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IoT Now: ISSN 2397-2793

SEE YOU IN

BARCELONA FOR

FEBRUARY/MARCH 2016 • VOLUME 6 • ISSUE 1

TALKING

HEADS

Telit’s Ronen

Ben Hamou: IoT

innovation in a

time of shifting

boundaries

THE INDUSTRIAL IoT

It’s about more than

just the IoT

TELEMATICS

Vehicles and logistics

across new delivery chains.

See our Analyst Report at

www.iot-now.com

SMART CITIES

New spaces for living,

working and playing. See

our Analyst Report at

www.iot-now.com

SMART UTILITIES

Delivering intelligent utilities

to ever-smarter homes. See

our Analyst Report at

www.iot-now.com

SECURE IoT

Protecting a planet’s nervous

system – and its inhabitants.

See our August/September

issue for full details

DATA ANALYTICS

Extracting insight from

the blizzard of data.

See our Analyst Report

out in December 2016

PLUS: INDUSTRIAL IoT: Analyst Report Inside! • ORBCOMM launches new satellites • Stream Technologies and

Morpho cooperate on eSIMs • Vodafone, Huawei and u-blox trial NB-IoT • Change at the top for Cambridge

Wireless • Beecham Research on privacy • Special LoRa supplement • www.iot-now.com


GOLD SPONSOR

IoT Now: ISSN 2397-2793

FEBRUARY/MARCH 2016 • VOLUME 6 • ISSUE 1

THE INDUSTRIAL IoT

It’s about more than

just the IoT

TELEMATICS

SMART CITIES

SMART UTILITIES SECURE IoT

DATA ANALYTICS

Vehicles and logistics

New spaces for living,

Delivering intelligent utilities Protecting a planet’s nervous Extracting insight from

across new delivery chains. working and playing. See to ever-smarter homes. See system – and its inhabitants. the blizzard of data.

See our Analyst Report at our Analyst Report at

our Analyst Report at

See our August/September See our Analyst Report

www.iot-now.com

www.iot-now.com

www.iot-now.com

issue for full details

out in December 2016

PLUS: INDUSTRIAL IoT: Analyst Report Inside! • ORBCOMM launches new satellites • Stream Technologies and

Morpho cooperate on eSIMs • Vodafone, Huawei and u-blox trial NB-IoT • Change at the top for Cambridge

Wireless • Beecham Research on privacy • Special LoRa supplement • www.iot-now.com

CONTENTS

27 13

TALKING HEADS

4 EDITOR’S COMMENT

The ‘futureshock’ of the IoT is just starting to hit – and

the machines have started doing it for themselves

5 MARKET NEWS

Key IoT trends from 451 Research; Consumer IoT to drive

tech revenues to US$287bn; One billion cellular M2M

subscribers by 2020 says Berg Insight; New members for

Swedish IoT Alliance

6 COMPANY NEWS

First trial of NB-IoT say Huawei, Vodafone and u-blox;

Stream and Morpho cooperate on secure eSIMS; Solair

launches new IoT application modules; ORBCOMM takes

the high frontier in space

7 WHAT’S HOT ONLINE

Who’s going to service the deployed IoT? Sweeter

strawberries for Italy and easier parking in New Zealand –

thanks to the IoT

8 CONTRACT NEWS & HOT LIST

Latest wins for Ingenu, Telenor Connexion and many more

10 PEOPLE NEWS

New names at Cambridge Wireless, Silicon Labs, the IMC

and others

11 PRODUCT NEWS

Gooee announces gateway for lighting and sensing;

Taoglass innovates for automotive; Redpine launches

new multi-standard wireless module

12 WHAT’S HOT ON THE GLOBAL IoT NETWORK

The IoE and retail – a view from Cisco; Epicor ask if the

fourth industrial revolution is here?

13 TALKING HEADS

Teli’s SVP Ronen Ben Hamou on IoT innovation in a time

of shifting boundaries

16 INTERVIEW

Simon Glassman from u-blox on the roles that NB-IoT

can play in speeding IoT adoption

IN THIS ISSUE

50

MWC

PREVIEW/REVIEW

20 EXPERT OPINION

George Malim explores recent advances in NB-IoT

22 INTERVIEW

Philip Cole of Wireless Logic on market realities – and

rapid growth

27 IoT NOW ANALYST REPORT – THE INDUSTRIAL IoT:

IT’S ABOUT MORE THAN JUST THE IoT

In this edition’s independent Analyst Report, Jim Morrish,

founder and chief research officer at Machina Research,

drills down into how industry can exploit the IoT

37 EXPERT OPINION

Mike Troiano, AT&T’s VP - IoT Solutions, on moving

towards real world Industrial IoT deployments

39 INTERVIEW

Roberto Siagri and Robert Andres of Eurotech on spacecentric

IoT ecosystems

41 EXPERT OPINION

Patrick Kuo, CEO, ThroughTek on IoT innovation for

surveillance and the smart home market

45 INTERVIEW

Tanja Rueckert of business software giant SAP on

realising the IoT vision

50 MWC PREVIEW/REVIEW

Predictions, news and information from exhibitors

57 CASE STUDY

Numerex on a logistics project for a major manufacturer

60 ANALYST REPORT

Analysys Mason looks at AT&T’s connected car offerings

and strategies

62 IoT MASTERCLASS

Beecham Research examines issues of privacy and

identity in a connected world

63 IoT MASTERCLASS

BlueTC on tailoring connectivity and service levels for IoT

applications

Cover Sponsor: Telit operates as an enabler of the Internet of Things (IoT). It

develops, and markets cellular, GNSS, short-to-long range wireless modules plus

mobile connectivity services and application enablement platform to onboard edge

devices to the IoT. The company delivers managed and value added services;

application enablement; and connectivity management in a Platform-as-a-Service (PaaS) model. In

addition, the company offers mobile data plans in EMEA and the Americas that are packaged and priced

specifically for IoT business models. For the Automotive OEM and tier-one segment, Telit sells modules

that are certified and manufactured in compliance with regulations like ISO/TS16949. www.telit.com

IoT Now - February / March 2016

ANALYST REPORT

TALKING

INDUSTRIAL HEADS IoT

Telit’s Ronen

It’s about more than just the IoT….

Ben Hamou: IoT

innovation in a

time of shifting

boundaries

SEE YOU IN

BARCELONA FOR

3


COMMENT

The time traveller’s

guide to the IoT?

There comes a saddening moment in the life

of any self-respecting geek who grew up on a

diet of science fiction when they realise that

the nearest that they’re ever going to get to

time travel is just getting older. Having now

completed a full year of editing IoT Now, part

of me has become aware that I’m definitely

living ‘in the future’ as I look at the waves of

IoT now washing across the planet. I and

many of the industry experts that I’ve been lucky enough to interview and

speak with over that period all seem to have spotted the same trends: the

whole sector has now reached a kind of critical mass; the tendrils of the IoT

are inevitably reaching into even the most intimate aspects of our lives; and

that the future is going to be very, very different to even the recent past.

Alun Lewis,

editor, IoT Now

Magazine

As always, we’ve tried to reflect

some of these changes – and

their effects – in this our MWC

issue. For a start, in our analyst

report, James Morrish of

Machina Research, takes a look

at the IoT in the manufacturing

sector, presaging the next

industrial revolution. Its

repercussions could be as big

as the first one and warning

voices are already being raised about its

possible impact on employment levels,

economies and wider society. Powered looms

are not up for smashing this time, but change

always brings unexpected consequences.

We’ve also chosen to look at developments

out in the radio world – specifically NB-IoT

and LoRa – and have dedicated a whole

supplement to the last. At the risk of

sounding paranoid, it does look like the

Things have asked for – and got – their very

own network technologies, saving them

having to compete with those annoying

humans for bandwidth and connectivity.

While we get on with entertaining and

advertising ourselves to death in a blizzard of

multimedia trivia, our machines can chat in

the background to keep the essentials of

civilisation - power, water, transport and

housing - ticking over smoothly.

Additionally, we’ve got our usual wide range

of advice on best practice – such as how to

deal with increasingly important issues of

identity and privacy in a contribution from an

academic expert in this area on page 62.

Finally, it being that time of year again, we’ve

also provided a round-up of IoT related

activity expected at MWC this year. I hope to

meet at least some of you amidst the

crowded halls and aisles of that show of shows.

Alun Lewis,

Editor, IoT Now Magazine

EDITORIAL ADVISORS

Olivier

Beaujard,

vice-president

Market

Development,

Sierra Wireless

Erik Brenneis,

head of

Vodafone M2M

Alexander

Bufalino,

CMO, Telit

Robin Duke-

Woolley, CEO,

Beecham

Research

Andrew Parker,

project marketing

director,

Connected Living,

GSMA

Gert Pauwels,

M2M marketing

director, Orange

Business

Contributors in this issue of IoT Now

We are always proud to bring you the best writers and commentators in M2M and IoT.

In this issue they include:

EDITOR

Alun Lewis

Tel: +44 (0) 1296 660423

a.lewis@wkm-global.com

Jim Morrish

Chief Research Officer

at Machina Research,

Jim has over 20 years’

experience of strategy

consulting, operations

management and

telecoms research

EDITORIAL DIRECTOR & PUBLISHER

Jeremy Cowan

Tel: +44 (0) 1420 588638

j.cowan@wkm-global.com

DIGITAL SERVICES DIRECTOR

Nathalie Millar

Tel: +44 (0) 1732 808690

n.millarr@wkm-global.com

Peter Dykes

Peter has been in

telecoms for over 25

years, both as a freelance

and for major publishing

and research companies.

Current interests are in IoT

and smart cities

BUSINESS DEVELOPMENT

DIRECTOR

Cherisse Jameson

Tel: +44 (0) 1732 807410

c.jameson@wkm-global.com

DIRECTOR OF STRATEGIC

PLANNING

Charlie Bisnar

Tel: +44 (0) 1732 807411

c.bisnar@wkm-global.com

DESIGN

Jason Appleby

Ark Design Consultancy Ltd

Tel: +44 (0) 1787 881623

Morgan Mullooly

Morgan is an analyst at

Analysys Mason’s

Digital Economy

practice and co-leader

of the company’s IoT

and M2M Solutions

programme

PUBLISHED BY

WeKnow Media Ltd. Suite 138,

70 Churchill Square, Kings Hill,

West Malling, Kent ME19 4YU, UK

Tel: +44 (0) 1732 807411

DISTRIBUTION

UK Postings Ltd

Tel: +44 (0) 8456 444137

Robert

Brunbäck, CMO,

Telenor

Connexion

Aileen Smith,

head of Ecosystem

Development,

Huawei

Technologies

David Taylor,

managing

director, M2M,

Telefónica UK

IoT Now is distributed free to selected named individuals worldwide who meet the Publisher's terms

of Circulation Control. If you would like to apply for a regular free copy supplied at the Publisher's

discretion visit www.iot-now.com If you do not qualify for a free subscription, paid subscriptions can

be obtained. Subscriptions for 5 issues per year cost £125.00 worldwide (or US$210 / €160) including

post and packing.

© WeKnow Media Ltd 2016

All rights reserved. No part

of this publication may be

copied, stored, published

or in any way reproduced

without the prior written

consent of the Publisher.

Bill Zujewski,

SVP, IoT

Marketing &

Strategy, PTC

4

IoT Now - February / March 2016


MARKET NEWS

IoT will drive consumer tech revenues to US$287bn,

says Consumer Technology Association

Gary Shapiro,

president and

CEO, CTA

Tobias Ryberg,

Berg Insight

The CTA unveiled the

latest version of its semiannual

industry report,

U.S. Consumer

Technology Sales and

Forecasts, on the eve of

CES in Las Vegas.

According to the report,

smartphones, televisions

and laptops will continue

to drive U.S. retail

revenues and lead to one

percent industry growth

Berg Insight predicts 1 billion cellular

M2M subscribers by 2022

According to a new

research report from the

analyst firm Berg Insight,

the global number of

cellular M2M subscribers

increased by 23% during

2015 to reach 265.2

million at the end of the

year. East Asia was the largest regional

market with 90.4 million M2M

subscribers, followed by Western

Driven by continued

innovation in vehicle

connectivity and safety

technologies, global

revenue from automotive

display systems will grow

at a compound annual

growth rate (CAGR) of

more than 11% to US$18.6

billion by the end of

2021, adding nearly US$9

billion in annual revenue

PTOLEMUS Consulting

Group has released the

2016 edition of its usagebased

insurance global

study by offering a free,

125-page abstract. With

230 active programmes

and 12 million customers,

Usage-Based Insurance

(UBI) is now a truly

global phenomenon that

reaches twice as many

countries as two years

ago. By 2020, nearly 100 million

vehicles globally will be insured with

telematics policies. This will grow to

in 2016. While these categories –

together with tablets and desktops –

account for 51% of the consumer tech

industry’s revenue, the catalysts for

industry growth are newer innovations

such as wearables, virtual reality and

drones.

“The exponential growth of the IoT and

the lightning-fast speed of innovation are

key reasons we’ll see such strong growth

across so many tech categories, said Gary

Shapiro, president and CEO, the CTA.

Europe and North America with 59.0

million and 52.5 million respectively.

Over the next five years, the installed

base of cellular M2M devices is

projected to grow at a compound

annual growth rate (CAGR) of 22.9%.

“Our current view is that the 1 billion

milestone for cellular M2M subscribers

will be reached in 2022,” said Tobias

Ryberg, senior analyst Berg Insight and

author of the report.

IHS says automotive display systems to grow to US$18.6bn

by 2021, driven by connectivity, infotainment, safety

Mark Boyadjis,

IHS Automotive

Telematics will “uber-ise” the auto insurance

industry, says PTOLEMUS’ new UBI study

Frederic

Bruneteau,

PTOLEMUS

compared to 2015, according to IHS Inc.

“The automotive displays supply chain

will see some amazing growth and

innovation through the end of the

decade, as more vehicles debut new

displays or standardise larger ones in

the instrument cluster, centre stack and

head-up display systems,” said Mark

Boyadjis, senior analyst and manager

for Infotainment and HMI at IHS

Automotive.

nearly 50% of the world’s vehicles by

2030, generating more than €250

billion in premiums for insurers.

Frederic Bruneteau, managing director,

says: “Now that ultra-low cost solutions

are available, such as smartphone apps,

embedded car or aftermarket devices,

insurers have no excuse to procrastinate

any more. Change has come out of the

box and will not go back into it! Like

Uber, this will radically transform the

business model of auto insurance, from

underwriting to claims management.

The days of insurers who rely on purely

statistical models are numbered.”

New analysis of the IoT

market predicts key trends

for 2016 from 451 Research

451 Research has now released its

2016 IoT Preview Report. While

communications protocols, security,

competing WAN approaches and data

management remain concerns, early

adopters are focusing on muchneeded

business process changes

required to fully exploit the Internet of

Things.

In the report, 451 Research identifies

the key challenges facing this

emerging sector: business process

changes will continue to be the largest

barrier to IoT adoption; edge

communication protocols will remain

fragmented; the LTE-M timing gap and

new LPWAN upstarts will force the

hand of operators; the data generated

by ‘things’ will challenge storage,

cloud, analytics and visualisation

vendors; while security continues to

be a source of major concern. On the

brighter side, pricing for IoT

components is rapidly declining,

bringing IoT deployments within reach

of a larger audience.

NEWS IN BRIEF

Narrative, Ngenic, Tinitell

and EWA Solutions join the

Swedish IoT Alliance SMSE

The Swedish Alliance for IoT

Entrepreneurs (SMSE) has welcomed

four new members: Narrative,

Ngenic, Tinitell and EWA Solutions.

The latest expansion brings SMSE to

48 members and 14 partners and

indicates a growing and fullyfunctioning

IoT ecosystem in Sweden.

“Sweden has become a hotbed for

IoT across industries and our alliance

fuel that development,” said Magnus

Melander, the founder of SMSE.

“SMSE makes it easy to navigate in

the Swedish IoT eco-system which is

reflected in increasing interest, visits

and partnerships from key

international IoT players and media.”

Robots to reside in more than

10% of US households by

2020, finds Juniper Research

New data from Juniper Research has

forecast that over one in ten American

households will own a consumer

robot by the end of the decade, up

from under one in 25 this year. At this

early stage in the market, shipments

are expected to be dominated by socalled

‘task’ oriented robots assigned

to take over household chores, such

as lawn mowing or vacuum cleaning.

IoT Now - February / March 2016

5


COMPANY NEWS

Vodafone, Huawei

and u-blox claim

‘first successful

commercial trial’ of

pre-standard NB-IoT

Matt Beal,

Vodafone

Vodafone Group, Huawei,

and u-blox have completed

the first successful

commercial trial of prestandard

NB-IoT

(Narrowband Internet of

Things). Vodafone and

Huawei successfully

integrated the technology

into the operator’s existing mobile

network in Spain and then sent the first

pre-standard NB-IoT message to a u-

blox module installed in a water meter.

Matt Beal, director of Innovation and

Architecture, Vodafone Group,

commented: “Vodafone has led the

development of NB-IoT, the LPWA

technology in licensed spectrum that

has gained huge industry support. The

completion of this first commercial trial

with our partners is further evidence of

that. Once commercialised, NB-IoT will

provide tangible benefits for our

enterprise customers, principally making

it feasible to connect more devices to

the IoT.”

Stream and Morpho

cooperate on eSIM

deployments

Stream Technologies and Morpho, the

security specialists, have announced a

new collaboration to offer Stream’s

award winning IoT-X management

platform and global connectivity with

the MorphoFlex subscription

management solution. When used in

combination with eSIMS, MorphoFlex

will enable the remote provisioning and

change of localised cellular connectivity

for globally deployed devices via a

simple and secure bridge for MNOs

anywhere in the world.

Yves Portalier, VP and general manager

for the Telecom Business Unit at

Morpho (Safran), explained, “With the

growing global number of IoT devices,

this combined solution of MorphoFlex

and Stream’s IoT-X easily and securely

reduces supply chain complexity and

eases multinational deployment of new

categories of devices.”

Tom Blackie,

Real VNC

RealVNC extends long term

collaboration with Volkswagen

As a supplier of MirrorLink

to automotive and mobile

manufacturers, RealVNC

work very closely with

Volkswagen and all major

mobile phone OEMs to

provide a mature, highperformance

MirrorLink

implementation. The company has now

declared their commitment to Volkswagen

to refine and perfect the overall end-toend

user experience for MirrorLink

enabled devices.

Cubic Telecom and Audi have

announced a partnership to bring

Audi’s connected car infotainment

services to drivers across Europe. The

partnership will deliver robust, low-cost

connectivity for more than a million

Audi drivers, with customers not only

able to access Audi infotainment

services, but also purchase competitive

regional or Europe-wide bundled

connectivity plans to give them access

to Wi-Fi, personal apps and more

across Cubic Telecom’s LTE network

“We are thrilled to announce our

collaboration with Volkswagen and to play

a key role in ensuring that the millions of

Volkswagen cars enabled with MirrorLink

work well with all mobile devices”, said

Tom Blackie, VP of Automotive and Mobile

at RealVNC. “It’s reassuring to see major

mobile phone manufacturers, especially in

China and Asia, embracing MirrorLink and

even more so as most are now using our

technology. Expect to see many new

product announcements in the coming

weeks and months.”

Audi partners with Cubic Telecom to

deliver connected vehicles with

infotainment and Wi-Fi across Europe

Tom Davis,

CEO, Solair

“Having analysed the real

needs of our customers,

we decided to

reconfigure our offering,

to augment it and to

simplify accessibility to

our technology,” said

Tom Davis, CEO at Solair. “The result is

a new suite of seven software modules

inspired by the most requested IoT

applications on the market.”

The suite consists of seven modules,

covering 13 countries.

“We are thrilled to

Barry Napier,

partner with Audi to

Cubic Telecom

provide its drivers with

in-car connectivity,” said

Barry Napier, CEO of Cubic Telecom.

“This partnership is a testament to

Cubic Telecom’s ability to rapidly

expand connectivity programs for users

across not only Europe, but global

markets as our solution can be easily

scaled worldwide.”

Solair announces seven new IoT

software application modules

ORBCOMM announces the successful

launch of its 11 OG2 satellites

ORBCOMM Inc. has successfully

launched eleven next generation OG2

satellites from Cape Canaveral Air

Force Station, Florida. “Today marks a

significant milestone for our company.

I’d like to congratulate SpaceX on

making history by landing the Falcon

9’s reusable Stage one booster from a

record altitude. It’s an exciting day for

all of us in the space industry,” said

Marc Eisenberg, ORBCOMM’s CEO.

ORBCOMM’s OG2 satellites are

with each module a product that

performs a specific function. The

foundation module focuses on

managing the key elements of an IoT

application: collecting data from

products, sending it to the cloud,

transforming it into information. The six

other modules are designed to

standardise processes and to manage

specific conditions, e.g. preventive

maintenance, product life cycle, spare

parts, stocks and engineering data

management.

designed to provide

significant enhancements,

such as faster message

delivery, larger message

sizes and better coverage

at higher latitudes, while

also significantly

Marc Eisenberg,

ORBCOMM

increasing network capacity. The OG2

satellites are equipped with an AIS

payload to receive and report

transmissions from AIS-equipped

vessels for ship tracking and other

maritime navigational and safety efforts.

6 IoT Now - February / March 2016


WHAT’S HOT ONLINE

www. iot-now.com

Who will service the billions of IoT devices?

As the Internet of Things (IoT) converges with

servitisation, machine-to-machine learning, 3D

printing and cloud adoption, one of the biggest

considerations is going to be around service.

Whether it’s a kettle or an MRI machine, all of

these billions and billions of connected smart

devices are going to need servicing. This not only

impacts the field service industry, but will also

completely redefine it over the longer term along

with people’s expectations around service

delivery, says Mark Homer is vice president of

Global Customer Transformation for field service

management specialist, ServiceMax.

As devices and gadgets become connected,

service will move from reactive product insight to

providing predictive alerts, triggering service

technicians with the right skills to be deployed to

the right place before a fault takes place with

preventative maintenance, or in the event that

something occurs.

www.iot-now.com

(Search for: servitisation)

Fruitless search for a parking space could be

at an end for drivers in New Zealand capital

Smart Parking has concluded negotiations with

Wellington City Council and has been awarded

the NZ$1.4 million, five-year contract for the

provision of 3,000 parking sensors in the

Wellington CBD street parking areas.

The parking solution will also include Smart

Parking’s SmartApp which will allow motorists to

identify and be directed to streets with available

bays avoiding driving around searching for a spot

on roads which are already full.

This project follows a successful Smart Parking

trial of 72 V2sensors carried out earlier in the

year in Allen Street, with the Council also trialling

Palmerston North-based Frog Parking.

Speaking about the contract win, Paul Gillespie,

Smart Parking CEO said: “The SmartPark solution

will now make it easier for drivers to find a

parking space, which means also reducing

congestion and cutting vehicle emissions.”

www.iot-now.com

(Search for: Wellington)

‘Smart’ strawberries crop increases the quality

and reduces time from farm to market

Strawberries are widely appreciated for their

characteristic aroma, bright red colour, juicy

texture, and sweetness. But this fruit must also be

eaten as soon as possible because it does not

keep well.

Italy is the fourth highest producer of

strawberries in Europe (around 140,000 tons), on

a surface of 3,700 ha, 80% of which take place

inside covered spaces. Greenhouses are located

in the northeast of the Emilia Romagna Region,

one of the most important horticultural areas in

Italy, both for variety and quality of the products.

In terms of strawberry production, the common

goals of the growers are to shorten the time

between pick and sell and to increase the quality

of the berries (especially appearance and

flavour). The recent trends are a rising number of

farmers that sell their products on their own and

more interest in using smart solutions for a

continuous control of the factors affecting quality.

Ready data to avoid losses

Both these parameters have to be constantly

maintained within optimum ranges, in order to

avoid loss of product that otherwise can reach up

to the 80% of the yield, caused by the presence

of misshapen, plant collapsed and small fruit.

Farmers therefore need to know the level of

greenhouse temperature and soil water content

many times a day, in order to make decisions

about temperature management and water

supply. Famosa is an Italian company specialising

in innovative crop management and has chosen

Libelium’s Waspmote Plug&Sense! Smart

Agriculture to develop a solution that monitors

greenhouse field sensors with continuous data

control from a wireless system able to connect

sensors with the cloud.

www.iot-now.com

(search for: strawberries)

IoT Now - February / March 2016

hello@arkessa.com • +44 1279 799270

arkessa.com

7


CONTRACT NEWS

Ingenu and WellAware expand Machine

Network to provide new coverage in Texas

John Horn,

Ingenu

Ingenu and WellAware

have announced a

collaboration that will

add approximately

55,000 square miles of

coverage to the

network’s footprint.

Covering the greater

Texas geographic area,

the public network, powered by

Ingenu’s RPMA® communications

technology, will serve a variety of

industries, including WellAware’s oil

and gas applications.

“The solid partnership with

WellAware has enabled Ingenu to

accelerate its Machine Network buildout

strategy in the Southern U.S.,”

said Ingenu CEO, John Horn.

“WellAware has developed extremely

innovative, secure and reliable

solutions based on our RPMA

technology, and we will continue to

collaborate and extend the Machine

Network as they expand.”

Telenor Connexion signs deals for Chinese

shipping and Husqvarna lawnmowers

CIMC MIoT Ltd, part of China

International Marine Containers

Group Ltd., has signed a global

agreement with Telenor Connexion

to provide them with a solution

involving global coverage and multioperator

set up to optimise network

access.

“CIMC is the largest container

manufacturing company in the world

and we are proud to be associated

with this brand and to have the

opportunity to deliver our solution to

this prominent company”, said Mats

Lundquist, CEO of Telenor Connexion.

Additionally, Husqvarna Group, has

selected Telenor Connexion as its

global connectivity partner for the

next generation of connected robotic

lawn mowers and associated

services. Telenor

Connexion will supply

Husqvarna Group with a

managed connectivity

solution that automates

the delivery and

management of services

Mats

Lundquist,

Telenor

Connexion

to the connected devices, including a

global SIM, access to a Service Portal

and a proactive 365/24/7 IoT

dedicated Service Desk.

THE CONTRACT HOT LIST

IoT Now February/March 2016

It's free to be included in The Contract Hot List, which shows the companies announcing recent contract wins,

acquisitions or deployments. Email your contract details to us now, marked "Hot List" at

Vendor/Partners Client, Country Product / Service (Duration & Value) Awarded

3Cinteractive Wyless Messaging for IoT 12.2015

Airbiquity Arynga Connected car software updates 1.2016

Altair Korea Telecom LTE connectivity for smart meters and tracking 12.2015

Aeris G&D Secure IoT connectivity 12.2015

Arkessa Tixi.com, Germany Connectivity for Field Bus and PLC monitoring 11.2015

Axiros Stadtwerk Konstanz, Germany Zero-touch IoT device management 12.2015

Connected Vehicle Association MusiComms, USA Connected car music delivery needs 1.2016

Cubic Telecom Audi, Europe Connected vehicle infotainment and WiFi connectivity 1.2016

Cyan Newcapec, China Smart metering 12.2015

Cyan Enzen Global Solutions, India Smart metering 12.2015

Device Solutions FokusLabs Anti-distraction wearables development 1.2016

Ericsson Volvo Cars Intelligent media streaming for driverlass cars 1.2016

Essence GetSafe, USA Domestic security 1.2016

Huawei Beltelecom, Belarus Smart home solutions 12.2015

Ingenu WellAware, USA Oil and gas connectivity 1.2016

Kii Toshiba Wearable tracking connectivity and platform 12.2015

KORE DipJar Cashless tipping 1.2016

KORE T-Mobile Continued 2G IoT support to 2020 12.2015

Libelium IBM Bluemix Sensor integration for smart cities 12.2015

LinkLabs LPRS, UK LoRa-based products distribution deal 12.2015

McCourt Skyware Acquisition in satellite connectivity 12.2015

Microlise ARYZTA, UK Fleet management and telematics 12.2015

Microlise MAN, Middle East and Africa Telematics solution partnership 12.2015

Microlise Morrisons, UK Telematics solution 12.2015

NXP Freescale Acquisition 12.2015

PTC Kepware, USA Acquisition - industrial automation connectivity 12.2015

RealVNC Volkswagen Mobile connectivity 1.2016

SIGFOX OVH Data analysis platform integration 1.2016

SIGFOX Groupe La Poste, France Remote ordering service 1.2016

Splunk Graphmasters, Germany Route optimisation analytics 1.2016

Synchronoss OnStar M-commerce and cloud for Connected cars 1.2016

Telenor Connexion Chinese CIMC MIoT Global logistics and tracking 12.2015

Telenor Connexion Kamstrup Smart metering 12.2015

Telenor Connexion Husqvarna Robot lawn mower support 12.2015

Telensa Gloucester Council, UK Smart street lighting control 12.2015

Telit Morpho IoT emergency response in Russia 12.2015

Truphone CoSwitched, UK Acquisition of connectivity management platform 12.2015

Wyless T-Mobile Continued 2G IoT support to 2020 12.2015

Key:

AIS = Automatic Identification System

EV = Electric Vehicle

M2M = Machine-to-Machine

PaaS = Platform as a Service

RFID = Radio Frequency Identification

SIM = Subscriber Identity Module

TTM = Time-to-Market

8 IoT Now - February / March 2016


locate, communicate, accelerate

Narrowband

dI IoT


the technology that makes things Smart.

www.u-blox.com/NB-IoT/


PEOPLE NEWS

Brandon

Tolany

Brandon Tolany joins Silicon Labs as senior VP of worldwide sales

In this role, Mr. Tolany becomes responsible for

driving Silicon Labs’ revenue growth through global

sales and distribution channel development and

strategic OEM customer activities. “I am thrilled to

start the New Year with this exciting challenge –

leading the worldwide sales and distribution

organisation for one of the most dynamic

innovators in the Internet of Things market,” said

Tolany. “I look forward to leading Silicon Labs’

global sales team as we deliver best-in-class

connectivity solutions to our many thousands of

customers throughout the Americas, Europe and

Asia-Pacific regions.”

