2. Outline
• Digi – Device Cloud Platform and overall winner in the M2M Platform
Battle
• Eurotech – joint winner of the best enterprise deployment in the M2M
Platform Battle
• FedEx SenseAware - joint winner of the best enterprise deployment in the
M2M Platform Battle
• Kore – winner of the best service provider platform in the M2M Platform
Battle
• Analyst, Ron Gherman, Frost and Sullivan
• Analyst, James Brehm, Compass Intelligence
• AT&T – Simplifying M2M
4. Digi Snapshot
• $200M+ Provider of M2M Solutions
(NASDAQ: DGII)
• 660 Employees Worldwide
• 240 Engineers / R&D across the globe
• Global Leader in Cellular Router & Gateways
• Named to Forbes “Best 200 Small Companies” - 2009
• Named to Fortune’s "America's 100 Fastest Growing Small Public
Companies“ – 2009
• Global Organization
• US HQ in Minnesota
5. Business Process Integration
Customer Energy
Service Management
Consulting
Managed
Services
Warranty Solution
Design
Management Inventory
Implementation Management
Technology
Selection
M2M
Applications
Repair &
Maintenance Logistics &
Performance Service
Monitoring
Most M2M solutions today have to integrate into an existing business
environment to have value – this is the barrier and revenue opportunity
6. Example of their embedded units using Zigbee, Cellular and good old Ethernet
10. It isn’t just cellular, most industrial M2M applications are fixed. Cellular
applies where things are moving, e.g. transportation, but we’re starting to see it
encroach into remote fixed applications.
11. The network is ‘in the noise’ compared to all the broader solution requirements
12. Digi gave a very clear business case on how they were able to stop collection
agents pocketing cash, collecting cash only when necessary and repairing down
stations faster.
16. Digi International – M2M Products & Services
M2M Detail
Products/Services
Consulting Services Why and how to implement M2M solutions that impact business
operations.
Requirements Analysis Business process analysis to determine ROI and total cost of
ownership.
End-to-End Solutions Design of unique M2M solutions to meet specific requirements and
Design operating environments.
Wireless Design Services Design and development of custom cellular, RF, Wi-Fi, satellite
devices for M2M.
Network Connectivity Networking devices and solutions to connect, monitor, and control
Devices local or remote physical assets. (Network, Cellular, Satellite, etc.)
Cloud Device Management Cloud-based Internet platform to manage data, remote devices &
& Data Storage (iDigi) connect enterprise applications to remote devices.
Web/Mobile Applications, Development of web & mobile based remote monitoring apps,
Hosting & Managed integration services, device & carrier managed services.
Services
17. The (Formerly) Missing Piece
Everyware Cloud
M2M Integration Platform
M2M Evolution
Battle of the Platforms
October 4, 2012
18. Everyware Cloud Model
Components
Rules
Engine
MQTT SQL
MQTT
MQTT
MQTT
MQTT
Collect
MQTT is a lightweight protocol designed specifically for machine to machine communications, where the data transmittal
typically happens in bursts, potentially at random times and intervals, and the data itself is relatively small.
MQTT is a publish/subscribe (pub/sub) protocol, which is perfect for M2M. Data producers (sensors, thermostats, blood
pressure cuffs, control valves) all create data. The data (at the bottom of our slide here) gets collected in the gateway device.
Data consumers, far away from the data producers (like people in control rooms and operations centers, as well as enterprise
applications like billing, inventory management and security systems) need that data.
19. Mounted Devices
Use Case: Reverse Vending Machine
Application:
Reverse vending machine vendor needed a rugged, reliable
communications gateway to exchange data from remote sites in harsh
environments to operations and maintenance centers.
Adding the Everyware Cloud to the solution allowed the IT team to
eliminate plans to expand data center equipment, power and space to
manage and process increased data traffic.
Data streams enable new functions, such as one-to-one advertising.
Product: Key Success Factors:
Short time to market for hardware vs. RYO
Custom Rugged Gateway EDC, offering real time data collection
Rugged hardware to reduce maintenance costs
Using their platform the software could be updated in real-time when new
bottles were being claimed, as well as new revenue opportunities in advertising.
20. SenseAware and Priority Alert: A powerful combination
for near-real time monitoring and intervention
+
SenseAware was announced at the conference, as small unit rented monthly
(about $70 per month unlimited use) that detects temperature, humidity,
20
location, light level, and pressure.
