Mobility is transforming work and life throughout the planet. Mobile apps--built for a growing range of handhelds, wearables, Internet of Things, and other platforms--are becoming the universal access paths to commerce, content, and community in the 21st century. The app economy refers to this new world where every decision, action, exploration, and experience is continuously enriched and optimized through the cloud-served apps that accompany you everywhere. In this webinar, James Kobielus, IBM's Big Data Evangelist, will discuss the potential of cognitive computing to super-power the emerging app economy. In addition to providing an overview of IBM's Watson strategy for cognitive computing, Kobielus will go in-depth on IBM's strategic partnership with Apple to draw on the strengths of each company to transform enterprise mobility through a new class of apps that leverage IBM’s Watson-based big data analytics cloud and add value to Apple's iPhone and iPad platforms in diverse industries.

1. © 2014 IBM Corporation
Cognitive Computing in the Mobile App
Economy
James Kobielus
IBM Big Data Evangelist
March 12, 2015

2. © 2014 IBM Corporation2
Smart mobility
demands access to
expert, app-centric,
data-driven guidance
everywhere you go
24x7.

3. © 2014 IBM Corporation3
Mobile Adoption Continues to Explode
1 Trillion
Connected
Devices
2013 2014 2015
5.6
Billion
Personal
Devices Sold
41% CAGR
Wearable
Wireless
Devices

4. © 2014 IBM Corporation44
Mobile App Economy: Optimizing Every Decision, Interaction,
and Transaction

5. © 2014 IBM Corporation5
Mobile Is Primary
91% of mobile users keep
their device within arms
reach 100% of the time
Insights From Mobile
Data Provide New
Opportunities
75% of mobile shoppers
take action after receiving
location based messages
Mobile Must Create A
Continuous Brand
Experience
90% of users use multiple
screens as channels come
together to create
integrated experiences Mobile Is About Transacting
Mobile commerce transactions will reach
$3.2 trillion in 2017
Mobile App Economy: Driving Business Transformation
Mobile enables the
Internet of Things
The installed base for the Internet
of Things (IoT) will grow to
approximately 212 billon devices
in 2020, a number that includes
30 billion connected devices

6. © 2014 IBM Corporation6
Mobile App Economy: Reshaping Enterprise IT
“SMALL TEAMS”
“CLOUD SCALE”
APIS & FRAMEWORKS
“THE HACKER WAY”
Different talent
requirements: small highly
skilled development teams
• Facebook-like software
development approach
• Short, frequent
incremental release cycles
ENGAGING USER EXPERIENCE
Elevated expectations for
user experience
MOBILE FIRST
Development to multiple
form factors
“DEVOPS”
Frictionless development
to operations cycle
APIs unlock data as a
platform to create new
ecosystems
Leverage cloud scale to
support millions of devices
• 20M apps installed
daily on facebook
• 50B mobile app
downloads in 2012
• + 500K US jobs in
last 3 years
APP ECONOMY
DEVOPS

7. © 2014 IBM Corporation7
Smart Mobility--Tapping Cognitive-Computing Guidance in the
Cloud--is the Foundation of this New Economy
BIG DATA &
ANALYTICS
SOCIAL BUSINESS
ENTERPRISE
MOBILITY
CLOUD COMPUTING
Always on
Always
optimized
Always engaged
Always
mobile

8. © 2014 IBM Corporation8
Cognitive computing
the ability of automated systems to:
• handle the conscious, critical, logical,
attentive, reasoning, evaluative modes of
thought
• learn from data and from interactions with
people
• adapt their behavior to these inputs without
explicit programming

9. © 2014 IBM Corporation9
Business
Applications
What could
happen?
Predictive analytics
and modeling
What action
should I take?
Decision
management
What is
happening?
Discovery and
exploration
Why did it
happen?
Reporting, analysis,
content analytics
Cognitive
processes
Thinking—aka Cognition--in Discovery, Learning, & Decision
Support

10. © 2014 IBM Corporation10
1900+ 1950+ 2010+
Data-Driven Guidance: The Cognitive Systems Era
Learning unparalleled insights algorithmically from fresh streams of big data
Hardwired
processing logic
Software-explicit
processing logic
Data-derived
processing logic
The cognitive revolution: dynamically
optimized app logic without hardwired
or explicit programming