Prior to joining Silicon Labs, Mr. Tolany served as

senior VP, chief sales and marketing officer at

Freescale Semiconductor.

David Cleevely steps down as chair of Cambridge Wireless

- Samsung’s Raj Gawera takes charge

David Cleevely

and Raj Gawera

David Cleevely, CBE, FREng, is stepping down as

chair of Cambridge Wireless after 15 years in the

role since the organisation was founded as

Cambridge 3G to drive the emerging mobile

industry in the UK. David will be replaced by Raj

Gawera who is VP and managing director of

Samsung Cambridge and Samsung Aalborg.

David will remain as a member of the CW board.

CW is now recognised as an international

community for companies involved in the research,

development and application of wireless, mobile

and internet, semiconductor and software

technologies, with over 400 members from all over

the world.

“I’m both honoured and excited to be appointed in

this role and receive the baton from David’s

extremely capable hands at a pivotal time for the

wireless industry,” said Raj Gawera. “We stand on

the brink of a complete reboot of the whole

wireless industry with a maturing and consolidating

smartphone-centric market making way for a mix of

new core technologies and innovative business

models under the IoT banner. However, not all

newcomers to the IoT party will be successful.”

Marc

Kekicheff

GlobalPlatform announces its Board of Directors

GlobalPlatform, the secure chip standards body,

has that Marc Kekicheff, senior director of Chip

Innovation at Visa Inc., retains his position as

GlobalPlatform chairman for the sixth consecutive

year. Nils Gerhardt, group VP at Giesecke &

Devrient, joins the Board as GlobalPlatform’s new

vice chair. Yves Moulart, director of development

and innovation within ST Microelectronic’s Secure

MCUs Division, retains his role as GlobalPlatform’s

secretary/treasurer.

Rob Coombs, security marketing director, Systems

& Software, ARM; Rémi de Fouchier, VP, marketing

at Gemalto; and Sebastian Hans, principal member of

Technical Staff at Oracle were relected. Stéphanie

El Rhomri, VP, technology at FIME is newly elected.

Marc Kekicheff commented: “GlobalPlatform’s

success is based on the diversity, experience and

expertise of its membership and the new Board

reflects that diversity and authority. A key priority

for the organisation in 2016 is the adoption of the

GlobalPlatform TEE (Trusted Execution Environment)

Certification Scheme by different vertical markets.”

Alexander

Bufalino

Telit CMO Alexander Bufalino voted chairman of the IoT M2M Council

“The IMC has reached critical mass in terms of its

size with over 15,000 members,” said Bufalino. “In

2016 we’ll be turning our attention to providing

them with opportunities to interact with each other

and learn more about successful IoT business

models. To this end, the IMC has just begun

producing webinars for its members on hot-button

topics like systems integration, security, and new

low-power technologies, in addition to providing

case studies, newsletters, and other content.”

Bufalino was chosen, in part, for his more than 15

years of experience in marketing solutions for

embedded systems, including stints at Siemens and

EnOcean, before his current 10-year period at Telit.

“Alex is an industry visionary, and we look forward

to working with him to take the IMC to the next

level, in terms of the value the organisation

provides,” said IMC executive director, Keith

Kreisher.

Jeff Benck

Former Emulex CEO Jeffrey Benck joins Lantronix as president and CEO

Networking company Lantronix, a provider of

smart IoT and M2M connectivity solutions, has

appointed Jeffrey W. Benck as president and CEO

of the company.

"Lantronix has innovative technology that is needed

by the industry to enable otherwise unconnected

machines to communicate with the rest of the

world, just as the 'Internet of Things' moves into its

broad adoption phase,” said Benck. He holds an

MSc. in management of technology from University

of Miami and a BSc. degree in mechanical

engineering from Rochester Institute of Technology.

10 IoT Now - February / March 2016


PRODUCT NEWS

Gooee announces enterprise IoT

gateway for lighting and sensing

Developed to include features such as a

cloud-integrated OS, the gateway

supports multiple communication

protocols including Bluetooth, Zigbee

and WiFi chips, along with both an

Ethernet and Serial port. The gateway

will run Gooee’s Bluetooth Mesh,

purpose-engineered for lighting and

sensing end-points.

Gooee’s CTO, Simon Coombes,

explains, “Many hub and gateway

manufacturers claim their devices

support thousands of end-points, in

some cases tens of thousands. That

might be possible if you need a limited

amount of control and are just turning

Redpine Signals today announced the

launch of what they state is the world’s

first wireless microcontroller module

with built-in support for multiple

wireless protocols including Wi-

Fi, Bluetooth Classic,

Bluetooth Low Energy,

and ZigBee. The

WiSeMCU modules

include the RS10001 – an

ultra-small 8.6 x 8.6 mm

wireless MCU with singleband

Wi-Fi, dual-mode BT,

ZigBee, and a 100 MHz ARM

Cortex M4. By combining the

processor with multi-protocol

groups of

lights on

and off. At

Gooee, we

are dealing

with

individual

end-point

control

and a vast

sensory

network

generating Simon Coombes, Gooee

large

quantities of environmental and energy

data, so our gateway is designed for

this kind of enterprise scale.”

Redpine Signals launches wireless MCU Module with

Dual-band Wi-Fi, Bluetooth Classic, Bluetooth Low

Energy, and ZigBee Support

wireless support, Redpine Signals is

making it easier for mobile and IoT

product designers to build next-gen

products with seamless connectivity.

The WiSeMCU module family is fully

certified and comes with a

comprehensive development kit

with extensive software

libraries, example

projects, cloud access

and support for multiple

development

environments.

WiSeMCU Module

Taoglas - antenna

innovation for the

Vehicle-to-Vehicle market

The Taoglas DCP.5900 supports the

latest communications technology for

vehicles – DSRC (dedicated shortrange

communications) - enabling

two-way short-to-medium range

wireless communications which are

critical for active safety applications. The

antenna operates from 5850MHz to

5925MHz, fully covering the spectrum

allocated for DSRC by the U.S. Federal

Communications Commission (FCC)

and the European Telecommunications

Standards Institute (ETSI.) Using these

frequencies, DSRC will enable cars to

communicate with each other and alert

drivers to roadside hazards ahead.

“For DSRC devices, antenna

performance is essential – these

devices need to work at all times, even

in the toughest RF environments. With

safety applications there’s no room for

error,” said Dermot O’Shea, Taoglas

joint CEO. “The DCP.5900 has an

efficiency of 75% and works in rugged

environments, even providing

continuing connectivity in harsh

weather conditions such as sub-zero

or very high temperatures.”

Taoglas

DCP.5900

OPINION

SPONSORED COLUMN

IoT Enablement technology is here. Now Innovate!

In its January 9-15, 2016 issue, The Economist featured a review of “The Rise and Fall of American

Growth” in its Books and Arts section. The book from American economist Robert Gordon received

great praise from the magazine’s editorial staff for Mr. Gordon’s arguments, particularly on the parallel

he draws between the Internet and the decade after the Civil War when innovation took off led by

inventions including the motor car and electricity. In his book, Mr. Gordon discusses the increase in

the speed of change, citing as examples, how in the 30 years ending in 1900, American railways were

adding 20 miles of new tracks every day and mail order company Sears & Roebuck was shipping

100,000 orders a day from a thousand page catalog.

Alexander Bufalino,

CMO, Telit

In so many ways, we are living something similar to

that era now with the Internet of Things. The

power packed by the IoT is in fact so massive that

the organisers of this year’s World Economic

Forum in Davos, Switzerland made the decision to

dedicate the event to what they call “The Fourth

Industrial Revolution”. The organisers of this

prestigious event go as far as saying that this

revolution “not only will change what people do, it

will change who they are”.

Electricity and cars enabled a revolution

unleashing an era of innovation. The IoT has the

same potential as an enabler. But what we are

missing is the passion and drive to innovate that

we saw in the early 1900s. Now that IoT

technology is here, let’s go innovate and deliver

the much anticipated revolution.

IoT Now - February / March 2016

11


WHAT’S HOT ON IOT GLOBAL NETWORK

IoE will help retailers create

the intelligent high street

In 2015, we saw a continuation in the decline of consumers visiting local high streets, writes Sarah

Eccleston, the director for Enterprise Networks at Cisco UK and Ireland. November alone saw a

2.1% reduction on the previous year in what is usually expected to be one of the busier retail

months, with consumers favouring the ease of online shopping and the thrill of getting themselves

the best bargains from the comfort of their home. As such, the current challenge for UK retailers is

all too easy to see.

The subsequent rise in online retailing, which

reached double digit growth in September,

according to the latest figures from the IMRG

Capgemini e-Retail Sales Index, has put

increasing pressure on retail business owners to

mirror the often seamless and consumer friendly

in-store experience through new, digital channels.

What’s more, we’re increasingly seeing online and

offline come together to improve the retail

experience, in turn opening up new and

interesting ways to engage with customers. The

Internet of Everything (IoE), for example, is

enabling retailers to go above and beyond

consumer expectations by creating an intelligent

high street that combines online and physical

realms.

Read the rest of this two-part article at www.iotglobalnetwork.com (Search for: Eccleston)

Sarah Eccleston,

Cisco Systems

Jedi-OT knights and the SIM-less wonders

Long ago, in a cellular galaxy not too far away,

this ubiquitous device was specified by ETSI and

in 1991 the first batch were produced by G&D. It

provides secure, authenticated access for billions

of people globally to cellular networks and is, of

course, the dear old SIM card. This invention has

been a vital enabler for the growth of mobile

telephony but has it done the same for M2M? And

will it do so for the IoT in the future, asks David

Parker, senior analyst with Beecham Research.

Read the full blog at

www.iotglobalnetwork.com

(Search for: Beecham)

Life on the cusp of Industry 4.0 –

the fourth Industrial Revolution

Manufacturing has come a long way since the

Industrial Revolution in the 18th Century, writes

Martin Hill, vice president of marketing at Epicor

International. The second Industrial Revolution in

the 1900s saw the introduction of mass

production. In the late 1960s, electronics and the

automation of production lines entered the

industrial environment. Now, we are benefiting

from robotics and are beginning to discover the

value of 3D printing. We are on the cusp of

Industry 4.0, the fourth Industrial Revolution.

Read the full blog at

www.iotglobalnetwork.com

(Search for: Epicor)

Why the IoT could transform how we view sheep

While the IoT can quite rightly be criticised for

the amount of hype it has generated in the last

two or three years, look a little more closely and

you will find a range of practical applications,

writes James Wickes, the co-founder of

Cloudview. Some are still in the development

stage, such as Lancaster University’s research

into countryside applications which may see the

fitting of digital collars onto sheep and, more

topically, placing sensors on riverbanks and

installing rain flow and river flow monitors. Other

applications may be less headline-grabbing but

offer immediate benefits provided that

organisations maintain appropriate security.

Read the full blog at

www.iotglobalnetwork.com

(Search for: CCTV)

12 IoT Now - February / March 2016


TALKING HEADS

Ronen Ben-Hamou is EVP, IoT Technologies & Solutions at Telit, having

joined the company towards the end of 2015 after a period as COO and

head of R&D at the Modems Business Unit of Ericsson. Before that, he

held a number of senior roles with Infineon Technologies.

“We’re all constrained in our thinking and planning by the

maps that we use – both the ones in the physical world and

the ones we carry in our heads”

The challenges of navigating the

converging landscapes of the IoT

The IoT presents its own unique challenges when compared to past innovation waves

in the communications and IT sectors. Historically, technologies were generally

developed for specific applications or markets, with clearly defined boundaries,

functions and business models supporting them. The endpoints – the fixed telephone

handsets, the computers, the mobile devices – were all well understood and networks

and information flows could largely be visualised in two-dimensional ways.

The constantly expanding universe of the IoT

could not be more different. Multi-dimensional

value chains, complex and diverse network

topologies, data flows measured by the petabyte

and the involvement of many different subindustries,

each moving at their own speed,

present an awesome challenge for anyone trying

to coordinate the rollout of commercial solutions

– and anticipate the impact of new technologies

across a range of different disciplines.

IoT Now’s editor, Alun Lewis, recently sat down

with Ronen Ben-Hamou, EVP, IoT Technologies

and Solutions at Telit, to talk through this

constantly shifting landscape and get a feel for

the directions that Telit was taking and what

influences were at work on the wider industry.

IoT Now: Ronen, you joined Telit last autumn

after a distinguished career largely in

communication technologies with companies

like Ericsson and Infineon. How do you see this

background as fitting in with both Telit’s own

strategy and the evolution of the IoT?

RB-H: For me, this new and much more direct

involvement with the IoT is a natural

development. In my previous roles, especially

when leading large scale core technology R&D,

you need a well-developed personal radar not

only to be able to spot early on those areas that

are going to differentiate and repay investment,

but what the timescales on each are going to be.

Managing innovation successfully remains the

hardest challenge for a company of any size,

especially if you have a potentially large budget

to play with. The IoT environment is no different –

some components are being commoditised over

time and innovation is shifting to other areas of

the value-chain.

We’re all constrained in our thinking and planning

by the maps that we use – both the ones in the

physical world and the ones we carry in our

heads. Anyone who has ever been involved with

the military knows how dangerous a map can be

in inexperienced hands – and how unchallenged

assumptions about the terrain, the enemy, supply

logistics and the competence of the teams

involved can quickly turn a potential victory into

dismal and bloody defeat.

In this context, one of the implicit problems with

the continuously evolving multi-dimensional

value-chain of the IoT is that many of the players

on both sides of vendor-customer relationships

are navigating with outdated or redundant maps.

One of my key roles with Telit involves expanding

the company’s portfolio of products, services and

solutions, enhancing the depth and richness of


IN ASSOCIATION WITH TELIT

IoT Now - February / March 2016

13


TALKING HEADS

The sensor data – be it temperature, humidity, motion,

light, and so on – was transferred to the cloud for

monitoring and controlling purposes

our own maps, helping customers and partners

understand their own topographies better and

identifying areas for investment, improvement

and innovation.

If you look at Telit’s approach and portfolio, it is

transforming these IoT visions and ideas into

reality. Through our triple play of a wide range of

hardware modules, connectivity services and a

feature-rich platform, we help our customers to

significantly reduce their overall IoT project costs

and provide a faster return for their businesses.

IoT Now: One aspect of this that struck me a

few years ago was the importance of new

technologies in the world of sensors –

effectively the eyes, ears, noses, skin – and even

potentially tongues - of the IoT universe where

the virtual world met the physical. What’s Telit’s

take on this area?

RB-H: You’re right – and I believe your analogy to

the human body is an accurate one. A few years

back, thanks to MEMS for example, the IoT world

has just started to scratch the surface of what is

possible, integrating basic sensors with simple

one-dimensional functionalities. The sensor data

– be it temperature, humidity, motion, light, and

so on – was transferred to the cloud for

monitoring and controlling purposes. However,

with further innovation and the introduction of

more advanced sensors and actuators, the edge

device is also evolving in its role and functionality.

In addition to collecting sensor data and

transferring it to the cloud, the edge device will

have embedded intelligence to analyse the data

and act – to save battery power, when

communication with the cloud is lost, or in case

of emergencies, to name just a few reasons.

We at Telit are closely following developments in

this area and are committed to allowing our

customers to exploit its full potential through our

internal R&D, as well as partnerships with other

companies, including start-ups, and academia.

Let me give you just one practical example. With

MEMS sensors and advanced algorithms

developed at Telit, we now offer MEMS-only dead

reckoning (MoDR) GNSS modules – more

information available at

www.telit.com/dead_reckoning/. These products

allow continuous navigation in tunnels, parking

lots, urban canyons and other such cases where

satellite reception is lost. This is translating sensor

innovation to increase value-add to our

customers and enable a whole new range of

applications.

IoT Now: If that’s the edge – what of the

network itself – both local and wide area?

RB-H: We have to distinguish between two

different aspects affecting it – market segments

and communication technologies. The IoT covers

a wide range of market segments with diversity

in type of edge devices, their geographical

location and mapping, sensors and actuators,

collected data, content and frequency of data

transmitted to and from the cloud, security

profiles, and so on. These all affect the role of the

network in the IoT world, with different

topologies being needed. When it comes to

those communication technologies that form the

network, we are in the midst of the evolution –

and later convergence - of the technologies

needed to meet the unique and challenging

requirements of the many IoT market segments.

Such evolution is crucial to reach and support

billions of connected devices.

In the wide area context, this is a space that’s

become really exciting again. On the one hand

we have the ETSI/3GPP/operator community in

the licensed frequencies with widely deployed

networks, making the first steps in evolving

towards IoT optimised technologies such as LTE-

M and NB-IoT, along with spectrum refarming

already taking place in some countries. This is

only natural, as cellular operators are looking to

extract the maximum value from their

investments in radio spectrum. On the other

hand, we have newly emerged technologies such

as SIGFOX and LoRa to address the needs of

markets that can benefit from Low Power Wide

Area (LPWA) options. While these technologies

are optimised in cost and power for IoT, they are

new and we face the inevitable challenges

involved in deploying a new technology and

creating complementary eco-systems with

sufficient scale. Telit is absolutely agnostic in this

aspect of the IoT as we clearly recognise that

one-size-fits-all approaches are redundant in a

market distinguished by its diversity. We offer

modules and solutions covering wide range of

technologies, enabling full flexibility to our

customers.

On the local side, things are similarly active – and

Telit’s commitment to offering the maximum


14 IoT Now - February / March 2016


choice to our customers – and, in turn, their customers - is

represented well by our acquisition at the start of 2016 of

significant intellectual property in the Bluetooth and NFC areas

from Stollmann in Germany. The evolution of the Bluetooth

standard to now include Bluetooth Smart as well as ongoing

work to extend its range and add functionality such as mesh

networking, position Bluetooth as one of the key technologies for

future short-range IoT networks. The integration of Bluetooth

Smart-ready, Bluetooth Smart and NFC technologies into our

portfolio brings further value to our customers and partners by

enabling a wide range of end-to-end solutions which can address

different market segments.

IoT Now: You mentioned that real convergence – an often

abused and overused word – is finally happening. What are the

signs that you see?

RB-H: Before we can announce the winners, I think we need to

take a step back and acknowledge the sheer complexity of the

end-to-end solutions that we are talking about. Not only are

many different topologies of IoT networks and solutions possible

- and needed in order to enable cost-effective applications across

different market segments – but we still today face a fragmented

reality in almost every layer of the solution: communication

technologies, routing protocols, operating systems, application

frameworks. And that list goes on and on. Stepping back for

a moment, history has shown that in most cases

convergence inevitably happens, irrespective of

whether it is driven by standardisation

bodies or commercial companies creating

it de-facto based on their market share.

The need for convergence in IoT to

enable interoperability, and in turn

economy of scale, has long been

discussed. While this need is

accurate, I think we have to face the

reality that it isn’t exactly around

the corner yet but, nevertheless,

this won’t stop organisations

trying to take advantage of the

IoT today in order to stay relevant

and competitive. This is where

Telit’s role and abilities are

becoming critical to our

customers – not only through

our wide range of products but,

just as importantly, being a

triple play provider of tightly

integrated hardware modules,

connectivity services and a

platform that encourages

them to start the journey

towards an IoT-enabled

world.

Ronen Ben-Hamou,

EVP, IoT Technologies

& Solutions, Telit,

IoT Now - February / March 2016

15


INTERVIEW

NB-IoT – another option

in the IoT toolbox

An avalanche of initiatives related to low power wireless networking hit the IoT industry

during 2015. At the end of that year, the 3GPP announced that the leading players in

the telecom industry had agreed to develop a joint new standard for IoT

communications based on existing mobile network infrastructure. The Narrowband-IoT

(NB-IoT) standard is now in the final stage of development and should become

commercially available by the end of this year. Tobias Ryberg of analyst firm Berg

Insight speaks to Simon Glassman, head of Strategic Partnerships, EMEA, u-blox,

about the new standard and the opportunities it creates.

IN ASSOCIATION WITH U-BLOX


16 IoT Now - February / March 2016


NB-IoT is one of several technologies that u-blox

is developing to drive innovation in IoT. We are

also planning to launch LTE CAT 1 products

during 2016 and LTE-M products in future

IoT Now: What’s the background to the NB-

IoT initiative for the mobile industry and

how does it fit into the wider picture of 4G

and 5G mobile technology?

SG: IoT represents a major shift in the

strategic thinking of mobile technology

development. Historically, all improvements

from 2G to 3G and 4G were entirely focused

on achieving higher data speeds. A few years

ago there was a realisation that the Internet

of Things will require a very different set of

technologies when compared with the

traditional smartphone use-case. A

smartphone is designed for sending and

receiving massive amounts of data during the

day and being recharged during the night. IoT

devices on the other hand typically send

small amounts of data and may be required to

operate on a single coin-cell battery for many

years. In addition, the IoT market is highly

sensitive to cost. The 3GPP has addressed

these challenges with a number of initiatives

aimed at improving its existing mobile

technology standards. Cat 1/Cat 0 are existing

enhancements to LTE that reduce the cost,

complexity and power consumption of 4G

devices. LTE-M and EC-GSM are two further

tweaks to existing standards that will optimise

LTE and GSM respectively for IoT. NB-IoT is

specifically designed to offer a platform for

ultra-low cost, low throughput use cases. The

standard is designed to coexist with LTE and

can be deployed in-band utilising resource

blocks within normal LTE carrier or

standalone for deployments in dedicated

spectrum.

IoT Now: What unique use cases can NB-IoT

address?

SG: Reducing cost and power consumption

while increasing coverage are the principal

drivers behind the development of NB-IoT.

There is a wide range of IoT application areas

where mass adoption is held back by the

inability to meet one or more of these

requirements. Smart cities and smart

agriculture are amongst the biggest

greenfield opportunities that require new

network infrastructure and ultra-low cost

radios in order to take off. For smart

metering, NB-IoT offers great potential to

expand the addressable market. The cost of

adding communication capabilities to a utility

meter is still too high outside of most

developed economies. In the case of gas and

water meters, power consumption is also a

critical factor as they are generally battery

powered. Last, but not least, network

coverage is a constant issue in smart

metering rollouts all over the world. Meters

have a very strong tendency to turn up in

difficult locations such as in cellars, deep

underground or in remote rural areas.

When it comes to consumer applications, NB-

IoT offers the ability to connect devices

directly to the Internet without using a

tethered link via the user’s smartphone.

Wearables, medical sensors and GPS trackers

are some examples of device categories

where NB-IoT could provide tethering.

Household appliances are another potential

area of application. The world’s largest white


Simon Glassman,

head of Strategic

Partnerships,

EMEA, u-blox

IoT Now - February / March 2016

17


INTERVIEW

NB-IoT is a part of the wider cellular

M2M/IoT ecosystem where key players

include mobile operators, network

infrastructure vendors, chipset suppliers,

module vendors and systems integrators

goods manufacturers are in the process of

figuring out how to add connectivity to their

products in the future. NB-IoT is a

straightforward solution to this problem and

doesn’t involve hooking up the appliance to the

owner’s personal Wi-Fi network or smartphone.

NB-IoT essentially provides one hop to the

internet avoiding any complex installation and

deployment issues associated with gateways;

essentially ‘switch on and go’.

NB-IoT is one of several technologies that u-blox

is developing to drive innovation in IoT. We are

also planning to launch LTE CAT 1 products

during 2016 and LTE-M products in future. We

see the technologies as complementary; enabling

the industry to address a wide range of IoT

application and use case requirements with

different data rate, power consumption, coverage,

mobility and transmit frequency needs.

IoT Now: What are the benefits of NB-IoT over

unlicensed spectrum-based LPWA

technologies?

SG: NB-IoT is deployed in the frequency bands

allocated for LTE. The key advantage of using

licensed spectrum as opposed to unlicensed for

long range communications is quality of service

in the broadest sense: availability, reliability,

robustness, ease of use, billing, etc. Licensed

frequencies come with a guarantee against

interference and can be more easily monitored.

When using the ISM-bands, there is a constant

risk that some other device or application may

disrupt your service. In addition there are some

fundamental aspects of scalability for unlicensed

spectrum. At some point the ISM-bands will

become highly congested if extensively used for

IoT. The use of licensed spectrum facilitates

international roaming and interoperability. NB-IoT

will support international deployments right from

the start in the same way as other mobile

technologies. ISM-band technologies are on the

other hand fragmented along geographic lines,

with different frequencies allocated in Europe,

North America and Asia.

IoT Now: What does the NB-IoT ecosystem look

like?

SG: NB-IoT is a part of the wider cellular M2M/IoT

ecosystem where key players include mobile

operators, network infrastructure vendors,

chipset suppliers, module vendors and systems

integrators. The technology is widely supported

by the leading players in the telecom industry.

The GSMA’s Mobile IoT Initiative is supported by

around 30 of the world’s leading mobile

operators, plus OEMs, chipset, module and

infrastructure companies. A key part of the

initiative is the establishment of the NB-IoT

Forum that will focus on fostering a global

ecosystem for NB-IoT technology. Several mobile

operators are launching new NB-IoT Open Labs,

which will focus on new service innovation,

industry development, interoperability testing

and product compliance certification. There will

also be coordinated efforts to drive industry

awareness of the new technology and engage

with key verticals.

IoT Now: What are the proof of concept NB-IoT

deployments in place today trying to validate?

SG: Pre-standard NB-IoT technology has already

been successfully tested in field trials in different

parts of the world. Last year, u-blox took part in a

pilot conducted by Vodafone and Huawei in

Valencia, Spain. Vodafone and Huawei integrated


18 IoT Now - February / March 2016


Today, u-blox provides products and

evaluation kits for developers and system

integrators to allow them to experience the

technology, its performance and ease of use

the technology on the operator’s existing mobile

network and successfully communicated with a

u-blox wireless module in a water meter. A key

focus for the pilot was to evaluate coverage and

penetration aspects of NB-IoT, which proved to

be very good relative to GSM. Another early pilot

was conducted by Deutsche Telekom and Huawei

in Bonn, Germany. u-blox NB-IoT technology has

been an integral part of these and other trials

taking place in other regions.

IoT Now: How can developers get access to NB-

IoT technology, and when?

SG: Today, u-blox provides products and

evaluation kits for developers and system

integrators to allow them to experience the

technology, its performance and ease of use. As

soon as the final version of the NB-IoT standard

is published we will be releasing further

development kits and commercial products.

Based on the current timetable from the

standardisation bodies, the NB-IoT standard

should be ready in the first half of this year. We

expect that we will release our first commercial

NB-IoT products in the second half of 2016. Of

course, NB-IoT modules would be of limited use

without networks. Fortunately, the strong

support from many of the world’s largest mobile

operators makes us confident that there will be a

rapid uptake of the technology worldwide. By

2017 we expect to see commercial NB-IoT

networks across Europe and North America, as

well as in China, South Korea, the Middle East and

Latin America.

communications and global positioning. Based in

the UK, Simon has responsibility for developing

and executing strategic partnering and market

collaboration initiatives, with a particular focus on

the rapidly growing Mobile IoT ecosystem. Key to

this role is developing relationships with the

mobile operator, systems integrator and IoT

application enablement community. Simon joined

u-blox in Sept 2015 from Numerex Corp, where

he was VP, International Business Development.

Simon holds a BSc in Electrical and Electronic

Engineering from Cardiff University, and is a

Member of the Institution of Engineering and

Technology (MIET).

The exciting thing for developers is that NB-IoT

opens up a huge range of applications where the

total cost of ownership for the end customer,

usually a company, is radically lower than using

existing technology. Developers, systems

integrators, and product companies can build new

business around NB-IoT, secure in the knowledge

that it has the whole of the cellular industry

behind it and so avoids proprietary solutions with

all the well-known limitations they bring.

Simon Glassman is head of Strategic

Partnerships, EMEA at u-blox, a leader in

semiconductor components for wireless

IoT Now - February / March 2016

19


EXPERT OPINION

Narrowband IoT provides wider

choices for IoT applications

NB-IoT is just one of a new range of LPWA (Low Power Wide Area) wireless technologies. IoT

Now contributor George Malim assesses what the technology offers in contrast to its rivals

With analyst firms including Analysys Mason,

Machina Research and Strategy Analytics

anticipating that there will be 2.7 billion LPWA

connections by 2022, it’s clear that low power will

have a wide range of applications. However, there

are several options for organisations to consider

in regard to which LPWA technology to select

and whether to opt for licensed or unlicensed

connections.

Cellular industry association, the GSMA, has

recently established its Mobile IoT Initiative to put

forward the case for licensed technologies, which

its operator members offer. The initiative will

focus on three proposed complementary licensed

3GPP standards: LTE Machine Type

Communication (MTC), Extended Coverage GSM

and Narrow band IoT (NB-IoT) technologies.