21. What is SenseAware?
SenseAware: an Information service with two
vital components
+
A feature-rich Web
Based Application The sensing devices:
where information to feed the application
streams are received, from inside packages,
viewed, analyzed, and pallets, trailers, and
audited warehouses
21
22. SenseAware: Features and benefits
Key Features Benefits to customers
• Current location: Know where your shipments are in SenseAware equips your company to:
near real-time • Monitor location and condition of the
• Route and Time-based Geofence: Create a geofence shipments in near real-time
along the route a shipment should follow. Set up alerts • Enhance security, care, custody and
and be notified if the shipment deviates from this control to unparalleled levels
expected route. (Applies to ground shipments only) • Reduce loss and damage of the
• Accurate temperature — Verify the temperature of shipments in-motion or in inventory
sensitive shipping environments, and receive • Analyze trends, sense and proactively
immediate notification if they go out of a specified respond to problems more effectively
range.
• Extend service levels with customers
• Exposure to light — Receive a notification when the and partners
sensor is exposed to light alerting you that the package • Innovate the definition of quality
has been opened.
assurance
• Relative humidity — Observe moisture levels inside
your shipments.
• Barometric pressure — Detect changes in the
atmospheric pressure that your products are exposed
to.
October 23, 2012
22
23. What is FedEx Priority AlertTM?
• Specifically designed for industries that require
a high degree of visibility and delivery
compliance for their shipments:
• Healthcare
• Aerospace
• Electronics and industrial machinery
• Financial
• Contract-only, fee-based service that combines:
• 24/7 personal support from a dedicated global
service specialist
• Advanced shipment monitoring, proactive
notification and package recovery
• Shipments receive priority boarding on FedEx
aircraft and priority clearance handling where
available
24. What is FedEx Priority Alert PlusTM?
Includes all features of FedEx Priority AlertTM plus
additional options, including:
• Dry-ice replenishment
• Gel-pack exchange
• Cold storage
Note: Additional options available for FedEx Express® shipments at select in-
transit locations through On Demand Care. For details on On Demand Care,
please refer to the Service Guide.
25. Priority Alert: Benefits to the customers
Global reach Dedicated support
• Service available internationally in more • An assigned global service specialist is
than 70 countries around the globe responsible for your FedEx Priority AlertTM
shipment activity, providing added
• Intra-country service available in U.S.,
assurance for your most critical shipments:
United Arab Emirates, Mexico,
Switzerland, India and Canada • Proactively monitors status of your package
and freight shipments
Convenience • Notifies you of any shipment risks or delays
• Executes customized recovery procedures
• FedEx Priority AlertTM assistance
available 24/7/365 at 1.800.257.0085
Peace of mind
• Multiple billing options:
• Priority boarding and priority clearance
• Shipper
handling
• Recipient
• Proactive monitoring, notifications and
• Third party
shipment remediation to resolve issues and
help ensure on-time delivery
Great example of how to package a compete solution.
26. Global M2M Deployment Challenges and
Opportunities
Chuck Horne
Vice President of Products
KORE aggregates operators networks into a global integrated service for
enterprises – manage away the headache of dealing with multiple telcos
27. KORE at a Glance
Over 1.3 Million M2M Devices Shipped
About KORE
• The World’s Largest Pure-
play M2M Global Network
Provider
• The Leading M2M Platform
Provider Featuring
PRiSMPro
• 24/7/365 Support
Organization
• Single Source for Multiple
Technologies
• Fastest Path to Market for
Network Services
• 700 Customers Across
Multiple Industries
• The Experts in M2M Device
Certification
• 600+ Devices Certified
2003 2004 2005 2006 2007 2008 2009 2010 2011
Example text
KORE OEM partners
KORE – The Leader in Global M2M Connectivity
28. KORE’s Custom-built, Scalable M2M
Services Network
Multiple, Redundant Connections into 8 Top Carriers Worldwide, and Counting
KORE – The Leader in Global M2M Connectivity
29. Deployment Challenges for M2M
Applications
• Ease of doing business – technical and business management
• (Platform) tools for scalability
• Technology choices
• Coverage
• Pricing over lifecycle
• Management of multiple SIMs across multiple in-country carriers
• Multi-national growth
o Multiple SIMs with unpredictable roaming rates and restrictions
o Regulatory requirements
KORE – The Leader in Global M2M Connectivity
30. Deployment Challenges for M2M
Applications
SCENARIOS
M2M Solution
• US GSM Services
• US CDMA Services Due to
Application
Coverage Issues
• Canadian GSM for
Permanent Roaming
Platform
• Brazilian GSM Due to
Regulatory Requirements A B C D E F H I
• GSM Connectivity
Throughout Europe
Network
• Connectivity in Singapore, US LEO
US CAN BR EU AP AU
CDM Satellit
Thailand and Korea GSM GSM GSM GSM GSM GSM
A e
• Need a Low Cost Connectivity
Device SKUs
Option in Australia
US Global
• Require Satellite Connectivity GSM DEVICES CDM Satellit
A e
for Remote Devices Out of
Range of Cellular
KORE – The Leader in Global M2M
Connectivity
31. Key Considerations for a Global M2M
Deployment
• Regulatory framework – what are the costs of compliance?
