Partnership is on everyone’s lips

February 28, 2014

bildYet another humongous Mobile World Congress is over. Almost 90.000 people from around the globe have spent a couple of days together in Barcelona with decent weather, amazingly good organization and an interesting mix of cava, business cards, pickpockets, technology and rock’n roll. This year was very much about improvement and evolution and little news and revolution. That is both serious and good but unfortunately less exciting and makes a show like this a little sleepy. Beyond a couple of quite expected things like Mozilla’s 25$ smart phone and that Nokia goes Android you mainly heard words like security, virtualization, big data, robustness and improved BSS/OSS at the show. From a helicopter perspective I believe it is a slow process of marrying IT and Telecommunications that we are looking at.

And then, of course, M2M and Internet of Things. It’s on everybody’s lips now, and it’s mainly questions. Ranging from companies considering to enter the market and wonder where to start to people already there trying to figure out where to go next. And my previous conclusion that we have left the connectivity phase behind and focus on the data and use of it was more clear than ever. I heard reference to the 50B devices three times during the entire event to be compared with hundreds of times a year ago.

I was there with a common stand in the Swedish Pavilion with nine of the 21 members of the Swedish M2M Service Enablers alliance: Kombridge, Springworks, Maingate, Possio, WSI, Fym, Evothings, Info24 and WBIRD. And I was amazed to see the interest in talking to experienced specialized m2m service enabler companies with solid solutions in use by real customers. From across the world we had operators, potential customers, vendors, analysts, regulators, consultants, investors and governments visiting us. We counted collectively to over 300 meetings with reasonable business potential after day three of the event. We also got the opportunity to explain to our Swedish Minister of ICT and Energy, Anna-Karin Hatt, that we are working hard together in SMSE to make Sweden the obvious country to go to for leading edge skills and knowledge in M2M aka Internet of Things. 

So what’s the state of the nation? Most players have understood that data is the gold of M2M, that the value of M2M is realized when the information is properly distributed to decision-making systems, business process applications, etc. and that a proper M2M solution consist of three different components: connected devices and sensors, collection and blending of data most often in the cloud and distribution of the information to apps, ERP systems, etc. The challenge is that each of these three components is a competitive industry by itself and each M2M solution must include all three to deliver the value. This is obviously not possible to solve without well working partnerships. The transition from quite ok complete generic proprietary M2M solutions to excellent M2M solutions for an industry or more often a specific organization is similar to what the IT industry went though over some 20 years starting from IBM providing everything from Nobel prize research and silicon to post service and financing. Our transition will be brutally fast and enable the fully international and layered Internet of Things industry needed for the real take-off. Companies perceived as providers of generic products or services with no edge will fade away in this process and simply just not be seen. This is why operators and vendors talk partnership now. It is needed but very difficult. To set up a well designed and attractive partner program is not rocket science but a lot of work. But making people work well together goes far beyond that. It is little about technology and a lot about trust, way of working, culture, business models and not the least “similar children play best” as we say in Sweden. And entrepreneurs are stressed people who have little to no patience with things that don’t contribute to their business. Partnerships are also initiated by government bodies and research organizations and a new LinkedIn group on IoT or M2M is established at least weekly.

It will be really interesting to follow how this will develop. In my mind this is mostly a commercial issue why any working partnership will have to be driven by people closest to the customers, who understand the context of the data and application the customers are looking for. Progress and success will only come when people start doing thing also in this field. Nobody, not even McKinzey or Accenture, designed the value chains, the standards or the API:s when we connected people and organizations to the Internet. It was created by people trying things and finding ways that customers liked. This is how the Internet of Things will be established as well. And this is the thinking behind our Swedish M2M Service Enablers Alliance. Avanti!


Did NFC lose it now?

September 13, 2013
EstimoteI was chairing Short Range Wireless Forum in Amsterdam 2006 and NFC was the hot topic of the day since Nokia announced the first NFC phone the day before. But the combination of its limitations and the fact that only some vendors decided to implement NCF seriously made it yet another promising technology that never took off. These days Apple is introducing iPhone 5C / 5S and iOS7. This launch is as always followed and debated by a lot of people but still very few seem to have captured iBeacon. I believe that is yet a significant enabler by Apple which rapidly will become an important building block for Internet of Things applications and could make NFC redundant.Imagine entering into an indoor location like a University Campus. Your iPhone connects to iBeacon automatically over Bluetooth and depending on who you are it will provide you with directions where to go for the next class, it will take you to the canteen and take care of the payment leaving you with a receipt. One build wireless coverage in a location quite cheaply. Lets move to a department store, shopping mall or train station and the use cases are easy to see.A beacon, or mote, is like a lighthouse for radio transmission. Estimote is s startup providing beacons supporting iBeacon. The beacons are a couple of centimeters big and include an ARM processor, accelerometer, flash memory and Bluetooth connectivity. A beacon could cover up to 50 m radius and have battery life time of around 24 months. Estimotes developer kits give you three beacons for 99$ which gives us an idea of price points.iBeacon leverage Bluetooth 4.0 (also called Bluetooth Low Energy BLE or Bluetooth Smart) which was approved in July 2010 and is told to be a stable platform to develop solutions on. With over 19.000 companies as members in Bluetooth SIG and over 2.5 Billion products shipped Bluetooth is a well supported technology across industries. I believe developers will love this technology and application enabler why pick-up will happen quickly and massively. When we look back at these announcements a couple of years from now I think we will conclude that Bluetooth 4 was the real breakthrough for Bluetooth, iBeacon enabled a new generation of apps and NFC didn’t make it.Exciting times!

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