© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

LTE in M2M: what benefits will 4G bring to this nascent and growing future sector?"

Stéphane PACCAUDHPStephane.paccaud@hp.comsept 2013

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.2

Where do we really need 4G ?

Evolving towards the Internet of Things

Many and diverse…• use cases• devices & sensors • access networks • stakeholders • structured and

unstructured data pools

Air Quality

Telecom infrastructur

e

Pumps

Vibration

Security

Traffic lights

Vehicle leasing

Asset tracking

Fire & emergenc

y

Electricity switch

Lighting

Noise

Air con

Driver behavi

or

Product delivery

Digital signag

e

Roadside equipment

Water distribution

Personal electronics & entertainme

nt

Access control

Parking management

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.3

4G M2M - Current consensus

US are leadingMostly driven by AT&T and Verizon, to address the automotive industryOn the back of aggressive LTE deployments to overcome CDMA limitations

China will help building scaleSignificant needs linked to smart cities

But the rest of the world still sees M2M primarily as a 2G and 3G opportunityNot yet in Europe CSPs plans until 2020

Unsignificant until 2017, then picking up very quickly

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.4

Global M2M connections by technology

Small in volume, but high valueHigher growth segment after 2017 (252% - Infonetics)

Source: Machina research

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.5

Some M2M LTE use cases

Source: Infonetics

Sweet spot for LTE• Connected car :

10-40GB/month • Self driving connected car:

50GB/hour !!!• Cctv• Entertainment & personal

devices (gaming, wearables, etc…)

• Some professional applications (field force, etc…) ? Health ? Retail ?

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.6

And who knows what will be the hype in 2 years ?

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.7

Example: smart parking

But in most cases, LTE is not the only driver

Surveillance camera, connected cars might need 4G (or maybe not…)But what about:Presence sensors, light&temperature sensors, screen controler, electric vehicle recharge station, etc… ?

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.8

What are the advantages of LTE in M2M ?Bandwidth – of course

But not only…QoS management – smart grid, critical health conditions, etc…LatencyManageability & securityLocation and other ‘goodies’Virtualized, fit for purpose core in the cloud

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.9

But there are important barriers to adoption Coverage – breadth and depthCostsUse casesSpectrum limitations & networks optimizationProducts life cycle

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.10

Conclusions

LTE will be an important component of M2M, and key to drive value

But take off might not happen before a few years

And LTE will anyway remain one access technology among others

The key will be to integrate LTE within a consistent framework for M2M