M2M and the IT Infrastructure



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M2M and the IT Infrastructure Moderator: Bill Lesieur, Senior Analyst, Maravedis Inc Panelists: Fred Yentz, President & CEO, ILS Technology Lino Osegueda, Director OEM Relations, KORE Telematics Brian Anderson, VP of Marketing Solutions & Services, Sierra Wireless

ILST in a single slide

M2M & IT Infrastructure can mean many things: Hardware and Software to support M2M applications with thousands to millions of connections Integration with existing IT Infrastructure and Applications M2M emerging standards and IT infrastructure

Hardware and Software to support M2M applications with thousands to millions of connections Significant infrastructure is required to serve highly secure and reliable M2M solutions. load balancers, servers, switches, routers, IPS, IDS, Firewalls, etc. If they choose, large enterprises can afford to implement M2M themselves, but small and medium companies typically can t afford the infrastructure to implement a world-class M2M implementation, leading to the strong demand for PaaS/SaaS services.

The SOLUTION is not just the CONNECTION Integration with existing IT Infrastructure and Applications For M2M to be really valuable to the C-Suite, applications must interface with existing corporate applications (ERP, MES, MRO, CRM, etc) Stove-pipe vertical applications will slowly be replaced by integration to existing applications and horizontal platforms from the likes of SAP, IBM, Oracle, and Microsoft

The Integration Challenge M2M Devices, Services, SaaS, PaaS? IT Applications CIOs and IT Administrators face a large challenge trying to figure out how to integrate existing IT applications to the new M2M solutions they are deploying.

The DIY Nightmare M2M Devices, Services, SaaS, PaaS Custom Developed Solution (JAVA,.NET, C, C#, etc) IT Applications Every IT person s nightmare is to have to solve integration problems by writing customer application code to make two applications work together. These applications are difficult to maintain, and can be very costly to implement.

M2M Application Platform Solution M2M Devices, Services, SaaS, PaaS Integration Software IT Applications To ease the integration process, companies like ILST have created software with a dedicated purpose to help M2M solutions integrate with existing back-office IT applications without ANY programming.

In the Ideal World IT Applications M2M Devices, Services, SaaS, PaaS Ideally, IT Applications and Infrastructure can natively interface with M2M devices and services, eliminating the need for a dedicated integration layer. How do we move in this Direction? Standards

M2M emerging standards and IT infrastructure Many SDOs, both accredited and not, have begun work around standardizing M2M application services: TIA, ETSI, ITU, OPC, OMA, etc. Most of these standards are focusing on application layer messaging, but each have unique requirements that have contributed to differentiation. US: TIA + OPC Founcation (TR-50) and ATIS EU: ETSI Japan: ARIB and ATIS China: CCSA Korea: TTA OneM2M: Emerging Collaboration of above partners SDOs

M2M and the IT Infrastructure Moderator: Bill Lesieur, Senior Analyst, Maravedis Inc Panelists: Fred Yentz, President & CEO, ILS Technology Lino Osegueda, Director OEM Relations, KORE Telematics Brian Anderson, VP of Marketing Solutions & Services, Sierra Wireless

M2M and the Enterprise IT Infrastructure Lino Osegueda Director, OEM Partnerships and Alliances KORE Telematics Inc

KORE Overview M2M Market Projections and Ecosystem Implications for the Enterprise M2M Application Platform KORE Connected Device Platform Network Services

KORE at a Glance Over 1 Million M2M Activations About KORE The World s Largest M2M Global Network Provider The Leading M2M Service Delivery Platform Provider Featuring PRiSMPro The Best in Class 24/7/365 Support Organization Single Source for Worldwide Connectivity using Multiple Technologies Fastest Path to Market for Network Services 700 Customers Across all Leading Industry Segments Experts in M2M Device Certification 600+ Devices Certified Example text

Nearly 10 Years Experience Delivering Locally and Globally Las Vegas Winnipeg Chicago Toronto Washington, DC Raleigh Atlanta London Sydney Melbourne

Market Growth Expectations Global M2M Connected Device market is projected to be over 2 billion devices in 2020 1 M2M Market Adoption - In Millions- The global M2M market revenues forecast to grow to $18.9B in 2014 2 billion + M2M devices connected by 2020 Machine to people ratio 9:1 Three major market forces at work: Declining prices of M2M devices and cellular links improve economics and affordability of M2M solutions M2M technology promotes business efficiency and new service innovation Broad deployment of wireless networks 2G,3G, LTE & satellite are powering richer M2M solutions Projected M2M Device Connections, in Millions the network will have to accommodate a trillion devices, most of them wireless. -The Economist, 2011 1 Source: Analysys Mason 2011 M2M Forecast

