1
Flash Insight: Which frameworks can dominate the Smart
Home Market?
July 2016
2
Market Forces – Overview
To succeed in the fast growing and maturing market, smart home providers define
their contribut...
3
In a growing smart home market product manufactures face a jungle of evolving
technologies, which can be divided into th...
4
Smart home provider have to define a make or buy strategy and to choose between
different building blocks to support the...
5
Frameworks have a stronger strategic impact for smart home providers than
communication standards and ecosystems.
Strate...
6
The components of a smart home system provide the distributed functionality and
communicate using different media and pr...
7
The frameworks have different targets; some support the whole customer-to-
customer process, others concentrate on speci...
8
To analyze frameworks, they can be categorized by different kinds of deliverables
for the customer-to-customer process t...
9
Among the full stack providers, Homekit and Brillo/Weave have the highest number
of deliverables.
Number of Deliverables...
10
The HomeKit framework places emphasis on the support of the client; the support
of the communication and devices is res...
11
The providers of selective frameworks start from their core competencies and rely
on partners to support the whole proc...
12
The AllJoyn framework provides a flexible support in form of standards and
software, covering almost all areas from the...
13
Frameworks focus on software for gateways, clients and backend functionalities
provided as SaaS.
Number of Frameworks P...
14
Frameworks are essential for new providers of smart home systems; service
providers should be flexible in regard to the...
15
Frameworks will be increasingly important for smart home providers in the smart
home market.
Key Take-Aways
1
Framework...
16
Christian John
Senior Expert at Mücke, Sturm & Company
Contact details:
c.john@muecke-sturm.de
+49 151 58243362
More ab...
17
Copyright and Sources
This document is intended for personal use only.
Distribution is only permitted without any chang...
Nächste SlideShare
Wird geladen in …5
×

Flash Insight: Which frameworks can dominate the Smart Home Market?

504 Aufrufe

Veröffentlicht am

Smart Home product manufacturers can use different strategies to decrease time to market and development costs. Different frameworks can be used to reach these targets. We have compared major frameworks for different technical and strategic properties.

Veröffentlicht in: Business
  • Als Erste(r) kommentieren

Flash Insight: Which frameworks can dominate the Smart Home Market?

