sensing-as-a-service - prepare for the next business model for internet of things
TRANSCRIPT
© RIOT 2015
SENSING-AS-A-SERVICE: PREPARE FOR THE NEXT BUSINESS MODEL FOR INTERNET OF THINGS
Dr. Mazlan Abbas CEO
REDtone IOT Sdn Bhd
© RIOT 2015
THE UNTAPPED OPPORTUNITY THE IOT MARKET
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BY 2020, HOW MANY DEVICES WILL EXIST? 20
20
Gartner
Cisco
Intel
IDC 212 Billion Units
200 Billion Units
50 Billion Units
26 Billion Units
Source: [1] http://www.gartner.com/newsroom/id/2684616 [2] http://www.intel.com/content/www/us/en/internet-of-things/infographics/guide-to-iot.html [3] http://share.cisco.com/internet-of-things.html [4] http://www.zdnet.com/article/internet-of-things-8-9-trillion-market-in-2020-212-billion-connected-things/
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WHAT WILL BE THE IOT MARKET SIZE
By 2020 - IDC
By 2022 - Cisco
Sources: [1] http://www.businesswire.com/news/home/20131003005687/en/Internet-Poised-Change-IDC#.VKZdfHTMUuc [2] http://postscapes.com/internet-of-things-market-size [3] Gartner Market Databook 2014 & Frost & Sullivan [4] National IOT Strategic Blueprint
$14.4 Trillion
$8.9 Trillion RMB 5-10 Trillion
China Market
RM 9.8 Billion
Malaysia Market
14,720 Jobs
New Jobs in Malaysia
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10/90 RULE – THE UNCONNECTED THINGS The Last 100 meter
connectivity
The “last 100 meters” represent > 90% potential number of connections
Today, the devices used in the “last 100 meters” are typically not connected. The wide-area network is to a larger extent connected e.g. through smartphones, home routers (e.g. ADSL routers) and GSM / 3G / 4G Routers.
Still Disconnected Connected World
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A COMPLICATED IOT ECOSYSTEM
[Source: Making Sense Of The Internet Of Things]
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IOT VALUE CHAIN
Components Smart Objects
Network Operator
Service Enabler
System Integrator
Service Provider
Distributor / Reseller Customer
• Embedded Chips
• Modules • Wireless
Modems • Sensors
and cameras
• Routers and gateways
• Antennas and Cables
• Smart Bins • Smart
Solar • Temp
Monitoring • Fire
Extinguishers
• Meters • ATM/POS • Camera/
Security
• Spectrum Allocation
• Network Infrastructure
• Backhaul Infrastructure
• Connectivity
• Availability & Quality
• Billing • Customer
Care
• Software • Infrastruct
ure • Consulting • Technolog
y Selection • Solution
Design • Wireless
Network Design
• Interfaces • Enterprise
System Integration
• Application Development
• Security • Data
Management
• Hardware • Installation
• Analysis • App
Management
• Access Control
• Data Management
• Quality of Service
• Packaging / Bundling
• Service Provisioning
• Distributes Products
• Resells services
• Supply Chain and Fullfillment
• Buys Service
• Users service
5-10% 15-20% 15-20% 30-40% 15-20% ? % ? %
Total Value
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WHY TELCOS HAVE DIFFICULTY TO EMBRACE IOT
ISSUES AND CHALLENGES
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LEGACY BUSINESS IS STILL CONNECTIVITY
M2M HIGH VOLUME LOW ARPU
SIM-‐CARD BASED
OLD HABITS DIE
HARD LESS C
OMPLEX
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LACK OF DOMAIN EXPERTISE
SOLUTIONS, SELLING
AND MANAGED SERVICES
NEED GO-‐TO-‐MARKET PARNER
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MINDSET BLOCK
FULL OF SKEP
TISM
LOW SINGLE DIGIT GROWTH
CONTRIBUTION
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STABLE BUSINESS VS. RISKY VENTURES
NEED TO WORK LIKE STARTUP
IOT BUSINESS IS FLUID STAK
EHOLDERS
EXPECTATIO
NS
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END-TO-END IOT SERVICE PROVIDER
THE END GAME
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
END-TO-END IOT SERVICE PROVIDER
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
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CONNECTIVITY PLAYER PHASE-1
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network�
Platform�
Platform�
1
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IOT ENABLER PLAYER PHASE-2
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
2
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
IOT Subsidiary
3
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IOT SOLUTIONS PLAYER PHASE-3
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
4
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IOT SERVICE PROVIDER PHASE-4
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
5
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s m a r t c i t y�
smart transport �
s m a r t a u t o m o t i v e �
BUSINESS MODEL -HYBRID
Device Provider
Network Provider
Platform Provider
Application Provider
Customer
Network� Platform�
6
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1 2
3 4
5
Ho
w t
o E
volv
e t
o a
En
d-
to-E
nd
IOT
Serv
ice
Pr
ovi
de
r
6
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SENSING-AS-A-SERVICE BUSINESS MODEL
OUR HYPOTHESIS
© RIOT 2015 WHAT IF – we can create Compound Applications across industries?
