Sponsored by:

Global Seamless IoT Connectivity:

The Why, the What and the How
Sponsored by:

March, 2019

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 Sponsored by:

Today’s Speakers
Steve Bell
Senior Analyst
Heavy Reading

Pankaj Gupta
Head of Sales Engagements
Ericsson

Qiang Li
Senior Product Manager
Ericsson IoT Accelerator Platform

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 Sponsored by:

Agenda

• Introduction
• Digital Transformation
• Connectivity Management
• Global Perspectives
• Q&A

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 Sponsored by:

Technology Challenges - Gradually Then

Suddenly

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 Sponsored by:

Business Challenges
Gradually Suddenly
Technology Shifts

Where are competitors Where are customers

Where are we now?
Current now? now?
What are we doing
What are competitors What are customers
State doing now? now?
doing now?

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 Sponsored by:

Transformation Challenges
Where are competitors Where are customers
Where we are now?
Current now? now?
What are we doing
What are competitors What are customers
State doing now? now?
doing now?

What will competitors What will customers

What will we need to do?
need to do? need to do?

Future
State Who will the customers
Who will competition be?
be?

What should we do for

leadership?

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 Sponsored by:

Complex Situation
Gradually Suddenly
Technology Shifts
Aspirations Challenges

Product to services
Scaling
Innovation
Complexity
New revenue sources
Communications
Automation
Security
Operational Efficiency
Privacy
Outcome based
Cost control
business model
Risk control

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 Sponsored by:

Communications and eSIM

• Subscriber Identity Modules (SIM
cards), were commercially deployed in
1991.
• SIMs have reduced in size and
increased capability with each new
generation of cellular technology
• In M2M / IoT the physical removal and
swapping of SIMs on large fleets
becomes costly and cumbersome.
• The solution: the remotely programed
embedded SIM (eSIM) or more correctly
the embedded universal integrated
circuit card (eUICC).
• The provisioning is done over the air,
without any physical modification
requirements.
• This has huge benefits for enterprises
with global operations .
MWC 2013

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Poll question 1
What is the most important use case you have come across for IoT?

- Resource optimization
- Predictive maintenance
- Warehouse and Inventory management
- Software defined product

Ericsson Internal | 2018-02-21

 Global Seamless Connectivity for IoT

Pankaj Gupta
Qiang Li
Ericsson Internal | 2018-02-21
 Enterprises transform, connecting their businesses
globally
Turning products into services Meeting evolving customer demands

Subscription-based Direct relationship

business models to OEM
Continuous Real-time Automated &
service Innovation in service tailored
delivery the field interaction services

Extract value as A connected

customers use end-to-end
product rather experience
than just sales without
Build a customer Use data & analytics Customers want to middlemen Don’t ask me, just
relationship across to evolve & innovate have instant control make it work
product lifetime the experience and interactions

Connectivity is an afterthought, taken for granted

Ericsson Internal | 2018-02-21
IoT enables new avenues for value creation
Incremental value in near term and over long term Autonomous
Pull models

Outcome-based • Continuous demand-sensing

models • End to end automation

New Product • Intelligent software as leverage for

Operational
Efficiency
• Asset utilization
• Operational cost reduction
• Enhance worker productivity
• Safety and working conditions
business value
• Pay per outcome
& Services • New connected ecosystems
• Platform-enabled marketplace
• New business models • Proactive services
• Pay per use
• Software based services
• Predictive services
• Data monetization

From Product to Service Outcome Pull

Ericsson Internal | 2018-02-21
IoT needs connectivity across the product lifecycle
2 3
Distribution Usage
• Real-time asset tracking • Real-time delivery of analytics data
• Connected warehouse • Location-based services and offers
management • Region-locked updates
• Global pre-sale OTA updates • Worldwide unified service
experience
Complex reality
• Customer-near services
with:
Different
geographies,
multiple systems,

1 multiple
technologies
4
Factory End of life
• Automation
• Remote termination
• SKU & late customization of service contract
• Location-based pre-loading of • Retired asset
services tracking
• JIT
Much of the value comes from making physical products
become software-defined, with embedded connectivity

Ericsson Internal | 2018-02-21

 Global Enterprise IoT is a new market quadrant
Global

Enterprise
Consumer

Ericsson Internal | 2018-02-21 Regional

Cellular IoT segments map to various use cases

Commercial – Growth Early pilots – Standardization

Massive Broadband Critical Industrial Automation
IoT IoT IoT IoT
One network – multiple use cases and industries

