our vision on smart cities by elena alfaro (business discovery innovation bbva)

A vision on Smart Cities

BBVA Innovation

Elena Alfaro, Smart Cities Framework Champion, BBVA Group

Pairs July 6th 2011 Outsmart - Future Internet PPP

Who is BBVA

Noth America (2)

•  USA •  Mexico

South America (10)

•  Argentina

•  Bolivia

•  Brazil •  Chile

•  Colombia

•  Ecuador

•  Paraguay

•  Peru

•  Uruguay

•  Venezuela

Europe (10)

•  Spain •  France •  Germany •  Italy •  Portugal •  U.K. •  Belgium •  Russia •  Switzerland •  Turkey

Asia - Pacific (7) •  Australia

•  South Korea

•  China

•  India

•  Japan

•  Singapore

•  Taiwan

Central America (3)

•  Cuba

•  Puerto Rico

•  Panama

Source: BBVA,

32 countries, 48 million customers & 6,450 M$ Net Pro!it

BBVA Group

Our Smart Cities vision

For centuries, people have migrated to cities in a search for a better life

Cities are areas of prosperity, economic growth, innovation, &

creativity

Cities are the areas where people want

to live

And for centuries, we have tried to transform them into better places lo live and to attract value creation

What  was  first?  

Imaginary future city Gdansk (Poland) Lisbon (Portugal) Kuala Lumpur (Malaysia)

The transformation of the cities has been based on physical changes ...  

... and sometimes in the way they are managed Imaginary skyline

With different results on different aspects ...

Central Park New York Tra#ic jam in the USA

Now we have the chance to transform cities e#iciently, by affecting them physically and also virtually

Singapore

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In today's city, people, things, companies, governments, etc… generate digital data on almost anything they do

Sao Paulo (Brazil)

But only 5% of the available digital information is currently being used*

Source: The Economist 2010 . Being used means understandable/treatable by a machine

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Sao Paulo (Brazil)

Information can be extracted, combined, analyzed, processed and fed back into the city for an intelligent use

City Infrastructure City Management City life

Real  Time  Data  Exchange  Pla5orm  

From decisions (public & private) based on partial realities

Observations & Forecasts

Opinions

Private Interests

Feelings

Recommendations

Historical Data

To decisions based on facts, evidence and the whole picture

Madrid (Spain)

To decisions based on facts, evidence and the whole picture

Madrid (Spain)

A new business paradigm

What’s in it for them?

citizens companies government

The right decision

A better place

A better life

E#iciency

New demand management New markets creation

New behaviors

Dubai (Emirates) Washington (USA) London (UK)

Opening up a new business paradigm: examples

New services based on hibridation of companies

information

Opening up a new business paradigm: examples

New ways to approach a better informed customer

Opening up a new business paradigm: examples

New markets based on the desired usage of resources

Opening up a new business paradigm: examples

New actors on digital processing of information

Opening up a new business paradigm: examples

A new type of public concessions

Opening up a new business paradigm: examples

New ways to design the city

High Level Business Opportunities

Data Exchange Platform

Sensor Networks

Smart Cities Technologies

Management Concessions

Other smart services & behavior change

Government Services

New Smart Services

Improve internal

processes

Business Services

Why a Bank?

Info management Real time, secure, high volume data exchange

capabilities

1

Data generator Access to real time

economic behavior of millions of citizens

2

Business actor Customized end user

service creation & access to millions of customers

3

Buenos Aires (Argentina)

We have a strong link to the city ...

48 million customers

7,500 Branches 17,500 ATMs

500,000 Point of Sale Terminals

30M cards

24 mill transactions/day Source: BBVA Total number of transactions includes Internet banking

… which gives us key information to qualify a city, a street, a neighborhood or an activity and use it to generate new services. We have access to the real time economy

rela-onships  expenses  loca:on  transac-ons  

income  status  

date   cards  

language  

payments  telephone  

prod

ucts  

salary  

origin  

transfers  Age  

scoring  

default  

credit  

deposits  e-­‐banking   ATM  

preferen

ces  

-me  

address  

loans   currency  

mortgage  

details  

job   stock  

In summary

Quality of life and prosperity in the urban

environment

Everyone & everything generate digital information

A new business paradigm rises

The cities compete to attract people &

companies

CITIZEN INSIGHT

GEODEMOGRAPHICS

TECHNOLOGY

ECONOMICS

A vision on Smart Cities

BBVA Innovation

elena.alfaro@bbva.com @elenalfaro

Thank you!