IBM Internet of Things Point of View and Strategy.

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IBM Internet of Things Point

of View and Strategy.

Jim Caldwell

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Abstract:

The Internet of Things is predicted to have an economic impact of

more than $11 Trillion per year by 2025. It has become a focus of

discussion by technologists, the business press and the general

public. Clearly something is happening but what? And what

should businesses and institutions do about it? This presentation

will survey the topic from IBM's perspective. We will discuss what

the Internet of Things is. We will also discuss IBM's point of view

and strategy, some examples of offerings and client engagements.

Finally, we will conclude with some key questions and research

challenges.

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Introduction:

John Cohn – IBM Fellow

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4

Putting it all together – IoT from Chip to Cloud to App

The IBM IoT ecosystem helps companies build and deploy IoT end to end

Your silicon,

embedded OSes

&

Recipes

Connectivity & Security technology

Silicon

Your IoT devices

& recipes for

connecting them

IoT Devices

Your network

Relationships & reach

Networks

Customer solutions

built on IBM IoT

technology

Solution

& Applications

Oil & Gas

Smarter Cities

Connected Vehicle

Life Science & Healthcare

Energy & Utilities

Consumer Electronics

Transport & Rail

Industrial Manufacturing IBM IoT Industry solutions

IBM GBS services Industry sales & distribution expertise

Additional value

add cloud

services

Cloud

SoftLayer Cloud platform Bluemix innovation platform IoT services

End-end IoT solution

Gateways

Your gateway

and recipes for

connecting them

Connectivity, Security

and edge analytics

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Agenda

• IBM

• Cloud and Cognitive

• Watson IoT Platform

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7

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9

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11 AND NOW

…

… “We are emerging as a Cognitive

Solutions and Cloud Platform company” …

Ginni Rometty

Chairman, President and Chief Executive Officer

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(13)

Global // Hybrid // Open

Build modern apps

that thrive on data

Easily & Securely

leverage your

existing API’s & Data

Foster a culture of

continuous

innovation & delivery

Optimize and

transform existing

apps

The Bluemix Platform

Core Pla)orm

App Centric Compute

Global // Hybrid // Open

PaaS // Container // VM’s

API’s

IBM // 3

rd

_{Party // Yours}

Data Driven App’s

Watson // IoT // Big Data

Powered by Open

IaaS // PaaS // SaaS

Built for enterprise

Development // IntegraIon // DevOps

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Over 29 global

locations with

geographic

disperse network

PoPs

Carrier grade

private network

with over 2,000

Gbps of

connectivity

Built on the Highest Performing Cloud Infrastructure

A di

ﬀ

erent kind of data center

• Every location designed, built, and operated to the

same standardized

, “

pod

” based spec

• 24/7 on-site security

and rigorous controls

• Public, private, and management networks

all

separate

• More than

2,000Gbps between data centers

and

network points of presence

(PoPs)

• Unmetered inbound public bandwidth

and fully

unmetered bandwidth between data centers

Entirely automated

• SoftLayer API

controls everything

• Bare metal

and

virtualized servers

in the same

platform

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15 Broad range of IBM & 3rd Party Services

Security

Analytics

Commerce

Watson

Healthcare

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Digital Intelligence meets

Digital Business:

Welcome to the

Cognitive Era.

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Where code goes,

where data flows,

cognition will follow.

(18)

We can now confer on every

digitized object, product, process

and service a kind of thinking ability.

How, and why now?

Data is

transforming

industries and

professions.

The world

is being

reinvented

in code.

Computing is

entering a new

Cognitive Era.

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Data is

transforming

industries and

professions.

19

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CONSIDER:

Data flows from every device,

replacing guessing and

approximations with precise

information. Yet 80% of this

data is unstructured; therefore,

invisible to computers and of

limited use to business.