© RIOT 2015 Data Fusion & Compound Applications
Connect
Aggregate
Derive Actionable Insights
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All personal items, such as mobile phones, wrist watches, spectacles, laptops, soft drinks, food items and household items, such as televisions, cameras, microwaves, washing machines, etc
Private business organization has the right to take the decision whether to publish the sensors attached to those items to the cloud or not.
Public infrastructure such as bridges, roads, parks, etc. All the sensors deployed by the government will be published in the cloud depending on government policies.
Business entities who deploy and manage sensors by themselves by keeping ownership. They earn by publishing the sensors and sensor data they own through sensor publishers.
Personal and Households
Commercial Sensor Data
Providers
Organizations
Public Private
[Source: “Sensing as a Service Model for Smart Cities Supported by Internet of Things”, Charith Perera et. al., Transactions on Emerging Telecommunications Technology, 2014]
CHALLENGES – DATA OWNERSHIP
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MAKING SENSE OF SENSOR DATA … BUT WHAT DATA?
THE GOLD RUSH
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Wisdom
Knowledge
Information
Data
More Important
Less Important
Evaluated understanding
Appreciation of
Answers to questions.
Symbols
Understanding
Answers to questions
WHO
WHY
HOW
WHAT
WHERE WHEN
VALUE IS CREATED BY MAKING SENSE OF DATA
VALUE PYRAMID
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SENSING-AS-A-SERVICE NEW BUSINESS MODEL
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URBAN PLANNING USING IOT
Traffic
Pollution
Noise
Environment
Network Coverage
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SMART CITY HUB APPROACH Smart Parking Smart Waste
Management Smart Street Light Smart Public
Transportation
Static Data Storage
Real-Time Data Storage
Open Data Parking Garbage Collection
Lighting Public Transport
Smartphones Users
Citizen Reporting
Smart City Hub
Other Smart City Hubs
Social Media
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IOT SOLVING SMART CITY ISSUES
1. Who is using the car park?
2. What is the status of the car park?
3. When was the car park used?
4. Where is the location of empty car park?
5. How far is the car park?
6. How much are the parking charges?
7. How congested is the car park?
8. Why so many cars prefer a particular carp park?
9. Why is the carpark so full/empty?
1. Who is collecting the garbage?
2. What is the status of garbage bin?
3. When was the garbage collected?
4. Where is the location of full bins?
5. How to plan the route of the trucks?
6. How many days till the next collection?
7. How much garbage is produced in an area?
8. Why is the garbage truck not picking up garbage?
9. Why is a particular area producing more garbage?
Smart Parking Smart Waste Management
1. Who triggered the lights?
2. What is the brightness of the light?
3. When were the lights switched on?
4. Where is the location of faulty light?
5. How bright should the lights be?
6. How long should the lights be on?
7. How busy is the road? 8. Why is the electricity
bill increasing? 9. Why is the cost of
maintenance high?
