IBM’s Point of View on IoT

Peter Murchison

ARM mbed Connect China

VP, IoT Business Development and Strategy

IBM

December 15, 2015

© ARM 2015 2

Why me for IOT ?

© ARM 2015 3

Huge growth in the number of IoT Devices

… and much of that growth will be in very simple devices

IoT is revolutionizing industries and is an enabler for innovation, growth,

and differentiation. But, if it can’t be monetized, it will not succeed!

400% Google search traffic on “Internet

of things” quadrupled in 20141

75% of companies are exploring or using IoT

in the business in some respects

(internally/externally)2

62% of C-suite executives believe that

companies slow to integrate IoT will fall

behind the competition2

Top 3 ways IoT will change how business operates

1

2

3

Unlock new revenue from existing products/service

Inspire new working practices or processes

Change or create new business model or strategy

36% growth in processing, sensing and

communications semiconductor

devices

Enterprise IoT Faces Five Key Challenges

5

Incompatible

Standards 3 Fundamental Shifts

in Business Models 2 Unprecedented

Data Volumes 1

New Privacy

Landscape 5 Entirely New

Security Threats 4

• Sensors generating new kinds of data,

as well as volumes 1000’s of times

higher than pre-IoT systems.

• Big data and machine learning required

to complement traditional reporting

and analytics.

• The rise of “edge analytics”

• Traditional manufacturing and place-

based businesses must become IT-

centric organizations

• Direct customer engagement versus

previous model.

• Many competing platforms and

incompatible standards raise costs and

complexity, security risks, and time-to-

market for IoT innovators.

• Collecting physical world data on

people and objects.

• Market is slow grasping implications -

stiffer regulations are likely.

• Devices no longer contained and

protected in data centers.

• Automobiles, plants and medical

devices are under growing attack.

6

Industry-specific

Transformations

IoT Applications

Platforms

Devices &

Networks

IBM Value Delivered

Consulting, Build to Operate and SW

offerings aligned to specific industries.

Cognitive.

Repeatable rich applications of

combined industry specific value,

analytics and configuration services.

Build and deploy IoT solutions. Simple

connectivity, rich analytics, security in

a Hybrid environment.

Partner at this layer leveraging device

neutrality, invest in standards.

Example Customer / Partner

• Daimler AG and IBM partnered to unrolled

Car2Go

• Smartphone driven car sharing service

• Responsive UX with near real-time

communication between phone, cars and back

end

• Uses IoT Cloud Services within Bluemix as the

basis for its real-time power boat telematics

platform

• Runs complex diagnostic analytics in real-time

on racing boats

• Collaborating to develop a highly secure,

cloud-hosted provisioning and lifecycle

management service for IoT devices

• “Web to the Edge”

• Solution for organizations in the aviation

maintenance, repair and overhaul (MRO)

market

• Addressed complex maintenance processes that

commercial and defense aviation organizations

manage daily

A Market View: The Four Fundamentals of IoT

IBM Loves IoT Data ! 1023

2010 2015

Worl

d's

Dat

a (B

ytes)

The number of stars in the universe !

Sensors &

Devices

VoIP

Enterprise Data

Social Media

“Little Data enables Big Data”

© ARM 2015 8

INDUSTRY SOLUTIONS

IoT APPLICATIONS

PLATFORMS

DEVICES & NETWORKS

IBM’s Value is in Transformative IoT Solutions

© ARM 2015 9

INDUSTRY-SPECIFIC

IoT APPLICATIONS

PLATFORMS

DEVICES & NETWORKS

Chip level data helps drive our business

What is an IoT Platform?

10

IoT Foundation

Sensors &

Networks

Repeatable &

Optimized Operations Other

Data Sources

Weather Map

01

0110

0010

001001

Devices Platform Applications

IoT Platform

Third Party Apps

IBM IoT Foundation Offerings

IBM IoT Foundation Connect Attach, Collect & Organize, Device Management, Secure Connectivity,

Visualization

IBM IoT Foundation Information Management Storage & Archive, Metadata Management, Reporting, Streaming data,

Parsing and Transformation, Manage unstructured data

IBM IoT Foundation Analytics Predictive, Cognitive, Real-time, and Contextual

IBM IoT Foundation Risk Management Security Analytics, Data Protection, Auditing/Logging,

Firmware Updates, Key/Cert Mgmt, Org Specific Security

Third Party Apps

The IBM IoT Foundation - Everything you need to Innovate with IoT

IoT Platform

© ARM 2015 12

Together IBM and ARM are accelerating IoT

mbed Device Services

ecosystem

From devices to analytics, everything works together, at scale, worldwide

ARM mBed

Services

谢谢

ARM mbed Connect China

December 15, 2015