Watson IoT Platform Sizing & Pricing - Sept 2016

1. Watson IoT Platform
Sizing & Pricing

2. What is Internet of Thing?
IoT digitizes the physical world in real time 2

3. What is an IoT platform?
IBM Watson IoT Platform
01
0110
0010
001001
Sensors, devices and
3rd-party sensor/device networks
An IoT platform integrates
sensors, devices, their
data, and other contextual
data sources…
Analytics & Applications
...into business solutions,
allowing them to gain
business insight from that
combined data
Other
data sources
& 3rd-party
IoT platforms
Weather Mapping
&
Geofencing
%
Industry
specific
data
services
Industry Transformation
Solutions
3

4. Who needs/uses an IoT platform?
4
Manufacturers/servicers of products
• "I need a lifecycle connection to my products and my
customers in the field"
• "I need real-time runtime product performance data to feed
back into my engineering processes”
Clients looking to enhance existing IT capabilities
with devices and sensors
Application/Solution developers who want to add
devices to their solutions (SI’s, BP’s)
Maximo/Tririga customers (owners/operators) who
need real-time capabilties
• "I need real-time conference room status in TRIRIGA"
• "I need real-time insight into asset health in Maximo"
4
“I have no insight into my manufactured
products once they leave my factory floor. I
have no connection to the customers that use
my products nor the ability to influence their
experience and brand perception throughout
the lifecycle of my products. These are huge
business problems for me.”
“I develop Emergency Response systems for
999 call handling. I want to sensor-enable
emergency responders in my solution without
having to redesign it from the ground up.
Manufacturer
Solution Developer

5. Enterprise-ready
components to
connect, secure,
provide data insight,
assemble and
manage IoT
Applications
How is IBM Watson IoT Platform different?
• Device neutral – IBM does not
compete with its sensor, gateway,
network, and processor partners
• Built on open standards
• Data neutral – IBM’s business
model does not depend on owning
its customer’s data
• Privacy protection and access
control
• Platform of Platforms – IBM is
committed to integrating with other
leading platforms so customers are
not forced to chose proprietary tech
stacks
• IoT specific security – security
micro-services built specifically for
IoT-based solutions
Most Trusted IoT Platform
• Watson-inside – machine
learning and cognitive
• Industry models – deep,
industry-specific analytics
models
• Third party data sources –
leading the industry at
partnering with outside data
providers (e.g. Weather
Company)
• Industry Integrations – easily
push and pull data from leading
industry solutions, both IBM’s
and its partners’
Industry Leading Analytics
• Global data centers – 40+ data
centers across the globe
• Low latency and high
throughput at enterprise scale
• Hybrid delivery form factors...
public cloud, dedicated cloud,
on premise
• Bluemix and Softlayer – built to
work on IBM’s core cloud
offerings but also deliver the
transactional scale required by
the new world of IoT
Unmatched Scale and Scope
5
The Weather Company – include in Shadow PID
IoT Platform integrated with Blockchain available in beta

6. IBM Watson IoT Platform Pricing

7. Our freemium “free tier” will remain at:
• 20 active devices
• 100MB data traffic
• 1GB free storage
• And a maximum of 10 application bindings
• 25MB analyzed (RTI)
And will run in perpetuity
IBM Watson IoT Platform- Freemium/free tier
7

8. Key Questions
• IoT Platform Offering – is it Public, Dedicated and/or Local?
• Number of connections (for Dedicated and Local)
• Megabytes processed
• Gigabytes stored
• Target price estimate $$$$
IBM Watson IoT Platform – Getting started
IoT Platform Public IoT Platform Dedicated IoT Platform Local
8
8

9. 9
Tier Max MB Exchange/Month
New Price/MB
Effective 01SEPT2016
Current Price/MB
The first 100 MB / month is always free $0 $0
Low 100 MB to 450,000 MB (~450 GB) $0.00100 $0.01
Medium
450,000 MB (~450 GB) to 7,000,000 MB
(~7 TB)
$0.00070 $0.01
High Above 7,000,000 MB (~7 TB) $0.00014 $0.01
IBM Watson IoT Public – PRICE CHANGE
RTI @$0.02/MB/Month
RTI at Edge $0.05/MB/Month
Data Storage $1.00/GB/Month

