Agenda. Introduction & Positioning within Butler. Why entering the IoT business? Where are we standing? What is our offer?
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1 M2M in action
2 Agenda Introduction & Positioning within Butler Why entering the IoT business? Where are we standing? What is our offer? Introducing icontrol one of our partner
3 Introduction & Positioning within Butler In Switzerland Swisscom is a leading telecom provider, with 6.1 million mobile customers and around 1.7 million broadband connections and employees Swisscom is one of the Consortium Partners in Butler Project Contributing to several WPs with the focus on business related topics such as Ecosystem, Business Modelling, Product Design and Customer Insights, Swisscom shares competencies with the project. In parallel activities to commercial offering in the IoT environment are in progress
4 Why entering the IoT business? Technology The technological prog ress made over the last few years has established the ideal foundation for successfully marketing connected home solutions. Providers With their proximity to the core business and their competence, Telco providers are the ideal providers of such products. Devices A very high penetration can be expected in the future with interactive end devices due to the smartphone and tablet boom. Attitude The attitude of consumers in relation to the utilisation of mobile data services while on the go has changed irreversibly.
5 Consumer profile Aged 40+ Multi-person household Medium to higher income Homeowner Interested in new media and technology Security (electrical, intrusion) and ecology are important
6 2013 Where are we standing? Where are we going? I care about my home I want to know what s happening at home I can interact with my household devices from anywhere I m flexible, independent and mobile. I can enjoy my freedom without any worry, because I know that everything is fine at home and with my family Monitoring/Security Monitor your family and home, at any time and from anywhere Create and retrieve videos and recordings via web or smartphone Receive notifications in the event of a break-in, fire alarm etc Alarm messages automatically forwarded to the alarm centre Home Automation Switch devices or lights on and off via mobile/internet access Turn on the heating before you arrive Simple, self-explanatory installation without structural changes I want to maintain control of my energy consumption Energy Management Control and monitor the energy consumption of your household devices at all times Tele Care Elder Care (AAL)
7 What are we offering? We care about you, your family and your home Wifi/GSM Quing Router Quing Panel Customers Router Ethernet cable Wireless Home Remote Swisscom Unique Selling Points * Integrated and Evolutionary solution from a single source * Easy to install and use anywhere via web, smartphone and equipment at home * Customers are able to customise the solution by adding sensors and devices
8 Broadband Home Management North America June 15, 2012 Confidential materials prepared and delivered by icontrol Networks, Inc. for receipt and review only by any partner subject to a valid and enforceable icontrol Networks, Inc. confidentiality agreement. Any receipt, review, or misuse of any of the content exchanged hereunder by any party not a party to this confidential exchange shall be subject to any and all rights available under the law. All rights, title and interest to the materials shall remain with icontrol Networks, Inc. Copyright 2011 icontrol Networks, Inc. All rights
9 Broadband Home Management in North America Today s North American Connected Home combines life safety with lifestyle services Monitored home security 24-hour emergency dispatch service for intrusion and fire protection Remote home monitoring Live video and event-driven video and picture capture Event driven and text message notifications Home management and control Thermostat, lighting, door lock and security system control via touch screen, web, and mobile and tablet applications Scheduling and automation features Energy management Automated thermostat and lighting features Home health care icontrol Networks, Inc. 9
10 Consumer Benefits Consumer Value Proposition Home security + home monitoring = peace-of-mind Keeps me and my family safe and secure Enables me to stay connected to my family when I m away Home management and control = saves me time Remote connectivity makes it easy for me to manage my home from anywhere in the world Setting schedules and automations make my home manage itself Energy management = saves me money Lighting, thermostat and appliance schedules and automations can help me save energy and money on my utility bills icontrol Networks, Inc. 10
11 Common Use Cases Staying Connected Keeps Me Connected To My Family I receive an with a 30-second video clip of my kids when they arrive home from school, so I know they got home safe. I receive a text message to my mobile phone at 3:00 PM if my front door didn t open by then, indicating my kids haven t arrived home from school yet. I can see live video of my young children from my ipad tablet. I get a text message if my elderly grandmother does not trigger the motion sensor in her bedroom by 9:00 AM every morning. I use my iphone to view live video of my dog to make sure she s staying out of trouble. icontrol Networks, Inc. 11
