This document discusses the growth of the Internet of Things and its impact. It notes that the number of connected devices is expected to reach over 14 billion by the end of 2014. The IoT will connect everyday physical objects and change how people interact with the physical world. It will have a huge economic impact, potentially adding $10-15 trillion to global GDP over the next 20 years. The IoT will impact many sectors including agriculture, transportation, utilities, and mining. Cities in particular will see major effects of the IoT on areas like traffic, water usage, and waste handling. The document outlines Telefonica's efforts to establish Chile as a leader in the IoT through its new R&D center focused on smart industry
6. “Softwareiseatingtheworld…”
“Hardware,notsoftware,willsavetheworld”
“Most of the world's pressing problems are physical in nature and
require physical solutions,“
Astro Teller, Solid, May 21 2014
“We are in the middle of a dramatic and broad technological and economic shift in which software
companies are poised to take over large swathes of the economy.”
Marc Andreseen, “Why Software Is Eating The World”, WSJ August 2011
7. “We’re going to bring good
manufacturing jobs back to
our shores,” 1st White House
Maker Faire
Madein“__________________”
1. SOURCE Mary Meeker, INTERNETTRENDS 2014, April 2014
2. SOURCE: The Channel, “Launching a hardware startup?The stars
are aligned in your favor” http://goo.gl/AoCyxo, Mayo 2014
9. Thepowerof just1%...
1. SOURCE: “IndustrialInternet: Pushing the Boundaries of Minds and Machines”, GE Reports, Nov. 2012
2. SOURCE: “Disruptive technologies: Advancesthat will transform life, business, and the global economy”, McKinsey Global Institute, May 2013
Potential economic impact of sized industrial
applications in 2025 ($Trillion, annually)
Over the next 20 years the Industrial Internet could add
from $10 to $15 trillion to global GDP – the size of today’s
U.S. economy
10. …willimpacteverykeysectorintheeconomy
$1.2–1.3 trillion in agricultural production (wheat, maize, rice, soybeans, barley)
20–40% adoption of advanced irrigation systems and PRECISION FARMING
10–20% increase in yields from precision application of fertilizer and irrigation
200–300 hours COMMUTING TIME per urban worker per year; 10–20% reduction in
average travel time through TRAFFIC and congestion control
$200 billion spent on urban WATER, $375 billion cost of WASTE handling; 10–20%
reduction in water consumption and leaks with smart meters and demand control10–
20% reduction in cost of waste handling
$3.7 trillion in global mining operating costs in 2025
80–100% of all resource extraction
5–10% saving in operating costs from PRODUCTIVITY gains
1. SOURCE: “Disruptive technologies: Advances that will transformlife, business, and the global economy”, McKinsey GlobalInstitute, May 2013
11. CITIES are where PEOPLE live!
There is a near
perfect
correlation
between
urbanization
and
prosperity
across nations
1. Predicted RealExchange Rate
SOURCE: McKinsey GlobalInstitute Cityscope 1.0
Projected cumulative contribution to global GDP growth, 2007–251 (%)
12. AtaleoftwoCities
8 of the 10 largest US
cities in 1950 have lost at
least 1/5 of their
population since then
2,206
1950-2008
Companies founded
53,000+
$14.2B $18.1B
336
IPOs & Acquisitions
Investment Exit Amount
Jobs
Endeavor, The power of EntrepreneurNetworks
Economic Impactof New York City’s tech Sector Edward Glaeser, “The Triumph of the City”
2003-2013
17. In Competitiveness in Latin America
World Economic Forum Raking 2012-13
For Business in Latin America
#17 in the world. Forbes Ranking 2012.
Economy in Constant Growth
5,5% average growth in the last 25 years
Entrepreneurship in Latin America
The Global Entrepreneurship and Development Index 2012.
In2013Telefónicadecidedtocreatea
NewR&DcenterinChile:
#1
5.5%
#1
#1
18. Based on the
European
technology
from FIWARE
initiative
WewanttofocusthenewChileanR&Dcenterinthe
Internetofthings,withadoublesectorialfocus:
Smart Industry
Smart Mining and Agriculture
Smart Cities
in cooperation with Chilean Municipalities
WeareworkingtopositionChileasa
referenceintheInternetofThingsandan
innovationhubforallLatinAmerica
Integrated in
one of the most
dynamic
entrepreneurial
ecosystems
44 researchers
working on IoT
by the end of
year 4