• Platform availability and feature set – does it meet your business requirements?
• Integration into back-office systems – what APIs or other machine interfaces
exist?
• Controlling costs – how much control over roaming zones and roaming rates do
you get from your provider?
• Reporting Data – what is the latency? Accuracy?
• Technical Support – to what degree is the partner prepared to support your
M2M business model?
KORE – The Leader in Global M2M Connectivity
33. Cellular M2M Communications - Market Forecasts
Source: Frost & Sullivan
Direct M2M connections on cellular networks in North America to approach 75-80 million in 2018.
These figures do not include laptops, netbooks, notebooks and tablets, which would be in excess of
50 million.
I think this is a solid analysis of the opportunity, not hype based.
34. Cellular M2M Communications – State of the Industry
Source: Frost & Sullivan
Business cases in M2M focused on efficiency, not doing thing differently, as in
the Digi business case.
35. James Brehm
Senior Strategist and Technology Evangelist
210.639.3829
jbrehm@compassintelligence.com
James summed up the current situation very well.
38. “Soon, there will be more than one trillion connected devices…”
IBM TV Commercial
“…there will be 50 Billion connected devices by 2020.”
Hans Vestberg, CEO of Ericsson
“In this model, there is literally no limit on the number of connections that can be part of
the mobile grid: cars, appliances, buildings, roads, sensors, medical monitors and
someday even inventories on supermarket shelves. All of these have the potential to
become inherently intelligent — perpetually connected nodes on the mobile web.” Ivan
Seidenberg, CEO of Verizon
“When you look at the numbers between M2M and social networking companies,
LinkedIn counts as its market every professional on the planet; that’s 1 billion people.
Facebook is a little bit more ambitious, it counts as a potential customer over 2 billion
internet users and counting. But if you look at M2M, we have a market which consists of
over 7 trillion machines…” Dale Calder, Founder of Axeda
“Once you embed it [wireless M2M application] in a business process, for example,
customers are probably not going to rip you [out] when your annual contract is up.”
Sprint Nextel Corp
Some of the numbers quoted are just silly
39. Hype or Reality?
High Growth Medium Growth Low Growth
Declining Market
Above 14 percent 7-14 percent Less than 7 percent
M2M
Landlines
Netbook and
Tablet Smartbook
Computing
Feature Phones
Contextual Smartphones
Computing
Technology Crest of Depression of Educated Product
Trigger Inflated Expectations Decision- Maturity
Expectations making
This is the key point M2M has yet to find its position in the world – how
effectively can it expand into other segments beyond transportation?
42. Vehicle Telematics
is the largest
segment in the
M2M market.
Just 4% of
consumer vehicles
and less than 20%
of fleets currently
connected, the
market potential is
enormous!
Slightly different analysis than Frost and Sullivan, but James is a strong
proponent of the untapped transportation opportunity. On the connected car I
remain more circumspect, as our handheld devices are more relevant.
45. • ARPU’s range from $1 to $20
• One of the goals of service providers who have to
invest in spectrum should be in efficiently
utilizing the spectrum
• It’s about the cost per KHz of spectrum
• Compass is wondering if AMPU is not a better
measure of success
Most EU operators have moved to AMPU (Average Margin Per User) for their
consumer business.