11. © 2014 IBM Corporation11
Understands
natural language
and human style
communication
Adapts and learns
from training,
interaction, and
outcomes
Generates and
evaluates
evidence-based
hypothesis
1
2
3
Watson understands me.
Watson engages me.
Watson learns and
improves over time.
Watson helps me
discover.
Watson establishes trust.
Watson has endless
capacity for insight.
Watson operates in a
timely fashion.
The premier cognitive computing cloud

12. © 2014 IBM Corporation12
Machine Learning & Big Data: Watson’s Cognitive Foundation
Statistical algorithms for learning from data
Abstracts quantitative models from data and prior
knowledge
Enables data-driven analysis, inference, pattern recognition,
and prediction
Machine
learning
Data at Scale Data in Many Forms Data in Motion
Volume Variety Velocity
Big
data
Watson’s cognitive fabric uses
machine learning to find deep
patterns within big data

13. © 2014 IBM Corporation13
WATSON FOUNDATIONS
Decision
Management
Planning &
Forecasting
Discovery &
Exploration
Business Intelligence & Predictive Analytics
Content
Analytics
Information Integration & Governance
Data Mgmt &
Warehouse
Hadoop
System
Stream
Computing
Content
Management
WATSON FOUNDATIONS
Decision
Management
Planning &
Forecasting
Discovery &
Exploration
Business Intelligence & Predictive AnalyticsBusiness Intelligence & Predictive Analytics
Content
Analytics
Information Integration & Governance
Data Mgmt &
Warehouse
Hadoop
System
Stream
Computing
Content
Management
Discover fresh insights
• Predictive and content analytics to
uncover patterns not yet known
• Interactive exploration across all data
Operate in real time
• Real-time analytics
• Enterprise-class Hadoop
• In-memory computing for speed of
thought analytics
• Deliver real-time data/analytic-driven
guidance to mobile, social, Internet of
Things, and other applications
Establish trust so you can act with
confidence
• Transparency and context to decision-making
• Governance across complete data lifecycle
• Security, privacy, compliance
Software capabilities
that fuel the new
cognitive systems era
Watson Foundations: Cognitive Computing Across the Portfolio

14. © 2014 IBM Corporation14
Cloud
Watson Tooling: Cognitive App Development in the Bluemix Cloud
Mobile
Services
Big Data
services
Watson
Services
Security
Services
Web and
application
services
Cloud
Integration
Services
Database
services
Internet of
Things
Services
Business Users
DevOps
Services

15. © 2014 IBM Corporation15
 IBM MobileFirst Collaboration Services
 IBM MobileFirst Network Services
(Presence Zones)
 IBM MobileFirst Infrastructure Consulting
 IBM MobileFirst Application Platform
Services
 IBM MobileFirst Application Platform
Services
 IBM MobileFirst Device Procurement &
Deployment Services
 IBM MobileFirst Managed Mobility Services
 IBM Mobile Virtualization Services
 IBM MobileFirst Network Services (WLAN)
IBM Mobility Services: A Comprehensive Mobile Enablement Portfolio

16. © 2014 IBM Corporation16
Operationalize
Integrated DevOps
for Mobile
Develop
Obtain Insight
Manage
Deploy
Instrument
Integrate
Test
Scan & Certify
IBM MobileFirst Enterprise: Accelerating the Mobile App Lifecycle

17. © 2014 IBM Corporation17
IBM’s Strategic Partnership with Apple Strengthens our Mobility Portfolio

18. © 2014 IBM Corporation18
Key Elements of the IBM-Apple Partnership

19. © 2014 IBM Corporation19
1,000+
Engaged innovators
Watson
Developer
Cloud
Tools, APIs enabling
ISVs with self-service
training, development,
and testing of their
cognitive application.
500+
Subject matter experts
Watson
Talent
Hub
Providing a marketplace
for skills - linguistics,
natural language
processing, machine
learning, user
experience design, and
analytics.
100M+
Equity investment
Watson
Content
Store
Equity Fund.
Free and for-fee data,
including general
knowledge, industry-
specific content, to help
fuel Powered by
Watson apps.
Watson Ecosystem: Cognitive Enablement of Partners

20. © 2014 IBM Corporation20
INNOVATIONLEADERSHIP
IBM: A Longtime Market Leader in Mobility
SCALE

21. © 2014 IBM Corporation21
THINK.
…HowCan WeDo ItBetter?

22. © 2014 IBM Corporation22

23. © 2014 IBM Corporation23
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