HEALTHCARE DATA

GOVERNMENT & EDUCATION DATA

99%

88%

94%

84%

Healthcare data comes from

sources such as:

Government & education data

comes from sources such as:

Patient

Sensors Electronic Medical Records

Test

Results Vehicle Fleet Sensors Sensors Traffic Evaluations Student

UTILITIES DATA

MEDIA DATA

93%

84%

97%

82%

Utilties data comes from sources

such as:

Media data comes from

sources such as:

Utility

Sensors Employee Sensors Location Data and Film Video Images Audio

By 2020,

of new information

will be created

every

minute

for

every

human being

on

the planet.

growth by 2017

unstructured

growth by 2017

unstructured

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The world is

being reinvented

in code.

21

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CONSIDER:

The world is being rewritten in software

code, and cloud is the platform on which the

new digital builders—from developers to

business professionals—are reimagining

everything from banking to retail to

healthcare.

Smart TVs

represented 27% of

all TV sales in 2012; by 2018,

they will represent 82%.

Smart LED lighting

will grow

from 6M units in 2015 to 570M

units in 2020, used for safety

communication, health, pollution

and personalized services.

By 2017, there will be 1B

connected things in

smart

homes

, including appliances,

100,000,000

lines of code

in a new car

5,000,000

lines of code

in smart appliances

1,200,000

lines of code

in a smartphone

80,000

lines of code

in a pacemaker

of

B2B

collaboration

will take place

through

web

APIs

next year.

50%

Sensors for

industrial

asset monitoring and

management

will grow from

just over 15M units in 2014 to

over 40M units in 2018

Smart traffic sensors

and

other devices installed in smart

cities will grow from 237M units

Revenues for

smart grid sensors

will grow ten-fold from

2014 to 2021.

By 2020, there will be

925M

smart meters

installed

worldwide, more than double

the 400M in 2014.

Code

Tools

Analytics Data APIs

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Computing is

entering a new

cognitive era.

23

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CONSIDER:

Cognitive systems can understand

the world through

sensing and interaction,

reason

using hypotheses and

arguments and

learn

from experts and through data.

Watson is the most advanced such system.

Today, businesses in

countries

across.

There are

Watson ecosystem

partner companies,

with

78%

of

business and IT

executives

believe

that successful business

will

manage employees

alongside

intelligent

machines.

On average there are

Among C-Suite executives

familiar with cognitive computing:

96%

84%

94%

89%

in

insurance

intend to invest in

cognitive capabilities.

in

healthcare

believe it will play a

disruptive role in the industry, and

60% believe they lack the skilled

professionals and technical

experience to achieve it.

in

retail

intend to invest in

cognitive capabilities.

in

telecommunications

believe

it will have a critical impact on the

future of their business.

36

17 industries

are

applying cognitive

technologies.

350+

100 of those have taken their

product to market.

1.3B

Watson API calls a month

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Tennessee Highway Patrol

The Challenge

Drunkenness and seatbelt compliance are two of the primary drivers of serious road accidents and fatalities. Without resources for more troopers, the Tennessee Highway Patrol (THP) in the United States had to direct resources creatively and effectively.

The Data

With IBM, THP created a predictive model that correlates historic traffic incident data (location, time, weather, proximity to events, etc.) with real-time unstructured event and weather data.

The Insight

The analytics system divides the state into six-by-six mile squares and predicts which will become hotspots for drunk driving and seat belt violations, in four hour windows.

25 The Action

Police officers, consulting their cognitive dashboards, are assigned to one of these hotspots per this predictive intelligence.

Why does it matter?

THP has been able to reduce serious injuries and fatalities caused by drunk driving, by more than 6%, to the second lowest level since 1963. Key factors in driving this improvement are a 46% increase in seat-belt citations and a 34% increase in DUI arrests. Being able to more accurately intervene based on predictive analytics and address the root cause of road accidents has driven the reduction in serious injuries and fatalities. In doing so, the police chief believes that police officers have become proactive, rather than reactive, in reducing serious incidents.

IBM Content

IBM® _Cognos® _{Business Intelligence and}

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Baylor College of Medicine

The Challenge

P53 is an important protein related to many cancers. But there are thousands of papers that researchers must read to fully understand the topic. “On average, a scientist might read between one and five research papers on a good day,” according to Dr. Olivier Lichtarge, the principal investigator and professor of molecular and human genetics,

biochemistry and molecular biology at Baylor College of Medicine. “To put this in perspective with p53, there are over 70,000 papers published on this protein. Even if I’m reading five papers a day, it could take me nearly 38 years to completely understand all of the research already available today on this protein.”