“NB-IoT is part of a wider range of LPWA

technologies that the GSMA has been working to

promote through our Mobile IoT Initiative,”

explains Dr Shane Rooney, an executive director

at the GSMA. “We’re supporting this family of

technologies because it will be a case of horses

for courses, depending on where you are and

what technology you have available.”

“Where you have mostly 2G or 3G networks as

we do in Europe with 4G coverage limited to

cities and motorways, NB-IoT is going to be the

most effective option,” he adds. “In fact, it’s going

to be the only one you’re going to be able to use.

On the other hand if you’re Verizon or AT&T in

the USA where 2G is switching off, you will go to

for LTE MTC.”

NB-IoT is a LPWA technology that offers low

cost, long battery life, wide area coverage for

objects that require a long range mobile

connection and low power consumption. Many

devices are not connected to mains power or are

in hard to access areas that preclude regular

battery replacement. NB-IoT promises to

achieve up to ten years’ battery life and deep

indoor penetration.

The improved penetration and low power

requirements make it possible to connect devices

using NB-IoT simply and efficiently using an

established mobile network. The technology has

applications for enterprises in a range of areas,

from utility meters to sensor monitoring to

asset-tracking.

“Monitoring devices like water and gas meters

often lie in basements, deeply shadowed areas

and even underground pipes,” explains Luke

Ibbetson, the director of research and

development for Vodafone Group. “By installing

connected flow meters around a water

distribution network, for instance, a utility

company could automatically detect leaks,

meaning less time, cost and disruption digging up

roads. It is not just hidden things that NB-IoT will

connect. Smart bins, which efficiently report

when they are full, have the same need for long

battery life communications hardware.”

NB-IoT could result in operational cost savings

for organisations. “Battery life and low install cost

are also critical for local authorities across the

world wanting to install more connected parking


20 IoT Now - February / March 2016


Dr Shane Rooney,

GSMA

Luke Ibbetson,

Vodafone Group

Andreas Thiel,

u-blox

sensors,” adds Ibbetson. “Achieving this will

reduce congestion and carbon emissions by

informing drivers about the location of

parking spaces.”

Rooney at the GSMA thinks NB-IoT could be

more cost effective than rival licensed LPWA

technologies. “At this stage, it’s difficult to

compare NB-IoT and LTE-MTC devices but it

is predicted that there will be a price

difference and NB-IoT will have cheaper

modules,” he says. “How much cheaper we

don’t know – it might be $3 or $4 – but if

you’re rolling out a smart metering project of

one million meters a saving of $1 or $2 per

module would be huge.”

NB-IoT, however, won’t be the cheapest

option available. Unlicensed technologies

such as LoRa and SIGFOX are also available

but have their own limitations. NB-IoT will

reuse existing Radio Access Network and

transmission resources, while at the same

time will deploy a separate dedicated and

optimised core network.

“Operating in licensed spectrum, NB-IoT will

also ensure performance and reliability over

the lifetime of these devices,” says Ibbetson.

“An attractive aspect for industries using NB-

IoT is that they can leave the connectivity

provision to operators such as Vodafone

rather than putting in their own proprietary

solutions. Vodafone already has a global M2M

network that will connect with our NB-IoT

access layer.”

Rooney has quality and flexibility concerns

regarding utilisation of unlicensed spectrum.

“If you use unlicensed spectrum there is no

guarantee you are going to get connections

all the time, so if quality of service is

important to your organisation, I’d think twice

about using unlicensed spectrum,” he says. “I

also have concerns about flexibility in

messaging. Some unlicensed services only

allow four messages per day and limit

messages to a certain load. That’s fine for

basic applications, but if your needs change

you’ll need to change your infrastructure.”

Rooney also points to concerns about security

of unlicensed spectrum. “In licensed mobile

there’s a security standard and level that has

existed for the past 20 years. You also have

the flexibility to change operators if you want

without having to change the proprietary

infrastructure of an unlicensed operator.”

The technology is real and is becoming

standardised with 3GPP Release 13.

Commercial trials are advancing as well.

Vodafone and vendors Huawei and u-blox

have completed the first successful

commercial trial of pre-standard NB-IoT.

As part of the trial, Vodafone and Huawei

successfully integrated NB-IoT onto the

operator’s existing mobile network in Spain

and then sent the first pre-standard NB-IoT

message to a u-blox module in a water meter.

The trial used Huawei’s chipset and software

and was the first of its kind to successfully

implement narrowband communications in

cellular bands. The deployment of NB-IoT in

licensed cellular spectrum means it is secure

and less susceptible to interference and can

provide a better guarantee of service. “Along

with our partners, we are driving innovation in

NB-IoT technology to serve the industry as a

whole, and are fully supportive of technology

based on global standards,” says Andreas

Thiel, executive director of cellular products

at u-blox.

Further trials and proof of concept

deployments are planned by the companies

to push forward the commercialisation of NB-

IoT and other companies are working on

demonstrations and trials of their own.

Rooney thinks that ultimately take up of NB-

IoT and other LPWA technologies will come

down to the requirements of the applications

they support. “It’s definitely a case of horses

for courses and of which country you’re in,”

he emphasises. “The use case will determine

which technology you use.”

“If you use

unlicensed spectrum

there is no guarantee

you are going to get

connections all the

time, so if quality of

service is important

to your organisation,

I’d think twice about

using unlicensed

spectrum,”

Luke Ibbetson,

Vodafone Group

IoT Now - February / March 2016

21


INTERVIEW

Profiting from the IoT surge: the view

from the front line of service innovation

There’s no doubt that debate about the IoT and its direction has risen from being a specialist

subject to near the top of the boardroom agenda for many companies in just a few years.

Amongst all the white noise, death-by-powerpoint presentations and sometimes desperate

posturing by peripheral vendors to generate IoT-relevant marketing, it’s sometimes difficult

to see the actual reality behind the virtual smoke and mirrors.

Alun Lewis, IoT Now’s editor, recently sat down

with Philip Cole, European sales director and cofounder

of Wireless Logic, to look more closely

at where all this growth was coming from – and

where it was heading; how his company was

moving even more deeply into the added

services offering; and the optimum strategies

that both IoT solution vendors and their

customers should adopt to fully exploit the

emerging IoT terrain.

IoT Now: Philip, it’s just over a year since we

last had an insight into what you were up to.

How was 2015 for you and Wireless Logic?

PC: There are as wide a set of answers to that

question as there are facets of the IoT universe!

Taking a purely quantitative perspective first, in

raw connectivity terms we’ve seen growth in the

order of hundreds of percent in Europe alone and

now support well over two million subscriptions


IN ASSOCIATION WITH WIRELESS LOGIC

22 IoT Now - December / January 2015/16


through our close partnerships with many

network operators covering that continent.

Similarly scaled increases can also be seen in the

sheer amounts of data that we’re hauling for

customers - and that literally signals some

interesting shifts in IoT and M2M application

profiles that illustrate how content is also

becoming part of the IoT service mix.

We also made what we think will be some

strategically beneficial acquisitions, such as SIM

Service in Denmark, while also simultaneously

broadening and deepening our relationships with

a range of system integrators, resellers and

market-specific solution providers. On the last

point, via those relationships, we now have

access to a ‘virtual’ salesforce of around four and

a half thousand people working for around 1500

solutions providers of all shapes and sizes across

the continent, many of them deeply

knowledgeable about particular territories,

technologies and industry and business sectors.

Taking a wider viewpoint, I’d also say that 2015

was the year that the IoT started to reach a

critical mass in a number of different ways. Firstly,

general awareness has started rising steeply.

Whereas a year or two ago you’d have got a

vaguely blank look from the average man or

woman in the street if you’d used the terms M2M

or IoT, many people now have been exposed to

at least some aspect of it via their Connected

Cars, Smart Energy and Smart Homes – or are

even just finding that some of their new devices

have started ‘talking’ to each other without any

human intervention. This recognition is now

starting to affect consumer decision-making

where white goods, cars, home security systems

and other assets are concerned and that in turn is

pulling even more manufacturers, service support

companies and retailers into the IoT community.

The other corollary of growing awareness on

both sides of the vendor/consumer mix is that

many different types of company are now reexamining

their business models and looking at

how they can turn products into services – the

so-called ‘servitisation’ strategy. It’s a strategy

that we should be well aware of in the IT and

comms sectors – essentially the parents of the

IoT revolution – where locking users into repeat

fees and creating and monetising longer term

relationships has been a critical way of escaping

the problems of rapid technology change, price

erosion, and inevitable user churn. When you

wrap an IoT-supported service around a product,

you’re effectively using the IoT to create a new

‘instrument’, as it might be called in the financial

sector, and in a growing number of sectors,

traditional manufacturers who still rely on one-off

product sales will find longer term business

increasingly tough and revenue sources even

more intermittent. Behind everything should lie the

vision of connected customers as living human

beings – not just connected devices and assets.

IoT Now: How are these shifts and changes

actually translating into projects out in the field

– and what demands are customers making as

they seek to IoT-ise their businesses?

PC: Probably one critical issue that I touched on

in an earlier answer is the sheer diversity of the

projects and application areas that we’re involved

with. In that context, many of the companies –

and people - that we work with tend to come

from a hardware/product background. That’s why

our approach of offering flexible but structured

service bundles to them, along with appropriate

SLAs obviously, makes their entry into the IoT

world much more straightforward and

understandable for them.

One increasingly key aspect of this involves not

just the diversity of the business sectors, but also

the current expansion in connectivity options.

We’ve always been bearer agnostic, to use the

technical term, and we find many clients needing

a mix that often include both wireless or wireline

options to ensure redundancy in mission or

enterprise-critical applications such as electronic

Point of Sale systems.

In terms of cellular technologies, it’s been

interesting to see some of our customers starting

to use 3G and particularly 4G access in some of

their IoT applications where content delivery is

part of their business – such as regularly updating

digital advertising and signage in shops and

malls. We’re also seeing this play out in the

telematics and logistics sector as well with


Philip Cole,

European sales director

and co-founder,

Wireless Logic

IoT Now - February / March 2016

23


INTERVIEW

In terms of our wider network/IO

environment, we could consider

ourselves from a network infrastructure

perspective in some ways to be the IoT

equivalent of Blackberry

dashboard cameras increasingly being fitted to

lorries and public transport. Those images or footage

need to be captured and stored and can sometimes

end up as invaluable evidence in court cases.

There’s also the family of technologies loosely

known as Low Power Wide Area (LPWA) such as

LoRa and SIGFOX and, from the cellular side,

LTE-M and NB-IoT. Once again, we’re fully able to

support these on our connectivity management

platform – and the still important and relevant

satellite option – as well. As I said, many of our

customers don’t care about the underlying

technology as such – they just want to be sure

that wireless connectivity won’t limit their

deployment of devices or trackable assets and

that they’ve got the equivalent of five bars of

signal strength, or another connectivity option

instantly available to fall back upon should one

go down for any reason.

In terms of our wider network/IO environment,

we could consider ourselves from a network

infrastructure perspective in some ways to be the

IoT equivalent of Blackberry – and that has

implications for the all-important issue of

security. Your IoT traffic might be transiting

public networks, but all the plumbing behind that

is fully protected and encrypted, travelling over

our VPNs and using fixed IP addresses invisible to

outsiders in totally private and secure ways.

IoT Now: One recurring issue that has

consistently cropped up during the whole

evolution of the convergence sector - and

increasingly connected businesses and

consumers - is how you hide the incredible

underlying complexity of all the systems

involved and make them readily usable by nonexperts.

What developments does Wireless

Logic see emerging here?

PC: It’s just like many similar shifts that have

already happened in other areas such as

traditional retail – a move towards automation

and true self-service – and that involves reducing

the friction that’s often historically inherent in the

many processes involved. To be successful, the

IoT sector has to make a similar transition,

moving from essentially craft-based, humanintensive

interactions to single-push enablement

for devices and services aimed at the consumer

market.

Wireless Logic is currently developing platforms

that will enable both consumers - and those retailers

who want to get close to them and create those

long-term relationships that I touched on earlier –

to have out-of-the-box IoT solutions. Obviously,

that also involves far more than just implementing

automated and streamlined service and device

activation processes. Billing models, processes and

systems in particular also need to be adapted

and refined to cope with this new transaction

terrain and that’s not always going to be easy as

we move into totally new commercial areas.

Similar self-examination is also going to be

essential in the area of relationship management

– and I deliberately didn’t use the word customer

there as value chains in this new world are going

to be long, multi-faceted and be a complex mix

of the usual acronyms: B2C2M2B and so on…

Any well-established company moving into new

areas instantly makes itself a hostage to fortune

and can risk long term investments in its brand –

marketeers, for example, still talk about the Coca

Cola’s disastrous attempt to introduce a ‘new’

version back in the 1980s. Many companies have

tried to move out of their comfort zones and

diversify, especially as new technologies eroded

traditional boundaries, only to have to retrench later.

That’s why Wireless Logic is investing heavily in

ensuring that the systems that underpin these

new value chains are flexible, robust, user friendly

– irrespective of who the user is – and secure.

From the vendor and operator perspective, those

investments mean that the Wireless Logic SIMPro

management platform is able to empower SIM

estate owners to easily manage multiple SIMs

across more than 30 networks with all the functions

and processes that they need to incorporate IoT

functionality into their services and products:

provisioning, tariff management, grouping, real-time

data usage, billing management and reporting.

Additionally, all these processes are becoming

increasingly automated through our continued

investment, cutting CAPEX, operational costs and

de-skilling the need to have dedicated and expensive

staff running the network and service operations.

Connectivity and device and service management

can then become much more intimately integrated

with all the other enterprise systems a company

might already have, such as ERP.


24 IoT Now - February / March 2016


This issue of boundaries between systems also

reflects the issues that can arise when national

borders are taken into account in developing

solutions. We’re increasingly working with

customers who have multi-country – and even

multi-continent – requirements. By being able to

deliver a single portal interface, supported by

consistent pricing strategies and SLAs,

companies have a stable operational environment

through which to offer their goods and services.

IoT Now: That issue of integration surely though

adds even more complexity? It’s one thing to

introduce a new technology, but far more

difficult to integrate it with a company’s

existing processes, organisational structures

and traditions. Many people – even engineers –

are conservative by nature and resist even

beneficial change.

PC: There’s always going to be a tension here –

especially as the more disruptive models that

many internet-based businesses rely on meet

more established and status quo oriented

cultures. Some IoT services and applications

might be appropriate to fit into the permanent

‘beta test’ profile that some internet and social

networking businesses rely on. Mark Zuckerberg,

the founder of Facebook, is famous for once

having described, “Move fast and break things” as

his company’s informal motto. It’s totally

inappropriate to have such a culture in IoT areas

where people’s lives, possessions, cars, energy

supplies or even health might be at stake. Shortterm

fixes and solutions can often translate into

early burnouts and burnups as we’ve seen in a

depressing number of cases.

That’s why we know Wireless Logic has to

engage in a careful balancing act – which we

seem to achieve successfully. Many MNOs

essentially offer a ‘one size fits all’ model that fails

to meet the needs of IoT users, even where basic

factors such as 2/3/4G network availability and

roaming are concerned. Alternatively, when IoT

users try to stitch their own coverage together,

entering into relationships with multiple MNOs,

then they immediately run across all the hassles

and overheads involved in managing SIMs across

different networks. Coming to us, they’ll get a

‘network of networks’ approach that eliminates

that complexity and expense. On top of that,

they’ll also miss out on our much bespoke

offering approach that involves engaging in a

consultation period to explore and define

exactly what the customer is trying to achieve,

both strategically and tactically over short and

long terms.

We’re fortunate in this context that our sales and

support partners – the 1500 or so companies now

spread across Europe that I mentioned earlier –

can provide the insight and expertise that

ensures that consultation and tailoring doesn’t

slow innovation and service rollout. Someone

wise once said that being a consultant didn’t

mean that you had the answers – it just meant

that you knew which were the right questions

to ask...

If that’s how we’re dealing with the customer end,

I should also add that we’re also developing very

close links with the many different types of

hardware, device and sensor providers now

engaged in this market. As the intelligence and

memory of devices and gateways continues to

grow – and reduce in cost – we’re increasingly

going to have a choice about where we process

information and how much we choose to

transmit and when.

IoT Now: So how’s all this translating into the

bottom line for Wireless Logic ?

PC: It was just over a year ago that CVC Capital

Partners took over as our main investors

following a four-year partnership with ECI

Partners. During our time with ECI, we’d opened

offices in France, Germany and Spain, more than

doubled our workforce and tripled our subscriber

base to around 1.5 million. Looking to the year

ahead, we confidently expect to continue this

year on year growth rate of around 20%, bringing

our revenues to nearly £50 million and driving up

total European SIM subscriptions to about 2.5

million, with triple digit growth expected across

Europe. We also have a major funding war chest

in conjunction with CVC Capital Partners and

that’s going to enable an active acquisition

strategy which may drive significant additions to

our portfolio. There might be many wild

speculations about the potential size of the IoT

market, but the figures above clearly show where

Wireless Logic is heading.

If that’s how we’re

dealing with the

customer end, I

should also add that

we’re also

developing very

close links with the

many different

types of hardware,

device and sensor

providers now

engaged in this

market

IoT Now - February / March 2016

25


Machina

Research

GLOBAL ADVISORS ON

M2M, THE INTERNET OF

THINGS AND BIG DATA

Meet us at Mobile World Congress

22-25 February 2016

KEY MEMBERS OF THE MACHINA RESEARCH ANALYST TEAM WILL BE IN

BARCELONA FOR THIS YEAR’S MOBILE WORLD CONGRESS:

Andy Castonguay

Principal Analyst

Focus areas: Americas, M2M/IoT devices &

modules, wearables, healthcare

Jeremy Green

Principal Analyst

Focus areas: Automotive, M2M and IoT

technology ecosystem, key IoT players

Emil Berthelsen

Principal Analyst

Focus areas: Enterprise IoT, big data,

MEAPs, procurement, SLAs, QoS

Jim Morrish

Founder & Chief Research Officer

Focus areas: Enterprise IoT, software,

M2M & IoT platforms

Godfrey Chua

Principal Analyst

Focus areas: Americas, carrier strategies,

industrial, connected home and workplace

Matt Hatton

Founder & Chief Executive Officer

Focus areas: CSP M2M and IoT strategies,

M2M technologies, regulation

Isabel Chapman

Principal Analyst

Focus areas: enterprise IoT, software and

middleware platforms

To arrange a meeting, contact us at mwc@machinaresearch.com


ANALYST REPORT

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CONTENTS

30

36

COMPANY

PROFILES

37

MOVING TO REAL

WORLD IIoT

DEPLOYMENTS

ANALYST REPORT

30 IoT NOW INSIGHT REPORT

Jim Morrish, founder and chief research officer of

Machina Research and co-chair of the Industrial

Internet Consortium’s (IIC’s) Business Strategy &

Solution Lifecycle Working Group (BSSL WG),

examines in a two-part contribution the potential

impact that the Industrial IoT will have on

manufacturing and distribution and the potential

barriers that might stand in the way of

widespread adoption.

In the first section ‘How to get Industrial IoT

projects off the ground’, he explores strategies to

identify opportunities and the beneficial roles that

an IoT Centre of Excellence can play in

coordinating activity.

In the second, he draws on existing work done by

him and his colleagues at the Industrial Internet

Consortium’s BSSL WG, which exists to help

business managers, solution architects and

operations managers to better handle the

complexity that IIoT introduces and achieve their

business goals more effectively and efficiently.

This article focusses on the more downstream

considerations of IIoT Solution Lifecycles, and

Libraries of project artefacts

36 COMPANY PROFILES

AT&T’s offerings in this market are explained

37 EXPERT OPINION

Mike Troiano, AT&T’s VP - IoT Solutions, gives his

perspective on how companies can move towards

real world deployment of the Industrial IoT (IIoT)

and the potential this holds for creating new and

repeatable types of service-based revenues

GOLD SPONSOR


ANALYST REPORT

Industrial IoT is about

more than just the IoT

The first thing to note about Industrial IoT is that it encompasses all

of IoT and more. If we define ‘IoT’ as our connected future (including

devices, services, new business models and new ways of interaction)

then, behind every one of these propositions, we should expect to

find an enterprise of some form. In short anything that is ‘IoT’ from

an end-user perspective, is ‘Industrial IoT’ from the perspective of

companies supporting that IoT proposition.

Jim Morrish is founder

and chief research

officer of Machina

Research. He is also cochair

of the Industrial

Internet Consortium’s

(IIC’s) Business

Strategy & Solution

Lifecycle Working

Group, and is

responsible for

Business Strategy &

Planning work within

the IIC.

But, explains Jim Morrish, Chief Research officer

at Machina Research, Industrial IoT (IIoT for

short) is more than that in that it also includes

consideration of product development and

product lifecycle management, partner

ecosystems and project management – all in an

IoT context. In short, IIoT includes all aspects of

the IoT, plus supporting infrastructures, and there

are a number of specific ways in which IIoT is

more complex than just IoT. These include:

• Fragmentation: The number and diversity of

Industrial IoT applications are huge, and it is an

incredibly fragmented environment. This

means that the environment is typically

characterised much more by bespoke services

rather than products when compared to enduser

environments. Systems integration will

often play a dominant role in the development

of IIoT solutions, drawing on productised tools

(including IoT platforms) where applicable.

• ‘Brownfield’ deployments: The ‘everything

connected’ roots of IoT thinking tend to

prompt most people to imagine new

connected devices and services associated

with those devices when considering the IoT.

However, there is a significant trend within

enterprises to simply pull existing data into an

‘IoT like’ environment and experiment to see

what can be done with the resulting datasets,

including support for new processes and

products. We term this ‘top down’ IoT, in

contrast to ‘bottom-up’ IoT that is

characterised by the deployment of new

devices and associated services higher up the

stack.

• Possible absence of devices: Whilst this also

applies to plain-old IoT solutions, it is worth

highlighting that many IIoT solution

deployments will not involve the deployment

of new ‘things’. There are many instances in the

IIoT context where simply pulling already

existing data feeds from diverse sources and

combining them can bring significant value to

the enterprise.

• Machine Guys vs Internet Guys: Underpinning

all of these dynamics is a more fundamental

concept of the ‘DNA’ of any enterprise

engaging in the IoT. Companies that have

‘Machine DNA’ are used to shipping devices

and hoping that they never hear about their

device again (since this would usually mean

that something had gone wrong). Companies

that have ‘Internet DNA’ are used to working in

a world of continual-beta, where software and

services are never actually ‘finished’. These two

perspectives can create endless tensions

throughout IIoT project cycles.

• The IT/ OT fight match: Traditionally,

Operational Technology specialists and

Information Technology specialists have not

seen eye-to-eye. IIoT projects often force these

two constituencies to cooperate to deliver

business-critical solutions.

This publication includes a further two articles on

IIoT topics. In the first (“How to get Industrial

IoT projects off the ground”) we focus on all

aspects of the development of IIoT propositions

up to and including the business case, whilst in

the second (“Managing IIoT Value Chain

Transformation”) we focus on the more

downstream aspects of developing and deploying

IIoT solutions, post-business case approval.

30 IoT Now - February / March 2016


Figure 1: The Enterprise IoT

Identification, selection and

management process [Source:

Machina Research, 2015]

How to get Industrial IoT

projects off the ground

While Industrial IoT (IIoT) projects are in many ways quite

similar to more traditional systems integration projects, there

are significant differences. In this article, we focus on those

differences, including sections on:

• IIoT strategy

• IIoT opportunity identification

• IIoT opportunity management

• IIoT project initiation

• IIoT Centre of Excellence

• IIoT Platform

IIoT Strategy

Before engaging in IIoT projects, an enterprise must set out

their overall strategy with regards to the IoT, starting with

defining a vision. Are their motivations for engaging in IIoT

purely economic or (for example in the case of smart cities

applications) could there be a broader motive of societal

benefit also be a driver. What is the overall market and

competitive environment in which the enterprise in question

plans to engage? How is it likely to change in coming years?

When seeking to engage in IIoT, any enterprise will also need

to define some kind of guiding framework for working with

partners and the overall ecosystem. In parallel, the enterprise

will also need to identify, at a high level, the capabilities that

they are likely to need to engage in IIoT projects.

It is also beneficial to put in place frameworks and processes

for tracking IIoT projects from conception through to live

operations, including validation of results to check that

individual IIoT projects have achieved what they set out to

achieve. Significant time should also be invested in identifying

and profiling a long list of risks - including operational,

technology, execution, implementation and security risks - and

identifying any pitfalls or lessons learned from previous

projects, or from potential suppliers and ecosystem partners.

IIoT Opportunity Identification

Industrial IoT applications can unlock many different kinds of

benefits, including:

• Creating new revenue streams

• Reducing costs

• Extending customer relationships

• Improving product design and management

• Creating opportunities for new business models

• Improving decision making processes

• Supporting better product and service quality

• Improving asset management

• Enhancing environmental considerations

• Improving health and safety

• Developing new markets

• Supporting new strategic partnerships

• Enhancing operational performance

• Improving customer services

• Improving overall enterprise efficiency

Clearly, executives need to identify and prioritise the IoT

applications they believe will best benefit their business.

Compared to other IT or machine-to-machine projects, the

task of the executives is made that one degree more complex

by having to decide in terms of roadmaps rather than single

implementations. One of the more compelling and challenging

attributes of IoT architectures is that once properly implemented,

enterprise IoT environments can become a platform for

growth. ‘Properly implemented’ means that architectural

principles of scalability, agility, flexibility and modularity have

been followed, and not compromised for the sake of singular

goals. Identification of IoT opportunities can be achieved

through such diverse management tools as brainstorming

sessions, workshops, accessing industry analyst reports,

engaging with consultants and receiving customer feedback.

The list of possible IIoT projects is almost endless. Which

highlights a new problem: where to start? The real challenge

for executives in IIoT is the prioritisation process, rather than

the identification of opportunities.

Additionally, throughout the operational Plan-Build-Run

stages, enterprises may discover new IoT opportunities or may

need to discard or amend selected ones. Compared to the

well-defined and detailed planned IT projects of the past, IoT

methodologies work better with agile software development

approaches – try, try and try, and if it fails, be ready to move

on. And only invest as you go, and avoiding committing to

multi-million dollar projects from the very beginning.

Figure 1, above, summarises the central process of IIoT

opportunity identification, selection and prioritisation, and

developing an IoT application roadmap with an optimised

portfolio. Reassessments of existing opportunities and

identification of new opportunities are critical elements in the

process of continuous innovation.

IoT Now - February / March 2016

31


ANALYST REPORT

IIoT Opportunity Management

The development of analytical underpinnings to support the

analyses described above is key. There are two main aspects

that must be considered, and we discuss each in turn:

• Business model development

• Impact and risk assessment

Clearly, as is almost always the case for significant projects,

some kind of underpinning business case and business model

will be required. The difference with IIoT projects is that

historically most business case have been ‘isolated’ or

standalone, rather than cast in the context of an overall

enterprise strategy. In the case of an IIoT business case, it is

necessary to consider how the business might perform in

absence of the adoption of IoT concepts, and also to

effectively ‘share’ the costs of the development of a generic

IoT capability between any number of current and future IIoT

projects. In many cases, the business cases that underpin IIoT

projects are more analyses of existential questions, rather than

simple analyses of costs and revenues. In concept, this might

be similar to analyses undertaken by banks in the 1960s and

1970s deciding whether to adopt computer systems, or not.

As we know now, in retrospect, the question was never really

‘whether’ computerisation would be embraced, but ‘when’.

An accurate understanding of the impact of an IIoT project

and a detailed analysis of risks is also required. With regard to

analyses of impact, the key aspect is to understand the degrees

of elasticity in a specification to match budgetary constraints.

The IoT is such a new environment, with so many unknowns,

that IIoT project propositions must often be re-worked during

the course of the Plan-Build-Run lifecycle. For instance, it may

transpire that data sovereignty regulations limit the scope of

potential solutions in ways that were not envisaged at the

time that the initial business cases were developed, or certain

planned QoS levels may not be achievable, due, for instance,

to the limited availability of connectivity. It’s hard to imagine

the full diversity of potential problems that might crop up to

blow an IIoT project off course, and that’s the point: IIoT

business cases need to be flexible enough to support analyses

of how best to ‘compromise’ an optimal solution to match

unforeseen technical constraints within available budgets. IIoT

business cases must be sufficiently detailed and flexible to

provide context when a business planner has to discuss

project de-scoping with downstream project managers.

Effectively, this implies an ‘agile’ interface between IIoT

business planners and IIoT project managers.

Clearly, it is also necessary to undertake a complete risk

analysis for any new IIoT project, including with regards to

security, and to support decisions regarding how much to

invest in product security. ‘Gold standard’ security will not be

an option for all IIoT projects.

IIoT Centre of Excellence

Whilst it’s not strictly part of getting an individual IIoT project

off the ground, it will be beneficial for many enterprises to

develop an in-house IIoT Centre of Excellence to get all IIoT

activities off the ground. Such a center of excellence could

encompass a range of activities, such as:

• IIoT Platforms: including the overall supporting technical

infrastructure that exists within an enterprise to support

IIoT projects. Main components should include an

application platform, and a connectivity platform (or just a

connectivity management capability). This does not

necessarily imply a sizeable investment, and ‘low grade’

version of such a capability could almost be thought of as a

centralised procurement function.