46. The money is in the solution – hence why Verizon bought Hughes Telematics
47. Reasons to use Location Based Services for asset
tracking
– Lost goods
– Fewer future thefts
– Improved efficiencies
– Shorter time to market
– Safety
– Convenience
– Green
– Fuel savings
– Staffing
– Fleet management
– Brand protection
– More
48. Focusing on Transportation
and Logistics
• Roads and Vehicles: 4M miles of roads, 254M vehicles, 11.8M heavy
trucks and busses
• Rail: 140,000 miles of railroad tracks and 1.4M rail cars
• Air: 5,200 airports including 5 of the 25 largest in terms of air freight and
13 of the top 25 in terms of passenger traffic
• Pipeline: 1.7M miles of gas and oil pipelines
• Waterways: 25,000 miles of navigable waterways
• Shipping Containers: 14.8M TEUs globally. (At any time, over 1/4 could
be in the United States or inbound to the United States.)
Transportation and Logistics has much market expansion – after seeing the
SenseAware module from FedEx I think James is right
49. Simplifying M2M
5 Ways Decrease the Cost and Complexity
of Deploying M2M Solutions
October 3, 2012
David Kalb
AT&T
Director of M2M Business Development
I included this as I thought AT&T presented a good understanding of the M2M
space the their role in simplifying / industrializing the current “hand-crafted”
industry. But it will continue to require solution selling.
51. M2M: Unlimited Opportunity / Immense
Complexity
“There are more machines than there are people in the world.
Someday they’ll all be connected to the internet.”
International Telecommunications Union
“Internet of Things” Report - 2005
“Today we have an M2M Supply Chain Mess”
Yankee Group
52. M2M Success faces numerous
challenges
How can we
How can I optimize the What regulatory
What’s the best payload? certifications do
maximize battery
way to configure I need? What if
life?
& activate something isn’t
devices? working?
Can I have a
rugged device How do I protect
that is also my data?
lightweight?
Can I finance
the hardware? Can I integrate into
our legacy and ERP
How do I manage What about systems?
support? international
coverage?
Can I get an How will we
affordable How will I ship / track
How do I manage
wireless plan? handle billing? hardware?
my devices over the
air?
53. Evolution of Wireless M2M Solution
Tomorrow
Today • New revenue
Yesterday • Revenue growth; streams
• Cost reduction; customer • Business
reactive satisfaction Intelligence for
• Increased automated self-
• Low data usage, healing’ processes
limited functions functionality &
data, proactive • Fully integrated
• Local or national processes global solutions
focus
• Multi-country
53
55. Simplifying M2M
5 ways decrease the Cost and complexity
of deploying M2M solutions
1. Cloud Based M2M Services
2. M2M Service Delivery Platform
3. M2M Application Platforms
4. Global M2M Service Offerings
5. Vertical M2M Solutions
55
56. 1. Cloud Based M2M Solutions
Improve Productivity
• Real time collaboration across employees,
partners, customers Demand to mobilize and
• Requirements for applications to work virtualize assets,
across devices applications and activities
Reduce Cost
• Low storage and server
utilization in non-peak periods
• Desire to pivot from
Capex to Opex
Remove Complexity
• Simplification due to limited IT staff down • Off-premise • Device Agnostic
market • On-demand • Tiered Support
• End-to-end ownership vs. multi-vendor • Easy to Use • Manage “Big
service integrations Data”
57. 2. M2M Service Delivery Platform
Why Important?
• Pre-built Service Delivery platform specialized for m2m Capabilities
• Features added based on customer demands in agile development
• Service Provisioning
• Turnkey Business Management, Operations, Support
• Subscription Mgmt
• Billing
• Service Geography
• Business Models
• SIM Management
• Channel Management
• Customer Support
• Cost Management
• Diagnostics
• Fraud Management
• Analytics
• Order Management
• Inventory
Management
59. 4. Global M2M Service Offerings
Challenges of a global M2M deployment:
• Assembling and managing the best solution partners (hardware, software,
systems)
• Integrating a global product, including hardware, software, network
• Deploying and managing solution
in multiple regions
• Real-time management of network
performance globally
• Cost controls and alarms for
data usage by roaming devices
• Provisioning in real time
• Tracking and managing multi-protocol or
multi-frequency SIMs
• Technical support
60. One SIM With Global Roaming
Coverage
• Single global encrypted GSM
SIM
• Unified billing and a single
rate plan for digital data
services
• Global diagnostics and device
monitoring
• Lowest-cost data routing with
roaming permissions controls
• Usage alarms
• Powerful reporting tools