Internet of Things
IoT brought to life
Marc Vancoppenolle
Global Head of Government Relations, Nokia
April. 2016
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While the past has been about connecting places & people, the future is
about connecting things – improving personal life, optimizing business
processes
Programmable things
Connected things
Fixed internet with 1 bn
places connected by 2005
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Mobile internet with 5 bn
people connected by 2020
Public
Programmable World with 50 bn
things connected by 2025
An opportunity to improve people’s standard of living
Get back 2hrs/day…
No more rush hour
Towards zero road fatalities, > half a million lives saved
Zero loss water distribution
Healthier people with connected wearables, telemedicine
Never lost - always find an
address – always on time
Less transport costs
and fuel consumption
50% higher industry productivity by
connected cyber physical systems
Safer in connected homes
Individual
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Society
Economy
The Internet of Things has a transformational impact on all industries,
re-shaping business models, value chains, and entire industry
configurations
Public
Safety
Patient care
Digital
Health
IT
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1
8 Retail
2
Services
7
Mobility 3
4
5
Smart
Cities
Smart
Infrastructure,
facilities
Industries
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Public
Utilities
Smart
Homes
Smart stores
Use case:
connected bus shelter
Description
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The explosion of possibilities and use cases is creating a huge market
opportunity in the entire Internet of Things ecosystem
>€100B or >50% 2015-25 CAGR
2025 market
projection in €
Mobility
Industries
Utilities
Digital
Health
Smart
Homes
Retail &
Services
Public
Safety
Smart
City
IT
Applications, Analytics
and End-User Services
203B
110B
31B
23B
19B
18B
18B
6B
6B
434B
(90%)
Application
Enablement Platform
11B
3B
5B
2B
2B
0.6B
0.3B
3B
0.3B
28B
(6%)
Connectivity
Management Platform
2B
0.4B
0.8B
0.3B
0.2B
0.1B
0.04B
0.04B
0.002B
4B
(1%)
Cellular Connectivity
6B
0.04B
0.02B
0.08B
0.01B
0.7B
0.7B
0.4B
0.01B
8B
(2%)
IoT modules
2B
2B
1B
0.6B
2B
3B
0.1B
0.3B
0.4B
9B
(2%)
224B
(46%)
117B
(24%)
39B
(8%)
26B
(5%)
24B
(5%)
19B
(4%)
19B
(4%)
10B
(2%)
7B
(1%)
484B
Source: Machina Research
and Nokia Strategy
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>€10B or >30% 2015-25 CAGR
© Nokia 2016
IoT: Key policy domains
Connectivity & spectrum
Standardization
Net Neutrality
Data protection / ownership / location
Security
Digital Skills
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customer confidential
Conclusion : to fully capitalize the IoT opportunity, 5 main challenges
have to be addressed
Robust
connectivity
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Standards
Inter
operability
and open
interfaces
2
Domain knowledge:
Deep, vertical-specific insights
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Privacy and
security
3
4
5
One more thing…
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