The Enterprise Challenge Fragmented EcoSystem Segment Description Players Enterprise Systems System integrators, in-house development and solution providers Network Providers Network operators, network access providers, and transport infrastructure vendors, over 500 worldwide Software Providers Software manufacturers, middleware and application infrastructure vendors Hardware Providers Manufacturers of GPS chips, RFID sensors, actuators, and embedded and external hardware devices

Key Considerations for Enterprises Driving M2M into IT Infrastructure How to Build and Own Their Own Applications Building and Managing (Multiple) Interfaces into Corporate Systems Re-using Valuable End-Point Data Across Multiple Platforms Managing Multiple Connectivity Relationships Cost, Complexity, Integration Especially as Deployments Go Worldwide Build or Buy? The Role of the ASP versus In-House Development Holistic System Security & Vulnerability Scalability What Works Small Doesn t Scale $ Cost per Connection Risk/Reality Opportunity/Goal Number of Connections

M2M Integrated and Scalable Approach Corporate ERP Systems (example: SAP, Oracle, Peoplesoft) M2M Application Platform (example: ILS) Service Delivery Platform Network Services Network Services Network Services Application Application Application M2M Device M2M Device M2M Device Fleet Management Asset Tracking Business Continuity

KORE PRiSMPro Our Service DeliveryPlatform API One Integration into Corporate IT Systems Specialized for M2M Service Intelligence Database Robust Platform Multiple Technologies Connections Maintained Easily Extensible Billing Engine Mediation Charging Aggregation Invoicing Rating Reporting Provisioning (SAG) Engine SID: Internal Management CRM Devices Support Account Tickets Rates CDR Storage Network Service Interface Single Connection to Multiple Technologies & Network Providers USA GSM Carrier CAN GSM Carrier Int l GSM Carrier USA CDMA Carrier Satellite

Examples of Integrated Solutions Burger King Supply Chain and Store Inventory Optimization McDonalds Supplies and Quality Optimization Thermo-King Service Management and Defect Control Maersk Worldwide Logistics and Supply Chain Reporting FedEx Distribution Management ResMed Medical Instrumentation Patient Management and Supply Chain Control

In Summary. Integrated M2M Needs Careful Planning Avoiding Point Solutions which lead to Data Silos Optimizing Integration through known and Proven API services to Service Platforms Optimizing Connectivity Contracts integration, relationship management, commitment levels Connectivity may be 30% of Lifetime Cost Speed Up Test Deployment To Validate ROI Models Don t Invent Unnecessarily Use Proven Building Blocks $ Cost per Connection Number of Connections

M2M and the IT Infrastructure Moderator: Bill Lesieur, Senior Analyst, Maravedis Inc Panelists: Fred Yentz, President & CEO, ILS Technology Lino Osegueda, Director OEM Partnerships, KORE Telematics Brian Anderson, VP of Marketing Solutions & Services, Sierra Wireless

A leading provider of Mobile Computing and Machine-to-Machine cellular wireless solutions Broad range of high performance hardware & software solutions Founded in 1993 Experienced leadership Approximately 900 employees worldwide Proven innovator in new wireless technologies, embedded systems and end to end solutions 2011 Revenue $578 million Strong global presence. HQ in Vancouver, Canada R&D on three continents NASDAQ TSX

Sierra Wireless Provides a Complete Solutions Platform Devices Tools Server Intelligent Gateways & Routers Wireless Service Application Service Accelerate Applications Management Service Simplify Operations Wireless Embedded Modules M2M Cloud Platform Intelligent, Versatile Hardware Seamless Connections With Operators Making M2M Simple M2M Cloud Services

Case Study GL6100 Connectivity Network Middleware Business Application Sierra Wireless Proprietary and Confidential Main business Goals Increase Coffee machine uptime Sell more Coffee capsules Decrease operating costs Monitor type of capsule 28

AirVantage Platform AirVantage Operating Portal Tensiometer GSM Network Scales (Patient s home) Pill dispenser on communications base (AirPrime SL6087 module) Web Services Participants (Medical center) Inovelan Appliance Business Web-application Doctors Electrocardiograph MMC Server (ECG data) Main business Goals Sell e-health Services to improve margin of private insurance contracts Medicalized support 29

Thank You Brian Anderson banderson@sierrawireless.com

ONLINE SURVEY: M2M challenges, and the role of cloud as a key enabler of mass-market adoption www.surveymonkey.com/s/maravedism2mcloud M2M Challenges: Cost Standards, Architecture, & Interoperability Ability to scale Agility & Time to market Security Maturity of applications/solutions Integration with IT Systems Profitable business models Fragmented supply chain and ecosystems Innovation/R&D Marketing/Education/Awareness SaaS more cost efficient and innovative applications PaaS more cost efficient and easy to use/integrate platforms IaaS scale, storage, processing, big data analysis, federation