• Change management: IIoT projects often imply significant

change to working practices that have been established

over decades. In many cases, in many industries, the option

to deploy change management specialists to drive the

human changes that need to happen to match the

technological (IIoT) changes will be a significant benefit.

• IIoT Consulting: On a slightly wider note, IIoT concepts are

sufficiently new, and sufficiently different from ‘business as

usual’ that it can often be beneficial to establish a wider

consulting capability. This should be configured as an

internal (shared) center of excellence staffed with people

who live-and-breath IIoT concepts, and who can guide their

peers who are embedded in the wider enterprise.

• IIoT Benchmarking: Clearly many of the members of the

IIoT consulting group could beneficially spend part of their

time analysing the wider industry in which their company

participates. They should seek to identify best practices

within the industry, and assess the overall maturity of IIoT

concepts within the industry, with a view to painting a long

term IIoT future scenario to act as a backdrop to further

strategic planning.

Conclusions

The IIoT - and, more widely, IoT concepts - will change the

way in which business is done in coming years. The potential

is almost limitless, and companies that fail to effectively

capitalise on the opportunities that the IIoT presents run the

risk of being outcompeted.

Industrial IoT projects themselves are quite similar in nature to

current day systems integration projects, but there are

significant differences which must be appreciated in order to

gain the full benefits from IoT concepts, and to de-risk the

process of IoT adoption.

32 IoT Now - February / March 2016


Figure 2:

Agile IIoT Project Organisation

Source: www.enterprise-iot.org

Managing IIoT Value

Chain Transformation

INTRODUCTION

To address the Industrial IoT (IIoT) challenge, the Industrial

Internet Consortium (IIC) has established the Business

Strategy and Solution Lifecycle Working Group (BSSL WG),

the goal of which is to support business managers, solution

architects and operations managers to better manage the

complexity IIoT introduces and to more effectively achieve

their business goals.

Whilst the previous article “How to get Industrial IoT projects

off the ground” focusses on the Business Strategy & Planning

elements of Industrial and Enterprise IoT, this article focusses

on the more downstream consideration of IIoT Solution

Lifecycles, and Libraries of project artefacts.

IIOT SOLUTION LIFECYCLE

On the solutions level, the entire lifecycle of the IIoT solution

needs be supported – from planning and designing to building

and testing, then preparing the operations environment,

gathering data on the deployed solution or the product in use

and ensuring the solution is performing as expected while

able to evolve. Adding new services after the initial launch is

important, and so is the support of existing and new

customers. In this section we focus on three key aspects:

• The role of IIoT system characteristics

• Creating agile organizations for IIoT projects

• Validation and improvements

The Role of IIoT System Characteristics

IIoT system characteristics are about risk mitigation and

managing trade-offs. How secure? How safe? How reliable?

How resilient? All these qualities have a price, in terms of

budget, complexity and operational resource. Their benefits

are not easy to quantify, yet getting them right is crucial to

the long-term viability of the overall System.

Another way to look at system characteristics is their role in

the value chain. What do all of these system characteristics

(security, safety, reliability, etc.) have in common? They

preserve the business value chain under adverse conditions,

either by preventing bad events from happening (e.g.,

thwarting security threats) or by enabling the system to cope

with a bad event when it occurs (e.g., designing an

architecture with built-in redundancy for reliability.) Defining

system characteristics is critical to the control and

predictability of widely distributed systems spanning multiple

providers and under fragmented governance, hence to the

business value chain that relies on them.

System characteristics also add a non-functional layer of

requirements, which are almost certain to conflict with

functional system requirements. Required system

characteristics may impact all aspects of an IIoT solution -

e.g., security involves processes and roles as much as a set of

functions and an architecture choice - while also being

determined by business requirements and acceptable level of

risk. This is why system characteristics must be taken into

account at design time.

The BSSL Framework under development within the IIC helps

to manage the interdependencies between non-functional and

functional requirements. It also helps evaluate various ways to

achieve a particular non-functional objective, balanced with

an acceptable level of risk. For example, the choice between

securing a data flow with full encryption or with a faster and

simpler integrity checksum will be influenced by very different

factors such as how sensitive the data is, key management

complexity, company policies and regulations, whether increased

latency is an obstacle to future scalability, etc. The ability to

handle these factors, the constraints that dictate them and

their consequences are all crucial for IIoT solution architects.

Creating Agile Organizations

for IIoT projects

Another key challenge for IIoT project managers is to find the

best project organization that will be able to deliver the

desired solution functionality in an agile way, while

simultaneously ensuring adherence to the architecture and

design. BSSL WG has developed a best practice for the

organizational set-up of an IIoT project, which includes the

following teams:

• Project Management, to ensure cohesion and adherence to

project goals

• Asset Preparation team, to ensure the integration of the IIoT

solution with all aspects of the asset`s lifecycle.

IoT Now - February / March 2016

33


ANALYST REPORT

Figure 3:

Validation and

Improvements

BSSL LIBRARIES

• Teams for key solution elements, including Backend

Services, Communication Services and On-Asset components.

• Cross-Cutting Concerns team, addressing aspects such as

Security, Asset Lifecycle Management (e.g., Asset

Activation) and Solution Integration and Test.

• Solutions Infrastructure and Operations team, responsible

for infrastructure set-up, operations preparation and

application lifecycle management

Efficiently managing the interactions of these different teams

is a challenging task. Figure 2 on the previous page outlines a

structure that can support this task. At the top-level is project

management. On this level, the central project backlog is

managed. The key entities here are project epics (a high-level

specification artifact from the agile toolbox), which are used

to capture larger bodies of work. Furthermore, the overall

system architecture is managed on this level. The individual

IIoT solution teams are structured as described above. Here,

the epics are broken down into more fine-grained user stories,

which are managed in the individual team backlogs. For the

on-asset components (e.g., gateways deployed on the asset),

it may make sense to choose longer sprint cycles or project

iterations, because hardware development is often not moving

as fast as software development. However, sprint cycles

should be aligned across the individual workstreams.

Validation & Improvements

The last part of the Business Solution Lifecycle Management is

Validation & Improvements. Especially in a highly complex and

dynamic environment like the IIoT, this part ensures ongoing

solution optimization. The Validation & Improvements part

consists of two pieces - see Figure 3 above:

• Business Model Validation & Improvement: This part focuses

on all aspects of monitoring the financial and strategic KPIs

of the solution, measuring overall IIoT maturity, and

implementing corrective actions, if need be.

• Solution Validation & Improvement: This part focuses on

monitoring and improving the performance of the solution

from the perspective of functionality, non-functional Service

Level Agreements (SLAs) and Service Level Objectives

(SLOs), as well as other system characteristics like security,

reliability and resilience.

BSSL LIBRARIES

A key goal of the Industrial Internet Consortium’s BSSL WG is

to create a library of reusable artifacts for IIoT project

managers and architects. Two of these key artifacts are design

templates and solution metrics.

Design Template Library

The BSSL design template library provides templates for IIoT

project managers and solution architects to help them create

project specification documents as well as higher-level entries

for the project backlog (e.g., epics) - see Figure 4 on the next

page.

The different templates are grouped into five groups:

• Cross-Cutting: Includes templates to document site

surveys, project dimensions/taxonomies, project

projections, milestone plans

• Business Viewpoint: Includes templates for IIoT stakeholder

analysis and problem statement

• Usage Viewpoint: Includes templates like the “IIoT Solution

Sketch” (a structured one-page overview of all key

elements of an IIoT solution), as well as use cases or

process landscapes for the solution

• Functional Viewpoint: Includes templates like the datacentric

“IIoT domain model”, as well as a template for “Asset

Integration Architecture” and the IIRA Functional Domains

• Implementation Viewpoints: Includes templates for software

architecture, hardware architecture and integration architecture

Metrics Library

Especially relevant for Validation and Improvement efforts, a

set of standardized IIoT metrics will be very helpful. There are

several dimensions that can be used to evaluate an IIoT

system to include:

• Functional dimensions: evaluating the functions of the

system and their capacity under various perspectives:

performance, throughput, data volumes, transfer time,

connectivity and quantity of assets.

• Characteristic (or system characteristics) dimensions:

assessing higher-level properties such as reliability, safety,

resilience, scalability, security, privacy

34 IoT Now - February / March 2016


Figure 4:

BSSL Template Library

The functional dimensions can be divided into specific areas

such as assets, data and communication. In turn, each one of

these areas may involve a cluster of indicators designed to

produce a well-rounded profile of the system for this

particular area.

Such metrics and indicators will be key to establishing

contracts and responsibilities in largely distributed systems

under fragmented ownership and governance. The evolution

toward an IIoT value network - as opposed to linear value

chains - means that a particular station or agent in the IIoT

value network will have responsibilities to several others thus

getting closer to operating in a service mode for various

consuming parties. For example, asset tracking in a

manufacturing plant will not just deliver tracking data to the

production manager, but will become a service used by other

business units or departments, such as shipping/receiving,

equipment maintenance or even the quality assurance

department.

It is clearly of importance that a common set of metrics be

used across IIoT systems – or at least a common way to

define metrics (including common templates, terminology and

models). Customers and users will expect to find similar wellestablished

definitions across SLAs. Experts and regulators

will want stable and well-understood definitions of system

characteristics such as security, privacy or safety. Tools vendors

and system administrators will want to implement similar

monitoring indicators and technologies across IIoT solutions.

metrics that make sense for a wide array of IIoT systems, what is

a common representation for them, how to use them as system

requirements, in SLAs, and how to implement their monitoring.

CONCLUSIONS AND OUTLOOK

Outputs of the he Industrial Internet Consortium’s BSSL WG

provide executives, IIoT managers, project managers and

solution architects with many benefits, including:

• CxOs and senior managers are provided with a

set of useful tools which help them managing

the IIoT value chain transformation.

• Project managers are provided with a set of

structured best practices which help them

reduce IIoT project risks and Time to Market.

• IIoT Solution Architects are provided with a set

of technical references which help reduce

technical risks and increase re-use and

standardization which helps in reducing

heterogeneity and complexity.

This article is based on an original article co-authored by Dirk

Slama (Bosch Software Innovations), Jacques Durand

(Fujitsu) and Jim Morrish (Machina Research). Dirk, Jacques

and Jim are the co-chairs of the Industrial Internet

Consortium’s Business Strategy & Solution Lifecycle

Working Group.

It is the role of the IIC BSSL WG to help define (or select)

methodologies about such metrics to include what are typical

IoT Now - February / March 2016

35


COMPANY PROFILE

Company Summary

AT&T helps people mobilise their worlds - with advanced mobile services, next-generation TV

and high-speed Internet services, and smart solutions for businesses. For more than a

century, it has consistently provided innovative, reliable, high-quality products and services.

AT&T has the best worldwide coverage of any U.S. carrier, with data roaming in more than

200 countries and territories. AT&T serves nearly all of the Fortune 1000, as well as

neighborhood businesses all around the US. We offer solutions like highly secure mobile

cloud and corporate network management that helps businesses in every industry serve their

customers better.

Company Credentials

AT&T connects cars, machines, wearable devices and

more. It is working with top automakers and technology

companies to make customers' lives easier - so they can

use their car to order a pizza on the way home, and then

use a connected watch later that night to track how many

extra steps they'll need to take at the gym the next day.

AT&T is constantly innovating to find new connections in

the Internet of Things. AT&T provides carrier-grade IoT

Managed Services for storage and next generation Rapid

Application Development for new IoT Solutions.

AT&T has spent the past several years pushing into the

connected-car market, with deals with General Motors,

Nissan, Audi, Tesla, BMW, Subaru, Ford Motor Co. and

Volvo.

Elsewhere in the transport and telematics space, AT&T has

connected over 1.9 million commercial vehicles, 900,000

usage-based insurance users, and 280,000 refrigerated

containers. It is in the process of re-launching a unique

global AirCargo Tracking solution.

Key Differentiators

AT&T monitors virtually everything, everywhere. It enables

asset monitoring solutions across all major verticals

including Energy, Transportation and Logistics, Healthcare,

Aviation, Automotive, Construction, and Retail. It has

more than 25 million devices deployed across the key IoT

markets, including meter reading, fleet, transportation, air

cargo, healthcare, automotive, construction, digital

signage and retail. Its Global SIM enables connectivity in

200+ countries and territories.

AT&T’s customisable and scalable solution stack is

designed to meet the unique needs of an enterprise, so

customers can quickly implement IoT solutions and get to

the bottom line faster, with increased efficiency,

productivity, and visibility. Capabilities include precertified

devices, global connectivity with a single SIM, a

single online management platform, application

development tools, pre-packaged vertical solutions, and a

professional services team to help every step of the way.

Also, the the company’s various IoT Foundries, support

IoT rapid prototyping and innovation.

To make sure AT&T’s customer’s needs are met, it has

developed strong partnerships across industrial

companies, technology enablers, and IoT service

providers. Customers benefit from the expertise and

successes of the partner ecosystem working together to

innovate the Internet of Things. AT&T is a founding

member of the Industrial Internet Consortium and has

partnered with top industrial manufacturers, service

providers, and technology enablers to accelerate IoT

development, including GE, IBM and Rockwell Automation.

Competitive Pressures

In addition to its success in telematics, transport and

automotive, AT&T’s Digital Life home-automation and -

security business, which is only two years old, was the No. 1

security company in terms of net subscriber additions in the

US last year. Its emphasis and differentiation is completely

different from other carriers who have stayed more in the

traditional sense of focusing on adding smartphones instead

of venturing into what is the next era. Specific to the

transportation space, AT&T tries to differentiate itself by

making it easier for Transportation companies to create their

own solutions. It works together with customers on new IoT

Managed Services. This means it is easier for customers to

develop solutions on their own via the AT&T Flow Designer

and store and access the data using the M2X Data Service.

36 IoT Now - February / March 2016


EXPERT OPINION

The Real Industrial

Internet of Things

Mike Troiano, AT&T’s vice president - IoT Solutions, gives his perspective on how

companies can move towards real world deployment of the Industrial IoT (IIoT)

and the potential this holds for creating new and repeatable types of servicebased

revenue.

Connectivity is the common foundation for M2M

and IoT solutions, but when it comes to the IIoT,

deployments can be global, involving thousands

or even tens of thousands of end points. It’s also

an integral component of an IIoT platform.

Integral was italicised because AT&T has

developed M2X, a cloud-based, secure data

storage service that was designed to extract data

from millions of end points regardless of the

communications technology, i.e. it’s device

agnostic. This means that two components of the

IIoT framework, communications and the cloud

are functionally integrated.

M2X was built by developers for developers. It

eliminates the need to think about different

network protocols when creating applications. It

also allows data from legacy devices that may

have been operating around the world for several

years to be incorporated into a new solution.

So far so good, but it gets better.

Flow Designer

Flow Designer, which was developed at AT&T’s

Foundry innovation centre, uses drag-and-drop

icons that are employed to create associations

between objects and to invoke various types of

actions. In a nutshell, the application is

represented by a flow chart and the code that

performs the various actions is embedded in the

icon. It’s basically a robust Web-based

development environment where data driven

applications can be designed and deployed and

M2X is employed in the same environment.

Therefore AT&T has enabled the functional

integration of connectivity, the cloud and

application development.

Data can be managed at a granular level using

the M2X Developer Portal. That makes it easy for

devices, apps and services to analyse the data

that has been generated from the various data

sources and, for example, define rules that create

notifications which in turn initiate actions.

Deployments

M2X was released last year in beta and several

companies have begun integrating and using the

service. Rockwell Automation and AT&T are

collaborating to deliver cellular solutions that help

Rockwell’s customers collect, manage and take

action on data from industrial equipment located

in plants and remote sites around the globe. The

Ericsson Service Innovation Framework is now

integrated with the M2X Data Service and

Numerex is developing oil and gas solutions to

optimise oil and chemical distribution.

Trends in the market

One obvious trend involves the transition from

selling products to selling services based around

a particular product. One customer, for example,

is allowing truck fleet managers to pay for tyres

on a miles-driven basis. Usage-based models

allow companies to lower their capital spending:

in this case tyres become an operational expense

and they provide vendors with recurring

income streams.

A future connected car could be recognised at

gas pumps which know how many litres or


Mike Troiano,

VP, IoT Solutions,

AT&T

IN ASSOCIATION WITH AT&T

IoT Now - February / March 2016

37


EXPERT OPINION

Technology

hasn’t changed

the market’s key

objectives.

Companies still

want to deliver

high-quality

products

gallons went into the tank and, at the end of the

month, the driver would be sent a bill from the

retailer. This may sound like an unlikely

development, but who knows what will happen in

future. However, it does illustrate the fact that the

IIoT offers companies radically new ways to think

about their products as well as the opportunities

that new digital products and services could

generate.

A related trend, which comes from the service

model, is the on-going relationship with

customers that it enables. When a product is

sold there is a single point of contact: in the

usage-based model contact is continuous and

that enables vendors to upsell new services and

additional functionality, which can be embedded

in the product.

The use of Big Data analytics is another obvious

trend. Companies can now employ the services

of data scientists to analyse huge volumes of

data that are beyond the scope of conventional

analytics and business intelligence solutions.

The market response to this development has

been very positive and although not widely

reported as such, it is rapidly becoming a key

driving force behind the creation and deployment

of IoT solutions. You can see it as the big prize

that IoT and big data delivers. The implication

is that data analytics may end up wagging the

IoT dog.

IoT architectures can supply both the raw

material as well as sophisticated real-time and

historical analytics that shape and guide those

intelligent business decisions.

Take up

Hype and confusion continue to obscure the

importance of the IoT to the business community.

M2M solutions have the proven ability to deliver

tangible benefits to individuals, businesses and

society. The IIoT delivers more: it can boost

operational efficiency, enhance customer service,

open up new business opportunities and increase

agility. Moreover, it’s based on a robust

foundation that is in place and has been for

several years.

Unfortunately there is no commonly accepted,

precise definition of the IoT: the term has become

entangled with that of M2M. My somewhat wordy

take, written earlier this year, is that “IoT solutions

can accommodate diverse distributed

unattended devices that are geographically

dispersed and connect the different data types

coming from various intelligent assets in the field.

In addition the architecture of IoT solutions is

intrinsically flexible: assets can be amended and

new assets can be incorporated at any time.

Solutions are therefore future proofed and able to

adapt to changing economic and business

requirements.”

Distill it down and it isn’t a million miles away

from AT&T’s offer, and one would therefore

expect the industrial sector to be enthusiastic

about the IIoT, but research stats are somewhat

disappointing. The adoption of the technology is

still in the early adopter phase, moreover an LNS

Research report indicates that 47% of the market

does not plan on investing in IoT in the future and

44% does not understand or know about IoT.

The two figures are obviously closely linked.

Crossing the chasm

Those percentages match the traditional

technology adoption model. There is a chasm

between the enthusiastic early adopters and the

mainstream - the 47% in the research report. To

say that enterprises need to be educated is

somewhat patronising, but they do need to be

better informed and one way to do that is to cut

through the hype and deliver clear, concise

messages.

Technology hasn’t changed the market’s key

objectives. Companies still want to deliver highquality

products; deliver them on time; be able to

increase production when needed; and get new

products into the market a.s.a.p. The visionary

early adopters are showing what can be done:

the mainstream conservatives will either follow or

they will fall by the wayside and leave the game.

38 IoT Now - February / March 2016


INTERVIEW

The Eurotech Ethos: data - the

strategic element for an ecosystembased,

service-rich Internet of Things

Awareness of the transformational power of the IoT vision is spreading among the

traditional M2M community, with new players entering the IoT space, organisations

of all types adopting or planning to adopt an IoT strategy, and policy-makers and

regulators increasingly recognising its potential social and economic impact. This

momentum doesn’t just involve innovation in technological terms, but also new

business models.

Senior analyst at Beecham Research, Saverio

Romeo, recently met with a long term player in

the M2M/IoT space - Eurotech. This Italian

headquartered company has been behind some

important innovations - such as the MQTT

standard - and has successfully transitioned from

an application-centric approach (M2M) to a

‘space-centric’ approach (IoT) in which spaces

are sensed, connected, and intelligent, with the

IoT becoming based on a service-centric view

rather than a device-centric one, with data as the

key enabler. Roberto Siagri, CEO at Eurotech,

and Robert Andres, CMO at Eurotech, strongly

believe that data openness is the real engine that

will drive the full potential of the IoT vision.

Saverio Romeo (SR): What is and what will be

the Internet of Things?

Roberto Siagri (RS): Defining the IoT is a

complicated and risky task. In our daily

experience, the IoT reveals both its complexity

and its enormous potential. Through our

offerings, we are reducing that complexity and

moving towards easy-to-implement solutions.

However, data is the strategic element of the IoT.

That data, which is the result of a combination of

different sources and typologies, is the building

block that enables the creation of new services

on devices or set of devices. The IoT vision is a

service-based one enabled by the flow of data

produced - and the power of that vision can be

enhanced if the flows of data are open to all

parties to use in creative and original ways.

SR: How far are we from the IoT vision you

envisage?

RS: This is a very dynamic space and the pace of

innovation is tremendous in technological terms.

The desire to test and deploy new business

models spans many industry sectors - but I also

think there are several challenges that we have to

face. Above all, we believe that there are

misunderstandings about how to prioritise IoT

initiatives. Many organisations adopting or hoping

to adopt the IoT see it as an application-centric

solution. Therefore, they focus their IoT strategy

around the application. This is really an

increasingly out of date M2M view. Instead, the

focus should be around the data – and that’s data

as an enabler of applications. However, it has to

IN ASSOCIATION WITH EUROTECH

IoT Now - February / March 2016

be said that the landscape is confusing for the

many who don’t already have experience with the

IoT. The confusion that infests IoT platforms is an

example of that. The term ‘IoT platform’ is used to

label solutions that are all actually very different

from one other. The result is an uncountable

number of platforms, and that confuses adopters.

Resolving that sort of conceptual and semantic

fog is one key challenge for the IoT community.

SR: Robert, what are your thoughts about the

current status of the IoT industry?

Robert Andres (RA): I fully endorse Roberto’s

comments on what the IoT should be. The

challenges in front of us are: complex technology,

lack of specific skill sets, IoT/IT integration

challenges, security, regulatory issues,

certification, confusing messages from industry

and standardisation bodies, interoperability of

solutions - and we could add even more issues if

we had time. However, we also have a

tremendous industry that’s strongly motivated to

confront these. There are major industry trends

underway that will lead to effective and

affordable IoT solutions and the general

commoditisation of distributed systems.

Compared to the past, we now have powerful

embedded systems - not just general purpose

gateways – and, additionally, purpose-built

systems for vertical market applications. We also

have sophisticated enterprise IT technology,

including virtualisation and security and cloud

computing solutions, that can now be exploited in

OT (Operational Technology) infrastructures.

SR: What’s Eurotech’s role now in today’s IoT

market?

RA: Eurotech has been delivering distributed

device solutions involving both hardware and

software for more than two decades now. This

invaluable experience also has been made

available via software products to both our

customers and our system integration partners.

These products leverage and support open

industry standards and were built to specifically

address the IoT/IT issues many companies

experience.

RS: If we try to condense the Eurotech offering

and strategy into a simple goal, it would be to


Defining the IoT

is a complicated

and risky task. In

our daily

experience, the

IoT reveals both

its complexity

and its enormous

potential

39


INTERVIEW

reduce the Total Cost of Ownership (TCO) in IoT/M2M

solutions. It’s about delivering a dramatic cut in initial

investment, reduce risk, and shorten time to market.

SR: Can you provide an overview of Eurotech’s key

offerings?

RA: The actual software on the device is an important

building block in our strategy. In order to simplify and

optimise the development of device software, Eurotech offers

an application framework layered on top of the operating

system called the Everyware Software Framework or ESF. It is

based on Linux, Java and OSGi and enables the

implementation of business logic rules in a very effective way.

Not only does it abstract the hardware in order to ensure

investment protection with regards to the software, but it also

allows new services to be dynamically loaded onto IoT multiservice

gateways or edge nodes at run-time.

Another very important building block is our cloud-based IoT

platform called the Everyware Cloud that integrates easily into

existing enterprise IT infrastructures – offering simple access

through standard APIs to both real-time and historical data

from devices. In addition, this IoT integration platform also

offers the device life-cycle features that ensure smooth

deployment and management of the distributed device

infrastructure.

There are other important elements, depending on the nature

of the customer business. One particular aspect I would like to

highlight is carrier certification, required in many markets for

devices connected to the cellular networks. For many

companies that wish to sell their products or services

internationally, these certifications are a major barrier because

of the associated effort and cost. Our ReliaCELL product

range is a very attractive, pre-certified modular solution.

SR: Security is a crucial topic for the IoT. What does

Eurotech offer in this field?

AR: Eurotech understood very early on that security has to be

approached holistically and, in an IoT infrastructure, leverage

best practice approaches and technologies from the existing

IT security space. In order to safely address all possible points

of failure, security must be a fundamental part of the overall

architecture of an IoT system. IoT system architects must

account for the specific challenges of distributed and

unattended mobile devices and implement security both endto-end

and in each individual element.

Security in IoT projects is more than just the combination of

some ‘perimeter defence’ systems. While these elements are

important, we also believe that proper authentication

methods, management of certificates, and especially an

overall architecture and design approach that eliminates many

possible attack scenarios, are also important. Furthermore it is

essential to validate and audit the security measures regularly

by external security specialists.

Eurotech is able to offer security solutions that cover the span

from IoT gateways and edge devices to the IoT applications

enablement platform itself. Examples are an end-to-end

security offering based on x.509 Certificate and PKI

technology, or an architecture that ensures that the ‘attack

surfaces’ of IoT devices are significantly reduced.

SR: The IoT brings complexity into organisations. We have

discussed security as an element of that complexity, but

integration between the IoT and existing IT systems, or the

IoT/IT integration, is also increasingly becoming important

for companies. What’s Eurotech approach on that?

AR: In IoT business opportunities, the IT department is playing

an increasingly important role. That results in different

technology and architecture decisions to allow an effective

IoT/IT integration. That in turn requires more changes on the

OT side - but also IT realising that new technology

approaches are required. Interfaces and solutions, including

the programming of edge devices, have to be done in an ITcentric

way - such as using Java instead of C++ - in order to

scale. With our ESF environment, we provide several

advantages to the IoT/IT integration space, such as: powerful

embedded systems, open and industry standards, no HR

constraints (Java programmers instead of senior C++

specialists, for example), multi-service software-defined

systems, and real-time data communications.

SR: Roberto, is any single organisation able to fully deliver

an end-to-end IoT solution for every context?

RS: I believe that no-one is currently able - or will be able - to

offer an end-to-end solution for everyone. The complexity

involved in deploying IoT solutions requires a partnership

approach and it’s therefore essential to create an ecosystem

of trusted players adaptable to different projects. It’s also

important to make that ecosystem open to new influences

and contribution. This is for example our approach with

Eclipse Kura, an OSGi-based application framework for

M2M/IoT service gateways where Eurotech is contributing

significantly in open source. In the Kura initiative, you can

clearly see the underlying ethos behind Eurotech: data is the

strategic element, while a wide ecosystem of players can act

as the strategic workers to develop and implement the truly

service-centric IoT that we all anticipate.

Roberto Siagri is the co-founder,

President and CEO of Eurotech

S.p.A.. Roberto holds a degree in

Physics from the University of

Trieste. In addition to his

commitments within Eurotech, he

is a member of the Italy-Japan

Business Group as well as of the

Innovation Board of Ca’ Foscari

University in Venice. He is also Vice

Chairman of DITEDI, the DIgital

TEchnologies DIstrict of the Friuli

Venezia Giulia region, and member

of the Technical-Scientific

Committee of Friuli Future Forum

Roberto Siagri, co-founder, president and CEO, Eurotech

Robert Andres, CMO, Eurotech

Robert Andres has worked in the IT

and Communications industry for

over two decades.

He spent much of his career as an

Executive Board member in several

high-tech companies focussed on

embedded, networking, IT security

and IoT. Robert‘s responsibilities

have included, but are not limited

to marketing, business strategies,

sales strategies and business

development in roles such as CTO.

Since 2010, Robert has worked as

CMO for the Eurotech Group,

concentrating on IoT.

40 IoT Now - February / March 2016


INTERVIEW

Patrick Kuo, CEO, ThroughTek Co., Ltd.

Patrick co-founded ThroughTek in 2008 with his

belief in the future of globally connected device

systems. His passion and ideals are key elements in

the evolution of Kalay Platform, which currently

sources one of the largest IoT ecosystems with

more than 130 million total connections per month.

Patrick was at the helm for a number of tech

startups before ThroughTek and has proven to be

an exceptional entrepreneur. Under his leadership,

ThroughTek has scaled its IoT ecosystems business

while maintaining a strong startup culture with

innovation as the driving force.

Driving innovation for surveillance

and smart home market – and

other key IoT developments

Matt Hatton, founder and CEO of Machina Research talks to

Patrick Kuo, CEO of Throughtek

MH: For readers who aren’t very familiar with

ThroughTek, can you introduce us to your

company?

PK: ThroughTek is a software company, providing

turnkey IoT solution and cloud services with the

Kalay Platform. Our extensive partnership with

chipset vendors enables businesses to easily

implement and rapidly deploy IoT ecosystems.

We work mostly with enterprises, such as

technology brands, device manufacturers, system

integrators, and service providers to deliver

managed services for multimedia and smart

home application with integrated products.