10. IBM Watson IoT Platform Dedicated/Local - Prerequisite
BlueMix DEDICATED
Single Tenant
SoftLayer Infrastructure
$One time Activation Fee
Admin Console Access
Choice of 44 Locations
BlueMix LOCAL
Single Tenant
Customer’s Infrastructure
One time Activation Fee
Admin Console Access
Fully managed via Relay
$22,000 /monthly
64GB of Compute 64GB of Compute
$22,000 /monthlyKey prerequisites
• An IBM Bluemix (Public, Dedicated or
Local) environment
• Bluemix Dedicated and Local require
on-time setup charge
• Part numbers:
• BlueMix Dedicated
BlueMix Local
10
Monthly Commit (US$) Discount %
30,000 – 49,999 30%
50,000 – 74,999 35%
75,000+ 40%

11. IBM Watson IoT Platform Dedicated - example
Number of devices 150,000
Data size per month all dev 1.00 TB
Data Storage 1.00 TB
Bill of Material
BlueMix
BlueMix Public $500
BlueMix Dedicated One Time Setup $50,000
BlueMix Dedicated $22,000
IoT Platform
IoT Platform Dedicate $30,000
IoT Platform Dedicated Overage $5,000
Storage
Cloudant DbaaS Dedicated 1.6TB $8,100
Cloudant Dedicated SLA (Qty 0) $0.00
Number of devices 100,000
Data size per month all dev 2.00 TB
Data Storage 1.00 TB
Bill of Material
BlueMix
BlueMix Public $500
BlueMix Dedicated One Time Setup $50,000
BlueMix Dedicated $22,000
IoT Platform
IoT Platform Dedicate $30,000
IoT Platform Dedicated Overage $5,000
Storage
Cloudant DbaaS Dedicated 1.6TB $8,100
Cloudant Dedicated SLA (Qty 0) $0.00
11

12. IBM Watson IoT Platform Local - example
Number of devices 150,000
Data size per month all dev 1.00 TB
Data Storage 1.00 TB
Bill of Material
BlueMix
BlueMix Public $500
BlueMix Local One Time Setup $50,000
BlueMix Local $22,000
IoT Platform
IoT Platform Local One Time Setup $50,000
IoT Platform Local $30,000
IoT Platform Local Overage $5,000
Storage
Cloudant DB**
Virtual Server (PPA) $46,400
$0.00
Number of devices 100,000
Data size per month all dev 2.00 TB
Data Storage 1.00 TB
Bill of Material
BlueMix
BlueMix Public $500
BlueMix Local One Time Setup $50,000
BlueMix Local $22,000
IoT Platform
IoT Platform Local One Time Setup $50,000
IoT Platform Local $30,000
IoT Platform Local Overage $5,000
Storage
Cloudant DB**
Virtual Server (PPA) $46,400
$0.00
12

13. 13
IBM Watson IoT - Simple, Flexible and Scalable Financing
IBM Global Financing Offerings Client Benefits
12 months at 0% on IBM Watson IoT solutions
Turn upfront outlays into affordable payments with 12 months at 0% for
deals from $5k to $1M
Stand-alone IBM Software Extended Payment Plan Spreads out payments and lessens the upfront costs
Loans for IBM solutions and services
Competitive loans and payment plans can help clients get started right
away
Turn upfront outlays of acquiring IoT solutions into affordable payments12-36 month low-rate financing on upfront payments
A customized, all inclusive financial package simplifies the funding of a
complex projectIBM Project FinancingTM
Predictable payments help
match costs to expected
benefits, and reduce upfront
payments
Preserve client’s cash and
credit lines for other business
priorities
Comprehensive loans and
leases for IBM, BP & 3rd party
software, hardware, services

14. 14
Thank You