1370
Smart Fleet Traffic Safety Collaborative
VR/AR
Metering Management & Control robotics

Advanced
Asset Drones/UAV Automotive Smart Grid Automation
management Automation & Control

Low cost & low power devices High throughput Ultra reliability Industrial protocols
Small data volumes Low latency Ultra low latency Time Sensitive Networks
Massive numbers Large data volumes Very high availability Precise indoor positioning

Ericsson Internal | 2018-02-21

Challenges for Global IoT
Your connected business ’

IoT Services
Languages Business 24/7 global Security &
& cultures models availability privacy Service experiences

Global
Global connectivity Regional and service support and Security & Cost and Risk
Global coverage country regulations assurance privacy control

Global connectivity adding another layer of complexity

Connected device Complex Multiple

More distribution support Design
SKUs networks providers Lack of Standard considerations
Ericsson Internal | 2018-02-21
Today, connectivity management for global IoT is
complex
Enterprise IoT Connectivity # of MNO # of Connectivity Unified service
Requirements agreements related platforms provider

Local 1 or 2 MNOs 1 or 2 Platforms Local MNO

1 or 2 Large Regional Lead and Large Regional

Regional MNOs and alliances
1 or 2 Platforms
MNO

10 Large & SME MNOs &

Global MVNOs & alliances
10 Platforms Done bespoke

Increasing grade of complexity

Fragmented, Local/Regional, Non-standardized
Ericsson Internal | 2018-02-21
Build Global Connectivity Solution

Global Global Unified Connectivity

Roaming eSIM/eUICC Management API

Global IoT Ecosystem

Global IoT
network
infrastructure

Ericsson Internal | 2018-02-21

Global eSIM/eUICC

Ericsson Internal | 2018-02-21

Global IoT Ecosystem
Device/Module/Chipset SIM and Connectivity

• Vendors and Partners • eUICC

MNO A • Device Management and Bootstrap • iUICC
• Device testing and verification • Seamless integration with device
Network Coverage
and cloud
Country A

MNO B IoT Customers

Network Coverage Network & Global IoT
Country B Connectivity Platform services
Global IoT
Ecosystem

MNO C
Network Coverage
Country C
MNO ecosystem IoT Platform and Cloud

• Roaming • IoT Cloud

• Wholesale & Reseller • Application Enablement
• eUICC Global Bootstrap and • Device and Data Management
inbound/outbound localization • Industry IoT platform
Ericsson Internal | 2018-02-21 • 5G network slicing and Local breakout • Connectivity Management
Global Connectivity Offering Models
GLOBAL
ROAMING
› Traditional Roaming model
› M2M traffic
› Roaming costs are not a consideration
› Latency is not an important factor
Ericsson Internal | 2018-02-21
MULTI-DOMESTIC
Connectivity
› Tier1 MNO Oversea Network expansion
› Cross MNO network sharing
› 5G Network Infrastructure and Local Breakout
› Reseller and Wholesale relationship
› M2M traffic
› Roaming costs are not a consideration
› Latency is an important factor
Local Connectivity with
partnership
› Regulatory requirements
› eUICC and cross MNO localization
› Reseller and Wholesale relationship
› High band width and M2M traffic
› Roaming costs are consideration
› Latency is an important factor
New revenue streams open up for operators with
global connectivity solution

Unlocked
connectivity
New revenues from international
revenues
inbound and outbound businesses, both
within and out of network footprint

Current With a global connectivity mgmt. offering

New market for operators open up possibilities to upsell
Connectivity
additional IoT other IoT services.
mgmt. revenues
services

Ericsson Internal | 2018-02-21

Poll question 2

In your opinion, which market segments will be transformed the most in the near future by global
connectivity for IoT?

- Transport
- Logistics
- Manufacturing
- Energy
- Healthcare and wearables

Commercial Presentation | Commercial in confidence | © Ericsson AB 2017 | 2017-03-09 | Page 24

Summary
— Industries are undergoing digital transformation

— Connectivity is a basic ingredient for smartness

— Global IoT touches multiple business processes

— Global connectivity is complex, needs a toolbox

and eco-system approach

— Service providers have new opportunities

addressing Global IoT

Ericsson Internal | 2018-02-21

 Q&A
Ericsson Internal | 2018-02-21
https://www.ericsson.com/en/internet-of-things