at Vodafone. “ Increasingly we at SingTel are focusing on solutions that create more value for our customers beyond connectivity. We are looking at different ways to deepen our offering,” said Mr Zia Zaman, Vice President, Emerging Businesses and Strategy, SingTel Group Enterprise. “Initially our efforts were focused on making sure we were providing excellent connectivity. Now that has been achieved we are focusing on moving up the value chain.” Source: GSMA: M2M Today Feb 2014

3 What is the Internet of Things? The Internet of Things (IoT) comprises everyday objects directly connected to the internet, using sensors to interpret their environment and able to communicate autonomously Thus the IoT is predicated on genuine convergence between the digital and physical worlds – truly a hybrid world GSMA analysis points to 195m global M2M connections in 2013 (with a CAGR of almost 40%) and forecasts a total of 250m M2M connections by the end of M2M connection forecasts range from 30bn(ABI) to 50bn (GSMA) or 75bn (Morgan Stanley)

4 Gartner Hype Cycle 2013 Source: Gartner, Inc. While M2M has sat in the trough since being included in 2011 – it is now positioned together with AR VR and Mobile Health. Note also that the IoT is approaching the peak of inflated expectations

5 Technology Roadmap: Internet of Things

6 The global reach of M2M connections In 2013 a 2.8% share of global internet connections were M2M - regional differences reflect the maturity of the M2M market In Q GSMA Intelligence estimates that developing economies took a 52% share of global M2M Connections 10 countries account for 70% of all M2M connections – with 44% in the USA or China combined The M2M share metric highlights developments in Sweden (23%), Norway (15%), New Zealand (14%) and Finland (11%) GSMA Intelligence forecasts 250m M2M connections in 2014 Source: GMSA M2M Today Feb 2014., IDC

7 The global value of M2M investments Source: IDC - Worldwide IOT Spending $4.8trn 2012 $7.3trn % Health Education Automotive Smart Cities

8 Everyday objects and the IoT

9 On the horizon – Intelligent Things Machine learning and automation will result in more intelligent capabilities - creating a new level of Augmented Intelligence (AI) Together with AI, Augmented Reality (AR) has become one of the hottest tech topics at present AI/AR integration moves the IoT from the mechanics of interconnected devices to active engagement with real world scenarios by contributing to our understanding of what we see, feel, hear or think Thus the Internet of Intelligent Things represents another stage on the journey (destination unknown)

10 On the horizon – Internet of Everything Internet of Everything – Harnessing Network Effects

11 Security As with all new technology applications consumers value their security and privacy very highly Increased volume, variety and velocity of data transmission from multiple devices, objects and environments will certainly create new challenges Whilst hacking is a clear danger to consumers’ data and privacy today, the IoT will have to overcome these issues quickly to achieve success With the right prioritisation and investment greater security can be achieved, for instance, via micro-firewalls for individual devices and appliances

12 Privacy Widespread adoption of smart devices means that more data is being collected on more people than ever before, and any breaches in security will have a knock-on effect on privacy As a result of the NSA/GCHQ revelations, consumers are more aware of and concerned about big data and privacy Without a clear demarcation between an individual’s ability to remotely monitor various aspects of everyday life, and the ability of other agents to do the same (without further consent) opens up concerns of a domestic panopticon As the Snowden revelations have shown, there is no such line between the commercial and the political in terms of data mining, with the two conflated in consumers’ eyes today

13 Future Possibilities Soon we will be living in a world of ubiquitous computing IoT has the potential to transform activities such as manufacturing, building infrastructure, providing health care, and managing supply chains automated closed-loop systems that can carry out tasks independently based on incoming data and which can be used to manage systems such as smart electric grids are likely to be adopted more widely Whilst most believe the results of the IoT will be possible, it also poses the potential of new technologies to imprison humanity and... Into a world of panopticon and mass surveillance

14 Thank You Trajectory Ltd Enterprise House 1-2 Hatfields London SE1 9PG T #TrajectoryTweet Carolin Kampik Analyst


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