MH: ThroughTek’s main product is Kalay which

is an agent that simplifies connecting diverse

devices. Can you explain to me a little about

how it works?

PK: The challenges with building an IoT

ecosystem is in integrating disparate elements.

Specifically, I mean dealing with multiple

protocols, brands, and data sources when

attempting to control different devices. The Kalay

Platform uniquely identifies devices to address


ThroughTek is a

software company,

providing turnkey

IoT solution and

cloud services with

the Kalay Platform

IN ASSOCIATION WITH THROUGHTEK

IoT Now - February / March 2016

41


INTERVIEW

Security

continues to lead

in smart home

applications, so

delivery of

multimedia

content plays a

large part in

surveillance

discovery service within one platform, allowing

device-to-device communication and the

exchange of information. For enterprises that lack

the experience and required resources,

ThroughTek seamlessly integrates devices to one

platform, significantly reducing both

development time and time to market.

MH: You debuted your Cloud Platform at MWC

last year. How has the last year gone for it?

PK: It certainly has been a very productive year

for us. Our Kalay Platform has grown to support a

variety of devices, now with more than 180 SoCs

(System on a Chip) integrations supported.

Security continues to lead in smart home

applications, so delivery of multimedia content

plays a large part in surveillance. We spent the

last year enhancing the performance of our

connection technology and streaming server,

which largely differentiates us from other IoT

platform services. Our streaming server now

supports real-time two-way communication for

the transmission of audio and images

simultaneously. The Kalay Cloud offers video

recording features, which are designed to work

with new cloud storage options to enable video

playback. Security cameras can be combined to

work with sensors to automate the recording of

anomalous events and send notification alerts as

a complete solution for smart home security.

ThroughTek is also further developing the data

collection and analytical framework of the Kalay

Platform to define standards for data processing

and machine learning. Through adaptive learning,

we are able to capture and analyse data in realtime

based on historical data to create values for

predicting anomalous events or behaviours. Our

goal is to provide an end-to-end solution to help

enterprises connect devices and then manage

and make the most out of their data through

business intelligence.

MH: What are ThroughTek’s other areas of

focus?

PK: A vast majority of companies will be using

IoT in some way within the next few years, so it is

up to cloud service providers to help enterprises

create value from the connectivity opportunity.

Previously, we focused on helping companies

build connections for security cameras and home

devices to enable to remote device management.

We are currently improving our service offerings

and expanding our partnerships to integrate

third-party services to enrich applications for the

delivery of IoT security, live broadcast and video

analytics.

Furthermore, we are taking the next steps to

convert traditional products into novel services

for companies entering the IoT market.

ThroughTek has been working with device

makers to extend their application use. We have

started to see an increase in demand for smart

home devices that relate back to home security.

Many doorphones are now wireless and require

remote access to allow end users to

communicate, monitor and control door entry.

While lighting as an example works well when

combined with motion sensors to improve levels

of comfort for the home, it also adds a certain

level of security when combined with wireless

cameras. Robotics and telecare devices are

another area we expect to make an impact in the

near-future, used for the elderly and for child care

to provide improved communication and

interaction between end points.

MH: Until now, ThroughTek has focused a lot of

attention on the surveillance segment. Which

sectors do you think are particularly ripe for

growth in 2016?

PK: Absolutely, the security and surveillance

market was our main focus last year, but it will

continue to grow across the globe, particularly as

new applications create different types of

demand. We are seeing the smart home market

slowly mature, as telecoms and service providers

are waking up and beginning to integrate security

systems as part of their overall services. This has

given us the opportunity to work on delivering

increased manageability to devices and sensors

for energy saving, security, and comfort for a

more comprehensive smart home solution. End

users can assign device groups, control lighting,

room temperature, and more from their smart

phones, wherever they happen to be.

For retail and the public sector, surveillance

footage can be analysed with visualisations to

extract information about people count, traffic

behaviour and demographic breakdown. In the

DIY and smart home market, there is a need for

device integration of cameras with sensors for

the automated detection of anomalous behaviour

to issue alerts to users. This means allowing

access to information and apps across all kinds of

devices, from phones, camera devices, lighting,

door phones, to smart TVs and sensors in homes

and even for dashcams used in the car. With

content providers, they are more interested in

services that break down information about

viewership, content type and viewer behaviour.

MH: The connected home is particularly your

area of expertise. It has been relatively

immature until now. What have been some of

the challenges? In the next year or two, what

will be the next big themes in IoT?

PK: The challenges we face are in unifying a

variety of standalone products with different

connectivity standards onto one platform and in

enabling different application needs for each

brand. As more companies start to adopt and

implement IoT, we will start to see that

interoperability is expected as a basic connectedproduct

feature. The process alone will require

time and effort for businesses across different

verticals to work together to define product

standards and services that will make a real

impact on economy and society.


42 IoT Now - February / March 2016


The demand for connected-home devices hasn’t

reached its full potential yet. People are

demanding and willing to pay for smart security,

but less so in other forms of smart devices. This

may be because consumers have not found

reasons to buy beyond being able to remotely

control wireless devices. IoT companies are

working hard to make sense of data to create

value added services bundled with products to

deliver automated intelligence in the background.

Companies will need to organise, prioritise and

streamline data, to effectively collect and gather it,

so that it provides helpful and relevant information

to create smart solutions that resonate with

customers. Through data generated from

connected devices, we want to provide insights

and present it properly to improve on user

experiences and provide opportunities for

enterprises to turn IoT into monetisable models.

Such services will increase the motivation to

purchase connected product offerings via

recommendations on operational efficiencies that

can be gained and energy savings. ThroughTek as

an example has begun shifting its focus from

enabling connected components to developing

machine learning models and analytics to help

enterprises manage and monetise IoT.

Another issue that needs to be addressed is the

‘security of things’. Lack of security guarantees

and the consumer’s fear of personal information

being stolen through the use of connected

devices could hinder growth. At ThroughTek, we

continue to help enterprises deliver connected

devices and services while including security

features to ensure users’ privacy is protected.

This can be done through authentication, access

enforcement and encryption on devices to ensure

that communication between home devices, the

cloud and apps are protected.

MH: As we move into 2016, what significant

changes do you see in the market?

PK: One of the hints at continual growth in IoT is

that we are seeing an increase of interest in

companies and investors among emerging

markets - South East Asia, the Middle East and

India. While these markets lack networking

infrastructure, they are actually at a huge

advantage as they are less tied down by the

generations of infrastructure developments that

larger cities have inherited. It may be difficult to

tell how quickly IoT will spread across the globe:

however, internet penetration will be a key

indicator, along with interest among investors, as

they tend to indicate government and industry

commitments to implement network systems for

broadband connectivity.

From a consumer-end perspective, the idea of

selling standalone products will slowly become

obsolete, which will transform business models to

create new streams of revenue opportunities. We

see this happening as traditional cable and telecom

companies are expanding their offerings to include

home security and automation systems. Ten years

ago, customers could walk into a telecom service

store to purchase a standalone device. Today,

consumers arrive at telecom service stores and

expect to purchase devices bundled with network

and other service offerings. The product-centric

experience of the past was defined by the

hardware and the operating system. Nowadays,

IoT has defined new ways via applications for a

truly customer-centric experience.

MH: This interview is being conducted for the

edition of IoT Now that coincides with Mobile

World Congress. What are your expectations

for the show?

PK: The smart home segment will still be a major

theme at the show this year. As 2015 was the first

time wearable devices had a major presence, we

expect to see a variety of devices in 2016 again, but

integrated with more complete solutions for smart

home and connected car applications that service

providers will be able to offer to the mass market.

Wireless connectivity is another a crucial step in

the advancement of IoT. From a user perspective,

5G should enable faster, smarter services and

higher data rates with lower transmission delays.

This means an improved content viewing

experience for users, as they will be able to

download high-definition multimedia content

within seconds. There will be more discussions

about 5G standards and network infrastructure

solutions, as well as standards for devices and

wireless communications.

MH: Can you share some thoughts on what the

mobile industry is doing to support IoT, in

particular as it affects the areas on which

ThroughTek focuses?

PK: As consumers begin to buy-in with IoT, we

will start to see device manufacturers realise the

need to work closer with software companies.

Semiconductor companies will be required to

provide comprehensive solutions — for instance,

those that involve security, software, or systems

integration services in addition to hardware.

ThroughTek being an example, we have always

and will continue to work closely with our chipset

partners to ensure that embedded chips within

devices will be able to support software

applications and increase product innovation.

With the Internet of Things, real-time

communications is key in real world networking

environments. IoT growth will require comparably

significant infrastructure development. Telecoms

and service providers will need to improve

network infrastructures in order to manage largescale

data transportation, as more devices and

sensors will be processing and handling data. The

ability to operate efficiently and scale

management of network infrastructure will be

required to achieve the promise of the Internet of

Things. Telecoms and service providers will also

need to evaluate whether their pricing models

will be competitive enough to scale and meet

consumer needs.

Another issue that

needs to be

addressed is the

‘security of things’.

Lack of security

guarantees and the

consumer’s fear of

personal

information being

stolen through the

use of connected

devices could hinder

growth

IoT Now - February / March 2016

43


Join us for the

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FEBRUARY/MARCH 2016 • VOLUME 6 • ISSUE 1

THE CEO GUIDE TO

MOBILE WORLD

CONGRESS 2016,

BARCELONA

SAP – accelerating

adoption of the

IoT vision

Tanja Rueckert, executive

VP at SAP, talks IoT and

customer innovation

LATEST NEWS & VIDEOS AT

www.iot-now.com

PLUS: A five page roundup of what’s going to be on the C-level radar this year in Barcelona


INTERVIEW

SAP – accelerating

adoption of the IoT vision

Business software giant SAP is moving fast to help its customers tackle the

challenges they face in addressing the Internet of Things. But what is the

modus operandi of SAP and how does it see the IoT market developing?

“I truly believe IoT

is here and now and

it's not hype. The

technology trends

clearly support

this, as computing

power and machine

learning

capabilities

increased, while

cost for IoT sensors

and storage

decreased”

In an interview with Tanja Rueckert, SAP

executive VP for the Internet of Things and

Customer Innovation, IoT Now contributor Antony

Savvas asked how the company is addressing the

key areas that enterprises need to know about

the IoT and how SAP is supporting the growing

market.

IoT market drivers, adoption models, big data

management issues, industry alliances and

standards and of course security are all issues at

the fore when it comes to considering IoT

company projects.

Timing

First of all, IoT Now asked about timing and

questioned Rueckert whether she thought the IoT

was already here and whether companies had to

jump in now to take full advantage of the

promised opportunities.

Rueckert says: “I truly believe IoT is here and now

and it's not hype. The technology trends clearly

support this, as computing power and machine

learning capabilities increased, while cost for IoT

sensors and storage decreased. The “things” in

the networks get more intelligent, as they create

data that can be turned into smart data using the

analytics systems already available on the market.”

She adds: “There is a clear pattern showing the

IoT is here today and those that act now will lead

in the future.”

That said though, when one thinks of the cloud

and how long it took for widespread commercial

take up of software-as-a-service, platform-as-aservice

and infrastructure-as-a-service offerings,

aren't we getting a little ahead of ourselves with

the IoT?

Rueckert disagrees. “The growth and take up of

the IoT will accelerate much faster than the

cloud. It may not be for everyone in a year's time,

but in two or three years there will be widespread

take-up at a far wider level than was seen with

the cloud.”

Rueckert says the IoT is a far different animal than

the cloud at this stage of its development as it is

already rapidly growing to support mission critical

IN ASSOCIATION WITH SAP

applications in the logistics, manufacturing,

energy and utility sectors. With the cloud,

companies first started to put their email, sales

leads, HR and expenses systems into the public

cloud, not mission critical systems or important

business applications such as ERP.

The IoT is already central to major smart meter

roll-outs in the utility sector – such as the £11

billion UK nationwide roll-out, which is being paid

for by the government – and global

manufacturing and energy firms are already in the

process of linking their international operations

and facilities using IoT networks.

She says: “With the IoT, companies have far less

time, but at SAP we believe there are different

value steps. Organisations may want to take little

steps first then move faster after their initial

testing, but they really have to start now.”

The energy sector is an important case in point.

SAP Business Trends recently featured Peter

Reynolds, a contributing analyst with the ARC

Advisory Group. In relation to the falling global oil

price, he says: “When you are making money and

shareholders are happy, there is little case for

change. But when prices are this low, it’s time to

look at doing things differently.”

Reynolds says finding ways to lower operational

costs is now key to survival for many oil and gas

companies, and that embracing the industrial

Internet of Things (IoT) is essential. After all, the

industry is built on thousands of miles of pipe and

millions of pumps, valves and gauges.

“There is an awful lot of legacy infrastructure out

there,” Reynolds told SAP Business Trends

(http://scn.sap.com/community/businesstrends/blog/2016/01/25/low-oil-prices-prime-oiland-gas-industry-for-iot-adoption),

“but that

doesn’t mean you have to rely on legacy

thinking.” He says the IoT is really about

rethinking work processes and transforming the

operational experience.

Sensor-enabled infrastructure and wireless

connectivity offer oil and gas companies

alternatives to costly field operations. “Why

monitor 50 pumps when you can monitor 50,000

pumps?” Reynolds asks.


46 IoT Now - February / March 2016


Tanja Rueckert – executive VP, IoT & Customer Innovation

Tanja leads the IoT & Customer Innovation unit which, working in close collaboration with customers and partners,

focuses on developing innovative software solutions particularly in the area of Internet of Things (IoT) and Industry 4.0.

Co-innovating with customers and partners to accelerate their digital transformation by bringing individualised, but

scalable, business solutions to market is at the core of Tanja’s organisational charter. Expanding the market reach of SAP’s

innovation pipeline through globalisation services complements her responsibilities.

Tanja joined SAP in 1997 and has held multiple leadership roles in quality and program management and was the COO of

HR and Products & Innovation board areas. She holds a doctorate in chemistry from the University of Wuerzburg and the

University of Regensburg. Tanja splits her time between Silicon Valley and SAP’s headquarters in Walldorf, Germany, and

is a mother of two children.

Remote monitoring from a centralised location allows companies to

achieve economies of scale, while still enabling them to make critical

performance decisions based on massive amounts of data, he says.

Other areas that wider IoT use is expected in soon, says Rueckert,

are manufacturing, mineral mining, healthcare, transportation and

smart cities and retail. On the latter, she says: “You are looking at

the 'perfect store' scenario, with things like intelligent shelves and

also efficient energy control.

“I was talking to someone in retail recently and they told me

that if something could be delivered to cut their energy costs

using IoT they would be quickly on board, you wouldn't believe

what energy costs amount to on a retail business's profit and

loss sheet.”

The human effect

At the recently held World Economic Forum (WEF) in Davos,

Switzerland, delegates heard that up to 7.1 million jobs will

disappear in 15 major economies – including the US, UK, Germany,

France and Italy - over the next five years during a “Fourth

Industrial Revolution”. This would be as a result of “disruptive

technologies” around artificial intelligence, machine-learning

(including IoT), robotics, nanotechnology, 3-D printing, genetics

and biotechnology coming to the fore.

The effects of these technologies would be further

compounded by the rise of the mobile internet and

cloud technology, enabling the rapid spread of

internet-based service models, built around

the IoT.

The WEF said the rapid advance in

technological innovation will cause

“widespread disruption” not only to business

models, but also to labour markets over the

next five years.

The greatest job losses, said the WEF, will

happen in white-collar office and

administrative roles. This loss is predicted to

be partially offset by the creation of 2.1

million new jobs, mainly in more

specialised “job families”, such as

computing and mathematical or

architecture and engineering disciplines.

Rueckert said such fears around

robotics, artificial intelligence and

applications linked to the IoT were


IoT Now - February / March 2016

47


INTERVIEW

“As we grow

increasingly used

to the helping hand

machines can lend,

working practices

will evolve to

include them,

leading to a huge

upturn in

productivity”

understandable, but that it was up to SAP and

the other big technology players to manage the

fears.

She says: “There will be new job profiles as a

result of technological advancement. For

instance, I often hear fears around the wider use

of algorithms and the potential for people to lose

control over processes, but it is human beings

that are developing the algorithms.

“If we are simply treating algorithms and other

technology as a threat, we are not doing enough

as a technology industry to uplift the intelligence

of people. We must treat IoT and any other

technology as an opportunity for human

advancement.”

This is something that Sukamal Banerjee, global

head of HCL Technologies' IoT Practice, agrees

with. He says: “It may sound like an idea from a

sci-fi movie, but as the capabilities of machines

continue to evolve and become more complex,

they will increasingly act as collaborative partners

for humans.

“As we grow increasingly used to the helping

hand machines can lend, working practices will

evolve to include them, leading to a huge upturn

in productivity. This will enable people to enjoy

more engaging working practices, as mundane

and routine tasks are transitioned to machine

counterparts.”

Incidentally, two specific jobs that will be in

strong demand by 2020, despite the jobs cull,

said the WEF, include data analysts, which

companies “expect will help them make sense of

the torrent of data generated by the

technological disruptions”.

And “specialised sales representatives”, as

“practically every industry will need to become

skilled in commercialising and explaining their

offerings to clients”, the Forum said.

So SAP will clearly be at the centre of this job

creation spurt as a result of its active and

expanding cloud and related IoT business. This is

demonstrated by its recent full year 2015

reported results.

A growing potential business

SAP said cloud subscriptions and support

revenue was €2.29 billion for the year (2014:

€1.09 billion), an increase of 110 percent. While

this figure came out of total group sales of €20.8

billion, SAP is predicting a lot more to come from

its cloud related business – including IoT.

It said: “By 2017, SAP continues to expect its

rapidly growing cloud subscriptions and support

revenue to be close to software license revenue,

and is expected to exceed software license

revenue in 2018. At that time, SAP expects to

reach a scale in its cloud business that will clear

the way for accelerated operating profit

expansion.”

And this is something that Rueckert has her mind

firmly set on. “SAP has a cloud-first strategy, but

with IoT we are not trying to re-market existing

solutions, we are building a differentiating IoT

platform, applications and services to help our

customers digitise their business process and

create new business models.”

The major effort towards this end involves SAP

offering a platform built around its big data

processing engine HANA, which is already an

established solution among companies that need

fast processing and crunching of data generated

across their business.

The newer and IoT-specific SAP HANA Cloud

Platform for the IoT includes an asset

management product, a predictive maintenance

and service product, and several other solutions

that firms need to manage, monitor, and support

their growing numbers of connected devices.

SAP helps customers implement practical

business solutions with a wide variety of cloudbased

IoT solutions which include the SAP

Predictive Maintenance and Service solution, SAP

Connected Logistics software and the SAP

Manufacturing Execution application. And the

SAP HANA Cloud Platform offers open APIs that

allow third-party providers to develop IoT

applications.

Rueckert confirms: “Software is our business and

we have no intention of manufacturing IoT

sensors or other hardware - data processing and

data analytics remains our core business. With

the IoT, we know we or any company cannot do

it on their own. We want to help develop and

work towards accepted IoT industry standards

and we want more partnerships.”

SAP is already partnering with German industrial

conglomerate Siemens in building what is

marketed as the Siemens Cloud for Industry. This


48 IoT Now - February / March 2016


aims to be an open cloud platform for analysing

large datasets across industries.

The effort includes allowing developers to build

applications for Siemens Cloud for Industry that

will be available through the SAP HANA store, as

well as being available from the developers direct.

Security

SAP is also involved in alliances when it comes to

IoT security. Rueckert says: “We want to make

sure that there is greater security across the

entire IoT stack, especially when it comes to our

products and services being used in missioncritical

applications. This is also why we joined

the Industrial Internet Consortium (IIC).”

The Consortium aims to accelerate and promote

business use of the IoT. SAP is working with more

than 150 other IIC members to deliver use cases,

test beds, reference architecture and frameworks

and security.

Rueckert says: “On alliances, security and

standards we don't want to turn a positive into a

negative, but we know we have to be even more

visible in playing our full part in the development

of a very fast growing market. But this really is a

no-brainer for us as the IoT is already here and is

set to be everywhere very soon.”

Tanja Rueckert,

executive VP,

IoT & Customer

Innovation, SAP

IoT and the cloud

The cloud, by providing a front-end management interface for IoT devices, offers organisations the

scalability and flexibility they need to update and manage those devices. It can also provide the

necessary online and shareable capacity to store the data collected from these connected devices.

A cloud-based management platform that can be located at a single location can control multiple

IoT applications, and can provide the necessary data analytics to get the most out of this data for

the benefit of organisations.

This contributes to efficient business processes, cuts IoT operational costs and helps the

organisation to make greater returns from its technology investments.

IoT devices controlled in a cloud environment benefit from the classic scalability features of the

cloud. They can be increased in number more quickly in response to the needs of the business

using more efficient resource management.

What's required when running IoT devices in the cloud?

To efficiently run IoT devices in the cloud, organisations need authentication and security to

ensure that data transferred between devices and applications is verified, authenticated and

protected from security threats and malware.

They also need managed connectivity and device management to make sure IoT devices can be

detected, monitored, updated and managed over the air across multiple mobile and fixed-line

networks, and across various mixed network operators.

In addition, they require device data aggregation and analysis to ensure information - like

temperature, location, usage data and other readings - is efficiently organised and stored ready

for examination.

And, as the efficiency and speed of wireless networks improve, the ability of the cloud to control

large-scale device deployments will support more streamlined and cost effective systems for

enterprises.

The delivery of such cloud-based IoT solutions will be enabled through industry alliances across

communications hardware specialists, data storage specialists, analytics software leaders and

mobile operators.

IoT Now - February / March 2016

49


MWC PREVIEW

The show of shows

returns to Barcelona

And so the calendar his ticked remorselessly onwards for yet

another year and, once again, it’s time for our industry’s very own

Show of Shows to burst into life and draw the crowds back to

Barcelona.

Graham Trickey,

GSMA

The 2016 conference programme is packed with

insight and opinion from a wide range of

perspectives, featuring the usual cast of wellknown

figures as well as a smattering of

celebrities, such as three-time World Champion

driver Lewis Hamilton, who will discuss how

wireless technology is transforming the future of

consumer automotive through motorsport.

On top of the scene-setting keynote speeches,

the conference will also have around 50 in-depth

track sessions examining topics such as 5G,

devices, digital commerce, disaster response,

emerging markets, enterprise mobility, gaming,

financial services, the Internet of Things (IoT),

machine learning, mobile identity, privacy,

security, smart cities and virtual

reality/augmented reality, amongst others.

On the exhibition side, more than 2,100 companies

are expected there, including global brands such

as Alcatel-Lucent, AT&T, Deutsche Telekom,

Ericsson, Ford Motor Company, Google, Huawei,

Intel, Lenovo, Microsoft, NEC, Nokia, Qualcomm,

Samsung, SK Telecom, Sony Mobile

Communications, Telefónica, VMware and

Vodafone, among others. In addition, the show

will also include a number of exhibits focusing on

specific technology areas, including the Graphene

Pavilion, Green Pavilion, IoT Pavilion, Mobile

Money Pavilion and Wearables Pavilion, plus the

usual country/regional pavilions as well.

At the GSMA Innovation City located in Hall 3,

stands 3A11 & 3A31, a 2,000 square metre display

will bring to life common scenarios in urban and

rural settings, demonstrating how mobile

connectivity expands the possibilities for

businesses and consumers.

The GSMA will also host several programmes and

events focused on increasing diversity and

driving inclusion in mobile.

Graham Trickey, Head of Connected Living,

GSMA, sets the stage: “MWC will once again see

an abundance of cutting-edge connected devices

and services on show, demonstrating the

substantial progress the mobile industry has

made in advancing the IoT in the last year. To give

attendees a hands-on glimpse into the future of

how mobile-connected products are improving

the lives of people all around the world, the

GSMA will once again bring the Innovation City to

Barcelona in partnership with AT&T, GMA, Jasper,

KT Corporation and Sierra Wireless.”

He adds, “This year we also expect to see a range

of use cases on display for the emerging Low

Power Wide Area (LPWA) market, which

represents a huge market opportunity as the IoT

scales. LPWA services in licensed spectrum will

be critical in ensuring customer choice and

helping the IoT market to flourish. To accelerate

the development of LPWA solutions, the GSMA’s


50 IoT Now - February / March 2016


By planning over-the-air remote updates during the implementation of the smart

grid, companies can avoid costly upgrades across thousands of installed devices,

and better protect customer data

Mobile IoT Initiative is working with 27 of the

world’s leading mobile operators, OEMs, chipset,

module and infrastructure companies to roll out

multiple global pilots in early 2016 with full

commercial solutions starting later in the year.

We fully expect the debate around LPWA to be a

central topic at Mobile World Congress.”

Industrial grade IoT

For John Vladimir Slamecka, AT&T’s regional VP,

EMEA, “At MWC, we think everyone will be

talking about the IoT. It’s already on track to

transform the way we work and live. IDC predicts

the global market for IoT will nearly triple,

reaching US$1.7 trillion, by 2020. According to

Frost & Sullivan, nine billion devices are currently

connected to the IoT; that will be between 20

billion and 50 billion by 2020.

“With this in mind, here are my predictions for

both this show and the year ahead. Firstly, there’ll

be a surge in industrial IoT applications and

services. Maersk Line is already using AT&T IoT

technology to connect nearly 280,000 of its

refrigerated containers to track and monitor the

condition of perishable goods; and it’s one of the

largest industrial IoT deployments of its kind.

Here in Europe, we’ve also launched a managed

IoT network for our customers, using a virtualised

packet core.

“Secondly,” Slamecka adds, “people will be

looking to protect their connected businesses. A

report commissioned by us revealed that in 2014

there was a 458% increase in IoT vulnerability

scans against devices. We recommend a multilayered

approach to secure IoT devices. Finally,

there’s the issue of supporting app developers. A

joint study from AT&T and IDC last year showed

that 73% of app developers are currently

developing applications for the IoT. However,

there are still challenges to overcome for them:

finding the right focus; finding the right partner

to bring effective apps to market and overcoming

the lack of IoT training for developers.”

Caveat connector

This growing concern about security is echoed by

Amit Khetawat, director of Product Management

at Aeris: “The IoT offers an environment rife with

security challenges. At MWC 2016, we’ll see

several sessions devoted to this issue, including

‘Securing the IoT Business’, ‘Connected living and

securely scaling the IoT’, and ‘Securing the IoT’.

It’s a major topic as companies try to balance

business needs with security and privacy

demands to get the most of IoT systems.”

“In practice,” he suggests, “companies should

benchmark what “normal” activity on their IoT

network looks like to identify abnormal usage

and unauthorised access, allowing them to act

faster and prevent security concerns. The

burgeoning utility industry could generate over

US$1.4 billion by 2024 from fewer than 24 million

connections, according to Machina Research. This

means companies suffering even a moderate

breach on their smart grids could leave crippled

IoT networks, and customers and energy

suppliers vulnerable. By planning over-the-air

remote updates during the implementation of the

smart grid, companies can avoid costly upgrades

across thousands of installed devices, and better

protect customer data.”

Similar concerns are raised by Jim McNeil, CMO,

NETSCOUT (Hall 1 Stand 1C40): “Vendors need to

start thinking about the bigger picture,

specifically what happens if something goes

wrong. For example, a few months ago, Arbor

Networks, the security division of NETSCOUT,

received its first Denial of Service attack from a

household appliance. An overzealous refrigerator

continually hit the home server to report that the

owner was out of milk. The repeated ping was

ultimately due to an error, but it still took place

and did not cease. Imagine what would happen if

every fridge, thermostat, and door lock was

controlled to launch a scheduled DDoS attack.

The challenge associated with IoT security is real,

and it’s growing every day.”

McNeil adds, “This poses an important question

about the role of the service provider in this

relationship. As more and more IoT devices come

online, causing the risk of them being attacked or

compromised to increase dramatically, this has

the potential to have a big impact on our society.

So, should there be a shared responsibility between

the network provider and device manufacturer to

appropriately secure our IoT future?”

And after the customer’s bought

the connected device?

Along with a growing appreciation of the

responsibility our industry must start to shoulder

as more and more of the planet becomes reliant

on the IoT, comes the attendant issue of support

across the whole product-service lifecycle. James

Kirkland, chief architect, IoT and Intelligent

Systems, at Red Hat (Hall 2, stand 2G30)

comments, “We’re starting to see a lot of

commonality around challenges faced the day

after deployment. That’s probably the most

important change: IoT conversations are starting

to focus on the solution’s entire life cycle postdeployment.

Consumer implementations in

particular will start requiring the same levels of

reliability, performance, and data integrity as in

Industrial IoT, especially when any drop in service

can cause harm or when data protected by

privacy regulations is being exchanged.

Kirkland adds: “Devices can't just be placed out in

the world and left unmanaged. Secure and

functional devices require constant care and feeding

and that includes the software! Which underscores

another trend we’re seeing-how important it is

for IT developers and operational app developers

to adopt some of each other’s’ mindsets.”


John Vladimir

Slamecka,

AT&T

Amit Khetawat,

Aeris

Jim McNeil,

NETSCOUT

James Kirkland,

Red Hat

IoT Now - February / March 2016

51


MWC PREVIEW

James J. Nolan,

InterDigital

Keith Bhatia,

TCS

Rafi Zauer,

Essence

Valerie Riffaud-

Cangelosi,

Epson

John Stuart,

Thingworx

Standards, standards, standards

James J. Nolan, EVP InterDigital Solutions

(Court 7, Stand 7A71) predicts an intermingling of

issues around both security and that eternal

factor –standards. “We have seen internet privacy

and security become a large concern and both

will be hot topics at this year’s Congress. We are

increasingly seeing a move towards end-to-end

solutions for security and privacy and as security

capabilities at the device become more robust

through the use of accelerators, these will evolve

into standards and end-to-end security protocols

to ensure secure IoT systems.

