Christmas reception
BT Tower
11 December 2014
BT Research and Innovation
Chris Bilton, Director of Research & Technology
BT Technology, Service & Operations
BT has a long history of innovation…
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We’ve always been at the forefront of global innovation...
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…and we continue to invest significantly in research & development
2nd
largest investor in R&D in the fixed line telecoms sector over the past 6 years1
largest investor in R&D in the UK over the past 6 years1
£530m £3.1 billion invested in R&D in 2013/142
14,000 scientists and technologists employed worldwide2
1
2
3rd
spent on R&D over the last five years2
4,300
patents in our portfolio2
Source: 2014 EU Industrial R&D Scorecard
Source: British Telecommunications plc Report & Accounts 2014
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BT’s home of research & innovation – Adastral Park
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BT’s global engineering HQ
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3,100 BT people
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700 partner people
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65 high tech companies
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Focal point of BT R&D
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BT is No1 UK technology sector investor in R&D1
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Source of key IPR
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Hosted 1,400 VIP customers, civil servants and policy makers through 241 events in 2013/14
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Largest test & integration facility in Europe
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UK operations centre
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4,500 students and 920 teachers engaged from 190 schools in 2013/14
Source: EU Industrial R&D Investor Scoreboard 2013
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BT’s global research & innovation scouting
65 PhDs
c. 250 patents
per year
Global
Scouting
16 MBA projects
12 visiting
professors/fellows
6 sector showcases
Innovation
Hot Houses
22 PhDs funded
30+ student interns
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Innovation collaboration
Industry
Government
Initiatives
Innovators
Academic
Customers
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Awards and finalists for innovation – last three years
2013 Gold Innovation Award
Finalist
Finalist
Celtic Innovation Award Finalist
FINALIST
2014 Most Innovative Catalyst © British Telecommunications plc
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Innovating across BT
Customers
Customers
BT Group
BT Consumer
BT Business
BT Global Services
BT Wholesale
Openreach
Gavin Patterson
Chief Executive
John Petter
CEO
Graham Sutherland
CEO
Luis Alvarez
CEO
Nigel Stagg
CEO
Joe Garner
CEO
Tony Chanmugam
Finance Director
BT Technology, Service & Operations
Clive Selley CEO
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BT Research Themes
New Paradigms
Further, faster, cheaper
Security
New Techniques
&
Applications
TV & Content
Mobility
Future Voice
Better Futures
New Products
Operational Transformation
Customer Service
Our Customers
Internet of Things
Advanced Analytics
Big Data
Networks
IT Services
Software & Systems
Visual Analytics
New Technologies
Insight driven
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Further, faster, cheaper…. and using less energy
Core network evolution G.Fast trial
3 Tb super channel trial
19m
47m
66m
10G backhaul
BT Adastral
Park
Crosstalk in a cable
BT Tower
Cabinet deployment development
Vectoring
Signal 3
Maximum Downstream bit‐rate (kbit/s)
Vectoring gain
Without Vectoring
With Vectoring
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NfV1 as a catalyst to change network operations
Automation
Flexibility
Simpler planning
Uniform operations
Cost savings
Customer experience
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Network functions virtualisation
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Big data and the rise of the Internet of Things
• Annual global IP traffic will pass the zettabyte (1 billion Terabytes) threshold by the end of 2016, and will reach 1.6 zettabytes by 2018
(Source: Cisco)
• It would take an individual more than 5 million years to watch the amount of video that will cross global IP networks each month in 2018
• Globally, mobile data traffic will increase 11‐fold between 2013 and 2018
Source: Cisco® Visual Networking Index (VNI)
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Customer first ‐ big data, security, analytics and scheduling
cloud
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Smart Cities enabled by the Internet of Things
The opportunities
• Digitally‐enabled growth
• New skills & competencies • Citizen innovation
• Integrated open data ecosystem
• 90 SMEs in MKSmart ecosystem
• Smart cities institute
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Connected Communities examples
Smart Parking
Smart Lighting
Other apps include
• Smart Bins
• Smart Pest Control
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From Adastral Park to the globe
IP Exchange (IPX) enables fixed, mobile, legacy and next generation networks to interconnect in a way that minimises cost of conversion
