Prepared for:

Smarter SCADA Workshop

October 2012

Smarter SCADA & The Internet of Things

2

Harbor Research Evolution

1984-1998 1998 - 2005 2005 - 2010

Help Foster Acceleration of The

Internet of Things & Related

“Smart Services” Market

Strategy & New Business Development

Research & Content

Technology Development & Smart Systems Lab

Strategic Planning

Competitive Strategy

Go-To-Market Systems

Alliance Development

Mergers & Acquisition

Technology Road Maps

Market Quantification & Forecasts

Competitive Analysis

Business Models

IP Design & Development

Reference Architectures

Community-Based Platform Development

The Firm’s Evolution Has Been Driven By Harnessing “Disruptive” Technologies To Drive Significant New Growth -- Embedded Computing, Intelligent Device Networking and Software Technologies….

Harbor Has Been A Pioneer & Thought Leader In Smart Services

3

Mainframe

(1M+ Units)

Minicomputer

(10M+ Units)

Desktop PC

(100M+ Units)

Internet

(1B+ Units/Users)

Mobile Internet

(3B+ Users)

The Internet of Things and People

(Tens of Billions Or More Units/Users)

When Compared To Previous Cycles,

The Internet Of Things Is Much Greater

In Diversity Of Devices, Applications

and Markets22

The Advent of The Internet of Things …..

Smart Sensors, Devices, Systems & Services Are Unfolding In A Larger Context …….

4

Real-Time Systems

Sensor / Actuator / ID Systems

Control Systems

4-Bit

8-Bit

32-Bit

16-Bit

n-Bit

ContentDrivenSystemsG

UI-Based Systems

Non G

UI-Based Systems

Pro

cessor / Platform

s

Chip / Logic Systems

Industrial I/OBasic Appliance ControlsToys & Games

64-Bit

Smart Tags, RF-IDSimple Appliance & Machine ControlsIntelligent Sensors, Industrial MonitorsHydraulics / Pneumatics Devices

Smart Cards, Safety SystemsElevators, Auto SubsystemsIndustrial process Equip

Auto Power-train / Braking / SafetySmart / Network AppliancesMotion ControlMeters & Advanced Sensors

Set-Top Box / Audio / Video / SystemsAMR / AMI Meters, Machine Controls, HVACOffice Equipment, Security SystemsResidential Gateways, Routers & Hubs

Test / Diagnostics Equipment, Network Switches / RoutersOffice Equipment, Medical Systems, Small ServersTelematics / Navigation Systems, Digital Cameras

High Level Multiprocessor Servers / MainframesApplication Servers & WorkstationsDesktop / Laptop / Tablet PCs, ATM’s & POS SystemsSmart Phones / PDA / Hand-Held POS

Power Consumption Becomes Driver

Less D

eterm

inistic

More Determ

inistic

The Internet of Things – An IT Tsunami

The Diversity Of Devices, Applications and Markets Is Significant

5

Mobile

Equipment

Fixed

Equipment

Product

OEMs

Tools &

Infrastructure

Machine To Machine

Technology & Enablement

Software Tools, Middleware & Web Services

Network Infrastructure & Connectivity

Supervisory Systems & Applications

Carrier & Network Services

Services &

Applications

Complex Systemic Equipment

Simple Machines & Equipment

Facility Systems & Equipment

Facility Infrastructure Components & Sub-Systems

Vehicles

On-Road Off-Road Marine Rail

Aerospace

Facility

Systems & Equipment

Mechanical Sub-Systems & Components

Fluid & Pneumatic Sub-Systems & Components

Electrical Sub-Systems & Components

Machine/Device

Sub-Systems, Assemblies,

Modules & Components

Power &

Control Systems

Electronic Interconnect

Semiconductors & Micro-Electronics

Embedded

Electronics

Smart

Phones

Entertainment

Devices

Mobile

Phones PDAs

Mobile Telephony,

& IT Terminals

Content

Consumables

Value

Added Elements

User Interactions

& Experience

Users People

As The Physical & Virtual Worlds Converge, Connectivity & Integration Become Universal

The implications of

these trends are

enormous.