“Just as these security and privacy standards

evolve,” Nolan says, “the adoption of standardsbased

solutions will also be hot as businesses

need confidence that their IoT investments are

future proofed. Today, we’re beginning to see

their adoption, such as the global oneM2M

standard, which is very robust and which we

support but, just as security and privacy is a

continuous evolution, so too is standardisation.

We also expect to see a discussion around

standards regarding LoRa and NB-IoT.”

Dude - where’s my device?

With the next release of LoRa due to deliver non-

GNSS location functionality, positioning remains a

hot topic in the IoT – both indoors and outdoors.

But don’t underestimate the challenge of locating

IoT devices, says Keith Bhatia, Group VP of

Mobility Solutions, TeleCommunication Systems,

Inc. (TCS) (Hall 8, Stand 8.0C25): “Immediate

access to highly precise information about an IoT

device’s location is critical for enabling valueadded

services and the associated revenue – but

it can be challenging to obtain location

information, particularly indoors. Take ‘small

cells’, which cover roughly the same area as Wi-Fi

access points and are frequently deployed

indoors. They should enable more precise

location of IoT devices, but this is often

undermined by carrier aggregation, where an IoT

service connects to multiple small cells.”

“However”, he suggests, “for IoT applications that

require high precision even when using

aggregated small cells, one solution is to leverage

two other technologies: the increasing availability

of Wi-Fi in public places, and the growing use of

Bluetooth for proximity-based mobile marketing.

By using one or both, IoT applications can

pinpoint a device, including in the third

dimension, such as the floor-level in a building.”

The IoT – coming to an

outlet near you

One example of how consumer use of the IoT is

growing will be demonstrated at MWC by

Essence (Hall 5, Booth 5E71), showing how

they’re bringing both Nest appliances and video

surveillance to operators’ M2M/IoT offerings. Rafi

Zauer, head of marketing at Essence, explains,

“Well be showing the latest enhancements to our

end-to-end connected-living platforms for

service providers: WeR@Home - for complete

DIY home management, security, and safety; and

Care@Home, a senior care solution focused on

increasing the independence of the elderly.

“We’ll also be presenting several new

developments. Having recently been awarded

‘Works with Nest’ approval, WeR@Home has

integrated the Nest Self–Learning Thermostat,

allowing end-users to disable the home’s

heating/cooling system as soon as the house is

empty. Another use case is the ability to

immediately detect if doors have been left open,

resulting in decreased energy efficiency. Nest’s

ability to detect an empty home can

automatically arm the home’s alarm system if

homeowners have forgotten to do so. With our

soon to be released video management platform,

users will enjoy high quality video monitoring

directly from their WeR@Home mobile app while

service providers will gain new revenue

opportunities through added playback and

analytics capabilities.”

The IoT delivered direct to

your eyes and mind – and your

digital twin

“The arrival of the IoT as a mainstream

technology has been predicted at MWC for the

past three years,” comments Valerie Riffaud-

Cangelosi, New Markets development manager

at Epson (Congress Square Stand CS100).

“However, when the data generated by IoT

systems and networks is aggregated and made

available through smart glasses, that same

technology can create a workforce of ‘smart

humans’. The key to a genuinely useful ‘Internet

of Things’ relies on introducing a human element

into a system of machines and this is logistically

tricky. However, smart glasses allow humans to

‘plug in’ to an IoT network, hands-free. If the

smart glasses also support augmented reality, it

means that businesses can also interact with the

world around them but with an added digital

layer to make them ‘smarter’. At MWC 2016, we

can expect to hear about how businesses will put

smart glasses at the core of IoT systems, making

workers more productive and streamlining their

back end operations.”

Also making a pitch in the augmented reality

stakes will be ThingWorx (Stand 8.0 C13 in the

IoT Pavillon). John Stuart, DVP, ThingWorx

Product Group says, “Using a smart connected

Santa Cruz mountain bike, ThingWorx will

demonstrate how digital transformation can be

achieved through Digital Twin and Augmented

Reality technology. PTC will also unveil its

complete IoT strategy, which is strengthened by

its recent acquisition of ColdLight, Vuforia and

Kepware. The acquisition of these market-leading

companies will help us extend our factory


52 IoT Now - February / March 2016


automation footprint and accelerate our entry

into the industrial Internet of Things.”

The big, bigger, biggest picture

When it comes to the wider vision of how the IoT

might change business, lifestyles, cities and even

what it means to be human, there’s going to be

no shortage of opinions flying around the event.

Gareth Mackown, Partner, IBM Interactive

Experience, positions his company in the fray:

“This year, IBM will be bringing to MWC a range

of demonstrations, case studies and industry

thought leadership, including cognitive robotics

running on Bluemix, Interactive walls and talks

centred around the concept of cognitive mobility:

OutThink Disruption. We will be focusing on how

companies can differentiate between just

committing random acts of digital and being an

actual digital business where transformation is

led by digital disruption and, importantly, enabled

by mobile and IOT. Our 2016 IBV Digital

Transformation Study ranked the Internet of

Things as the #1 new era technology affecting

cross-industry operations. The increasing

proliferation of new devices/wearables/sensors

and the resulting interactions is now generating

vast volumes of data, highlighting the need to

coordinate and make sense of experiences in a

more complex environment. Applying cognitive

computing capabilities to this challenge is where

businesses can truly differentiate.”

Connected cars and living spaces

According to Macario Namie, VP of Strategy,

Jasper (Hall 3, 3A11), one focus will be on

connected vehicles: “In 2016 in the US, the

majority of new vehicles produced will be

connected cars, and it is likely that embedded

connectivity will be the norm for all new vehicles

produced worldwide within the next several

years. The connected car was a dominant trend

at CES earlier this year and will be prominent

throughout MWC as will another major trend –

autonomous vehicles. Smart Cities is also hot on

everyone’s agenda, while Low Power Wireless

Area Network (LPWAN) technologies hold a lot

of promise for the IoT.”

Karthikeyan Natarajan, senior VP & global head,

Integrated Engineering Solutions, Tech Mahindra

(5G51, Hall 5) also highlights this area – but in a

wider context: “Connected cars are just one

example. Who would have guessed a decade ago

that quicker life cycles, OTA updates and the user

experience would become important

considerations for auto makers? Disruptors like

Uber and the creation of a new market: ‘On

demand mobility’, means OEMs must re-consider

what car ‘ownership’ means and automotive

companies are starting to think like consumer

electronics and software companies. It’s creating

new opportunities for OEMs, who now need

partners to manage this software complexity.”

Additionally, the whole wider connected

environment seems now to be coming alive.

Remy Marcotorchino, director, Marketing and

Market Strategy, Sierra Wireless, comments: “At

MWC 2016 we’ll see more conversations around

smart city solutions, as part of an industry quest

for cleaner, greener, safer urban environments. By

2050, it is predicted that 70% of the world will be

living in urban environments. This will create

significantly more demand – and stress – on

energy, water, public safety, transportation, and

waste management systems – but also offer

unprecedented opportunities for ICT leaders to

help make significant improvements to efficiency

and resource utilisation.

“The IoT offers new models for cities to

significantly enhance livability – a concept that I

believe we’ll see a much greater focus on at MWC

in particular. In fact, at Sierra Wireless we’ll be

giving our own demonstrations around smart

parking and smart car applications, healthcare

and wearables, as part of the more central GSMA

Innovation City. This impending collision of

innovation, new business models and citizen

engagement is at the heart of the smart city

revolution happening today.

“Smart Cities,” Marcotorchino concludes, “are

really about data, analytics and intelligent

decision-making, starting with the collection and

communication of data to help cities manage

everything more efficiently. The opportunity also

resides in allowing cross departmental city-wide

initiatives, effectively breaking silos so that fixed

and mobile assets are able to interact with other

departmental systems.”

Supporting the wider technology

environment – in development

Considerable effort is also being expended in the

IoT to simplify, optimise and improve the

technical environment that IoT services and

devices are developed and have to operate in.

Guy Kaplinsky, president and founder of IQP

Corporation, explains his company’s approach:

“During MWC we'll be demoing the IQP nonprogramming

Development Environment for

cross platform IoT/M2M Apps and Enterprise

Applications. It supports rapid code-free

application creation by anyone – from end-users

to sophisticated programmers, using a webbased

visual programming interface. IQP offers a

complete IoT development solution, from

connectivity with sensors and control devices to

app customisation and design templates.”

Kaplinsky adds, “We’ve also just released two

new widgets that address IIoT, retail, security and

other sensor-related applications. One widget

supports data collection and monitoring from live

streaming video from remote sources. It can also

support a video chat or sending/receiving data

from one End App to another End App. The

second widget supports interactive mapping –


Gareth Mackown,

IBM

Macario Namie,

Jasper

Karthikeyan

Natarajan,

Tech Mahindra

Remy

Marcotorchino,

Sierra Wireless

Guy Kaplinsky,

IQP Corporation

IoT Now - February / March 2016

53


MWC PREVIEW

Guy Reiffer,

Starhome Mach

Steve Newton,

Aria Networks

Jonathan Borrill,

Anritsu

the user uploads an image map (production line,

store other facility) and then defines positions

where sensors can be placed. The process is

simple; the user just drags a widget that is

connected to an IQP ‘query’ (a query is

connected to the actual sensor, data or image

that is being visualised). In run-time mode it’s

easy to visualise exact state of the defined

sensors and receive real-time event notifications

in case of changes.”

Supporting the wider technology

environment – in roaming

Guy Reiffer, VP of Marketing & Partnerships at

Starhome Mach identifies a growing problem: “An

evaluation jointly carried out by Starhome Mach

and Machina Research has concluded that MNOs

need to pay more attention to the impact of M2M

roaming on their networks as this doubled in the

last 12 months. Machina Research estimates 350

million cellular-based connections worldwide, which

will grow to 1.3 billion over the next five years.

The proportion of M2M connections accounted

for by roaming is growing even faster. As a global

provider of roaming services including billing and

clearing to network operators, Starhome Mach

determined that the number of roaming

registrations attributed to M2M devices increased

by 100% last year to reach 7% of all roamers.

“Starhome Mach has developed the next big

thing in IoT – HD IoT. As part of this development,

we recently demonstrated the ability to add

business logic to the download of virtual eSIMS,

streamlining the ability to decide when and how

to ‘localise’ devices in complex global

deployments. Decisions need to take into

account the costs in each country, the available

quality of service (QoS) and other options that

might be available such as permanent roaming.”

Supporting the wider technology

environment – avoiding network

congestion

Steve Newton, CEO at Aria Networks, makes a

prediction: “Undoubtedly a lot of the chatter at

MWC will be around network optimisation - how

to sweat the infrastructure for the best return on

investment. The big challenge around this is

understanding increasingly complex user

demands - particularly in light of the IoT -

meaning many more devices will be vying for

network demand. I would like to hear serious

discussion about how networks can be configured,

re-configured and run with zero or minimum

human touch. The 'Breathing Network' (one that

expands and contracts with demand) optimised

to deliver business objectives is increasingly

important as volumes of connections rise.”

Newton adds, “In Barcelona, I expect to hear

more about how SDN and NFV are now

becoming reality. Aria Networks believes the way

to tackle automation is using artificial intelligence

in the orchestration layer so the network can then

decide when to make changes, what these should

be and where they should take place. When IoT

is being discussed in the Fira, I want people to

consider which applications should the network

prioritise? Healthcare, for example, could be a

matter of life and death, so optimising networks

to prioritise this should be high on the agenda of

operators focussing on e-health solutions.”

Supporting the wider technology

environment – through testing

“In 2015, the connected car was a big feature for

MWC and the M2M/IoT market, but the

connected home is expected to quickly become

an important market for IoT, as home electronics

also have relatively short design/product life

cycles and consumer buying habits that enable a

more rapid adoption of the technology,” says

Jonathan Borrill, director of Engineering and

Technology, Anritsu (EMEA).

Borrill explains: “Connected home deployment

scenarios combine cellular and short range

wireless modules for an integrated solution, and

at MWC we’ll be presenting a test bed in

collaboration with the University of Hertfordshire

for wireless home automation. Using intelligent

switches and electrical plug controlled by ZigBee,

managed by a home gateway using cellular

backhaul to communicate with the cloud and

provide remote user control, the test bed features

the Anritsu MD8475A network simulator to

provide the cellular air interface. The IoT test

benches from Anritsu also feature Cat0 LTE

device testing with Power Saving Mode, including

Protocol Conformance Test. Our IoT production

line test solution, the MT8870A, is also

demonstrating multi-standards testing of

simultaneous cellular, Wi-Fi, and Bluetooth,

including 802.11p automotive device testing to

support the latest vehicle to vehicle standards.”

54 IoT Now - February / March 2016


CREATE

THE

FUTURE

Join the newest online community that is dedicated to the IoT. Industry experts are




iotglobalnetwork.com


CASE STUDY

iManage, a Numerex Solution, delivers

cost savings to a large manufacturer

via supply chain optimisation

The challenge

An industry-leading manufacturing company with

annual revenues in excess of $37B engages

multiple suppliers to regularly ship containers to

various manufacturing locations and to multiple

supplier locations. To ensure the manufacturing

supply chain process is not interrupted,

containers are often required to be shipped on

short notice. To keep these high value assets safe

while in transit, the company utilises specialised

containers to ship parts.

These containers are limited and require constant

monitoring by plant managers, logistics

coordinators and inventory supervisors to ensure

availability. If containers are not available, the

supply chain is delayed. Finished product

shipments are impacted, causing significant

operational and production costs, thus reducing

margins and revenue. The manual tracking of

containers is a time consuming and manual

labour intensive process. The manufacturing

company needed greater visibility of actual

activity to balance planned activity against

operational decisions. The company approached

Numerex to find solutions to maximize efficiency.

The solution

Numerex’s supply chain optimisation solution,

iManage, built on nxFAST® platform holds the

answer. Including tracking devices, wireless

network connectivity, and a cloud-based

application the Numerex iManage solution

IN ASSOCIATION WITH NUMEREX

IoT Now - February / March 2016

enables location reporting for the shipping

containers and leverages that information to

provide advanced data analytics. The solution is

configured to collect data from the tracking

devices on a regular basis and deliver reports,

alerts and notifications as appropriate.

iManage provides visibility into SLA compliance

and performance against defined business rules

and metrics. Utilising this approach enables the

company to better allocate resources, increase

production efficiency and prevents unnecessary

acquisition of inventory, carrying costs, and

expediting expenses.

The solution deployed across multiple product

lines at the customer’s manufacturing facilities

and at key vendor locations. Notifications via

email and SMS text inform stake holders of

critical changes that may require immediate

attention. The customer has access to tools that

support long-life device management and a

flexible system configuration to match their

enterprise business rules, metrics and

management. Battery life is also managed

efficiently based on individual device load.

The results

Numerex enables the manufacturing company to

increase visibility in its supply chain by identifying

optimal product deployment. iManage is an IoT

system capable of providing live geographic

visibility, tracking, and insightful asset

management.


An industry-leading

manufacturing

company with

annual revenues in

excess of $37B

engages multiple

suppliers to

regularly ship

containers to

various

manufacturing

locations and to

multiple supplier

locations

57


CASE STUDY

The customer has

access to tools

that support longlife

device

management and

a flexible system

configuration to

match their

enterprise

business rules,

metrics and

management

iManage empowers the customer to:

• Reduce purchases of new containers and

transportation of components in unauthorised

containers

• Realise cost savings in resource allocation

• Minimise transportation of components in

unauthorised containers

• Realise better asset protection and loss control

• Reduce operations and transportation costs

Features

• Location, movement, dwell and cycle time

tracking

• Dashboard views with advanced analytics

• Email and text alerts — notifies professionals

of problems

• Configurable device reporting schedules

• Integrated mapping visualisation

Benefits

• Improves material flow and inventory

management

• Prevents manufacturing floor stoppage

• Significantly reduces expedited shipping charges

• Provides data for tracking compliance with

3PL SLAs

• Mitigates loss or theft of shipping racks or

containers

Waypoint #5 Rack

Management Center

Dwell Time - 2 Days

Threshold

Max Count - 16

Min Count - 5

Waypoint #1 Factory

Dwell Time - 2 Days

Threshold

Max Count - 14

Min Count - 4

(((((ALERT!)))))

Waypoint #2 Transit

Dwell Time - 4 Days

Waypoint #4 Transit

Dwell Time - 4 Days

iManage

Value Chain

Waypoint #3 Supplier

Dwell Time - 2 Days

Threshold

Max Count - 20

Min Count - 12

(((((ALERT!)))))

Waypoint #5 Supplier

Dwell Time - 2 Days

Threshold

Max Count - 15

Min Count - 10

Waypoint #4 Transit

Dwell Time - 4 Days

iManage, is a manufacturing optimisation solution built on Numerex’s cloud-based horizontal

delivery platform. iManage helps manufacturers optimise production by wirelessly tracking,

managing, and analysing the flow of production parts, assemblies, and racks between factories and

suppliers. The solution alerts professionals in the event of a stoppage, slowdown, or problem.

iManage enables tracking of parts and assemblies across multiple plants and suppliers. The solution

allows supply chain professionals to take proactive actions to ensure that production facilities

continue to operate without interruption, material shortages, or expedited-shipping charges.

58 IoT Now - February / March 2016


The IoT Enablement Company

As global leader in connecting distributed devices, Eurotech works with

world-class ecosystem partners to deliver best in class building

blocks

that make up the Internet of Things.


ANALYST REPORT

Morgan Mullooly is an analyst in Analysys Mason’s Digital Economy practice, and

co-leader of Analysys Mason’s IoT and M2M Solutions programme. A respected

voice on M2M and IoT matters and a sought-after speaker at industry events, he

is also on the judging panel for the Best Mobile Innovation for Automotive

category of the GSMA’s Global Mobile Awards 2016. He has a Master’s degree in

Philosophy and Public Policy from the London School of Economics.

AT&T and the Connected Car

AT&T’S Drive platform is well positioned to support the infotainment services of the future, writes analyst

Morgan Mullooly from Analysys Mason’s IoT and M2M Solutions programme.

The connected car is expected to be one of the largest M2M

opportunities for telecoms operators. The challenge for the

operators however is how to move beyond basic connectivity

revenues and win a significant share of the value of broader

connected car services. AT&T’s response to this has been to

develop its AT&T Drive platform which has the potential to be

a marketplace for those involved in the connected car

infotainment services market – both connected car suppliers

(technology vendors and application developers) and

automotive OEMs (and their customers). AT&T’s ability to

extend its automotive connectivity deals and engage the

interest of app and solution developers will be crucial to the

success of its connected car strategy.

AT&T is already the leading provider of connectivity to cars

Analysys Mason estimates that new passenger car sales will

grow at a CAGR of 5.5% worldwide between 2015 and 2020.

By 2019, we expect that the majority of cars produced will be

connected. This will be a boon for telcos at a time when

revenues from other services are flat or in decline.

AT&T has been busily diversifying its customer base by

building Internet of Things (IoT) solutions for various vertical

markets – including the automotive industry. Indeed, it is

already the world’s leading embedded connectivity service

provider for the automotive sector. The carrier added 1 million

connected cars to its network in 2Q 2015 (see Figure 1). This

growth outstripped handset subscriber growth and brought

the total number of vehicles that AT&T supports with

embedded connectivity to 4.8 million.

To protect itself in the long term and provide services that

offer greater differentiation than connectivity alone, AT&T is

eager to become a key player in the connected car value

chain. It aims to achieve this by developing ‘AT&T Drive’, a

difficult-to-replicate service for OEMs in the form of a cloudbased

platform which can support OEMs’ proprietary

infotainment systems.

AT&T is developing an ecosystem of partners

and developers around its AT&T Drive platform

AT&T Drive brings together a disparate set of technology

partners (such as Ericsson, Jasper, Qualcomm and VoiceBox)

with unique competencies such as billing and partnership

management, speech recognition and natural-language

understanding (see Figure 2). This ‘platform of platforms’

allows OEMs and third-party developers to focus on with what

they do best – building vehicles and apps.

End consumer

Auto OEM

in-vehicle infotainment (IVI) system

In this case, the apps and app store of the IVI system

is powered by AT&T Drive.

AT&T Drive Platform

This platform aggregates and integrates platforms from partners such as

Ericsson, Jasper, VoiceBox and others

1250

Net adds (thousands)

1000

750

500

250

0

-250

-95

Reseller

448

Connected

devices-other

Branded

consumer

Figure 1: Net subscriber additions, AT&T Mobility, 2Q 2015

741

1000

Connected

devices-cars

In-house developers

For example, AT&T has developed a

Digital Life and U-Verse app for

Connected Drive

Third-party developers

For example, iHeart Radio, Streetline,

Urgent.ly and others

Figure 2: Simplified view of the AT&T Drive platform [Source:

Analysys Mason, 2015]

AT&T Drive can add richness to OEMs’

infotainment systems in the USA and beyond

AT&T’s connected car services are modular, meaning that

automotive OEMs can start off by using the carrier’s managed

connectivity services, and then later extend this to include the

infotainment capabilities enabled by the AT&T Drive platform.

In countries where AT&T does not have local network

coverage, it has the ability to contract a partner carrier to


60 IoT Now - February / March 2016


Connected

infotainment strategy

of automotive OEM

Embedded

connectivity

Approach to

services

Benefits to

automotive OEM

Disadvantages to

automotive OEM

Value to the

automotive OEM

Option 1 –

Connectivity and

unique connected car

services

• Yes

• Many unique

services

• Complemented by

over-the-top (OTT)

apps

• Lots of

differentiation for

the automotive OEM

• Can be hard for automotive

OEMs to develop

applications and attract

third party developers

• Expensive

• High

Option 2 –

Connectivity and OTT

services

• Yes

• Few unique services

• Focus on OTT apps

• Customers are

provided with lots

of services

• Limited differentiation –

most services are widely

available

• Medium

Option 3 –

Unique and OTT

services

• No

• Some unique

services

• Complemented by

OTT apps

• Lower cost

• Dependence on smartphone

connectivity can damage

user experience

• Limited differentiation

• Medium

Figure 3: Features of selected potential embedded

provide local connectivity for its OEMs and still provide access

to the cloud-based AT&T Drive platform to power the OEMs’

infotainment systems. This means that OEMs can use the

same infotainment approach in other countries than the USA.

AT&T Drive will compete alongside OTT services from other

players striving for dominance in the connected car value

chain

Figure 3 lists some of the options considered by automotive

OEMs for connected car services (although it should be noted

that this is a simplified list, as other options are possible).

AT&T Drive is aiming to help automotive OEMs pursue the

most valuable approach, Option 1. By offering services to a

large number of automotive OEMs, AT&T should be in a better

position to attract developers than automotive OEMs who act

independently, and AT&T can spread the costs of developing

the Drive service across a larger base.

While the AT&T Drive platform is designed to help automotive

OEMs define the native infotainment experience, a number of

other OTT platforms are also vying for dominance in the

provision of connected car infotainment. These platforms

include Apple CarPlay, the Connected Car Consortium’s

MirrorLink and Google’s Android Auto.

These OTT platforms will exist in parallel with the native

infotainment experience (see Figure 3, which describes how

these OTT platforms can fit into the infotainment strategies of

automotive OEMs). Typically, they synchronise smartphone

apps and content to vehicle infotainment systems, and enable

vehicles to ‘piggyback’ on smartphone-based connectivity,

offering customers familiar interfaces and access to their

handset’s app library. Many OEMs have already made

commitments to integrate these OTT platforms in their

vehicles alongside the native infotainment experience. These

OTT platforms will provide an alternative way for end users to

access services, meaning that the native experience, which

AT&T hopes to support, may be side-lined by solution

developers and end users.

Despite competition from these digital economy heavyweights,

Joe Mosele, VP IoT Business Solutions at AT&T says: “Right

now, other technology providers are making a lot of headlines

- and they will be mass market eventually - but they only offer

OEMs a one-size-fits-all solution. It is the same user interface

and user experience regardless of what brand values are held

by the individual OEMs. We believe that we have tremendous

capabilities to help OEMs create an alternative native

experience supported by the AT&T Drive platform that would

be customised and a differentiator for each OEM.”

AT&T is enhancing its OEM and developer

bases to ensure the long-term success of the

AT&T Drive platform

As with all platforms or marketplaces, more end customers

will attract more suppliers and, in turn, more suppliers should

attract more customers. The challenge for AT&T is how to

attract more customers (in effect, more automotive OEMs)

and more suppliers (app developers). It is now tackling both

of these.

• AT&T is cultivating a developer base for AT&T Drive. A

potential stumbling block for AT&T is that the AT&T Drive

platform represents just one possible outlet for connectedcar

service providers and app developers.

While AT&T has established a number of partnerships with

credible and innovative app developers such as Urgent.ly

and Streetline, there is some concern that it will struggle to

capture developer support on the same scale as the likes of

Apple and Google which are entering the connected-car

value chain.

AT&T has stated that the extensive support that Apple and

Google derive from the developer community is not a

critical concern for the success of AT&T Drive. According to

Jared Peterson, IoT lead marketing manager at AT&T: “So

much of the developer mind-set is to find the money related

to distribution and opportunity. In North America we have

such a dominant position in terms of number of connected

cars we support – this translates into a huge opportunity for

the modest number of serious app developers that we work

closely with.”

• AT&T is extending its existing OEM relationships globally.

AT&T is already a leading provider of connectivity for

automotive OEMs in the USA. Mosele says: “We have

announced connectivity deals with nine of the top

automotive brands, so we are able to show our developer

community that we have that scale they require to make

them very interested in developing for the AT&T Drive

platform.”

AT&T is now starting to extend those connectivity deals to

other regional markets. For example, with the help of a

regional carrier partner it recently began providing

connectivity for General Motors’ OnStar connected-car

service in Europe. The attractiveness for developers of

developing for the AT&T Drive platform will increase as AT&T’s

USA-originated connected-car relationships extend

internationally.

IoT Now - February / March 2016

61


IOT MASTERCLASS

Understanding data privacy

in a fully connected society

The IoT community has to ensure that the changes that it’s making to the world are safe and affect

people and organisations for the better. One critical issue here involves the ethics of data usage.

Saverio Romeo, principal analyst at Beecham Research, recently spoke with Dr. Kat Hadjimatheou,

senior research fellow at the Interdisciplinary Ethics Research Group at the University of Warwick,

and a specialist in the ethics of security and surveillance technologies.

SR: The IoT community is creating spaces for us to live and

work in which are connected and intelligent – from fitness

trackers to temperature sensors. What are the ethical issues

involved in such a fully connected society?

KH: There are essentially three key considerations, starting

with the kinds of information that are being processed. Some

kinds of information are considered inherently private

involving intimate aspects of our lives, such as our friendships,

families, sex lives, and our health. Information about our

energy consumption or purchasing habits isn’t inherently

private, but this doesn’t mean we want it shared with

everybody.

This leads me to the second consideration, namely who’s

viewing the information. Most of us don't mind non-intimate

information about us - such as our energy consumption or our

purchasing habits - being collected so we can receive better

deals from our energy providers, or advertising that reflects

our preferences. At the same time however, most people

would feel uncomfortable about their purchasing histories

being shared with their mother-in-law, even if she might buy

them a more appropriate Christmas present. Alternatively,

even with some very intimate information, there are usually

some people we happily share it with, such as doctors. In

order to preserve privacy, we need to be able to choose who

we share information with.

This leads us very conveniently to the third consideration -

whether we have any choice about the kinds of information

collected and what’s done with it. A 'liberal' society such as

ours is built partly upon the belief that people should as far as

possible be free to decide many things for themselves. For

example, most people believe that living a healthy lifestyle

should be a matter of personal choice, and not something

imposed by others. Even if it is better for us to have connected

devices that monitor our food consumption and exercise, we

believe people should have a choice about whether to adopt

such devices. This does not however mean that everything

should be a matter of choice - some of the decisions we make

about our own bodies affect the wellbeing of others.

For example, it is nowadays commonly accepted that one's

personal choice to smoke should not affect others.

Nevertheless, in a liberal society personal choice is always

very important and must be taken into account. Technologies

and systems that enable fine-grained choices, at different

points in the process of technology adoption, are better

than those that offer only a one-off, single chance to 'agree'

or 'disagree'.

More opportunities to consent or opt-out decrease the risk of

what is known as 'function' or 'mission' creep. Mission creep

occurs when data collected for one purpose is then used for

another. Some smart metering systems collect temperature

data - which can also be used to determine how many people

are at home. If people sign up to a system to know when to

turn the radiators on or off doesn’t mean that they’ve also

signed up to a system that monitors the number of people in

the house.

SR: Many believe that privacy by design should be a

fundamental criteria in designing IoT solutions. How do you

define privacy by design?

KH: Privacy by design means building privacy concerns into

the design of technologies, processes, and systems right from

the start. One of the basic principles involves data

minimisation. This means collecting only the amount of data

necessary to fulfil the specific functions of the device/system

involved and reduces the risk of function or mission creep.

Most of us also feel that a system which involves automatic

processing of data with no human involvement is less intrusive

than one which involves people actually accessing that data.

