1. Future Cities 2014, Oporto
Craig Aldridge – GSMA Smart Cities
CONFIDENTIAL
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2. About the GSMA
The GSMA represents the interests of mobile operators
worldwide. Spanning more than 220 countries, the GSMA unites nearly
800 of the world’s mobile operators, as well as more than 230 companies
in the broader mobile ecosystem.
© GSMA 2012

3. Connected Living 2013/14
To create a world where everything intelligently connects via wireless
networks, delivering rich services to businesses and consumers in every
aspect of their lives
Mission: To accelerate the development and adoption of operator led scalable
and interoperable mobile solutions in Healthcare, Automotive, Education,
Utilities and Smart Cities
© GSMA 2013
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4. GSMA Smart Cities programme overview
The Smart Cities Demonstrator project aims to accelerate the use of mobile-based solutions for
smart city initiatives globally.
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© GSMA 2013
Focus is to promote and support the deployment of mobile based Smart City solutions for such
vertical sectors as transport and energy, as well as the Connected Living vertical markets -- mEducation,
mHealth and mAutomotive
The Smart Cities project has extended its work from supporting the Mobile World Capital in Barcelona
in 2012/13 to also supporting other cities globally, namely Shanghai and Dubai
The project has completed development of the Mobile Smart Cities
Index which will measure, quantify and evaluate the impact of ICT –
mobile solutions on smart cities, their economies, businesses and
citizens

5. The Connected Life by 2020
2020
26 Billion
Total Addressable Opportunity For
Mobile Network Operators in 2020
Total Connected
Devices
2012
10 Billion
2020
11 Billion
Total Connected
Devices
$1.1
Mobile Connected Devices
2012
6 Billion
Trillion
Mobile Connected Devices
2020 Addressable opportunity for MNO’s in selected vertical
sectors
Health
Automotive
Smart Cities*
$24 Billion
$196 Billion
$109 Billion
Consumer electronics (exc.
Handsets, PC’s/Laptops & Tablets)
$46 Billion
PC’s/Laptops
Latin America
$85 Billion
Asia
Pacific
$428
Billion
Handsets/Tablets
$ 351 Billion
Europe
$287 Billion
Middle East
Africa
$69 Billion
Other M2M
$70 Billion
North
America
$263 Billion
$ 336 Billion
*GSMA definition of Smart Cities
© GSMA 2013
Source: Machina Research January 2014

6. 427 Operators across 175 countries offer M2M with 190
million M2M mobile connections in 2012
Russia – 4.7m
W. Europe – 39m
China – 36.0m
USA – 33.7m
Korea – 3.9m
Brazil – 6.8m
M2M commercially available
South Africa – 4.7m
Source: GSMA Intelligence & Machina Research
CONFIDENTIAL
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7. Connected Applications – Now and the Future
Cellular Connections (m)
2012
2020
Sector
Application Examples
Connected Car
Manufacturer Data,
Infotainment and Apps,
Navigation, Vehicle Platform
45.3
505
Smart Meters
Automated meter readings
20.9
308
Security and
Tracking
Automobile tracking, Personal
tracking (children, elderly,
pets etc.)
45.1
276
Pay as you Drive
Insurance
Flexible time, usage,
behaviour models in car
insurance
8.7
141.6
Healthcare
Assisted Living, Worried Well
Monitoring, Remote
Monitoring
2.9
85.9
Based on Machina Research data – Nov 2013
CONFIDENTIAL
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8. Where will value come from for an operator?
Value Chain
Physical/ hardware layer
1
1
Core
infrastruct
ure
1
Sensors,
sensing
equipment
EDF,
London
Transport
Communication layer
Bosch , Free
scale, Texas
Instruments
2
2
Application layer
3
M2M
modules/
Data
Transmissi
on
M2M
Platform/
Device Mgt
Cisco,
Siemens
Vodafone,
AT&T
Telefonica
Vodafone,
AT&T
BT
3
3
Data/ Big
Data
Storage
Amazon,
EMC
Applicatio
n platform
Analytics
SAP, IBM,
Accenture
musigma
CognizantT
CS
OLA Cabs
Sample business model 1 : GM Onstar
LG
GM
Telefonica
GM
Sample business model 2 : Bosch Industry 4.0 Pilot
Bosch
Siemens
Vodafone
Sample business model 3 : ATT Digital Life
AT&T
Home
8
CONFIDENTIAL
Bosch

9. Thinking as a services increases the value
Value increases as operators move further
up the value chain
Before : Basic Services
Increased operator
role and revenue
opportunity
Platform
& Content
Services
Network
Services &
Managed
Connectivity
Data
Connectivity
(network
provisioning,
data transport)
CONFIDENTIAL
(network APIs,
billing,
monitoring,
CRM)
As shown with Korea Telecom’s taxi fleet
management solution
(service
provision and
management,
user portals,
content, apps,
search &
delivery,
management
reporting)
• Providing basic taxi
tracking location
services
• $5 per month per taxi
• 2 year contract
After : Platform Provider
• Providing software
platform and call centre
as a package with the taxi
tracking.
• $50 per month per taxi
• 5 year contract
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10. Barriers to market development
Barriers to realising the opportunity
Devices
Mass market hardware – lower cost wireless modules
Systems
Promote interoperability and common standards at critical
junctions to enable scale and plug-and-play experience
Regulation
Development of Telecoms and Adjacent industry
regulation that encourages growth
Partnerships
Effective industry partnerships to enable complete service
delivery
Establishment of
Business models
Disconnected Life
CONFIDENTIAL
Development of new business models to incentivise the
whole value chain
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11. 11
CONFIDENTIAL

12. GSMA Connected Living - Smart Cities
http://www.gsma.com/connectedliving/smart-cities
© GSM Association 2013