6

As it Will In Classical Control Systems….

Automation &

Control

Sensors &

Actuators

Network

Power

Technology / Product

Software/UI

Supervisory & Data Acquisition & Integration

Logic Control Process Control

Regulatory

Power Distribution & Electrical Infrastructure*

Discrete Process

Motion Control

Mechanical Power Transmission

Motors Fluid Power Valves

Regulators & Other

Actuators

Force / Load

Position Presence Flow Level

Pressure Temp. & Other Light & Other

Sequential

Connectors & Interface Components

Network Equipment (Ethernet & Field Bus)

Industrial Sectors

Interface

Technology

Sensors

Connectors

Connectivity

On the Machine

Across the Enterprise

Ethernet Ethernet

Enterprise Integration

7

Smart Networked Devices Really Means Smart Services…

Customers & Users

Customers & Users

Networks

Mobile

Telephony & IT

Terminals Kiosk,

POS, Vending

& Service Equip

Supply

Chain

Systems

Industrial

Machinery

& Controls

Energy

Resource &

Infrastructure

Transport &

Vehicles

Healthcare

Equip

IT & Network

Equip

Home

Appliances

Media

Equip

Managed

Services

Managed

Services

Embedded

Sensing & Intelligence

Software

Arch, Services

& Tools

Networks

Security

& Access

HVAC

Systems

Fire &

Safety Building

Controls

Transport

Systems

Power

Distribution

Systems

8

Connections

Time

Compound

•Automation

•Collaborative Maintenance

Services

•Mobility-Device Services

Complex

•Transport Infrastructure

•Security

•Integrated Healthcare

•Delivery

Simple

•Telemetry

•Device Monitoring

•Product Support

Complex Applications

Applications that drive interactions between and among

devices, device sub-systems and people and can also

allow extending/expanding values from third party

collaboration and large scale [big] data

integration/analytics

• Intelligent Transportation Systems

• Integrated Health Delivery Systems

• Integrated Residential/Consumer

Smart City

Systems

Consumer/Sensor

Integration

Evolution of Applications – Technology Still EvolvingTo date, the M2M opportunity has largely been comprised of “simple” remote services applications and

related tracking/location services2.. future technology development will be focused on collaboration

between devices, people and systems

Simple Applications

Applications tend to be remote support-driven

applications that involve monitoring/upgrades of

installed base of machines in the field – such as

vending machines, ATMs, etc.

• Tracking / Telemetry

• Product Support

• Product Upgrades

• Diagnostics / Monitoring

VendingPOS,

ATM

Field

Force

Dispatch

Compound Applications

Applications that involve multiple collaborating [peer-peer]

devices or significant interactions between and among

devices, systems and people.

• Managing Multi-Party Emergency Services

• Real-Time Demand Response for Energy

• Maintenance Support & Collaboration

Real-Time

Demand

Response

Process

Automation

Human/

Sensor

Collaboration

& Analytics

9

Smart Device & Services Opportunities Span Many Applications Across Economy

9

10

Public Internet

Communications Network Management Layer

Communications Network Security Layer

DMZ Perimeter

Security

Security

Appliances

Network Security

& Status

Monitoring

HMI

Stations

Unified Access

Control

Application

ServersGateways

Primary

Control CenterUnified Access

Control

VPN

Appliances

HMI

Stations

Engineering

Workstations

Security

Gateways

Circuit-to-Packet

Platforms

Data

Stations

Real-Time

Servers

Security

Detection

Third-Party

Support

Network

Regional

Ctrl. Center Control Servers

SCADA-MTU

VPN

Appliances

Security

Appliances

Extraction & Production RetailRetail ShippingProcessing & Transport Refining

Refinery Networks

Gas Stations

Pipelines

Tank Farms

FPSO

ROV

Land

Drill

Offshore

Transport

to Retail

Facilities

Control/Communication Layer

Netw

ork Categories

Modem RTUPLC

Remote

Station

Remote

Access Security

GatewayTerminal

Just As Integration Opportunities Span Oil & Gas

Landscape

11

Synchronous

optical

network using

standard

multiplexing

protocols to

stream digital

data over

network

Network Op’s

Center

Fiber Ring

Characteristics:

• Centralized management and control functions

• Fiber and/or wireless connections

• Based on Time Division Multiplexing (TDM)

infrastructure that has limited scalability and can

be exhausted as users, and/or devices are added

Characteristics:

• Centralized management and control functions

• Gigabit Fiber and/or wireless connections

• Minimal CAPEX and OPEX expense for expansion of

services

• The ideal solution is one that offers the same level of

reliability and security of traditional network while

supporting legacy TDM and packet services needed

for the core operations.

IP based phones and radios

Ethernet based SCADA

IP based video surveillance

Example: Mid Stream Pump and Compressor Stations

Gigabit Fiber Ring

Today Tomorrow

Cost effective expansion of network services and support of physical assets is driving network architectural decisions today…

12

Device M

anagement Services

DEGREE OF OPENNESS / COOPERATION / INTERACTIONS

Mobile Internet

Services Delivery

Consumer Devices,

Terminals &

Managed Services

B2B Equipment

& Systems

New Players & Technologies Are Entering The Arena

Device Management Technology and Services Are Developing Unevenly In The Market..…

Traditional Remote

Technical Product

Support

13

Internet of Things & People Where IT Meets The Physical World

CUSTOMER / PARTNER INTERACTIO

NS

DEGREE OF OPENESS

Support Installed Systems;

Own Product Performance Data

Manage System/User Experience

& Delivery Chain Relationships,

Intelligence and Interactions

Foster Multi-Vendor,

Multi-User Interactions &

Cooperative Mgmt

Manage Installed Systems

Productivity & User Experience

Manage Value Chain

Interactions & Data

14

Biggest Unmet Need - Application Integration Standards For The Internet of People & Things…

DEVIC

E M

ANAGEMENT C

APABILITIES

DEGREE OF OPENESS / CO-OPERATION / INTERACTIONS

Value Added

Services Delivery

Technical Support

As a “Smart” Service

Device

Mgmt

Services &

Application

Integration

Vast Opportunity And A Natural Extension Of Existing Systems Capabilities…

What’s Missing?

Service Delivery

Platforms

Consumer Terminals

& Managed Services

B2B / M2M Device

Mgmt Systems

What’s Missing?

Device Management

Technology

15

Market Needs A Unified Approach For Device Enablement & Services

Systems &

Application

Integration

Value-Added

Application

Services

Infrastructure

For Device

Connectivity,

Management &

Network Services

Embedded

Capabilities For

Device

Management

What’s Required?

Understanding of

Embedded Applications

Understands The Value

of Architecture

Large Market Footprint Real-Time Operating System

Device Drivers

Communications Stack

Equipment Discovery, Monitoring, Status

Customer Support & Supply Chain Fulfillment

Equipment Behavior, Diagnostics & Health

System Configuration & Security

Device & Systems Management

Capacity Planning & Management

Measurement, Verification & Benchmarking

Installed Data Mgmt, Usage & Analytics

Systems & Application Performance

Asset & App’l Optimization

Energ

y &

Resources

Retail

Health & W

ell B

eing

Buildings & Infrastructure

Asset

Management

Information Management & Application Integration

Consumer &

Pro

fessional

Network Infrastructure & Services

Devices Enablement

Supply Chain

Management

Service

Mgmt

Customer

Interaction Mgmt

Device Discovery Services

Connection Policies

Connection Mgmt Services

Read/Write Protocol From/To Device

Data Security & Encryption

Device Management Development Tools

Device Software Mgmt/Versioning

What’s Required?

Comprehensive Device

Enablement Technology

To Enable Services

16

Leveraging Mission Critical Open Connectivity Explosion..

Off-Shore Oil & Gas

Exploration

Power Transmission &

Distribution

Rail & Transport

Systems

Hydro-Carbon

ProcessingOil & Gas

Transport

Oil & Gas Refining

Oil & Gas

Transport

Asset

ManagementPower

Systems