IoT value chains creating opportunities for components and systems in Europe. Andreas Wild Executive Director

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1 IoT value chains creating opportunities for components and systems in Europe Andreas Wild Executive Director

2 Content ECSEL JU in 2014 The Internet of Things Opportunity ECSEL JU in 2015 The Future 2

3 What is ECSEL? ECSEL = Electronic Components and Systems for European Leadership ECSEL JU is: ECSL JU in 2014 A Public-Private Partnership keeping Europe at the Forefront of Technology Development 3

4 ECSEL Ecosystem Evolving from FP7 to H2020 Along the Value Chain ECSL JU in 2014 Materials Equipment Design Automation IP Blocks ECSEL JU Wafer processing Assembly and Test Embedded Software System Integration ELECTRONICS APPLICATIONS ENIAC + ARTEMIS + EPoSS = ECSEL FP7 H2020 European strategic necessities: Without state of the art semiconductor technology, Europe will depend entirely on importation (ENIAC JU) Without embedded software functionality, chips are useless, fabs are unsustainable (ARTEMIS JU) Without smart integration in systems, no economic and societal benefits are possible (ETP EPoSS) 4

5 ECSL JU in 2014 ECSEL Projects Arising from the Calls

6 ECSEL Calls 2014: Conclusion ECSL JU in 2014 National Grants EU Grants Call : RIA Call : IA Initial budget TOTAL (104.5 unassigned) Awarded Initial budget Awarded TOTAL GRANTS Awarded Projects Selected for Funding Eligible costs: 708M (National), 650M (H2020) 3Ccar EXIST MANTIS OSIRIS RobustSense SWARMs ADMONT InForMed POWERBASE R2Power300 SeNaTe WayToGo Fast 48 FPP submissions 12 projects selected Success rate: 1 in 4 6

7 ECSL JU in MASP Coverage: Analysis by ECSEL JU Office

8 ECSEL JU Shall Drive Innovation by Focusing on Higher Technology Readiness Levels RIA IA 2014 (actual) (proposed) ECSL JU in 2014 European Commission, Brussels, , COM(2013) 298 final 8

9 IoT: A Natural Evolution Connecting People The IoT Opportunity Connecting People with Things It s no accident that one of the first Web celebrities was a thing, not a person. A camera trained on the coffeepot in the Computer Science department at Cambridge university was connected to a Web server Connecting Things 9

10 Why now? The IoT Opportunity We could connect the refrigerator with the dish washer, but they had nothing to talk about Getting together to talk is boring! Now we figure out what they could do together Getting together to something is exciting! There are so many things around! There is so much to do! The demand explodes! 10

11 IoT: a Natural Progression on New Markets The IoT Opportunity Source: *: UNO; **: ***: UNO; ****: Gartner 11

12 Electronic Leaders Group Recommendations 1.1 IoT : Unanimously Recognized as an Opportunity IoT: an Opportunity Track 1: Demand accelerators 1.1 Leadership in innovation in emerging market segments 1) Focus H2020/ECSEL on identified markets and notably IoT/SmartX 2) First call on excellence and competence centres in Smart X/IoT in H2020 3) Calls on zones of full scale testing of Smart X/IoT technologies in H2020/ECSEL (to be followed by subsequent calls in H2020 and/or ECSEL) H2020/ECSEL H2020/ECSEL

13 Who will capture the IoT Value? The Electronics Systems Market and the ECSEL MASP $1,488B ECSL JU: an EU Policy

14 Who Will Capture the IoT Value? IoT is everywhere on the electronics systems market traditionally split in Communications Computing Industrial/Medical/Other Consumer Automotive Communications and Automotive expected to show the highest CGR in the next 5 years 14

15 MOBILITY SOCIETY HEALTH ENERGY PROD. Who will capture the IoT Value Mapping ECSEL MASP on Systems Market Segments 11 Resource-efficient transport 12 Less congestion, more safety 13 Next generation vehicles 23 Next generation digital lifestyle 21 Securing critical community assets 22 Trusted components and systems 31 Sustainable energy generation and conversion 32 Reducing energy consumption 33 Efficient community energy management 41 Home care and well-being 42 Hospital and heuristic care 43 Food processing and safety 51 Sustainable and integrated manufacturing 52 Semiconductor manufacturing % % 125 8% 93 6% 2014 $1,488B % % After McClean Report

16 IoT: Beginning of a Value Chain Consideration The IoT Opportunity COMPONENTS: Sensors, actuators COMPONENTS: Processors APPs 16

17 IoT in the ECSEL MASP 2014 Smart Society Strategy: components for security and safety, as well as trustable components and software 2.3 Impact European leadership for IoT A2.1 Trusted components and systems A.2.3 Next generation digital lifestyle The IoT Opportunity Cyber Physical Systems Annex Expected Achievements/ Innovation: for IoT interoperable & certifiable CPS architectures Autonomy and cooperation: Innovative applications evolving from IoT Smart Systems Integration Annex Essential technology areas for Smart Systems Integration: secure data interfaces for the integration into the IoT 17

18 2015 Call Launching Basics ECSL JU in Calls, running in parallel RIA IA Two-phase process Project Outline Full Project Proposal In case of equal score, the proposal with higher impact score is ranked higher for both RIA and IA

19 Provisional Timeline 2015 EU and NFA pre-commitments*. *: under caveat: pending budgetary authorities decision PAB Meeting Call(s) open 17 Mar EU and NFA contribution adjustments PO closed 12 May* FPP closed 8 Sep* PAB Meeting (information) PAB Meeting (correction) Fix Contributions jan feb mar apr may jun jul aug sep oct nov dec PAB Funding Decision GRANT AGREEMENTS ECSL JU in 2014 Public Authorities Working Group: - Rules evaluation /selection (rating steps) - Launch of calls 2015 GB Meeting GB: Adopt WP2015 Call Launch Event and Consortium Building: 14/15 tbc Possibly: 2nd Consortium Building? *: to be confirmed Evaluation by Experts Corrections by NFAs PROJECT START

20 What s next? The Future Europeans stronger in several areas: Cyber-physical systems: European car manufacturers dominate the International Consumer Electronics Show! Semiconductors: Infineon invests in Villach and Dresden, purchases International Rectifier! NXP on a growing path since a few years, acquires Freescale Semiconductor!

21 Challenges and Opportunities The Future <= 200mm 300mm $6B $14.7B Million 200mm equivalent wafers per year Future investments announced by the end of 2014 $17B $14.7B $170B in 5 10 years ELG Roadmap? Strategic Investment? 10.8 billion to build Fedora 9 release $1.4 billion to develop the Linux kernel alone IoT will need - system architecture, - operating systems - communication protocols etc. etc. - for sure $$$$ Are we ready to inv st? LET S GET PERSONAL! Driverless taxi, bus, trucks Privacy and security A-geek-ulture Energy harvesting Fuel cells Exploiting the genom How to make everything (3D printing) LET S MAKE THE FUTURE HAPPEN!

22 Thank you for your attention!

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