Connecting the Dots: How the IoTS Changes Multi-Domain Enterprises Matthias Illing, Robert Bosch GmbH

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1 Connecting the Dots: How the IoTS Changes Multi-Domain Enterprises Matthias Illing, Robert Bosch GmbH 1 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

2 Agenda 1. The Internet of Things 2. Connecting business domains 3. Application examples 4. Challenges 5. Conclusions 2 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Internet The Driver of Change Number of devices 1,000,000,000,000 Web 0 Web 1.

0 Linking the physical and virtual worlds Connecting Business Models 1,000,000,000

Business Services Java, XML 1,000 Browser, