market opportunity news flash asia 13112012
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TRANSCRIPT
Cross-Industry Innovation –
Driven by Cloud and Internet of
Things
Finpro Asia
SWDM Day
13/11/2012
Introduction
13/11/2012 2 © Finpro
What Happened until Now and What will in the Future?
[Device]
• Concept of ubiquitous computing in telecom business
and service industry has been here for a decade.
• Many application-specific-computer-resources in our
daily life are now connected via network.
• Networked computer resources are now growing
rapidly, not only linking “people-to-people”, but also
“people-to-thing” and “thing-to-thing”.
• IOT: Internet of Things has already arrived.
• Functional cluster of networked computer resources is
becoming more prominent which leads to the eventual
standardization in structures of devices.
Ubiquitous Society in Japan, AToN – All Things
on Network in Korea, Internet of Things in
China.
13/11/2012 3 © Finpro
What Happened until Now and What will in the Future?
[Cloud]
• More convergence of networked computer resources
• More advanced utilization of broadband internet and networked computer resources.
• Cloud computing has become more applicable to every networked devices. It
improved the performance and quality of ICT applications by placing core software
modules of application-specific-computer-resources in the cloud.
• Cloud-ization is changing the role of networked devices from information processing
to information handling. This new process flow is so powerful which can be applicable
to many different work processes, business processes, production processes as well
as lifestyles.
Basis of cross industry innovation
13/11/2012 4 © Finpro
Cloud Computing Resources
What will Happen in the Digital Domain?
• Business processes will be digitized and networked gradually.
• ICT will act as a coordinator to these newly digiti business processes,
bonded together across industries, and generate new ways of business
processing.
• Migration will be gradual, based on the advantages and readiness of cloud
and IOT for respective industry segments.
• Japan and South Korea are regarded as driving forces in Asia.
13/11/2012 5 © Finpro
Part One: Japan
13/11/2012 6 © Finpro
Japan: METI’s View on Competitive
Advantage in Smart Society
• Information Economy Committee of the Industrial Structure Council under METI
(Ministry of Economy, Trade and Industry) is:
• Ensuring the competitive advantage in Smart Society, and
• Analyzing changes in the industrial structure from the perspective of
“digitalization” & “networking”.
• Functions of “digitalization & networking” are changing the use of the internet from
IOC: Internet of Computers to IOT: Internet of Things.
• Impacts of “digitalization & networking” are developing new digitalization technologies
and standards to handle digitized information across industries.
• ICT associates several different business processes, knowledge, know-how, … and
brings innovation to the industry: e.g. smart grid, smart community, mass
collaboration & crowd sourcing, …
13/11/2012 7 © Finpro
Japan: METI’s View on Competitive
Advantage in Smart Society
13/11/2012 8 © Finpro
mobile handset
hierarchical structurization of each individual elemental technology
networking
digitalization
un-digital domain
establishment of individual elemental technologies digitalization of un-digital domain
tablet
digital appliances
TV
book & publication
social net
implicit
knowledge
personal tastes & preference
game
smart grid
smart community robot
medial & health
automobile & transportation
life log
agriculture
Source: Information Economy Committee of the Industrial Structure Council
user
participation
contents
It x ‘n’ domain
Concept of IT x n: cross-industry innovation by ICT
Japan: METI’s View on Competitive
Advantage in Smart Society
13/11/2012 9 © Finpro
Energy: Smart Community
Medical Care: Smart Health
Robot: Social Robot
Automobile: ITS
Agriculture: Smart Agri
System
Contents: Contents Creative Business
Part Two: South Korea
13/11/2012 10 © Finpro
Cloud: KT’s Business Plan
13/11/2012 11
Biz feasibility study and
market analysis Strategy set-up
Implement the Strategy (build infra ~ develop & launch business ~
operation of business)
April 2009 March 2010 August December December 2011
Benchmark Design architecture &
verification
Build Cloud Data
Center (Okcheon,
Mapo)
Launch public cloud Expand public cloud
-Visit 30 foreign
companies overseas
- Benchmark leading
service providers like
Amazon, Google, Apple
-Design HW & SW (Mar
~ July)
- Build and test
verification infra in
Mapo Center (August)
-Construct Center
facilities like electric
power, temperature
control system etc.
(August~December)
- Apply architecture
(HW & SW
composition)
- Launch IaaS (Dec.)
- Commercialize
DaaS (2Q, 2011)
- Launch limited
SaaS
- Commercialize
PaaS
- Launch full SaaS
BM
Consulting
June
- BM & business
strategy
Develop SaaS-based new BM
- Review alliance and prepare commercialization
Private cloud
-KT internal migration to private cloud in 3 phases
Plan & develop U-Cloud
Oct.2009
Launch and operate U-
Cloud
June.2010
Release additional features of U-Cloud October
-Plan U-Cloud business
- Build infra, develop U-Cloud
map, and test
-Launch personal consumer service in June (provide i-
Phone app in July / Android phone app in September)
- Launch enterprise U-Cloud Pro in August
- Upgrade UI/UX
- Photo printing service
- Image search service
- Music replay service
- Build file system Source: KT, 2010 © Finpro
Cloud: KT’s LTE Warp (CCC)
13/11/2012 12 © Finpro
Olleh LTE Warp NW
Olleh LTE Warp Cell
Distribution in Yangjae-
dong in Seoul (yellow: LTE
cell / red : 3G cell)
Speed comparison among LTE
Warp (54.76 Mbps), 3G (8.06
Mbps), Wi-Fi (18.41 Mbps)
Photo Source: http://2proo.net/1762
Cloud Communication Center (CCC) that
is a cloud virtualization technology is
used to transfer KT’s service from voice
call to data traffic. After CCC separates
DU (digital unit = digital signal
processing) from RU (radio unit =
wireless signal processing), it centralizes
DU in a separate center that is connected
to regional RUs via fiber optic cables. 144
RUs are integrated as if one base station.
Cloud server controls traffic distribution
and signal disturbances among different
RUs. This technology is called LTE Warp
which is faster than normal LTE. SKT
calls this technology “SCAN” (Smart
Cloud Access Network).
Cloud: SK Telecom’s T cloud
13/11/2012 13 © Finpro
Pleasure from connectivity Sharing with Friends Continuous story
Use my contents
seamlessly via any
devices
Share my contents
with friends through
SNS
Store and use my
contents any time any
device
T cloud Web (PC – T cloud)
T cloud Mobile (Mobile – T
cloud / media scanning )
T cloud Agent (automatic
media scanning from PC to
T cloud)
Cloud: LG’s U+ Box Media
• Personal Media Cloud Service ; Media contents (Video Store, Music Store) and my files stored in the
Cloud storage space can be enjoyed via smart phone, Pad, PC, and U+TV
10GB Free Cloud storage space for storing/playing my files
Real-time streaming and download of latest video clips free of charge
Printing photos in digital camera and mobile phone and public photo books
13/11/2012 14 © Finpro
-Upload and download my
files easily
- Enjoy videos in my smart
phone through TV
- TV and PC are wirelessly
connected
- 3 USD per month for 100
GB
- Realtime streaming or download of
animation, movies, music, and soap
operas etc.
- 3 USD/month for unlimited
streaming of music in Music Store.
4 USD /month for unlimited watch of
SBS’s paid contents in Video Store
-Edit and print
digital photos and
Publish photo
book at one go
-
Automatic Back-up of
photos and videos in my
smart phone
Videos & photos
that are not
backed up in
U+Box App are
notified for ‘Upload
Now’
Automatic Back-up :
By setting “Automatic
back-up”, my latest
photos and videos
are automatically
backed-up in U+Box
while the phone is
being charged
Smart Grid Roadmap
Test Bed Complex
(Technical Validation)
Smart Power Grid
Smart Place
Smart
Transportation
Smart
Renewables
Smart Electricity
Service
Phase 1
(2010~2012)
• Real time PG monitoring
• Digital power transmission
• Optimal distribution system
• Intelligent home power
management
• Various offering including
pricing
• Test of EV charging facilities
• EV pilot projects
• Microgrids connecting
distributed generation, power
storage device and EV
• Consumer’s choice of
electricity rates
• Consumer’s selling of
renewable energy
Metropolitan Areas
(Intelligent
Consumers)
Phase 2
(2013~2020)
• Possible PG failure prediction
• Linking PG with other
countries
• Connect power delivery
system with DG and power
storage devices
• Smart power management of
buildings and factories
• Consumer power generation
• Expand EV charging facilities
across the nation
• EV maintenance &
management technologies
• Optimal operation of the power
system with microgrids
• New applications of power
storage device
• Transactions of electrical
power derivatives
• Nationwide real time pricing
system
• Voluntary market participants
Nationwide SG
(Intelligent Power
Grid)
Phase 3
(2021~2030)
• Self-recovery power grids
• Nationwide integrated energy
smart grid
• Zero energy buildings and
homes
• Commonplace EV and
charging facilities
• New charging methods
• Portable power storage
devices
• Commonplace high capacity
new renewable energy source
• Commercialized microgrids
• Various types of power
transaction
• Convergence business with
power industry
• Northeast Asian market
• Power grid
monitoring & Control
• Failure prediction &
automatic recovery
• Smart meters
• Automatic energy
management
• Nationwide charging
infrastructure
• ICT-based EV control
• High capacity
renewables
generation complex
• High capacity energy
storage
• Various pricing
system
• Consumer electricity
trading system
Over the period, Korea will invest KRW 7 trillion ($6B) in R&D and KRW 20.5 trillion in infrastructure
deployment
13/11/2012 © Finpro 15
M2M: Vehicle
Blue Link (Hyundai Motor Company)
• Vehicle telematics service developed with MS
• Interoperating smartphone and tablet PC on Vehicle
• Gesture Recognition Near distance motion recognition
moustick
Smart
Control
Safety
Car
Care
Assist
Info
• Remote starting and air conditioning; Remote door
open/close; Parking spot alarm; Automatic
information transfer between car navigation and
smartphone / PC
• Auto-transmitting air bag deployment; SOS
services; Burglar alarm system
• Car diagnosis; Supplies management; Regular
inspection report; Eco drive coach
• Content (Weather, Traffic info, etc.); Hot-spot
• Phone, Concierge service, ARS
13/11/2012 © Finpro 16
M2M: u-Health
Samsung’s Heath care blueprint
Samsung expects M2M synergies among the family companies and focusing on
developing technologies of smart metering, e-health care, security & safety,
digital signage
System Service Support Users
Device
(Electronics)
Bio-phamaceutique
(Electronics)
Diagnosis Eq.
(Techwin)
SMC Patients
Samsung
Life
Insurance
R&D Support
(SMC, SAIT)
Samsung Electronics
• Control U-health business
• Biosimilars
• Medical Devices
Samsung SDS
• Bio-infomatics
Samsung Techwin
• Blood Diagnosis Eq.
• Gene Diagnosis Eq.
• Diagnosis Reagent
Samsung Electricity
• Bio-inspired Cell Chip
13/11/2012 © Finpro 17
Shipbuilding by 2020
현재(2010) 5년(2015) 10년(2020)
Ship Digital Ship Smart Ship
• Integrated network for
ship
• Design visualization
technology
• Localizing navigating
system
• Global maintenance
and repair technology
• Intelligent navigating
information system
• Auto-pilot technology
• Technology for
controlling navigating
equipment
• Low speed satellite
communication
technology
• Technology for Off-
shore plant
13/11/2012 © Finpro 18
Part Three: China
13/11/2012 19 © Finpro
China’s 12th Five-Year Plan (2011-2015)
13/11/2012 20 © Finpro
Rebalancing the economy
Protecting the
environment
Promoting social
equality
SEIs:
Energy conservation and environmental
protection.
Biotechnology,
New material,
Next-generation IT,
High-end equipment manufacturing,
New energy, and
Clean-energy vehicles.
Health care
Energy
Technology
FOCUSES
INDUSTRIES
Rebalancing the Economy
China economy is now shifting from the current reliance on fixed asset investment (FAI)
and exports to a greater emphasis on domestic consumption.
• Growth rate:
• Down to 7%.
• Strategic Emerging Industries (SEIs):
• Energy conservation and environmental protection.
• Biotechnology,
• New material,
• Next-generation IT,
• High-end equipment manufacturing,
• New energy, and
• Clean-energy vehicles.
• Consumption:
• From 35% to 40% of GDP by 2015.
• Industrial upgrading:
• New manufacturing equipment and technology, and
• Certain industry sector consolidation.
13/11/2012 21 © Finpro
Promoting Social Equality
President Hu and Premier Wen had again prioritized the development of a “harmonious
society” a key focus in the 12th FYP.
• Urban/rural divide:
• To reduce the quality of life gap between urban and rural residents, by improving
social safety nets for rural population, such as basic health care coverage and
improved rural land distribution.
13/11/2012 22 © Finpro
• Regional development:
• To incentify development of the West
through preferential policies such as
land credit, lower taxes and subsidies
for manufacturers.
• Income disparity:
• To increase income of normal citizens
through raising of minimum wage,
expansion of government-funded
social welfare and health care system,
and promoting labor-intensive service
industries.
Protecting the Environment
China is focus on reducing pollution, increasing energy efficiency and ensuring a stable,
reliable and clean energy supply.
• Energy conservation:
• Development of energy-efficiency technology, and
• Mandatory energy emissions target of 17% down from previously 20%.
13/11/2012 23 © Finpro
• Environmental quality:
• Green indicators are planned,
and
• Pledge to reduce 40-45% of
carbon per unit of GDP by
2020.
• New energy:
• % of energy from non-fossil
fuels increase from 8.3% in
2009, to 11% in 2015 and
15% by 2020.
Sectors to Watch
13/11/2012 24 © Finpro
Health Care
•Health care system reform continued:
•Broader basic health care coverage,
•Expanded infrastructure for grassroots medical networks,
•Public awareness in disease prevention,
• Improved health care administration,
•Creation of national health care benchmarks and standards, and
•Heavy investments in health care IT.
•Pharmaceutical sector restructured:
•Consolidate 13,000 distributors
•Commercialize its pharmaceutical distribution industry into:
•1-2 Nationals, each sales RMB 100 B
•20 Regionals, each sales RMB 10 B
•Biotechnology Promoted as an SEI:
• Innovative biotech products, high-end medical devices and patented medicines.
Energy & Environment
•RMB 3 trillion investment in the sector, with the industry growing by 15-20% annually.
•Coal as the dominant energy source, while steadily increasing proportion of renewables.
•Consolidation in Coal Sector by 2015
•From 11,000 companies to 4,000, with 8-10 expected to account for 2/3 of production.
•Nuclear and Hydropower Growth by 2015
• Increase nuclear power reactors from 11 to 25, doubling to 2% of nation’s power capacity.
• Increase hydropower’s capacity by 50%.
•Further Development of the Power Grid
• In 2009, 30% wind farms not grid-connected.
•Constructing large-scale smart grid, with investments to exceed RMB 17 billion.
•Heavy Spending for Energy and Environment Sectors (3 of 7 SEIs)
•New energy sector: nuclear, solar and wind sectors.
•Energy-efficiency and environment sectors: waste recycling and clean coal technologies.
•New energy vehicles: battery cell technology, 1 million electric vehicles production by 2015.
Tehcnology
• “Designed in China”
• Investment in science and technology education and R&D, and IPR system.
• Indigenous Innovation Supported Research & Development: core electronic, IC, life sciences, space, marine, earth sciences and nanotech.
• Intellectual Property: creation, use, protection and management.
•Administration: financial policies and supports to high-tech research funding and VC investment.
•Commercialization: from government-sponsored researches to marketplace.
•“Informatization” Increased
•Technological capability upgrades of private and public services, e-commerce, e-government and statistics systems.
• “Triple play” (convergence of telecom, broadcasting and Internet),
•Education Sees Heavy Investment
•Reform in science & tech educations
•Talent recruitment and nurturing
•Return of even more highly-educated overseas Chinese
•Next-Generation Information Technology Promoted as an SEI
•Next-generation information networks, mobile communication and the Internet, in particular, "Internet of things" and cloud computing.
Incredible Things that Happen Every 60
Seconds on the Internet in China
13/11/2012 25 © Finpro
http://www.businessinsider.c
om/incredible-things-that-
happen-every-60-seconds-
on-the-internet-in-china-
2011-12
13/11/2012 © Finpro 26
Finpro SWDM / ICT
key experts in Asia
Eija Tynkkynen and Justin Di
Beijing , China
Yoon-Mee Kim. Seoul, Korea
Tanaka Koichi. Tokyo, Japan
Ambika Oberoi . Delhi, India
Eric Cheng. Hong Kong. China
Pietro Karjalainen, Vietnam & SEA
Corina Chen. Taipei, Taiwan.
Ryan Yao, Shanghai, China.
Nelson Chen, Guangzhou, China
Thank you
Koichi Tanaka, Japan [email protected] Yoon-mee Kim, South Korea [email protected] Eric Cheng, China [email protected]
27 © Finpro