1. Who is driving the bus?
2. What is the occupancy?
3. What is the bus condition?
4. What is the driving pattern?
5. When is the bus arriving?
6. Where is the location of the bus?
7. How to prolong the bus life?
8. How many busses to deploy on a route?
9. How best to hire drivers for the buses?
10. Why is the bus late? 11. Why is bus breaking
down?
Smart Street Light Smart Public Transportation
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NOISETUBE – POLLUTION DATA USING SMARTPHONES
Citizens and Communities concerned with noise • Measure your daily sound
exposure in dB(A) with your mobile phone
• Tag noisy sources to inform the community about them
• Visualize your measurements on a map and contribute to the creation of collective, city-wide noise maps
• Compare your experience with that of others
Local governments / city planners • Improved decision-making • Get immediate feedback
and opinions from citizens • Give immediate feedback to
citizens
Researchers • Get access to and analyze
(anonymized) collective noise data
Developers • Extend mobile app in
whichever way you see fit
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The city would pay for access to the light sensors in order to decide when to turn on and off the street lights
Gathering temperature, light, pressure, humidity and
pollution.
COMMERCIAL IOT SENSOR PROVIDER
A university may want access to the pollution information for research purposes for a limited period
The weather department would want the temperature and pressure data
The street town council center would want the temperature and humidity data for planning during rough weather
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Smart City
Environmental Monitoring Multiple Sensors
Outdoor Parking Management
Parking sensors
Mobile Environmental
Monitoring Sensors installed in
public vehicles
Traffic Intensity Monitoring
Devices located at main entrance of city
Guidance to free parking lots Panels located at
intersections
Parks and Gardens Irrigation
Sensors in green zones
• Temperature • CO • Noise • Car Presence
• Ferromagnetic sensors
• Temperature • CO • Noise • Car Presence
• Measure main traffic parameters • Traffic volumes • Road occupancy • Vehicle speed • Queue Length
• Taking information retrieved by the deployed parking sensors in order to guide drivers towards the available free parking lots
• Moisture temperature • Humidity • Pluviometer (rain gauge) • Anemometer (wind-speed)
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IOT VALUE CHAIN – WHERE IS THE MONEY?
Device Provider
Network Provider
Platform Provider
Application Provider
• No. of devices
• Edge devices/sensors
• Gateways • System
Integration • ….
• SIM-Cards • Fixed Line • Data
Bundled packages
• Data Speed • SMS/MMS • Dedicated
APN • Fixed IP • Voice/Data • …
• No. of connected devices
• Data streams
• Storage • API Keys • Email/SMS
APIs • Support Type • ….
• No. of dashboards
• No. of users • No. of data
sources • Consulting • Type sof
Analytics (Basic/Advanced)
• ….
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FIND YOUR NICHE AREA IDENTITY – MORE THAN JUST DEVICE
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COMPLEXITY OF ECOSYSTEM
[Source: Service Through M2M]
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IMPORTANCE OF IOT ECOSYSTEM
Leverage What Already Exists
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CHOOSE YOUR PATH
SENSING-AS-A-SERVICE
MNO VS MVNO VS MVNE IDENTIFY PARTNER
IDENTIFY OPEN PLATFORM
IDENTIFY BIZ MODEL
VERTICAL OR HORIZONTAL
MULTi-SIDED MARKET?
© RIOT 2015
THANK YOU
© RIOT 2015
ABOUT US Our History
REDtone IOT Sdn Bhd is wholly owned subsidiary of REDtone International Berhad, a company that has over 20 years experience in providing telecommunications services in Malaysia.
Our Company In November 11, 2014 REDtone IOT Sdn Bhd. was incorporated in Malaysia, to focus on providing Internet of Things services and solutions. Our headquarters are in Puchong, Selangor, Malaysia.
Our Vision Our goal is to enable businesses to monitor its most important assets such as buildings, machinery, parking lots, electrical appliances, etc using Internet of Things (IoT). To transform businesses through connecting, aggregating and deriving insights via sensors data. We help to build applications rapidly and cost effectively.