Today, it’s available through BT’s global network, giving BT the biggest network reach in the market worldwide
IP Exchange
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Product launched in 2009
•
10 dedicated IPX nodes integrated with the 21CN IP Network •
3 global nodes built •
Access IPX from >180 global MPLS nodes
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Traffic across IPX is growing at >80% YOY
•
Queens Award for Innovation
BT LTE Roam Helping mobile
operators accelerate VoLTE deployment
Supports advanced services
HD Voice and HD video
Wi‐fi roaming
Seamless access to overseas wi‐fi networks
VoIP services
Interoperability solution between IP networks
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…through innovation
Simon Farr
Director of Customer Innovation
BT Global Services
We’re focused on our customers’ drivers
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We’ve had a year we’re proud of, based on the confidence of our customers
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We’re delivering continual, collaborative innovation
BT continually invests in a market‐leading approach to innovation
• Over 800 people in CI&D worldwide supporting our customers, where they need us
• Global development centers in Kuala Lumpur, Bangalore, Belfast, Glasgow, Adastral Park (Ipswich) and Dallas
• Global Strategic University Research with Cambridge, MIT & Tsinghua in China – To access world class expertise and facilities
– Identify challenging new ideas
– Conduct research with a broader view and longer timescales
– Build essential new skills
• On site partnership facilities with key partners at Adastral Park including Ciena and co‐labs with Intel • 11 ‘on net’ global customer showcases and 1 mobile showcase • BT practices as continual lifecycle approach to Innovation and appropriate refresh of services
• Market leading Innovation Exchange programme with customers on a long term and often contractual basis © British Telecommunications plc
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Our Innovation Process and Global Ecosystem
Customer Needs
Business Drivers
Discovery
Validation
Develop
Launch
Operate
Articulation
Discovery
Articulation
Validation
• Global Scouting
• Research & Technology
• Strategic University Programme
• Shared Learning & Best Practice
• Collaborative discovery
• Customer and Partner network
• New Ideas Scheme
• Customer Challenge Cup
• Applied Innovation and
Hothouse Centre
– Concept demonstrators
– Working prototypes
– Hothouses
– User trials
• Innovation Showcases
• Innovation Central
– 1 Pagers
– Rankings
– 10 Pagers
– Draft Business Cases
– Business Approvals
– Process Consultancy
– Business Process Review R&D investment £532m in 2013/14
Global Innovation Centres in China, India, Israel, UAE, UK and US
Partner ecosystem with customers, industry, universities, government
Added 89 inventions in 2013/14. We maintain a portfolio over 4300
More than 10,000 scientists and technologists
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BT Supply Chain Solutions – BT Trace BT Trace
BT Global Trace
Dash board/control tower visibility and collaboration across the end‐to‐end supply chain
BT Trace for Retail
Item level RFID solution that increases sales and improves customer service
BT Asset Trace
Manage/track assets, maximise availability, reduce costs
BT Trace for Health
Manage/track mobile assets in a healthcare environment
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Case Study: TNT Express
BT Global Trace Drive operational efficiency The business drivers:
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•
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Enhance visibility of all elements across their supply chain
Accelerate delivery of spare parts to the field
Optimise the efficiency of the reverse logistics process Daily & weekly performance reporting across multiple systems
The BT Solution:
• Supply chain event data capture
• Full connectivity with mainstream ERP & supply chain partner systems • Data conversion to EPCIS standards
• TNT‐branded access portal • Real time alerting based on business rules • Data query tool , Data storage
• Reporting engine and dashboards The benefits:
• Each order processed needs to meet a service level agreement, which includes a maximum delivery time. • Automating the processing of orders using BT Global Trace saves 19 to 20 minutes from the total delivery window – which can be 2hrs • By reducing or eliminating manual data entry, costs are reduced and efficiency is increased. Equates to a saving of 36hrs / week
• Automatic alerts and resultant improved reactions have enabled TNT to enhance delivery times by 16% to Ericsson
“ What is really exciting is we can now spot any hidden dangers before they turn into real problems. We can understand precisely where there is any inefficiency and so re‐engineer or fine tune our processes accordingly. Ultimately this approach will transform the quality of our service to customers
Paul Witham
Strategy Management Officer
”
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Visual Analytics
BT Assure Analytics
• Software algorithms to visually analyse data
• Applicable to structured and unstructured data feeds (e.g. alarms, reports, news feeds, blogs or tweets)
• Exploits BT Intellectual Property (3 core and 9 related patents created & filed to date)
What happened before?