SR: The IoT community believes that data is strategic – in

business and service terms. In order to fully exploit that

potential, there is a school of thought that believes in

data openness. From an ethical perspective, how do you

see data openness?

KH: It depends what kind of data is being discussed!

Obviously, making the code for very intrusive surveillance

software open-source is not a sensible idea, given the risk of

cyber criminality, misuse by authoritarian regimes, not to

mention terrorism. For people unlucky enough to live in

human-rights abusing regimes, encryption is a vital tool to

preserve their privacy. Less dramatically, the collation of data

from different sources can identify individuals who believe

that they’re interacting anonymously. Data openness is good

when it involves governments operating in a democracy,

because transparency and accountability are implicit. By

contrast, customers do not owe transparency to the

companies they do business with. Businesses who collect data

about their customers have a duty of care to those people to

process the data in ways that do not infringe on their privacy,

even when customers have, perhaps unthinkingly, clicked that

'agree' button.

Dr. Kat Hadjimatheou is a researcher with the University

of Warwick’s Interdisciplinary Ethics Research Group. As

well as publishing academic articles on the ethics of

policing, security technologies, border control, trafficking

and surveillance, she has also produced a report on the

ethics of border control for the EU Borders agency

FRONTEX and consulted on their code of ethics. She has

additionally worked on a number of EU-funded security

research projects focusing on these issues including

DETECTER and SURVEILLE.

62 IoT Now - February / March 2016


IOT MASTERCLASS

Miguel Angel

Garcia Matatoros,

managing director,

BlueTC

Making the move towards tailored

M2M connectivity services

As many mobile operators’ voice and text revenues continue to plummet, they’re keen to

expand their share of the growing IoT market. However, their strategies vary significantly and,

in some cases, go far beyond offering just connectivity services. But, before diversifying their

portfolios to include a series of richer and more IoT-focused services targeted at different

vertical sectors, we believe that they need to first control, enhance and perfect their core

offering: the actual M2M connectivity. This involves putting both passive and active network

monitoring systems in place as only then will the operators have the best starting point from

which to create outstanding services and monetise their M2M connectivity services.

A complex market with diverging needs

The IoT market is far from homogenous as far as both

suppliers and users are concerned. Connectivity needs vary

significantly from one vertical sector to another, and also from

one IoT solution or customer to another. Some solutions will

require high speed 24/7, while others will need reliable - but

only sporadic - connectivity, maybe just enough to send or

receive a data package once a day, week or month. But all of

them require reliability if IoT services are to be delivered

correctly and guaranteed by SLAs. Operators are not offering

just connectivity but IoT service delivery assurance. Access to

information on network performance and the ability to control

this therefore becomes key.

Commodity connectivity or tailored services?

Customer diversity also means that there is no such thing as a

“standard M2M connectivity plan”. Operators should therefore

fully exploit the possibilities of designing tailored connectivity,

support and service plans for specific groups of IoT customers

- or even uniquely individual ones for each customer.

In order to do this however, they first have to understand the

verticals’ businesses, have partners that can supply that

insight, or gain expertise through acquisitions. Most operators

have clear strategies on what vertical sectors to focus on

while others, like Tele2, have chosen a horizontal strategy that

enables them to serve any vertical. In the case of Tele2, they

have a comprehensive offer built around their IoT platform

and provide not just global, secure mobile access, but also

services for automating, controlling and optimising IoT

connectivity.

Today, Blue Telecom Consulting (BlueTC®) works with Tele2 to

monitor their cellular networks and also provides its M2M

Active Monitoring Solution directly to Tele2’s IoT customers

through a partnering agreement. Irrespective though of the

market strategy chosen by M2M operators, SLAs must be

fulfilled if customers are to be kept satisfied. The loss of a

single customer could mean thousands of SIM cards – and the

revenues they produce - disappearing. Consequently, trust

should be established early on in negotiations, with specific

connectivity and other needs met from day one and the best

way of doing this is by providing guarantees through

customer-specific SLAs. When issues do arise, which

inevitably happens, the underlying reasons must be promptly

identified and fixed before any vertical customer - or their

own end customers - are affected.

Enhanced connectivity services and differentiated plans

One of the additional options available here involves closely

controlling the actual quality and specific network parameters

delivered to different IoT customer groups. However, in order

to achieve this they must first know exactly what is going on

in both their own and in their roaming partners’ networks. Not

just through the passive monitoring that all operators perform

in some way, but instead via active monitoring that permits

testing certain use cases, accurately emulating real customer

situations and experiences. Additionally, with steered roaming,

M2M devices can be forced to connect to certain other

networks under certain conditions. When a system that can

comprehensively monitor and analyse relevant network

parameters is in place, trigger alarms may be programmed to

issue alerts, or even automatically fix issues. A well-designed

monitoring system allows M2M operators to offer guarantees

that specific SLAs will be fully met and provide quantitative

proof that that quality was delivered. This again enables them

to develop categories of connectivity, with different SLAs at

different price levels, and create new revenue streams.

Such monitoring systems already exist and BlueTC’s M2M

Active Monitoring Solution can rapidly be deployed in any 2G,

3G or 4G network, independently of its owner, starting locally

and small or going for large scale and global monitoring, or a

mix of the two. Active monitoring of the quality and

performance of M2M networks must be an implicit and

complementary part of any M2M operator connectivity offering.

IN ASSOCIATION WITH BlueTC

IoT Now - February / March 2016

63


EVENTS

Industry of Things

World USA 2016

San Diego, USA

25-26 February 2016

www.industryofthingsworldusa.com

The Industrial IoT

USA Summit

Chicago, USA

14-15 April 2016

www.industrialiotseries.com/usa/

TM Forum Live 2016

Nice, France

9-12 May 2016

www.tmforumlive.org

Delivery of Things World

Berlin, Germany

25-26 April 2016

www.deliveryofthingsworld.com

European Smart Grid

Cyber Security

London, UK

7-8 March 2016

www.smartgridcybersecurity.co.uk/iot

Smart Home Summit

- Germany

Frankfurt, Germany

6-7 April 2016

germany.smarthomesummit.net

M2M World Congress 2016

London, UK

26-27 April 2016

www.m2mconference.com

Internet of Things World 2016

San Francisco, USA

10-12 May 2016

www.iotworldevent.com

Insurance IoT Europe Summit

London, UK

7-8 June 2016

www.fc-bi.com/insuranceiot

IoT Global Innovation Forum

Barcelona, Spain

15-16 June 2016

www.iotglobalforum.com

5th Annual Social Media in the

Utilities Sector Conference

London, UK

11-12 April 2016

www.socialmediautilities.com

Smart IoT Show

London, UK

12-13 April 2016

www.smartiotlondon.com

Smart Cities India 2016

Exhibition and Conference

New Delhi, India

11-13 May, 2016

www.smartcitiesindia.com

Security of Things World 2016

Berlin, Germany

27-28 June 2016

www.securityofthingsworld.com

64 IoT Now - February / March 2016


Know

your

stuff.

Knowledge, as you know, is power. As a single-source provider, Numerex empowers

enterprise operations with world-class, managed IoT solutions that are simple, innovative,

scalable, and secure. We simplify the complexity of machine interconnectivity—enabling

the Internet of Things—so you can solve business challenges, produce new revenue



© 2015 Numerex Corp. All rights reserved. Numerex is a registered mark of Numerex Corp.


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PLUS: Contributions and insight into LoRa from Geoff Mulligan, Semtech, Actility, Senet and more


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considerable head of steam, to draw a metaphor from the first industrial revolution. With over

200 current members developing a rich and innovative community ecosystem, IoT Now thought

that it was time that we dedicated a special supplement to take a first, closer look at what could

turn out to be the truly seminal IoT networking technology of the next few years.

5

9

Nigel Chadwick and Alan

Tait of Stream Technologies

talk about their work with

Lora and the role that their

IoT-X platform can play

Machina Research’s

principal analyst Aapo

Markkanen examines how

LoRa’s developing and

evaluates the different

factors that may drive – or

hinder – its growth

11

14

15

IoT Now’s Alun Lewis

provides a swift snapshot

from the front lines of LoRa

deployments and

application and product

development

Geoff Mulligan, chairman

of the LoRa Alliance on the

philosophy of openness

that underpins this now

thriving community

Daniel Quant of MultiTech

Systems, a founding

member of the LoRa

Alliance, speaks about

recent and future

important developments in

both organisations

PUBLISHED BY:

WeKnow Media Ltd. Suite 138, 70 Churchill Square, Kings Hill,

West Malling, Kent ME19 4YU, UK Tel: +44 (0) 1732 807411

© WeKnow Media Ltd 2016

All rights reserved. No part of this publication may be

copied, stored, published or in any way reproduced

without the prior written consent of the Publisher.

IoT Now LoRa SUPPLEMENT - February / March 2016

3


NEWS

LoRa® Alliance 1st Anniversary

networking reception at MWC

February 24th 17:30-20:00pm

The LoRa Alliance held its first ever

meeting at MWC 2015 and will be

celebrating its first anniversary at the

same venue. The Alliance has grown to

over 200 members in less than a year

making it one of the fastest growing

alliances. It invites people to visit,

network, and learn from its members

what networks have been deployed

around the world, what applications

LoRaWAN is delivering real world

value to and how LoRaWAN is

becoming the secure, carrier grade

The LoRa Alliance at MWC

IoT Pavilion, Hall 8, Booth E10

The Alliance will be showcasing its

entire LoRaWAN ecosystem and will

have demonstrations running live on a

LoRaWAN Network in Barcelona. There

will be LoRa 101 sessions with

development kits, Q&A sessions on its

Certification Program and IoT Products

that an be used today.

standard of choice for low power radio

networks for the IoT. The event will take

place at the Hotel Miramar Barcelona,

Mediterranean Room, Plaza Carlos

Ibáñez, 308038, Barcelona. Please

contact Alessandra Mongardi at

amongardi@inventures.com to request

an invitation.

This is an invitation-only event and

transport to the Miramar will be

available to invited guests. This event

is kindly sponsored by Cisco.

The LoRa Alliance All Members Meeting and Open House

April 4-6th 2016

The Hyatt, Santa Clara, California, USA

The Alliance will be holding its third All

Members Meeting and Open House on

the 4th to 6th April, 2016. This will be

its first meeting in North America and

will include an Open House for nonmembers

on the 6th Aril. There will be a

LoRa 101 training session, speed

networking and the popular Open Market

Place. Full agenda and registration

details will be made available shortly.

Contact amongardi@inventures.com

for more details.

In the meantime, learn more about

LoRaWAN, watch the introductory

video or download the white paper:

www.lora-alliance.org/What-Is-

LoRa/LoRa-Videos

www.lora-alliance.org/What-Is-

LoRa/LoRa-White-Papers

Join the LoRa Alliance, find out the

benefits, membership levels and how

you can contribute: www.loraalliance.org/Join/Become-a-Member

IoT connectivity – another

way from everynet?

everynet, a new global network

operator company is being launched

in the UK to provide IoT connectivity

that the company says will deliver

scale, both from technical and

business model perspectives. The

company says that an exciting and

innovative Partner Program will also

democratise LPWA networks and

provide an option radically different to

existing approaches.

The founders of everynet already have

experience in rolling out IoT Networks,

with 30 million people covered in

Russia, 400K smart meters being

rolled out in St Petersburg, and now

new trials are being deployed in the

UK and North America. Tracy

Hopkins, marketing committee chair

of the LoRa Alliance and LPWA IoT

expert has joined everynet as regional

head for EMEA & APAC.

Libelium gets LoRa

Alliance Certification on

its LoRaWAN sensor lines

Libelium claims its sensor products -

Waspmote and Plug & Sense!- have

become the world’s first hardware

devices to pass the LoRa Alliance’s

LoRaWAN Certification Program.

Module RN2483, integrated in

Waspmote, comes from Microchip, the

Libelium provider of microcontrollers,

mixed-signal, analog and Flash-IP

solutions, and meets the functional

requirements of the latest LoRaWAN

1.0 protocol specification, for

operation in the 868 MHz license-free

band.

The US version of the new Microchip

module, the RN2903 for operation in

915 MHz band, will be released to the

market in the following months.

4

IoT Now LoRa SUPPLEMENT - February / March 2016


STREAM INTERVIEW

Nigel Chadwick, founder and CEO, Stream Technologies

Alan Tait, CTO, Stream Technologies

LoRa – and more

After a number of years of relative stability – even inertia – the wireless connectivity part of the

IoT value chain is bursting into life again. New technologies and standards, many based around

Low Power Wide Area (LPWA) concepts have emerged; the ever-scarce radio spectrum is

being sliced and diced in different ways; and many new entrants are appearing to offer devices,

services and applications specifically for this terrain.

But how are these emerging connectivity options

and the subsequent choices that we will have to

make going to affect the current status quo?

Many of the M2M and IoT solutions and strategies

that now surround us have largely grown using

those familiar flavours of GSM, from 2G to 4G, all

supported and synchronised by the vital

standardisation work of ETSI and the 3GPP.

To get a better insight into some of these issues,

IoT Now’s editor, Alun Lewis, recently sat down to

speak with two senior representatives of Stream

Technologies, developers of the award winning

IoT-X IoT platform: Nigel Chadwick, the

company’s founder and CEO and Alan Tait, CTO.

IoT Now: Judging by the crowds and the buzz

at last November’s LoRa Alliance meeting in

Rotterdam, LPWA – at least in that particular

technical incarnation – seems to be reaching a

kind of critical mass. What’s your take on

current – and future developments – in that

space.

NC: We are impressed with the level of interest

and adoption of LoRa – and some of the other

recent developments like NB-IoT – that are giving

us a richer set of wireless connectivity options to

use in different situations. For a start, the

imminent ending of GPRS coverage in some parts

of the world is spurring engineers on to develop

IN ASSOCIATION WITH STREAM

IoT Now LoRa SUPPLEMENT - February / March 2016

alternatives such as LTE-M and, from the LPWA

perspective, NB-IoT - both being part of the

3GPP landscape. LoRa is coming from a different

heritage, though enhanced features like roaming

and positioning are being added and there is

interworking underway between this community

and the 3GPP. As I’ll expand on a bit later, we’re

showing our commitment to LoRa in a number of

different ways and are keen supporters of the

community and its potential.

These developments are especially interesting in

the context that they place the last fifteen years

or so that we’ve spent investing in our platform,

our processes - and even business principles. Ten

years ago, we were essentially an MVNO that

specialised in M2M but fortunately identified even

back then the need for the kind of connectivityagnostic

platform now represented by our IoT-X –

supported as well by the necessarily wide set of

features and functions that today’s market

demands. That prescience, flexibility and implicit

openness has helped us differentiate Stream from

other platform developers and vendors who

envisaged a flatter, more two-dimensional

connectivity and service delivery and

management world than the one now knocking

on our doors.

We were fortunate in being able to support that

longer term vision through the fact that we


We are impressed

with the level of

interest and

adoption of LoRa –

and some of the

other recent

developments like

NB-IoT

5


STREAM INTERVIEW

remain in private ownership and tend to eschew (in contrast

to many private equity-backed players) short-term tactical

‘wins’ in preference to longer term strategic success – I call it

‘strategic patience’. In practice, that’s meant that we’ve been

able to anticipate and prepare for many of the shifts that have

taken place across the M2M/IoT sector and which are

reflected in the evolving demands of actual end customers.

The result – behind the scenes - has been the creation of

what’s effectively a tool kit for managing connectivity

irrespective of whether it’s satellite, 2G, 3G, 4G, LPWA or even

the newer forms of Bluetooth and WiFi now appearing. With

each iteration, that tool kit – and the wider IoT-X environment

– gains new features, most recently with addition of richer

policy controls, packet loss monitoring and mitigation, plus

other integral capabilities to ensure cost-effective scaling and

growth. We’re also currently exploring how we and our

customers can take advantage of developments in Software

Defined Networking (SDN) to improve network throughput

and efficiency.

That exploration aspect is also aided by the openness of IoT-X

which we built in from the start. While going about its day to

day work, supporting live customers and devices, we’re also

able to use it as a test-bed to work with customers who

themselves want to introduce new features, services or

connectivity options to their own portfolios, but manage that

innovation and rollout securely, safely and cost-effectively. In

turn other adopters of our platform stand to benefit from

these evolvements and iterations of IoT-X.

IoT Now: LoRa already looks definitely set to increase the

number of connected ‘things’ on the planet by a large factor

– but that expansion is obviously going to resonate

throughout all the other connected IT systems, business

processes and organisational structures involved. What’s

the impact here amongst customers going to be?

AT: In terms of feedback so far, there are probably two main

areas. Firstly, companies are surprised at the ease of

deployments and the associated activation, monitoring and

billing processes. We work with a ‘light touch’ methodology,

eliminating unnecessary or redundant touch points from the

service interface and only expose the underlying complexity

to end users in appropriate ways at appropriate operational or

managerial levels. That brings an instant benefit for customers

in terms of staff recruitment and training – a sometimes

forgotten aspect of operational expense. This becomes

particularly relevant as deployments of IoT solutions and

connected end point volumes scale up.

The rider to that – and essentially the second area – is that it

means the customer can focus on what they’re going to do

with the data feeds coming via IoT-X into their own enterprise

systems and, increasingly, into their own partners as well via

shared value and delivery chains. The majority of decision

makers and managers within any corporation have no interest

in how the actual data arrives into their systems – they just

want it delivered reliably, cleanly and usually in as real time a

way as possible. In this context, they just want to see their IoT

initiative as just another part of an IT project – not a

standalone area that’s going to require heavy additional

investment, specialist and expensive expertise and be a

problem to support, maintain and change over the lifetime of

its operation.

From this perspective, we’re the enablers and supporters of

those analytics, decision support and business intelligence

systems that hopefully add value and increase insight into a

company’s operations, products and services to improve their

competitiveness. There’s a growing thirst amongst companies

of all shapes and sizes for this data – we’ve seen traffic loads

grow by around a factor of ten over the last year or two alone

and it shows no sign of abating.

One aspect of that complexity reduction process which we’ve

recently introduced and which is already proving extremely

popular involves our recent relationship with Morpho (Safran)

that allows us to offer support for eSIMs. This is a recent 3GPP

specification which allows provisioning of subscribers over the

air (OTA). This is supported by a completely secure

manufacturing and supply chain provided by the MorphoFlex

subscription management solution, we can remotely provision

or change local cellular connectivity for MNOs and customers

anywhere in the world. The combination of Stream and

Morpho creates an entirely new go to market strategy for

MNOs looking to play in IoT. That potentially helps us, or other

IoT-X adopters to have a truly global reach, and allows IoT-X

to be – and also enable - a new breed of Super-VNO (Virtual

Network Operator), which can help level the field for tier two


6 IoT Now LoRa SUPPLEMENT - February / March 2016


and three operators, while simultaneously

simplifying worldwide deployments for

enterprises and major international brands.

IoT Now: Nigel – there was a flurry of

announcements from Stream towards the end of

last year that focused specifically on your work

in the LoRa sector. Can you talk us through

what they were and where you are now – and

indeed, where you’re heading?

NC: Before doing that, I’d like to emphasise that

while we believe that LoRa has a potentially huge

role to play in extending connectivity, its success

is going to be dependent on the quality and

efficiency of the platforms that are used to

manage that connectivity. As an industry sector

that exists to serve and support other industry

sectors – and indeed, I’d argue, entire societies –

we have to be able to support the almost

inevitably essential interworking with other

communications mediums that will be required.

Barriers between different network types and

technologies have been steadily eroding over the

last decade or two, but there are still all sorts of

minutia that must be addressed if crossboundary

communication is going to work

effectively, especially where issues like roaming,

redundancy, positioning and service fall back are

concerned. There’s a significant difference

between drawing nice pictures of clouds

overlapping on a white board and the often tricky

engineering that involves data packets and

protocols out in the real world.

As far as our activity with LoRa is concerned, we

made our first announcement back in August last

year – a joint project with MultiTech that meant

that their LoRaWAN mDot products and devices

and Conduit gateways would be pre-integrated

with our IoT-X platform. One early project that

we worked on together demonstrated the use of

these – plus an IBM Node-RED custom

application – to deliver a building automation

application, an area which LoRa is particularly

IoT Now LoRa SUPPLEMENT - February / March 2016

well suited to with its good penetration

characteristics.

Slightly later that month, we announced a similar

partnership with Link Labs and their LoRaWAN

Symphony product range, and with KERLINK,

whose LoRa IoT Station is already being

deployed across Europe. I think I’m right in saying

that our IoT-X Now platform now supports all

LoRaWAN compliant gateways and we’re

watching the development and release of

additional features very closely.

Another announcement from late last year that’s

also significant in a slightly different context

concerns another demonstration of successful

interworking – this time with LoRa and the

Iridium low Earth orbit satellite mesh network.

There are numerous situations – smart cities, civil

emergencies and natural disasters, missioncritical

communications for the utilities and

transport – where satellite backhaul can provide a

vital alternative if terrestrial networks are

unavailable for whatever reason. We’ve seen the

impact of this recently from New Orleans to the

Asian tsunami, where the absence of

communications has severely hampered relief

efforts. As LoRa-based systems become

increasingly integrated with urban infrastructure

and critical systems, it’s essential that we build

survivability into them as well.

Finally – and much closer home to us as a

company – there’s the LoRa testbed network that

we’ve installed at our HQ in Glasgow. It currently

covers around eight square miles of the city

centre and, given Glasgow’s amazing industrial

heritage role as a workshop of the British Empire,

we feel there’s a nice resonance in introducing a

truly 21st century technology platform to the city.

We’ve opened this up to a number of local

academic partners: the University of Glasgow, the

University of Strathclyde and Glasgow

Caledonian University. Teams from these are

hello@arkessa.com • +44 1279 799270

arkessa.com


As far as our

activity with LoRa

is concerned, we

made our first

announcement

back in August

last year

5


STREAM INTERVIEW

The report from

Machina was an

independent

strategic report and

highlighted 20

platform related

vendors, out of

which only three –

including Stream –

had a PaaS ‘play’

covering

Connectivity

Support as well as

Connectivity

currently engaged on a number of LoRa projects,

examining its potential in areas like smart

transportation and smart campuses.

IoT Now: Alan – Stream Technologies are noted

in a recent report by Machina Research entitled

‘IoT Platforms Best Practices’ which identifies

Stream as ‘one of the most important software

platform vendors’. Why this focus from Stream

on innovating, developing and monetising new

Platform as a Service (PaaS) based

technologies?

AT: The report from Machina was an independent

strategic report and highlighted 20 platform

related vendors, out of which only three –

including Stream – had a PaaS ‘play’ covering

Connectivity Support as well as Connectivity. In

recent years we have evolved into a company

with a wide range of specialist skills and

experience, which combine to result in a

substantially differentiated technical, operational

and commercial capability.

In particular, this expertise comprises telco and

wireless connectivity, software development,

backhaul infrastructure design, and data

transiting/routing. Doing all the development

work in-house means we are constantly creating

and refining functionality and all we have learned

in cellular is naturally extended and adapted to

satellite and latterly LPWAN. Stream’s consistent

agnostic approach was particularly suited to

integrating LoRa connectivity management

within IoT-X as well as LoRa WAN network

manager capability. We foster technical

creativity throughout our company and

encourage people to challenge the status quo

and legacy ways of doing things. These traits,

when blended with our agnosticism and

innovation, result in Stream’s unique DNA and

company culture.

I think the quote by Jim Morrish of Machina

Research pretty well sums up the current

positioning of IoT-X: ‘Stream’s IoT-X platform

embodies a feature rich, extensible offering in the

Connectivity Platform space. Whilst remaining

agnostic towards connectivity technology type,

Stream remains one of the only vendors of

platforms that has fully embraced LoRa

technology, including enabling connectivity

management as well as LoRa WAN network

server functionality. The company is committed

to the provision of multi-technology, multi-vendor

connectivity as homogenous as possible. It also

has a rich partner ecosystem, including SIs.

Stream occupies a unique positioning in the PaaS

developer and vendor space’.

IoT Now: It sounds like IoT-X is certainly

attracting a lot of attention across the IoT

sector presently. Can you provide some insight

into where the interest is coming from and how

you see IoT-X being leveraged by different

organisations across the globe?

NC: It’s fascinating to see where interest is

derived from for the platform; primarily because

it provides a unique insight into how different

types of companies are evolving, how they are

ensuring future proofing (in terms of assurance

over delivery and management of connectivity)

and how they are evolving go-to-market

partnerships. Add to this the fact that we are

seeing new entrants into the LPWA and

connectivity space – both new starts, as well as

established global players – who are seeing a

huge opportunity in enabling and monetising IoT

wireless networks which in turn are going to

support the deployment of billions of connected

devices and related solution sets over the next

decade. MNOs across the globe are exploring

and evaluating which LPWAN direction to take

and IoT-X, due to its low risk-cost and agnostic

attributes, holds strong appeal to these operators.

Furthermore, such operators also stand to gain

from eSIM and other features inherent within IoT-

X should they so choose. There are also existing

privately owned LPWANs which are seeking to

drive more revenue through opening up such

networks for third party use; IoT-X effectively

manages subscribers on the network and

associated tariff billing. Then there are large

scale global organisations that are seeking to

support their often multi-national enterprise

clients seeking a LPWAN – which have the real

estate, asset values, and business models where

establishment of their own network can make

substantial impact on bottom lines. These global

organisations include a mix of multi-national SIs,

equipment and module manufacturers,

component OEMs and distributors, as well as

other organisation types that would not until now

have been associated with IoT. This really brings

me right back to my earlier point regarding IoT-X

becoming pivotal in enabling Super VNOs.

8 IoT Now LoRa SUPPLEMENT - February / March 2016


ANALYST REPORT

After its first year on the IoT

scene, what’s ahead for LoRa?

LoRa is an LPWA technology that had been rather gradually gaining relevance since

the beginning of the decade, but 2015 was the year when it truly became a top-ofmind

subject in the IoT space. That is at least if the inquiries from Machina Research’s

clients are used as a yardstick - writes Machina Research’s principal analyst Aapo

Markkanen - with “What should I think about LoRa?” and its variations ranking high in

our thematic Top 5 over the latter half of the year.

Most of this mindshare growth can be attributed

to the LoRa Alliance, which was launched at

Mobile World Congress in March 2015, and its

ongoing work on the LoRaWAN protocol. With

another MWC just around the corner, this feels

like the right time to take stock of LoRa and think

about where it may be heading.

LoRa and LoRaWAN in a nutshell

Let’s start with a reminder of what we’re actually

talking about. LoRa (Long Range) is a modulation

format that is based on the chirp spreadspectrum

(CSS) technique, in which a lowbandwidth

signal is “spread” over a bandwidth

that is much wider than the transmitted signal

content would require as the technical minimum.

The format resides on the network’s physical

layer (PHY) and is agnostic in terms of network

topology – in other words, it can do both star and

mesh architectures. As a PHY technology, LoRa is

proprietary to Semtech Corporation, which

obtained it by acquiring Cycleo, a French chipset

start-up, in 2012.

LoRaWAN, in the meantime, is a specification

that resides on the MAC layer and serves as a

networking protocol for LoRa-based networks.

The specification has been developed specifically

for the LoRa PHY, and it is freely available as an

open standard to interested developers.

LoRaWAN is managed and promoted by the

LoRa Alliance, a not-for-profit association that

was launched in Q1 2015, with an underlying goal

of making the standard competitively neutral for

the involved partners and advancing

collaboration between them.


IoT Now LoRa SUPPLEMENT - February / March 2016

9


ANALYST REPORT

The timing for deploying these public and nationwide

LoRaWAN networks is intriguing, considering the LPWA

standardisation work that is taking place at 3GPP

Aapo Markkanen,

Machina Research

Private or public, licensed or unlicensed?

Originally, LoRa was used exclusively to roll out private,

campus-style infrastructure, but the creation of LoRaWAN has

seen the focus shifting visibly towards the public network

model. In particular, a number of MNOs in Western Europe –

including Bouygues, KPN, Orange, Proximus, and Swisscom –

have bought into LoRa/LoRaWAN as their first LPWA

technology. Outside of Europe, FastNet (Telkom) in South

Africa, SK Telecom in South Korea, and Tata Communications

in India have pursued a similar strategy. Of the greenfieldstyle,

non-MNO providers the Russian-based Lace as well as

US-based Senet and M2M Spectrum Networks have also

chosen the public model.

The timing for deploying these public and nationwide

LoRaWAN networks is intriguing, considering the LPWA

standardisation work that is taking place at 3GPP. Had the

process proven more straightforward than it actually has, and

led to a standard that could have conceivably seen large-scale

commercial roll-outs already in 2016, then that might have left

too little strategic room for LoRa to take off as a publicnetwork

proposition. However, as the upcoming 3GPP

standards may not be available (beyond trials) until late-2017,

there is now a realistic window of opportunity for alternatives

that allow MNOs to offer LPWA connectivity and solutions

without delays. Against this backdrop, the current positioning

of LoRa may well make sense.

The MNOs that have introduced LoRaWAN services have

done so by utilising the unlicensed ISM bands, but there is

also the option of running the technology over licensed

spectrum. Amongst the experts that Machina Research has

interviewed so far, opinions have been divided when it comes

to the viability of this – with some executives regarding the

licensed-spectrum model as the way forward, and some

others viewing the underlying CSS technique as

fundamentally too spectrum-inefficient for such a scarce

resource. As a strategic question, it will eventually have farreaching

consequences for the LPWA market as a whole. The

licensed version of LoRa could possibly serve as an outright

substitute for cellular-based technologies, while its unlicensed

flavour is likelier to prove a complementary offering that will be

ultimately used in parallel with cellular-based LPWA networks.