The Data

In a feat that would have taken researchers years to accomplish without Watson's cognitive

capabilities, Watson analyzed 70,000 scientific articles on p53 to predict proteins that turn on or off p53's activity.

The Insight

In a retrospective, peer reviewed study released by Baylor College of Medicine and IBM, scientists demonstrated a possible new path for generating scientific questions that may be helpful in the long term development of new, effective treatments for disease.

The Action

In a matter of weeks, biologists and data scientists using the Baylor Knowledge Integration Toolkit (KnIT), based on Watson technology, accurately identified proteins that modify p53, an important protein related to many cancers, which can eventually lead to better efficacy of drugs and other treatments.

Why does it matter?

This automated analysis led the Baylor cancer researchers to identify seven potential proteins to target for new research. These results are notable, considering that over the last 30 years, scientists averaged one similar target protein discovery per year.

IBM Content

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INTERNET OF

THINGS

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IoT is driving Digital Disruption of the Physical World

Accelerating advances

in technology

Are transforming every

part of business

Advanced analytics

Creating new products

and business models

Improving operations

and lowering costs

Driving engagement and

customer experience

Pervasive connectivity

Embedded sensors

Cloud computing

Product Lifecycle

Management

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IoT value is realized in four foundational areas

29 Devices & Networks

Connecting what matters

Industry

TransformaIon

Evolving new business

models

IoT for Automotive, IoT for

_{Electronics, IoT for Insurance}

IoT ApplicaIons

Optimizing operations and

_{enhancing performance}

Asset Management, Facilities

Management, Predictive

maintenance

Pla)orms

Building and managing IoT

_solutions

IoT Foundation (IBM IoT platform)

_{Continuous Engineering}

Representative Products

IBM Ecosystem partners

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Outcomes from IoT industry transformations

30 Innova&ve services for car sharing

Accelerated &me to market

of mobile app

releases with expedited release management

Improved service reach

and availability through

pla)orm as a service

Reliable opera&on

of service due to the

robustness and power of IBM enterprise-class

soRware

Improving

customer

engagement

Re-inven&ng business models with data

Improved visibility

with real-Ime data gathered

across diﬀerent sources

Be>er quality

of their vehicles by uIlizing

predicIve maintenance

New partnership

created based on data from

connected cars

Driving new

business

models

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Outcomes from IoT engineering and programming

platform solutions

31 Enhanced racer and viewer experience

Improves decision-making and safety

during the

race by providing criIcal data to drivers

Enhances experience

of fans watching races with

real-Ime 3D data visualizaIon

40% Faster

ApplicaIon

development

process

Turning engineering insight into outcomes

Increase visibility

into product-development

processes, to eﬀecIvely track and monitor

producIon for product

’

s lifecycle

Enhance scalability

to simplify integraIon of

future data sources and other applicaIons

Reduced

impacted analysis

Imes

from weeks to

days

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What is an IoT Platform?

Sensors &

Networks

Repeatable &

Optimized Operations

Other

Data Sources

Weather

_Map

01 0110 0010 001001

Devices

Platform

Applications

Watson IoT

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IBM Watson IoT Cloud - Connect

Connect and manage devices, networks, and

gateways

IBM Watson IoT Cloud - Information

Management

Integrating information, structured and unstructured,

from devices, people, and the world around us

IBM Watson IoT Cloud - Analytics

Gaining insights from information using Realtime,

Predictive and Cognitive analytics

IBM Watson IoT Cloud - Risk Management

Ensuring you leverage the right information from the

right sources, and ensuring the right software runs

where you need it

The IBM Watson IoT Platform Offerings

Everything you need to transform with IoT

33

Anomaly Detection Blockchain Firmware Updates

Watson IoT Platform

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IBM Watson IoT Cloud - Connect

Connect what matters

…

.

Connecting and managing your IoT devices,

Gateways and Networks from a broad and

growing ecosystem

Open standards based communications

(MQTT, HTTPS)

Secure communication and management

Globally scalable, starting with a single

device

_{Any Device, Anywher}

e

!