  1. 1. 1 Flash Insight: Which frameworks can dominate the Smart Home Market? July 2016
  2. 2. 2 Market Forces – Overview To succeed in the fast growing and maturing market, smart home providers define their contribution based on functional, commercial, and technical success factors. Smart Home Market The market in its current condition and development Suppliers Suppliers for frame- works, communication standards, ecosystems Products Platforms, devices and services on the market Technologies Technological trends with relevance to the market Customers Focus on customer segments and their needs Functional Success Factors:  Solve an existing problem and support appealing use cases  Provide unique selling proposition  Provide usability  Integrate a wide range of other devices and services Commercial Success Factors:  Minimize end customer costs  Minimize time to market Technological Success Factors:  Definition of make or buy split based on core competences  Selection of one or several complementing open standards Flash Insight Smart Home Frameworks | July 2016
  3. 3. 3 In a growing smart home market product manufactures face a jungle of evolving technologies, which can be divided into three building blocks. Three Building Blocks of Smart Home Technologies BenefitMajorplayers Weave HaLow 6LoWPAN Open Communication Standard2  Enable the communication between local gateway and the end devices (actuators, sensors, and switches  Overcome one of the major impediment for smart home Standard for the exchange of data between devices in the home Defi- nition Powered by Product with ecosystem1  Facilitates market entrance on the base of a running system  Benefit from sales channels and integration provided by ecosystems Running product with integration possibilities or white label options Brillo/Weave Amazon IoTSmart-Home Framework1  Decrease time-2-market by re-using the software of the framework,,  Participate in further developments of framework and of innovations with limited effort Software that can be used to develop own products 1) List contains major providers, but is not necessarily complete 2) Proprietary communication protocols like Homatic-IP or Insteon not listed Flash Insight Smart Home Frameworks | July 2016
  4. 4. 4 Smart home provider have to define a make or buy strategy and to choose between different building blocks to support the development of their products and services. Options Smart home provider Framework Framework Framework Framework Framework Open communication standard Open communication standard Open communication standard Open communication standard Open communication standard Product with ecosystem Product with ecosystem Product with ecosystem Product with ecosystem Product with ecosystem Functional USP Functional USP Functional USP Functional USP Functional USP Development of all components by the manufacturer Result: faster development, functional integration possible, communication integration impossible Communication integration possible, no functional integration Integration possible, fast implementation Communication integration depends on ecosystem, easily addressable customers High effort, not advisable Not advisable due to integration limitations Possible option for device providers Option for all market participants Option for device and service providers Building blocks Developed by product manufacturer Used by product manufacturer Indirectly used by product manufacturer Flash Insight Smart Home Frameworks | July 2016
  5. 5. 5 Frameworks have a stronger strategic impact for smart home providers than communication standards and ecosystems. Strategic ComparisonDegreeofpossibleinfluenceforthe smarthomeproviders Functional Coverage high low low high Communication Standards Frameworks Products with ecosystems  Communication Standards: Enabler for market success but limited impact  Frameworks Maximal impact due to functional range and influence smart home providers  Products with ecosystems Limited freedom to define market-changing products Flash Insight Smart Home Frameworks | July 2016
  6. 6. 6 The components of a smart home system provide the distributed functionality and communicate using different media and protocols. Smart Home System Components Client: Access point for end user  Configuration  Control  UI  Manual management Cellular communication Smart Home Devices: Actuators, Sensors, Switches  Measurement, sensing  Execution of actions  Limited logic Cloud: Remote Intelligence  Smart logic, automated actions  Normed semantics  Authentication, authorization  Remote access  System management Gateway: Enabler of local communication  Physical connection to end devices  Smart logic, automated actions  Normed semantics Communication within HAN1  Physical to application layers  Semantics OnsiteRemote 1) HAN: Home Area NetworkFlash Insight Smart Home Frameworks | July 2016
  7. 7. 7 The frameworks have different targets; some support the whole customer-to- customer process, others concentrate on specific process steps. Frameworks: Analysis Overview Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Full-stack provider Selective provider Flash Insight Smart Home Frameworks | July 2016
  8. 8. 8 To analyze frameworks, they can be categorized by different kinds of deliverables for the customer-to-customer process that needs to be supported. Framework deliverables Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Deliverables integrated development environment (IDE) or IDE pluginsIDE e.g. client modules, libraries for gateways and sensors/actuatorsSoftware environment that can execute my code for clients, gateway or cloud Runtime Environment software as a service, e.g. cloud, database etc.SaaS hardware e. g. smartphones, gateways, …Hardware Documentation e. g. hardware specification, communication specification, object specification, device and function abstraction Standards Flash Insight Smart Home Frameworks | July 2016
  9. 9. 9 Among the full stack providers, Homekit and Brillo/Weave have the highest number of deliverables. Number of Deliverables per Process and Framework Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Example: Qivicon provides 2 of 6 possible deliverables1) for gateways The 6 core deliverables of the frameworks are: 1. standards, 2. software, 3. run time environment, 4. SaaS, 5. hardware, 6. integrated development environment. Note: A high number of deliverables means  higher support  reduced flexibility for smart home providers. The optimal number of deliverables depends on the positioning of the smart home provider Flash Insight Smart Home Frameworks | July 2016
