Presentation in an event in Athens

1. Consulting
Accelerating
the
adoption
of
Internet of Things
“Where lies the future of IoT?”

2. Consulting
Accelerating
the
adoption
of
Internet of Things
Origen, hype and ¿disillusion? of IoT

3. Consulting
Accelerating
the
adoption
of
Internet of Things
Almost nobody doubts that the opportunity
in IoT will be huge
Human
$170B – $1.6T
Home
$170B – $1.6T
Retail
$410B – $1.2T
Offices
$70B – $150B
Factories
$1.2T – $3.7T
Worksites
$160B – $930B
Vehicles
$210B – $740B
Cities
$930B – $1.7T
Outside
$560B – $850B
…$3.9 trillion
– $11.1 trillion
per year in
2025
Major applications
Health and fitness (monitor and manage illness);
improve productivity / performance in the
workplace
Energy management, safety and security, chore
automation, usage-based design of appliances
Automated checkout, layout optimization, smart
CRM, in-store personalized promotions,
inventory shrinkage prevention
Organizational redesign and worker monitoring,
augmented reality for training, energy monitoring,
building security
Operations optimization, predictive maintenance,
inventory optimization, health and safety
Operations optimization, equipment
maintenance, health and safety, IoT enabled
R&D
Condition-based maintenance, reduced
insurance
Public safety and health, traffic control, resource
management
Logistics routing, autonomous cars and trucks,
navigation
(1) McKinsey Global Institute: “The internet of things: Mapping the
value beyond the hype” June 2015
(1) McKinsey Global Institute: “The internet of things: Mapping the value beyond the hype” June 2015

4. Consulting
Accelerating
the
adoption
of
Internet of Things
But most of the companies are asking us,
Where is the money in IoT?
Source: Arthur D Little
High Volume,
Low Margins,
Premium revenue
High Volume,
Mid-High Margins,
Data-volume revenue
High Volume,
High Margins,
Recurring revenue
Low-Mid Volume,
Mid-High Margins,
Recurring revenue
Smart
Module
Smart
Objects
Network
Connectivity
Service
Provider
Service
Enablement
System
Integration
Share Of Total Value
5 - 10% 10 - 20%15 - 20%30 - 40%10 - 20%
• Sensor
• Peripherals
• Actuator
• Controller
• Appliance
• Trucks
• Store
• Factories
• Connectivity
• M2M Data Plans
• Platforms
• Aggregation
• Analytics
• Apps
• Solution
build-up
• OT/IT
• Interfaces
• Service
provisioning
• Billing
• Consultancy
Low Volume,
Mid-High Margins,
Project revenue
Mid-High Volume,
Mid Margins,
Premium revenue
5 - 10 %
• New
MVNO’s
Business investment will grow
from $215 billion to $832
billion versus consumers at
$72 billion in 2015 to $236
billion in 2020.
$6 trillion will be spent on IoT
solutions between 2015 and 2020
(compounded).
Source: BI Intelligence, THE INTERNET OF THINGS 2015: Examining How The IoT Will Affect The World, November 2015

5. Consulting
Accelerating
the
adoption
of
Internet of Things
Is the in Industrial IoT or Consumer IoT?

6. Consulting
Accelerating
the
adoption
of
Internet of Things
For most analysts the money in IoT is in
Industrial IoT

7. Consulting
Accelerating
the
adoption
of
Internet of Things
However, there are technological
challenges

8. Consulting
Accelerating
the
adoption
of
Internet of Things
And ecosystem and alliances challenges

9. Consulting
Accelerating
the
adoption
of
Internet of Things
Industries collaboration is necessary to
realise the potential of IoT
• Capture more data from
devices and users to
improve usability and
engineering
• Delivering new capabilities
and services
• Predictive maintenance to
maximize
device/equipment
efficiency
Manufacturing Healthcare
• Hospitals testing “smart
beds” to connected
electrocardiograms
• Connected patient
badge
• Improve the lives of
patients
• Enable new insurance
plans
• Assign score to
customer behaviour
• Eliminate fraud
Insurance

10. Consulting
Accelerating
the
adoption
of
Internet of Things
Companies are moving from product-based offerings
to service-based offerings by building platforms,
expanding revenues and building stickiness
Source: PwC

11. Consulting
Accelerating
the
adoption
of
Internet of Things
The future lies in “The Internet of Things as Platform”
Source: http://sloanreview.mit.edu/article/platform-strategy-and-the-internet-of-things/

12. Consulting
Accelerating
the
adoption
of
Internet of Things
Thank you!
Questions?
CONTACT:
FRANCISCO MAROTO
CEO OIES Consulting
info@oies.es
@fmarotob