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“The Power of Actionable Insight”

An introduction to the Internet of Things

The Internet of Things

Chris Vetor

Business Unit Executive, WW Programs

IBM Internet of Things

(2)

IBM Internet of Things

More and more of the world’s activity is being expressed digitally

by

billions of interconnected devices

2

Smarter cities

Smarter

vehicles Smarter home Smarter health

Smarter factories

Smarter transportation

(3)

IBM Internet of Things 07/15/15

IoT-based consumer devices such as

wearables

and

smart appliances

receive a high

degree of media attention

Real transformation is occurring now across

Industrial Manufacturing.

IoT is helping

(4)

IBM Internet of Things 07/15/15

61%

IDC surveyed organizations that

are actively pursuing IoT initiatives

Source: “IoT Quick Look: Buyer Behavior by Industry and Company Size”

IDC, August 2014

http://www.idc.com/getdoc.jsp?containerId=250209

(5)

IBM Internet of Things

IoT offers a

transformative business opportunity

5

1

2

3

Unlock

new revenue

from existing products

and services

Inspire

new working practices or processes

Change or create

new business models or

strategies

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IBM Internet of Things

DATA

Unlocked from billions of connected devices

CLOUD

Standards based connectivity from anywhere

ENGAGEMENT

New revenue opportunities created from insights

(7)

IBM Internet of Things

Today

“By 2020, Internet of

Things spending will rise

to $3 trillion and nearly

30 billion devices

Source: “IDC MaturityScape Benchmark: Enterprise

Mobility in the United States”, IDC, May 2015

New sources of

data

for business

In a few

years

(8)

IBM Internet of Things 07/15/15

The cloud is critical for devices beyond the

reach of the data center to connect and

communicate from anywhere in the world

through open standards.

The ultimate app for

cloud

“Within the next five years, more than

90

percent

of all Internet of Things data will be

hosted on service provider platforms as

cloud computing reduces the complexity of

supporting the Internet of Things ‘data

blending.’”

Source: IDC, Dec 2014

(9)

IBM Internet of Things 07/15/15

Personalized

and

instant

are the new

expectations for engagement.

Internet of Things gives businesses access to

product usage data they’ve

never had before

.

Personalized services designed from usage

data creates opportunities for

new sources of

revenue

.

Insights that lead to new ways to

engage

(10)

IBM Internet of Things

To innovate, operate, and engage at the

next level

Most data is never turned into insights

10

90%

Volume of data created at the edge of IoT that is

never captured, analyzed or acted

upon.

60%

Amount of that data that

loses its value

within

milliseconds of being generated.

Source: IBM

(11)

IBM Internet of Things

The potential of Internet of Things lies with

intelligence

(12)

IBM Internet of Things

Devices &

Networks

Connect devices into platforms

Hardware, networking, and operating systems infrastructure

Industry

Transformation

Evolve new business models

Packaged offerings that include strategic consulting and

business process change

Applications &

Solutions

Mask complexity and reduce risks

Software and service solutions targeted at specific domains

Platforms

Build and manage IoT solutions

Engineering and programming platforms

12

(13)

IBM Internet of Things

In 2008, IBM anticipated the

emergence of a

Smarter Planet

13

Instrumented

Interconnected

Intelligent

And pioneered the infusion of

(14)

IBM Internet of Things Deployment Flexibility IoT Platform Core Offering IoT Platform Optional Offerings

IBM IoT Platform

Provide a foundation for

building and managing

secure IoT solutions with

rapid time to value through

powerful analytics.

In public cloud, private

cloud, on prem, or hybrid!

IBM IoT Platform Foundation

IBM IoT Platform Extended Services IoT Industry Solutions

Advanced Analytics Advanced Security Device Management Connectivity Registry User Data Parsing Unstructured Storage & Archiving Metadata Management Development Full Application Lifecycle Open Environment

Integrated Services SecurityStreaming Analytics, Visualization

Reporting Predictive Cognitive Contextual Advanced Protection Proactive

The IBM

Analytics & IoT Platform

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IBM Internet of Things

Drive IoT data to the

Cloud through strong

industry partnerships

and open ecosystem

Wide variety of

supported devices

 Self Service

 Open ecosystem

 Simple tutorials

 Connect in

moments

Examples

:

:

Leveraging the IBM IoT Platform to Enable SI’s

• Hardware integrators (Flextronics, Avnet) adding value to smart, connected things through our Cloud services

• Telcos and Electronics companies providing services to their clients using the IBM IoT Platform

15

(16)

IBM Internet of Things

July 15, 2015

IBM is a

leader

in defining IoT

(17)

IBM Internet of Things

SilverHook Powerboats – develops app 40% faster, enhancing racer and

fan experience

“It changes the paradigm in a lot of different areas if we

can develop this type of technology at this speed. It

gives other projects a benchmark to live up to.”

—Nigel Hook, president of SilverHook Powerboats

Solution components

Software

•IBM® Bluemix™

•IBM Internet of Things Foundation

The transformation: Powerboat racers and fans both needed real-time

insight into what was happening during races. With IBM® Bluemix™ and IBM Internet of Things Foundation, the SilverHook Powerboat team developed an application 40% faster, streaming sensor data to the cloud and using analytics to deliver information and alerts to racers. Partner company Virtual Eye also used the data to create a rich 3-D visualization for fans.

Improves

decision-making and safety during the race

by providing critical data to drivers

Enhances

fan experience of races with real-time 3D

data visualization

40% faster

application development process

MSP03109-USEN-00

(18)

IBM Internet of Things

Transformation using IoT strategy and technology

Connected Appliances driving real business value

Increase Sales

 Leverage connect relationship with consumer to increase share-of-wallet for consumable sales (e.g. water filters)

 Leverage Connected Relationship for increasing Service Contract Sales  Increasing sales via Connected-enabled Partnerships (e.g. detergent mfgs)  Results in lower warranty costs for Whirlpool and higher customer

satisfaction for consumers

Reduce Costs

 Warranty & Recall Reduction via Early Issue Identification  Averting Unnecessary Warranty Claims (components)  Averting Unnecessary Warranty Claims (entire appliances)  Increasing 1st Call Complete via Smarter Service

(19)

IBM Internet of Things

What’s next for the Internet of Things?

19

Learn more about Internet of

Things from IBM

ibm.com/IoT

Try out Internet of Things on IBM

Bluemix

ibm.biz/try_iot

Join us in our IoT conversations

@IBMIoT

References

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