  10. 10. 10 The HomeKit framework places emphasis on the support of the client; the support of the communication and devices is restricted to documentation and software. Detail Analysis: HomeKit Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Deliverables IDE Software Runtime Environment SaaS Hardware Standards Documentation of API HomeKit framework within iOS iOS on iPhone, iPad, App.-Store iPhone, iPad, Apple Watch, … XCode, HomeKit Acc. Simulator Common Data Base for each Home iPhone, iPad, Apple TV 3rd. Gen Technical Documentation Documentation for MFi1 devices HomeKit Framework 1) MFi Made for iPhone/iPad/iPodFlash Insight Smart Home Frameworks | July 2016 - - - - - - - - - - - - - -- - - - - -
  11. 11. 11 The providers of selective frameworks start from their core competencies and rely on partners to support the whole process chain. Number of Deliverables per Process and Framework Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components The 6 core deliverables of the frameworks are: 1. standards, 2. software, 3. run time environment, 4. SaaS, 5. hardware, 6. integrated development environment.Flash Insight Smart Home Frameworks | July 2016
  12. 12. 12 The AllJoyn framework provides a flexible support in form of standards and software, covering almost all areas from the client to the device. Detail Analysis: AllJoyn Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Deliverables IDE Software Runtime Environment SaaS Hardware Standards Documentation of API Connection of clients with AllJoyn Network AllJoyn Thin Core Library Documentation of API AllJoyn Router Library Documentation of Std.-Library AllJoyn comm. Bus Documentation of AllJoyn Bus Flash Insight Smart Home Frameworks | July 2016 - - - - - - - - - - - - - - - - - - - - - -
  13. 13. 13 Frameworks focus on software for gateways, clients and backend functionalities provided as SaaS. Number of Frameworks Providing Deliverables for each Process Step Smart Home Devices CommunicationCloud GatewayClient Smart Home System Components Deliverables IDE Software Runtime Environment SaaS Hardware Standards Decision matrix for smart home providers:  Which deliverables can be procured from different frameworks?  Which limit the choice of framework if they not developed? Example: 2 frameworks provide a runtime environment for gateways Flash Insight Smart Home Frameworks | July 2016
  14. 14. 14 Frameworks are essential for new providers of smart home systems; service providers should be flexible in regard to the supported frameworks. Recommendations for Market Players Implications Recommend- ation for action Usage of frameworks reduces time to market and development costs Selection of suitable framework depends on:  Requirements derived from make/buy split, core competences, integration requirements  Capabilities of frameworks: supported communication standards in HAN, cloud services, openness of framework  Support capacities, e.g. developer community Smart Home Services Providers New business opportunities for service providers:  Growing market  Innovative new products and ecosystems Services and data will be basis of many business models. Frameworks allow smart home services (insurance, shopping support) Frameworks can be enhanced by added value services (installation, customer support) Use framework from the start; migration is expensive and takes a long time Contribute to a open source system to bundle a joint force of developers against big players. Create USP, such as privacy by design, services, integration options Partner with framework providers to enable a complete process support Partner with companies using a common framework to reduce development effort Increase flexibility: Offer required services for a maximal range of systems supported by framework Flash Insight Smart Home Frameworks | July 2016 Providers of Actuators/Sensors, Gateways, or Ecosystems
  15. 15. 15 Frameworks will be increasingly important for smart home providers in the smart home market. Key Take-Aways 1 Frameworks have a high impact on marketing launch and profitability The selection of a suitable framework as a basis for B2C products determines to a high degree the success of the products. Therefore, frameworks have an indirect, but very high reach in the market and influence the market much more than B2C products, platforms with ecosystems, or even communication standards. The more products use frameworks, the more they will become a commodity and required for market success. 2 Frameworks are in a competitive situation The frameworks have different approaches to the market. Currently it is not clear which approach will prevail. Taking other market segments as example, it can be expected, that there will be two to three survivors. The key success factors are an open architecture and a high degree of implemented components e. g. bindings to wireless communication standards. The frameworks that enable a B2C product provider to launch innovative products with minimal time to market, will have the best chances to dominate the market. 3 New and traditional market players must react to frameworks New market players can choose from a set of frameworks. Established products therefore face an increased competition as the new players can enter the market faster and with less costs. Service providers can profit from the situation, as frameworks enable new business models due to the increased market dynamics. Flash Insight Smart Home Frameworks | July 2016
  16. 16. 16 Christian John Senior Expert at Mücke, Sturm & Company Contact details: c.john@muecke-sturm.de +49 151 58243362 More about Mücke, Sturm & Company: www.muecke-sturm.de Mücke, Sturm & Company would like to get in touch with you to support in the evaluation of the frameworks and their impact on your business. Headoffice Munich Theresienhöhe 12 80339 München T +49 89 461399 0 F +49 89 461399 777 Office Hamburg Brooktorkai 20 20457 HamburgRoland Schmitt-Hartmann Project Manager at Mücke, Sturm & Company Contact details: r.schmitt-hartmann@muecke-sturm.de +49 151 58243379 Flash Insight Smart Home Frameworks | July 2016
  17. 17. 17 Copyright and Sources This document is intended for personal use only. Distribution is only permitted without any changes or omissions – publication, in whole or in parts, requires prior written consent by MÜCKE, STURM & COMPANY and correct citation of sources. The herein published texts and graphics were used by MÜCKE, STURM & COMPANY in the context of a presentation; they themselves do not represent the presentation in its entirety. All mentioned company names, logos, brands, brand symbols and other copyrighted material are the sole properties of the respective company; they are only used for illustrative purposes. Copyright Slide #1 (Cover): Picture: www.pexels.com Sources Flash Insight Smart Home Frameworks | July 2016

×