• Few automated means for analysing anomalies and correlation
What happens now?
• Massive reduction in time to identify abnormal patterns Benefits
• Radically speeds up and simplifies analysis of complex associations (hours Æ seconds)
• Reduces manual effort (by 66%)
• Enables user to interact with and enhance data during the analysis process
• Combines computer strength (speed/volume) with human insight (common sense) © British Telecommunications plc
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Visual Analytics – application areas
Protect BT
Cyber SOC
Application
areas
Enabling
technologies
Fleet Management
Visual Analytics
Global Threat Monitoring
Retail‐ Customer feedback and Sales Analysis
AI
Cable Theft
Social Media Monitoring
Mining – Productivity and Utilisation analysis
Network Management
Data mining
Web technologies
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Smart Vehicles
[Video to be played at this point]
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BT’s role in Bosch’s eCall solution
Interactive Voice Response using BT Cloud Contact (customer “talks” to voice computer at beginning of call)
Inbound service: BT routes call from vehicle to eCall service platform
Global network: BT connects 27 contact centre sites around the world and routes calls to the relevant agents / enables conferencing and hand‐over (e.g. to deal with multiple languages)
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Smart Sensoring How the Internet of Things can create a better world The next Internet Wave: Internet of Things & Services
Smart social care
Smart Car
Create a
better world Smart Enterprise
Smart Energy Smart City
Smart Transport © British Telecommunications plc
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Real‐life examples of BT creating a better world The next internet wave: Internet of Things & Services
Create a better world • In Cornwall we have 1,200 telehealth and 11,000 telecare users • 93% of patients getting a benefit, making their trips to the GP more appropriate or reducing need to be seen by a clinician
• £155,705 has been saved by avoiding 57 admissions from a cohort of 100 patients • 6:1 investment return
• Ethical hacking over wi‐fi/4G etc
• Artificial intelligence to monitor planned attacks • Secure distribution of software to vehicles; safe removal of malware from vehicles • Unique in car gateway being developed with Formula 1 partner to search for abnormalities, and connect safely to cloud service
• State‐of‐the‐art Data Hub ‐ Intelligent planning and usage of resources across city
• An integrated, open environment for big data • Supports development of consumption and behaviour models
• Digitally enabled growth with 14,500 jobs safeguarded
• New business opportunities + £150 pc GVA. That's £36m for MK by 2026
• Department of Transport – UK’s first ‘internet‐connected’ road
• JUMPA – Journey Planning & Prediction
• Traffic Incident Alerting
• Travel Dashboard
• Driver Behaviour and Driver Assist
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What is BT’s strategic pathway?
THE SMART ECONOMY
Smart Living
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Intelligent Transport
Smart Buildings
Smart Emergency services
Smart Energy Grids
Smart networks
Sustainability
Smart Public services
Smart Information
Smart Communities
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M2M
Business Smart
Traffic Mgt, Toll Roads, Parking, Energy
generation, Public service delivery
Service Platforms,
IT systems, applications
Sensors, microchips, gateways
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Energy Management
Smart Entertainment Communication
Smart Payments
Social networks
Electric Vehicles
Personal Navigation
Home monitoring
Neighbourhood networking
Community Healthcare e‐Education
Social networks
Smart public services
Environmental sensing
Smart policing
Local energy networks
Smart Services
Remote Healthcare, public eServices, environmental monitoring
Assisted living, Public security CCTV, Public transport
Smart Homes
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Smart meters
Home Security
Ambient Devices
Media Hub
Home Networks
Building monitoring
Communications
Home Smart
Home monitoring, energy management
Home networking, media management
Networks and SFBB, Wireless connectivity
SIM Modules, low power radio
M2M
Smart Cities
Infrastructure to deliver smart services
Smart Technology
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Innovating in Service
[Video to be played at this point]
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…bringing everything together in our global customer and innovation showcases
Community & local government
Agile Bank – banking & finance
Community & local government
Retail & supply chain
The home 2.0 & superfast broadband
Global showcase
SME showcase
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