Three big questions for the

LoRa ecosystem in 2016

The release of LoRaWAN and the creation of the LoRa Alliance

put LoRa at the forefront of IoT connectivity in 2015. The next

12 months will tell us a lot about whether the early interest and

excitement around the technology can make a more sustained

and material impact on the connected world. In this context,

the following three points will be particularly decisive:

• Can LoRa get enough buy-in from third-party

chipmakers? This year, LoRa’s greatest test is how much

investment it will attract from chipset suppliers other than

Semtech. Without additional suppliers on the PHY level,

device makers and enterprises that are evaluating the

technology proposition are, overall, likely to decide against

it as too risky. On this front, the recent signs are fairly

positive, with STMicroelectronics having announced in

December that it will start producing LoRa-based SoCs.

Microchip has also indicated it plans to do the same.

• Will the regulatory environment remain favourable?

LoRa’s current momentum is owed in large part to the

relatively permissive regulatory environment around the

use of unlicensed spectrum, which has allowed operators

of both public and private networks to act fast, and move

swiftly from networks’ evaluation to their deployment.

However, the long-term outlook for providing LPWA

connectivity over unlicensed frequencies is currently

anything but certain – as we discussed in an article last

month on the IoT Now website.

• Can the LoRa ecosystem deliver interoperability? The

main reason why MNOs have shown interest in LoRa is that

LoRaWAN, as an open protocol, gives providers a high

degree of control and flexibility when rolling out the

network and integrating it with the existing backend

systems. The flipside is that enabling device roaming across

separate LoRaWAN networks is likely to prove challenging

due to differing implementations. Dealing with these

problems will be a high priority for the LoRa Alliance, given

that interoperability is critical for anyone who plans to

supply or use LoRa-based devices. The Alliance already has

a certification program to ensure that end devices will

comply with the specification, but that’s only one part of

the interoperability effort. A lot of heavy lifting remains,

especially on the network level.

As a conclusion, LoRa’s breakout year was undeniably

successful, but the companies betting on it still have their

work cut out for them. The next appropriate checkpoint for

their progress will be LoRaWAN’s next full iteration, scheduled

for mid-2016 or so. Expected to address key aspects such as

network roaming and geo-location - a potential killer feature -

its reception will, to a large extent, show whether the LoRa

camp will be next gearing up – or down.

Aapo Markkanen is a principal analyst at Machina Research,

where he focuses on access technologies and the role they

will play in the evolution of M2M and IoT connectivity. He has

a particular research interest in Low Power Wide Area

(LPWA) networks and competing short-range alternatives. In

addition, Aapo contributes to Machina Research’s coverage

on other emergent IoT topics, advising vendors, service

providers, and end users on a variety of market and

technology issues that will shape tomorrow’s connected

enterprise. Aapo holds BSc and MSc degrees in management

studies from the University of Tampere, Finland.

10 IoT Now LoRa SUPPLEMENT - February / March 2016


PERSPECTIVES

LoRa UPDATE

As a professional observer of the industry ‘formerly known as telecoms’ for many years,

it’s always fascinating watching the birth of a new technology, writes Alun Lewis, editor

of IoT Now. After a few years – and especially after a few decades – you start to learn

to trust your nose when it begins to sense the beginning of something potentially big.

Equally, you also learn to trust the prickling hairs on the back of your neck as a warning

that a technology is being over-hyped and over-promoted and that the predicted

‘revolution/evolution’ is going to end in tears for all concerned.

Against this backdrop of sometimes bitter experience, it was a delight to attend the LoRa Alliance event held in Rotterdam in

November last year. There was a tangible buzz and simmering, latent energy there – the like of which this writer probably hasn’t

felt since first attending MWC’s predecessor, the GSM Congress, back in the now distant days of 1993.

With entrants to the Lora world increasing almost daily, it’s already starting to become difficult to keep track of all the different

initiatives and industry players out there – some global, some intensely local. IoT Now approached a number of companies to get

their take on what’s happening from their own individual perspectives – read on to see the results…

Rapid growth, expansion and real world deployments

Perhaps we should start with a view from

Semtech, effectively the founders of the LoRa

world. Hardy Schmidbauer, director of Wireless

for Semtech’s Wireless, Sensing & Timing Product

Group, sets the stage: “Semtech officially

launched the LoRa® Alliance with leading

telecom companies and IoT solution providers at

MWC 2015 to create an ecosystem of partners

committed to standardising and scaling IoT. In

just one year, the Alliance has grown to include

over 200 companies from all over the world, and

many have already deployed networks and

solutions based on the LoRaWAN specification.

“Some key milestones include 13 announced

nationwide public network deployments in

various countries, two successful all-members

meetings in Paris and Rotterdam, implementation

of a LoRaWAN certification program, and over

4,000 specification downloads. The LoRa

Alliance ecosystem, along with its

STMicroelectronics and Microchip licensing

partners, will give LoRa the edge when it comes

to scaling deployed networks quickly via market

ready solutions, certified modules and sensors,

and support through multiple channels.

“We believe the best way to keep up with this is a

robust, standardised ecosystem. By promoting

collaboration throughout a complex value chain,

we can ensure quick time to market for end-user

applications, more incentives for companies to

launch LPWANs, and guaranteed connectivity

between LoRaWAN-based networks and

applications.

“Bouygues Telecom (France), Fastnet (South

Africa), KPN (The Netherlands), The Lace Company

(Russia), Orange (France), Proximus (Belgium

and Luxembourg), Senet (North America), SK

Telecom (South Korea), Swisscom (Switzerland),

Tata Communications (India), and others have

launched public networks capable of supporting

any application that follows the LoRaWAN

specification, creating endless opportunities for

companies to implement IoT solutions.”


In just one year,

the Alliance has

grown to include

over 200

companies from

all over the world

Hardy

Schmidbauer,

Semtech

IoT Now LoRa SUPPLEMENT - February / March 2016

11


PERSPECTIVES

Schmidbauer explains: “LoRaWAN networks

operate in unlicensed ISM bands worldwide and

are capable of communicating up to 15-30 miles

in rural or unobstructed environments and up to

1-2 miles in dense urban and indoor areas. In

addition, LoRaWAN has a unique adaptive data

rate feature to ensure network scalability, multilevel

encryption for secure communication, and

long battery life. These features, along with our

strong global partnerships within the LoRa

Alliance, have attracted many companies from a

variety of industries.

“To accommodate the demand for information

about LoRa, we continue to host webinars and inperson

boot camp classes in North America, Asia

and Europe, which have already attracted over

1,000 people. Both established companies and

startups are transitioning toward connected

technologies, and we look forward to using our

standardised network of LoRa users to improve

supply chain and building management, water

conservation, air pollution controls, volcano and

earthquake surveillance, healthcare, public safety,

and more.”

Network rollouts and technology enhancements

Olivier Hersent,

Actility

For Olivier Hersent, CEO and CTO at Actility, a

company very active in this space with a number of

networks already deployed for different operator

customers, “2015 has been a major year for

LoRaWAN. In 2015, the first country-sized LoRaWAN

networks were rolled-out with the support of

Actility’s core solutions: Proximus in Belgium was

the first country to roll-out a LoRaWAN network,

shortly followed by KPN in Netherlands, and

Swisscom in a region in Switzerland, offering

disruptive use cases such as smart parking, asset

tracking or facilities management.

Hersent adds: “2016 is going to be even more

exciting. New major LoRaWAN projects are

announced in France - by Orange and Bouygues

- but also across North America, Australia, China

and India. Mass deployments of public networks

will drive the device ecosystem to develop new

products and services. At the same time, the

LoRaWAN standard continues to evolve in 2016,

adding new features such as support for roaming

between operators, GPS-free location capabilities

and multicasting.”

Secure - and ubiquitous - coverage

Manfred Kube,

Gemalto

According to Manfred Kube, head of M2M

segment, Gemalto, “The mobile internet as we

know it was not built for IoT and this is where

LoRa comes in - a network designed with

security experts to ensure the reliability and

safety of the devices and systems that are used.

Some of its specifications include a network

authentication scheme leveraging two session

keys: NwkSKey to secure the radio part, and

AppSKey to secure the data all the way to the

application server. This, by its nature, ensures the

protection of the data all the way to the server

consuming the data, and allows LoRa network

operators to ensure that customer data is not

accessible when they use a Joint Server or

Trusted Third Party.

“The great building penetration of LoRa allows

operators to provide location services both

indoor and outdoor – this is imperative for the

numerous smart city projects that are being

commissioned across the globe. Additionally,

unlike the more obvious examples of IoT such as

your TV, iPod and iPad all communicating with

each other, LoRa has a much more practical

function, such as facilitating water and gas

metering at a lower cost with a lower energy

usage. Although LoRa is not a one-size-fits-all

technology, it certainly complements the existing

available 3GPP technologies for specific M2M and

IoT use cases.”

A LoRa operator’s perspective from the USA

George

Dannecker,

Senet

Senet in the USA uses LoRa to provide low cost,

low power, long range connectivity and IoT

platform services for businesses across all

industries. According to George Dannecker, CEO,

Senet,” We started a company called EnerTrac in

2009 to solve a problem that just wasn’t scalable

with either WiFi or cellular-based sensor

networks. In the home heating fuel industry here,

fuel dealers had no way of knowing exactly what

was in their customers’ tanks - they only could

guess, so leaving them with very inefficient

delivery systems. To monitor fuel levels, they

would have had to rely on either using their

customers’ WiFi networks to transmit this sensor

data to their offices - not very dependable - or

use the cellphone network, which was both too

expensive and too battery hungry.

“That’s when we decided to develop our own

LPWA network, potentially facilitating around 30-

40% cost savings. We believe that LoRa is the

best option, with dozens of new M2M

applications which also need the same low

power, low cost, WAN network to scale. So Senet

was born as a public NaaS (Network as a Service)

and IoT platform provider. Today we have well

over 110,000 square miles of LoRa network

coverage in the US which is expanding weekly

and are working with over 50 developers to turn

their ideas for supply chain delivery and pickup

efficiency gains, predictive maintenance, and

government compliance into a reality using

Senet. 2015 was the year we began to build out

the US LoRa network - we will double or triple

that coverage in 2016.


12 IoT Now LoRa SUPPLEMENT - February / March 2016


Crowdsourcing LoRa for a community’s public good

- rhinos and boat owners included

An alternative, ground-up approach to network

rollouts is being taken by The Things Network.

Wienke Giezeman, CEO, explains: “We are on a

mission to provide this technology globally

through crowdsourcing. We managed to launch a

network covering Amsterdam in six weeks. Eight

weeks later, Sao Paulo, Boston, Buenos Aires,

Kochi and Sydney were doing the same. We’re

enabling citizens to build a carrier grade network

from the bottom up as we need more doing and

less talking and have to escape the IoT hype phase.

“In October 2015, we started spreading our

network through a Kickstarter campaign. We

crowdsourced the production costs for 1000

LoRaWAN gateways which will ship in July 2016 -

a moment when in one day we should expand

our network 100 times. The strength of our

initiative is in our open and decentralised

approach. Because we open source all our

knowledge and our IP, it is very easy to copy and

to expand globally and the technology’s allowed

in almost every country in the world.

“We’ve already got some excellent use cases.

Amsterdam has a lot of boats, but unfortunately

also quite a lot of rain. It’s not uncommon for

boats to fill up with water and start to sink, so a

water detector was developed that recognises if

your boat is filling up with water and sends you

an SMS. On a return SMS of “clear my boat”, a

service will actually also visit to remove the water.

In Zimbabwe, a Rhino Finder application has

been developed. Anti-Poaching Units can get

information about dangers in real time and

so can coordinate much better and

get teams on site quickly

enough to actually stop the

poachers. This system

populates an

interactive

online

map that

antipoaching

units can

visualise

incidents,

patterns of

poaching and

coordinate

and respond to incidents

efficiently.

In October 2015, we

started spreading

our network through

a Kickstarter

campaign

Danish Smart Grids prepare for LoRa

In a joint effort, Thorsten Kramp, Alexandru

Caracas and Michael Kuyper of IBM Research’s

labs in Zurich describe one application use case

and why the LoRaWAN technology is a prime

match for this type of application:

“Starting in 2016 for a duration of three years, the

Danish national Energy Technological

Development and Demonstration Program

(EUDP) is funding the EcoGrid 2.0 project with

the objective of building on and improving the

results from previous EU-funded projects. One of

the new goals is to significantly reduce the peak

load for the electricity grid by using households

as buffers in terms of heat capacity, creating

flexibility in terms of electricity supply and

demand. To achieve this, households will be

equipped with sensors and actuators that control

the heating system and can automatically

respond to flexibility requests in real time. The

experience of previous smart grid projects has

shown that existing IoT technologies using PANtype

communication are cumbersome to install

and configure, and have limited reliability.

“To specifically address these issues, the EcoGrid

2.0 project will deploy a LoRaWAN network with

hundreds of devices using the IBM Long Range

Signal and Control (LRSC) Network as a Service

(NaaS) infrastructure to monitor and control the

heat pumps in users’ homes throughout the Danish

island of Bornholm. As part of this, the EcoGrid

2.0 project will develop custom household

equipment using LoRaWAN communication

which gives multiple benefits: Firstly, over-the-air

activation and configuration. Secondly, excellent

range and indoor penetration, which covers larger

areas with a reduced set of gateways. Thirdly, the

ability to have commands sent to devices for

control operations. The information collected by

the household equipment includes heat pump

activity in terms of power consumption, in- and

out-flow temperatures, as well as the

corresponding indoor room temperature.

“Control options include the ability to stop and

throttle the heat pump, or allow it to function

based on performance models, learned over

time, so improving the efficiency of the overall

control system.”

Lego model of Danish

Island Bornholm

IoT Now LoRa SUPPLEMENT - February / March 2016

13


INTERVIEW

LoRa – a philosophy of openness?

Throughout human history, there’s been a permanent tension between open and closed

views of the world, influencing everything from religion and politics to international trade.

The technology sector has not escaped this seemingly eternal struggle and, in fact, some

of the bitterest infighting has taken place within our communities over the last few years.

Fortunately, we’ve given up on burning heretics, at least in the non-digital flesh.

Geoff Mulligan,

LoRa Alliance

chairman

The LoRa Alliance isn’t

about proscribing or

prescribing – as long

as the technologies

involved meet the

necessary standards

to interwork with the

wider ecosystem and

behave within the

allocated radio

spectrum

The comparatively recent arrival of new Low

Power Wide Area network (LPWA) radio

technologies in the IoT space seems to be raising

at least a few aspects of this debate again. On

one hand are the cellular standards, rigorously

managed by ETSI, the 3GPP and others, such as

LTE-M and NB-IoT. On the other are the newer

entrants with different pedigrees – like LoRa.

While work is underway to synchronise and

interlink some aspects of these two world, IoT

Now thought it would be interesting to get a take

on some of the actual philosophies underpinning

a now thriving LoRa community which, in some

ways, is challenging the status quo.

Alun Lewis, editor of IoT Now, recently spoke

with Geoff Mulligan, chairman of the LoRa

Alliance and a well-known industry figure.

IoT Now: Geoff, your personal history seems to

have been intertwined with various aspects of

open standards since their very earliest days.

Can you give us a quick insight into this please?

GM: I have been accused at times, though not in

a strictly unpleasant way, of being an open

standards bigot – an accusation I’m perfectly

happy to agree with! In response, I always ask the

rhetorical question: where would we be now – as

individuals, as companies and indeed as a

civilisation – if TCP/IP and HTML had been

patented?

I’ve been fortunate enough to have been involved

in some of the key developments of the last few

decades that have helped create the infinitely

interconnected universe that now surrounds us.

Very early on, during my time in the United

States Air Force, I worked on ARPANET – the

conceptual predecessor of the Internet.

Subsequently, I was very involved at the start of

the IPv6 development, recognising early on the

potential address exhaust problems implicit in

connecting everything. More recently, I was on

the founding board of the Zigbee Alliance but,

with my focus on openness, I was also co-chair of

the 6LoWPAN Working Group. Vint Cerf, making

a play on his own unofficial title, did once dub me

‘the father of the embedded internet’. In 2008, I

also worked with others to launch the Internet

Protocol for Smart Objects (IPSO) Alliance which

is looking at ways to standardise making objects

addressable and identifiable and, more recently in

2013 and 2014, worked at the White House on the

IoT and 3D printing.

Then, around a year ago, as the LoRa Alliance

was starting to take off, I was invited to

participate as Chairman – an invitation I was

honoured to accept.

IoT Now: So what’s the plan for LoRa – if that’s

not an oxymoron in an ‘open’ environment?

GM: Personally, I love the term ‘permissionless

innovation’, meaning that we need to be able to

innovate without requiring the permission of the

network operator or third party and where

everything that can connect, should connect –

obviously with certain essential security and

identity protection mechanisms. It’s ironic at the

time of MWC to remember how intensely mobile

operators and others each tried to build their

own ‘walled gardens’ back in the late 1990s – a

strategy that severely impacted their ability to

innovate.

The LoRa Alliance isn’t about proscribing or

prescribing – as long as the technologies involved

meet the necessary standards to interwork with

the wider ecosystem and behave within the

allocated radio spectrum. We’re not here to try

and impose some artificial business or operating

model for members or the ecosystem, be they

existing public network operators; companies

who want to set up their own networks for their

own use or to sell spare capacity to third parties;

or the very diverse community of application

developers and device, infrastructure and

software vendors that’s now gathering around

the LoRa concept.

We’ve had a number of enquiries from some

businesses recently who have read about the

basics of the technology and see potential

benefits to being able to track and monitor their

products or assets. Their first reaction is disbelief

when we tell them that they don’t have to go to

an existing network operator or buy spectrum

and that they can not only build and run their

own network, but that once it’s installed, they can

also sell spare capacity to other companies in the

same area.

The LoRa Alliance has essentially created a petri

dish that’ll hopefully be a fertile incubator for the

next stage of IoT innovation and imagination. The

first spores have already taken root and it’s going

to be fascinating to see what crawls, springs or

strides forth from that environment over the

coming months and years.

14 IoT Now LoRa SUPPLEMENT - February / March 2016


INTERVIEW

MultiTech – helping grow

the LoRa ecosystem

MultiTech Systems, a founding member of the LoRa Alliance - and which will be

exhibiting on the Alliance stand at the Mobile World Congress in Barcelona - has been

active in advancing a number of aspects of the LoRa technology, as well as developing

new applications and business models. IoT Now contributor, Peter Dykes, spoke to

Daniel Quant, VP Product Management & Strategic Marketing, at MultiTech to find out

more about the company’s activities in the LoRa space.

IoT Now: How is MultiTech engaged with the LoRa Alliance?

DQ: Deeply. We have Dave Smith, MultiTech’s Senior VP,

Engineering and Innovation, serving as vice-chair of the

Certification Group; Derek Wallace, Director of Product

Management is a member of the Marketing Work Group; while

Mike Lynch, QA team manager, is a member of the

Certification Work Group. I’m actively participating within the

Strategy Group, more specifically the LoRaWAN Roadmap

definition, where I’m able to leverage my experience in

portfolio management; and the Application Protocol task

group, which is addressing the integration of existing

application protocols over LoRaWAN. I also act as a liaison

between the Strategy Group and the Certification Group. I can

use MultiTech’s position in the market, our skills set and our

knowledge to help move the Alliance in what we collectively

feel is the most effective direction.

IoT Now: What other Alliance work has Multitech been

involved in?

DQ: We participated heavily in the development of the

LoRaWAN specifications version 1.0 through to 1.1 - soon to be

published - and we are already working on content for version

1.2. We have also co-authored the channel plans for Australia,

Brazil, Brunei, South Korea, Indonesia, Japan, New Zealand,

Papua New Guinea and Singapore. In addition, MultiTech has

worked on MAC proposals in various areas, contributed to the

development of the Join Request/Accept protocol, end device

International roaming support, and we have defined priorities

for industry application protocols that can run over LoRaWAN

to address key verticals such as lighting and industrial control.

IN ASSOCIATION WITH MULTITECH


Daniel Quant, VP Product Management &

Strategic Marketing, MultiTech

IoT Now LoRa SUPPLEMENT - February / March 2016

15


INTERVIEW

Another contribution we’ve made to the Alliance’s work

is within Adaptive Data Rate (ADR) -- a scheme

designed to improve efficiency and achieve a better

return on investment for enterprises and operators

alike, who can efficiently accommodate more

LoRaWAN end points in a geographic region by

spreading out what are known as spreading factors,

which dictate the data rate versus the protection on

each one of those points. On the edge, where Received

Signal Strength is poor, there’s lots of protection and

not so much payload, but importantly there is a

measure of connectivity even in harsh industrial

environments or an underground smart car park. Very

close to the gateway, on the other hand, there is lots of

payload and not very much protection, which offers

the ability to go on and off channel very quickly,

meaning the next device can connect and therefore

end point density is maximised with less infrastructure.

IoT Now: Compared to other Alliance members who

are, for example, producing hardware, how would

you differentiate MultiTech from some of the other

players in the ecosystem?

DQ: We are in a good position as MultiTech is a

Contributor Member, along with 20 or so other

companies such as MicroChip. This means we can

contribute to the overall effort and create this journey

that LoRaWAN and the LoRa Alliance is on. We are

limited in some ways, such as we are unable to invent

a new working group and we don’t sit on the board of

directors as Sponsor members can and do. However,

critically, we have a vote and are able to participate in

all and any working or task groups, which provides us

a front row seat in the evolution of LoRaWAN and the

ability to be one of the first to market with LoRaWAN

module and gateway enhancements.

In the enterprise space, LoRa has a really great story.

It’s deployed on ISM band technology, you don’t need

to buy any costly licenses, and there aren’t nearly as

many different ISM bands around the world as LTE

IoT Now: How do you see LoRa deployments going

forward? Do you think there is much of a market for

private networks?

DQ: The LoRa Alliance has defined a standard that

serves well both the public and private deployment

models. Of course, public deployment is very

appealing. Imagine lighting up the whole of North

America, Europe and Asia with LoRa public networks.

This would have a huge impact on the number of

LoRaWAN end product deployments out there and it

would be like the mobile phone boom of the 1990s.


16 IoT Now LoRa SUPPLEMENT - February / March 2016


While we are supporting a lot of operators who

are deploying nationwide networks, private

deployments are an area that, perhaps due to the

nature of the transformational impact LoRaWAN

will have on enterprises and OEMs and the

competitive advantage it will bring to their

industry, is less talked about currently. This is

where LoRa has a competitive advantage over

the cellular licensed band technologies that will

outlast any war over who will win the battle in the

public LPWAN deployment arena. A battle that in

my opinion both licensed and unlicensed

technologies will win due to the broad nature of

use cases to be connected.

In the enterprise space, LoRa has a really great

story. It’s deployed on ISM band technology, you

don’t need to buy any costly licenses, and there

aren’t nearly as many different ISM bands around

the world as LTE, so it can be deployed anywhere

where an enterprise, operator or its customers do

business, but without the bureaucracy of who

owns the spectrum, having to establish roaming

partners and so forth.

It’s also possible to deploy LoRa in a way which

gives very secure control of private data moving

around in the enterprise. A lot of the large

multinational companies really like the sound of

that. For example, an airline could deploy a

network in every airport hub around the world

that it serves, which could be managed internally

by the airline’s own IT department. There would be

no requirement for roaming partners, nor would

there be any intermediaries between the airline and

its data. Such a network could be used for things

like baggage, crew and aircraft tracking and would

offer a degree of security and control of data that

may not be available using a public network.

Shipping companies are a good example of a

possible hybrid network scenario. They can have

a completely private LoRa deployment in their

home port which monitors shipping containers,

the location of tugboats, environmental pollution

and a host of other metrics. The questions are,

why would such companies want to pay a

subscription every month for every one of those

assets when most assets don’t move out of the

port area, and why would they want to risk that

data being accessed from outside of a network

that is beyond their control? The fact is that while

a shipping company could deploy private LoRa

networks into its larger ports, it would be more

economical in the smaller ports to roam onto a

public network. This would still retain a degree of

asset tracking, but without compromising the

data that would be coming from the more

important locations. The ability to operate this

hybrid model is also very attractive to the oil and

gas industries which similarly need to protect

data from their drilling installation.

IoT Now: You mentioned ISM bands earlier. Are

they really that similar around the world or are

there different restrictions on usage from

country to country?

DQ: There are differences for sure, and that’s why

we are involved in the process of defining

LoRaWAN channel plans. While every country

has its own ISM band, overall, ISM globally is not

as fractured as cellular licensed spectrum as

there are only four or five major ISM bands

around the world which cover most countries.

The European Union has an 868MHz and a

433MHz ISM band. The LoRa Alliance has been

more focussed around 868MHz, however in

America it’s in the 915MHz range. This is a bigger

band and the channel sharing restrictions are

completely different and so we need channel

plans to address ways of implementing LoRa

deployments in different countries, knowing that

in some places, you can’t be on channel all the

time and once you’re off channel you can’t get

back on again if you’ve been using it in certain

situations. Essentially, the channel plan is about how

the edge interacts with the gateway in accordance

with all these rules imposed by the local country

or region. Every country has its own set of rules

and while a small number have very few rules, some

countries, such as Japan, are very restrictive in the

ways the ISM band can be used and so defining the

channel plan is not an easy task. Until the channel

plan is defined however, you can’t deploy LoRaWAN

because, by definition, LoRaWAN is the

specification of how you deploy LoRa in those

given geographical markets, and as I mentioned

earlier, MultiTech has done an enormous amount

of work to define those channel plans.


We have a very

well-defined

strategy for how

we are going to

bring further

security to our

products, which

include

LoRaWAN mDot

modules

IoT Now LoRa SUPPLEMENT - February / March 2016

17


INTERVIEW

Bob – the LoRa-connected dummy construction worker with a helmet which has an in-built

accelerometer that measures the force and direction of an impact, sending this formatted data

using MultiTech’s LoRaWAN-ready mDot and Conduit gateway to IBM Bluemix. This creates an

end-to-end IoT health and safety application for insurance compliance, issuing alerts for any

potentially serious injuries. Attendees at MWC will be invited to hit Bob around the head as

hard as they can with a baseball bat!

MultiTech has in

fact gone a step

further and

implemented an

approach that uses

a secure element

IoT Now: Security is a very important issue for

potential and existing LoRa users. What is

MultiTech doing in that area?

DQ: We have a very well-defined strategy for

how we are going to bring further security to our

products, which include LoRaWAN mDot

modules. Indeed, we are working with one of the

big security companies in order to achieve just

that. At present, the LoRa Alliance uses AES128

and key for both the network and application

which is sufficient for a number of use cases. The

LoRa Alliance has issued a call for papers from

security firms and experts out there in order to

consult experts further. Of course, MultiTech

backs that because we believe it is vital to listen

to what the professionals in this area are saying

because we know this is an important issue,

particularly for enterprises. MultiTech has in fact

gone a step further and implemented an

approach that uses a secure element. We’ll

probably reveal more details in Q2, but suffice to

say we are taking a leadership position. I think

therefore that we’re adding a lot of value to the

direction in which LoRaWAN is going to be

moving.

IoT Now: What will MultiTech be doing at MWC

this year?

DQ: Our main demo will feature Bob, who is a

life-sized manikin construction worker. He wears

a helmet which has an in-built accelerometer that

measures the force and direction of an impact

and sends this formatted data using our

LoRaWAN-ready mDot and Conduit gateway to

IBM Bluemix. In concert with IBM’s work on IoT

analytics and a dashboard, we have developed an

end-to-end IoT health and safety application for

insurance compliance, to provide a safer working

environment and to be alerted to any injuries

occurring in the workforce. Attendees will be

invited to hit Bob around the head as hard as

they can with a baseball bat and generate the

kind of analytics in the cloud that would warn an

employer that an injury has occurred. It’s a lot of

fun, but it’s also a very serious and focussed

demo which shows how sensor harvesting and

data insight, no matter what vertical or use case,

can be easily achieved over long distances using

LoRaWAN and cloud-based analytics today.

MultiTech also will have a number of other

engaging IoT demonstrations on partner and

customer stands, so please watch this space!

IoT Now: What’s your view of market

development in terms of players and products.

Will it be like any other emerging technology?

Is LoRa at a critical point and about to take off

or is there still a lot of work to do?

DQ: We are definitely at a turning point in 2016.

The LoRa Alliance has been in existence for a

year or so now, the LoRaWAN standard has now

moved to version 1.0.1, with version 1.1 by the end

of 1Q16 and 1.2 scheduled for later in the year.

This enhancement phase is well under way now in

order to add a number of different features such

as roaming and geolocation. Operators have

begun commercial deployments. LoRaWAN is

real, it is here today, and it has a lengthy head

start on licensed cellular technologies that are

unlikely to be deployed for some years yet. This is

the year to take those public and private LoRa

deployments and move ahead, waiting years is

not an option in a world where realising efficiency

and the overwhelming need to remain competitive

is being driven from connecting almost

everything, even if it is only a few bytes at a time!

18 IoT Now LoRa SUPPLEMENT - February / March 2016


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