DEPARTMENT OF DEFENSE CUSTOMERS

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1 White Paper Verizon Connected Solutions Overview for DEPARTMENT OF DEFENSE CUSTOMERS M2M is considered a must-have technology to support the enhancement of business operations and decision-making processes. COMMERCIAL M2M CAPABILITIES ARE NOW MORE SECURE AND ACCESSIBLE THAN EVER BEFORE. SYSTEM OVERVIEW Machine-to-machine (M2M) technology also known as telemetry and commercially as the Internet of Things (IoT) has continued to evolve over the past 40 years and is fast becoming a standard technology across all industries. Originally, M2M capabilities were considered cutting- or bleeding-edge technology, which was primarily used on aviation assets and other forms of advanced machinery for real-time and near real-time monitoring. However, with the rapid expansion of cellular and satellite networks, M2M is considered a must-have technology to support the enhancement of business operations and decision-making processes. At its core, M2M technology has extended the enterprise by integrating source data into an organization s information systems via mobility solutions and data management strategies. This data has generated information never previously available, which results in cost-avoidance and potential long-term cost savings for businesses of all sizes and government organizations. The Department of Defense (DoD) has extensively used M2M technology through applications such as sensors on weapon platforms to perform fault diagnostics, data backhaul, and RFID for global tracking. These applications have greatly enhanced logistic capabilities and can be seen as a force multiplier when used in conjunction with battle command systems and enterprise resource planning (ERP) systems. These efforts have occurred through secure custom networks designed to be used during combat operations and in garrison environments to create greater asset visibility. As the technology continues to evolve and its costs continue to shrink, commercial M2M capabilities are now more secure and accessible than ever before. The integration of these Commercial Offthe-Shelf Technologies (COTS) including commercial service provider networks, with existing programs of record offer new opportunities to enhance and strengthen existing capabilities while decreasing the need to expand programs. Verizon recognizes an immediate opportunity for the DoD to leverage commercial service providers by creating enterprise efficiencies through energy-asset monitoring and supply-chain management, as shown in the diagram below. KEY Verizon s GNOSC and/or 3G/4G Camera Ethernet, 3G/4G, or DMZ Verizon Cloud (Data Collectors and Security Stack) 3G/4G Scenario Meter of any type Ethernet, 3G/4G, or Sensor of any type Ethernet, 3G/4G, or Machine/Device LT Local transport Router PoE switch Users Figure 1: Using a commercial wireless provider to create operational efficiencies

2 Mature automated fleet-management solutions provide real-time visibility and data collection. With a robust RFID network in place and extensive satellite capabilities for the DoD to gain realtime visibility into high-dollar equipment that s in transit, plus increase visibility into static assets. VERIZON HAS THE TOOLS TO PROTECT GOVERNMENT AGENCIES AND HELP THEM KEEP THEIR CONNECTED MACHINES SECURE. DoD CHALLENGES Energy Management In 2012, 20% of energy expenditures came from fixed installations at a cost of $4 billion. Energyuse reductions of only a few percentage points can yield millions of dollars in cost savings and free up funding for other uses. With more than 300,000 buildings to heat, cool, and power, gaining an understanding of where and when energy is used is a critical first step. For example, the majority of energy metering systems used by the DoD are automated and controlled by a building management system that connects to the agency s network. The challenge, however, is that these meters may not be fully automated and integrated with the internal DoD information system. This results in inefficiencies in data collection and creates additional man-hours for analysis. In-Transit Visibility Logistics has been a key to warfighting efforts since the time of Alexander the Great. The challenge has always been in securing supplies and getting them to the warfighter when and where they re needed, which is no different today. With the implementation of automated logistic technologies to help increase accuracy and visibility into supply-chain operations, there still remain a number of challenges in acquiring, moving, and processing data. With a robust RFID network in place and extensive satellite-tracking capabilities, there is an opportunity for the DoD to leverage existing cellular networks and COTS tracking technology to gain real-time visibility into the location of highdollar equipment in transit. The connectivity for RFID interrogators and handheld terminals (HHTs) is generally confined to localized environments. Leveraging commercial cellular-tracking solutions can make use of economies of scale while still providing the capabilities needed to locate materiel for resource allocation. VERIZON CONNECTED MACHINES When everything is connected, everything becomes a target. This is the way many in the media and sensitive industries have viewed the IoT revolution. However, Verizon is at the forefront of protecting and securing these connections. Security is built into everything Verizon does. From compiling and publishing the annual Data Breach Investigation Report to offering one of the few security services approved by the National Security Agency (NSA), Verizon has the tools to protect government agencies and help them keep their connected machines secure. Working from endpoint devices, commercial service providers need to operate a portfolio of device types and a platform to integrate with the DoD logistics supply chain. The portfolio and platform should cover everything from asset-tracking devices with RFID and satellite integration to handheld terminals, energy meters, and routers. There are numerous manufacturers, interfaces, and variations of all of these use cases currently within the DoD environment today. Some have network connectivity while others lack this connectivity. Verizon has undertaken an effort to provide an open development initiative to onboard OEM devices to its network. Verizon works with OEMs to modify their existing hardware to operate seamlessly on the Verizon Wireless network while providing security for data at rest, the security of the device itself, and the physical capabilities of the hardware. OEMs such as Honeywell, Intermec, Motorola, and Orbcomm all have come to Verizon Wireless to have their hardware certified for use within the DoD supply-chain cellular connectivity to augment the logistics operating environment. M2M No matter how functional and secure the endpoint is, the data it creates and transmits remains the primary concern. Three questions usually arise when discussing M2M deployment solutions: 1) Can we afford it? 2) Is it secure? 3) Will it integrate into our existing systems? 2

