Igniting the Next Industrial Revolution

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1 Igniting the Next Industrial Revolution Defining an M2M Technology Platform for the Industrial Internet M2M Evolution Conference, 30 Jan 2014 Nikhil Chauhan Director Product Marketing, GE Software

2 Sufficiently advanced technology is equivalent to magic Sir Arthur C. Clarke

3 Ability in our world to go man-to-machine, to marry real-time customer data with real-time performance data of our products that is the holy grail Jeffrey R. Immelt, Chairman and CEO, GE

4 Forces shaping the Industrial Internet 1 Internet of things A living network of machines, data and people 2 Rise of the machines Increasing system intelligence through embedded software 3 Big Data Transforming massive volumes of information into intelligence 4 Analytics Generating data-driven insights and enhancing asset performance

5 Connecting Minds + Machines Instrumental Industrial Machine Intelligence Flows Back Into Machines Extraction and Storage of Proprietary Machine Data Stream Physical and Human Networks Data Sharing with the Right People and Machines. Secure Cloud-Based Network Industrial Data Systems Machine-Based Algorithms and Data Analysis Remote and Centralized Data Visualization Big Data Analytics

6 Eliminate up to $150 billion in waste across industries Driving Outcomes That Matter Increasing Freight Utilization Rail Predictive Maintenance Healthcare Predictive Diagnostics Power $27B Industry Value by Reducing System Inefficiency $63B Industry Value by Reducing Process Inefficiency $66B Industry Value with Efficiency Improvements in Gas-fired Power Plant Fleets Note: Illustrative examples based on potential one percent savings applied across specific global industry sectors. Source: GE estimates

7 Strategy focused on outcomes 1 Intelligent Machines 2 Advanced Analytics 3 People at Work FOR THE CUSTOMER ASSET OPTIMIZATION Strive for zero unscheduled downtime OPERATION OPTIMIZATION Control for the enterprise FOR THE ECONOMY Can potentially save industry $20B annually through increased productivity Potential to add trillions to the global GDP

8 Industrial World is Different Operational Technology Information Technology PRIORITIZE LIFECYCLE UPTIME PATCH CYCLE PROTOCOLS DRIVEN BY COMMAND REAL TIME DEPLOYED IN Availability, safety ~18 years 8-9 Nines In years Proprietary Machine logic Cancellations = catastrophic ms Extremely harsh conditions Confidentiality, integrity, availability ~18 months 5 Nines is gold standard Weekly, if not faster Standardized Application logic Cancellations = disruption (tolerated) Arbitrary Controlled environments

9 Needs for Modernizing Architecture Predictive Insights from Big Data Mobile: Anytime, Anywhere Access Cloud for Efficiency & Agility Transition to Brilliant Machines End-to- End Security Distributed Compute & Analytics Consistent & Meaningful Experience

10 Predix TM The Software Platform for the Industrial Internet Machine-Centric Predix Predix Predix Industrial Big Data Modern Architecture Predix Resilient and Secure Predix

11 Embedded video

12 Ecosystem Powered Application Developers & ISVs Tools & Application Partners Peer Product OEMs Communication Service Providers Channel Partners Infrastructure Players Strategic Silicon Partners

13 Defining Brilliance in Energy Farm to Grid When the grid needs more voltage, wind farms take action. Every second, 150,000 data points on a farm are analyzed to integrate 400MW onto the grid. Turbine to Battery Battery storage makes predictable power a reality, driving wind farm output, improving service productivity and creating new revenue streams for customers. Wind Farm to Wind Farm Farm to farm communication allows automated control of a wind farms voltages to the grid, providing stability to a broader regional area through optimizing multiple farms. Turbine to Turbine If a turbine loses wind speed or wind direction, it simply asks its neighbor what it s doing and replicates the action, improving availability and power output. Turbine to Remote Monitoring GE turbines are monitored and analyzed 24x7 using 150+ unique software rules to detect, prioritize, and identify the best fix for wind turbine operation issues. It s like having a team of experts around the world solving issues real time.

14 Hospital Efficiency Improvement Automated Surgical Tool Sanitization Using: Robotics Multi-Agent Systems Computer Vision M2M Operations Research Joint project with the Veterans Administration

15 What Does This All Mean? The Potential Benefits of Intelligent Systems are Vast and the Synergistic Effects of Widespread Machine Instrumentation Can be Realized Across Fleets and Networks

16 What Does This All Mean? Software Coupled with New Industry Architecture is the Enabler for the Digital Enterprise

17 Thank

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