M2M – a glocal business!

June 29, 2013

Parking in NiceWhat more does it take to make M2M aka Internet of Things – everything or some things – happen big way? Let’s revisit the key components again. Data is the gold of M2M and the winners will be those who best utilize the data captured. Integration of data in existing business systems and processes is key to maximizing the value. Distribution of information through relevant channels and to terminals of users choice, using open api’s and gorgeous human-machine interaction is required for the applications to be used. Generic Device Control platforms on top of service providers networks together with Specialist Service Enablers are required to make it affordable to develop and maintain applications for clients of all types. The winners in Service Enablement will be the ones who understand the data they are dealing with and due to the huge amounts of industries and functions to be served Service Enablement will be a very fragmented part of our industry.

I see most of this happening now and our industry is definitely developing fast. We are in the teenage stage already with clients moving from thinking and talking to doing. From Powerpoint to pilots. There is absolutely no better way to understand what happens if one connects things than actually connecting some things to play around with. And there is no better way to go for that than to contact a Specialist Service Enabler who has most things ready. Connecting things and collecting the data in the cloud was good enough 1-2 years ago when technology was the key challenge. But today the challenges are mainly business centric why understanding the context of the data is key to succeed. This is why Specialist Service Enablers is the right choice when it is time for a pilot or proof of concept project.

But there is one major thing missing: Internet is global, ICT is a global business and Internet of Things will have to be global as well to prosper. Vendors and operators are working quite hard to make this happen which is great but it will take long time and they can’t make it themselves. Most organizations in the world are small to medium-sized and the software they use are mostly local or localized. Law, policies, culture, language, taxonomy, habits, taxation, religion, alphabet and friendship are examples of things that make people use local software. And it will continue to be like this for many many years. Since the data captured in M2M solutions should end up in business applications, maybe blended with data from public or commercial sources, we need what I call a glocal value chain. The global component is needed to drive economies of scale and enable international business etc. The local part is there to cope with the local requirements, to ensure proper integration in business systems and to engage integrators, consultants and developers locally bringing their clients with them.

Glocal value chains are always difficult to make work. But in our case, whatever we call our industry, I find it quite straight forward. The global part consists of operators (like Telenor Connexion) and their alliances (like GMA), Telecommunication vendors (like Ericsson and Telit) and international ICT vendors (like Cisco, SAP and Oracle who all have started to move now). Ever since Ericsson’s 50 Billion Devices statement this inside-out effort has been coming along quite well. The local part, i.e. developers, integrators, resellers and consultants, has in most parts not got going yet and therefore the small to medium businesses in general are in waiting mode or not even aware. Specialist Service Enablers constitute the missing link. Due to missing operator device connectivity services they have had to learn to deal with the connectivity layer directly. And the services they provide to customers in the industry they target is to a large degree useful across boarders. To me it’s clear: operator networks with device connectivity services together with Specialist Service Enablers interfacing to local developers and integrators is the way forward. The challenges are primarily commercial and practical, not technical. I am working with members of Swedish M2M Service Enablers in several projects along those lines and it looks very promising.


Specialist M2M Service Enablers make it happen!

June 15, 2013

SMSE-logoAn M2M Industry in its teens is a reality. Decision makers are beginning to looking into threats and opportunities with M2M / IoT, and especially product owners are moving to real-life trials and action. I have still to come across a trial which didn’t bring unexpected results and insight! Therefore I keep on arguing that people should leave Excel and Powerpoint behind for a while, and make a trial. Just connect five-ten devices and see what comes out. My favorite example is Springworks who always work very thoroughly and connected their boss’ car and made it tweet to the employees.

If trials and action is the right approach at this stage of M2M, then the value of Service Enablement is even more obvious. If you can find yourself a company who already have built the basics of what you need (i.e. the connectivity part, a cloud based context-aware data service and distribution capabilities through apps, web and maybe other interfaces), who understand your application and are willing to help you getting going fast – just do it! For little money and effort you will get fantastic data in almost no time.

This is why I established Swedish M2M Service Enablers (SMSE) in March 2012. Our objectives are educating the market, promote Sweden as a good place to look for M2M Service Enablement and to promote the alliance members. As of yesterday we added two new members – Fridat and Vinnter – and now we are 12 members and 5 sponsors including TeliaSonera, Telenor Connexion, Tele2 and Net1.

Now when decision makers and product owners want to start doing things the M2M industry runs the risk of loosing them since it is very hard to know where to go to get help. Their existing IT and technology partners will not be able to help and quick small trials are not really what the operators and the consulting firms are keen on. This is where the specialized M2M Service Enablers come in. They will help the industry picking up the interest and turn it into small affordable good enough quality trials. We have presented this pitch at events, meetings and in articles internationally over the last 15 months and we sense momentum building up. Service Enablers from other countries want to join us (and we work with some informally) and we are increasingly asked to come for events and customer meetings, even bilateral efforts.

Swedish M2M Service Enablers (SMSE) is an informal small alliance of companies sharing the desire to be part of building the connected society, Internet of Things, Internet of Everything or whatever we want to call it.  They all work really hard in a tough immature market and their creativity and determination to make it happen is fantastic. And there are similar fighters around the world of equal importance to the success of the industry. In my mind they are the key to a successful Internet of Things and I would welcome any initiative that would make life easier for them. Our next big effort is on Tuesday when we run M2M For Real™  2013 in Stockholm, sharing eleven inspiring real-life M2M-cases with a large number of decision makers. Please keep your ideas, proposals and invitations coming!


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