3 While commercial industries consider the new costs associated with M2M, the DoD must consider the cost savings of moving from localized, proprietary connection methodologies for M2M applications to commercial service-provider connectivity that s capable of deployment anywhere using operations and maintenance expenditures for service fees in place of capital expenditures on new programs. Second, security comes down to the security strength of the network and the data. The Verizon Wireless network has a history of supporting the DoD, from providing standard voice and communications to top-secret communications on Q-Sec and SME-PED devices. This level of security is achieved by segregating data traffic via a mobile private network as shown in Figure 2. This means the data leaves the device encrypted on the LTE airlink and is then recognized in the Verizon Wireless Mobile Telephone Switching Office as private network traffic. The Verizon Wireless Mobile Telephone Switching Office then routes the traffic directly to a private wireless gateway into the secured Verizon MPLS network, where it connects directly to the DODIN and to the correct server. In addition to the built-in network security measures, data is encrypted using an AES 256-bit VPN. In this procedure, the data never traverses the public Internet where it could be intercepted by would-be attackers, and it is also encrypted so no one can access the data itself. Finally, because Verizon provides open application programming interfaces (APIs) for its network and service, such as the M2M Management Center which monitors all traffic from M2M connected devices it can integrate the data into any existing or emerging information systems. Verizon has supported numerous enterprise and government customers to help them integrate M2M data into their business systems from connected devices. Verizon Wireless Private Private Gateways Verizon Wireless Data Private NNI Wireless Gateways Point to Point Verizon Customer Site A IPsec Virtual Private (VPN) Site B Figure 2: The separation and flow of traffic and data through the Verizon Private service Data Is the Key The cost savings of using commercial cellular networks instead of proprietary networks can drive deployment of connected machines to locations and use cases previously unimaginable. The cost savings of using commercial cellular networks instead of proprietary networks can drive deployment of connected machines to locations and use cases previously unimaginable. Over the short term, the advantage is the added intelligence gained from these devices transmitting data directly back into systems of record meant to analyze, decide, and act. The long-term advantage is automation and cost efficiencies created through repeatable COTS solutions. An example of a Verizon M2M application that s revolutionizing the industry is wireless support for vending-machine management across the country. Previously, vending machines had a supplier that would physically travel to each machine, on a scheduled basis, to check its stock and refill it as needed, which was a manual process that expended resources and complicated re-ordering requirements. Now, with machines enabled with M2M technology connecting over the Verizon Wireless network, suppliers know when their machines require restocking and only fill them on-condition, helping to ensure customer satisfaction while optimizing business processes and performance. Applying this same concept to the DoD creates an endless array of applications. Here are a few examples: 3