12 Common Use Cases Saving Energy Saves Me Energy And Money On My Utility Bills My lights and thermostats automatically adjust during the day. My lights and thermostats to adjust when I arm my security system in Away mode. If I m away from home longer than I anticipated, I can turn lights off and adjust the thermostat from my webpage or mobile phone. My lamps automatically turn off in rooms that are unoccupied. icontrol Networks, Inc. 12
13 Common Use Cases Convenience Managing My Home Is Much More Convenient I can control my home security system, lights, thermostats and door locks from the touchscreen or my ipad. Now I don t need to go downstairs every time I want to control these items. When I forget to arm my security system when I leave my home, or I m just pressed for time, I can arm it using my mobile phone. If I m working late, I can access my home via the web and turn lights on in my living room to make my home appear occupied. My hallway lamp automatically turns on at night when my wife or I get up to check on the baby. On my way home, I adjust the thermostat to a comfortable temperature from my mobile phone so my home is ready for me when I arrive. icontrol Networks, Inc. 13
14 Common Use Cases Peace-Of-Mind I Worry Less About The Safety And Security Of My Family I receive a text message if the liquor cabinet or wine cellar doors have been opened. My system captures a video clip from all of my inhome cameras when the security system is triggered. 2:33 PM June 15, 2012 Liquor cabinet was opened. Not only is my vacation home protected, I will receive a text message when the inside temperature is below 50 degrees and can adjust the thermostat via the web. I receive an if the gun cabinet is opened. If the security system is triggered, the central monitoring station will dispatch the police to come to my home. icontrol Networks, Inc. 14
15 Demographics/Consumer Segments Confidential. Copyright 2011 icontrol Networks, Inc. 15
16 Triers: Early to mid-adopters of new technologies Meet the Triers Triers are most likely to be male and tend to live in smaller homes. They skew younger and tend to be newer parents. - 47% male (153 index; highest) - 26% (128 index) - 27% have children <5 (122 index; highest) - 79% have a home <3000 sq. ft. (109 index; highest) 8.3 Million owner-occupied HHs with HHI $50k+ 24% own a home security system Opinions About Technology Triers pursue new technology with a fervor and are viewed as experts by their peers. Technology exists to make their lives easier by providing them with convenient ways to access information and control things they desire. Opinions About Home Security Security is important to them and technology is a conduit to it. Security often manifests itself in providing the ability to keep a watchful eye over their home and kids. icontrol Networks, Inc. 16
17 Meet the Flyers Flyers: Tend to be away from home often Flyers skew female and least likely to have kids. They are younger (and older), have higher incomes and are most likely to own a second home. - 76% female (109 index) - 27% (131 index; highest); 39% (107 index) - 40% have kids (69 index; lowest) - 17% have a second home (137 index; highest) - 32% have a HH income of $150k+ (111 index) 9.1 Million owner-occupied HHs with HHI $50k+ 25% own a home security system Opinions About Technology Flyers appear to take a very matter-of-fact approach to technology. It is useful to them, in that it helps address their security concerns and can provide a way for them to allay any fears when away. While they don t fear it, they don t have a particular affinity towards it. Opinions About Home Security Being away so often means security is foremost on their minds. While away, they often think about their home. icontrol Networks, Inc. 17
18 yers: Buyers: Tend to Brand be away loyalists from who home have often lots to protect Meet the Buyers Buyers are male and female, with younger children in the household. They are the wealthiest segment and are most likely to live in a larger home. - 69% female (99 index) - 84% (105 index) - 25% have kids <5 (115 index) - 36% have a home >3000 sq. ft. (133 index; highest) - 36% have a HH income $150k+ (129 index; highest) 7.9 Million owner-occupied HHs with HHI $50k+ 37% own a home security system Opinions About Technology The degree to which they have an interest in technology is driven more by the desire/ability to have the newest anything rather than an innate interest in technology itself. Opinions About Home Security Perhaps because they have so much to protect and know someone who has had a security breach, protection is very top-of-mind. icontrol Networks, Inc. 18
19 US Growth Confidential. Copyright 2011 icontrol Networks, Inc. 19
20 Projected Growth Source: Strategy Analytics (2012) icontrol Networks, Inc. 20
21 North American Sales Activity The Connected Home In North America Has Arrived ADT Security Services Largest home security provider in the world Launched ADT Pulse Interactive Services in 2010 ADT Pulse now accounts for 35% of all installations, and growing Comcast Communications Largest cable company in the US Launched Xfinity Home in 2011 Now deployed in 90% of their US marketing area Time Warner Cable 2 nd largest cable company in the US Launched IntelligentHome in 2011 Rogers Communications (Canada) Verizon AT&T Largest mobile provider in Canada, 2 nd largest cable provider Launched Smart Home Monitoring in 2011 in Ontario Largest telco in the US Launched Home Monitoring and Control solution in nd largest telco in the US Announced the launch of Digital Life interactive services icontrol Networks, Inc. 21
22 Questions? Confidential. Copyright 2011 icontrol Networks, Inc. 22
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