Watson IoT Platform

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IBM Watson IoT Cloud - Information Management

Combine contextual data, such weather, with analytics and

internet of things to deliver better outcomes

Incorporate weather data into

your IoT applications

Watson IoT Platform

W

eather Data

!

Weather assets

Combine weather data in your

data set to gain more insight

“Insights for Weather” API

now available on Bluemix

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Cognitive capabilities in IoT apps

IBM Watson IoT Cloud - Analytics

Add cognitive capabilities to IoT data to produce new insights

and intelligence: cognitive IoT

Natural Language

Processing

Machine Learning

Video/Image/Audio

Analytics

Text Analytics

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IBM Watson IoT Cloud - Risk Management

Address privacy and manage risk through security and

Blockchain capabilities

Providing the ability to enforce the appropriate level of

security and privacy to your IoT solution from the

device through the network to the cloud and beyond

§ 

End to end core security features

§ 

System wide confidence via Security Analytics and

Device Management

§ 

Support for secure decentralized systems with

Blockchain

Watson IoT Platform

Anomaly Detection Blockchain Firmware Updates

Leading Security Capabilities

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38

Putting it all together – IoT from Chip to Cloud to App

The IBM IoT ecosystem helps companies build and deploy IoT end to end

Your silicon,

embedded OSes

&

Recipes

Silicon

Your IoT devices

& recipes for

connecting them

IoT Devices

Your network

Relationships & reach

Networks

Customer solutions

built on IBM IoT

technology

Solution

& Applications

Oil & Gas

Smarter Cities

Connected Vehicle

Life Science & Healthcare

Energy & Utilities

Consumer Electronics

Transport & Rail

Industrial Manufacturing IBM IoT Industry solutions

IBM GBS services Industry sales & distribution expertise

Additional value

add cloud

services

Cloud

SoftLayer Cloud platform Bluemix innovation platform IoT services

End-end IoT solution

Gateways

Your gateway

and recipes for

connecting them

Connectivity, Security

and edge analytics

_IB

M

Pa

rtn

er

(39)

39

Client Stories

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IBM Research Africa created cognitive

transportation data hub that uses smartphone

sensor data to monitor road infrastructure and traffic

conditions and provide fleet analytics.

Nairobi’s Living Roads

project illustrates how one

IoT app, on one device, can

change business models and

public services

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One million users can now access platform without

drop off in service – 10X performance improvement

Speeds deployment and development of new

features with total platform control

Opens new business opportunities for additional

connected products

The Chamberlain Group Inc.

developed a mobile IOT app

that provides competitively

differentiated capabilities and

user interface

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70% decrease expected in customer service call

Time – improving service levels and customer sat.

50% reduction projected in service and parts

provision costs

Reduces IT costs with cloud-based hosting and

solution as a service delivery

Connected appliances provide

new link from customers to

warrantee services, product

design and automated retail

replenishment

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Ecosystem & partnership strategy extend the IBM IoT

platform

Derive IoT value on the

Cloud through strong

industry partnerships and

open

ecosystem

Wide variety of

supported devices

ü

 

Self Service

ü

 

Open ecosystem

ü

 

Simple tutorials

ü

 

Connect in

moments

Examples:

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@ibmblu

emix

@robinso

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• Volume, Volume, Volume

• Computation at the edge. How can we distribute some of the analysis to the edge.

• Testing of large scale IoT systems ( large scale simulation, abstractions)

• This stu

ﬀ

moves. Connected/disconnected modes

• Security - in all levels- device, network, application

• Devices are just as susceptible to attack as computers, tablets, and mobile devices

• New Privacy Landscape

• Monetization of IoT data? Role for Blockchain?

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48 Watson on Bluemix

Reason

Listening

Vision

Speech

Learning

Watson is creating a new partnership between people and computers that enhances,

scales and accelerates human expertise

IBM Watson services available on Bluemix are the building blocks for developers to create the next generation of cognitive

applications to transform the way businesses engage with their customers, discover, innovate and make decisions

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