4 Resource Management Backup power-generation fuel tanks. Tanks with a cellular connection mean that there s no longer a need for manual readings of the tanks fuel levels. The quantity of fuel on hand can now be monitored remotely with extra fuel automatically ordered as needed. Nontactical vehicle fleets. Currently, paper-based reports are created regularly for the General Services Administration (GSA) on vehicle miles driven, fuel used, and more. These reports can now be automated with analysis yielding recommended fleet size and coaching for proper driving behaviors. Tactical fleet. Extends the endpoint access (e.g., maintenance support devices) through the use of cellular and Wi-Fi enablement in motor pools for day-to-day maintenance operations. CBM+ requires manual reading of tactical vehicles for maintenance and entry into systems by hand. This can be automated via a cellular connection that can be disabled when in theater. Fixed installation building. Cellular-enabled electric meters can monitor energy usage in remote buildings, watching for spikes and reporting data for regulations. Supply-Chain Management Inventory monitoring. Cellular-enabled, handheld terminals can assist with inventory readings when connectivity is not available. Low inventory levels can even trigger automatic ordering based on previously established preferences. In addition, when materiel is stored or delivered, providing proof of delivery and current-location tracking enables accurate property accountability. Connectivity at the point of need. RFID interrogators need physical or mesh connectivity to function. Cellular technology provides an alternative connection to give customers the ability to place the interrogator where it can be most effective. In-transit visibility. Cellular-enabled sensors providing in-transit visibility can track items en route and provide security for the supply chain by detecting when assets have been mishandled (dropped) or prematurely opened, using light sensors as well as monitoring the speed of the vehicle in transit. LESSONS FROM INDUSTRY Gone are the days of when clipboards were used to inventory products and manage assets. Errors generated due to illegible handwriting or inaccurate record keeping can be easily corrected with widely available commercial technologies that also benefit from connectivity on the expansive Verizon cellular network. Industry has already experienced many of the growing pains associated with logistics and asset management; here are a few examples: A major player in the commercial logistics industry has integrated Verizon into many key facets of its business, benefiting from the cost savings, reliability, and speed offered by the Verizon Wireless 4G LTE network. This particular enterprise example has tens of thousands of connected devices and vehicles that provide inventory management, location awareness, and delivery and signature confirmation. Now management can easily and accurately monitor the location of company drivers, using real-time information to plan effective routes, saving costs on man-hours, fuel consumption, and maintenance. Each driver carries a Verizon-connected scanner that provides real-time updates as to the status of each delivery, embedded with raw network data that captures location and time stamps as well as signature confirmation. At its very basic core competency, the scanner reads twodimensional barcodes and RFID tags, virtually eliminating human error. 4

5 For the company s major shipments that involve tractor trailers, each trailer has cellular connectivity that provides remote network infrastructure for RFID interrogators, which gives visibility into the contents within each trailer as items pass from point to point. These connected trailers are able to provide location data to augment a standard RFID system. From time to time and for various reasons, shipments do go missing. When a pattern develops, asset management units can be deployed to catch theft in the act or simply correct common mistakes. These sensors can be placed in high-value shipments and communicate data in real time, such as location, acceleration, light and temperature readings all through the Verizon cellular network. Managers can tell when a parcel was dropped or opened and where these events took place. CONCLUSION As a whole, the DoD has been very proactive in developing and using M2M technology. As the market and technology matures, it allows for more cost-effective devices and services at the exact time the military needs them. Using a cellular network on devices similar or the same as currently deployed devices with the proven security to handle secret and top secret communications, Verizon M2M technology has the ability to be the default standard for the next generation of connected devices in the DoD. verizonenterprise.com The information contained in this document is solely for example purposes only and not intended to be relied on for implementation purposes or otherwise by the reader. Verizon hereby expressly disclaims any indication to the contrary. Verizon, its affiliates or subsidiaries and a customer are only bound by the terms and conditions contained in a contract between the parties. The Verizon name and logo and all other names, logos, and slogans identifying Verizon s products and services are trademarks and service marks or registered trademarks and service marks of Verizon Trademark Services LLC or its affiliates in the United States and/or other countries. All other trademarks and service marks are the property of their respective owners. WP / Verizon. All Rights Reserved.

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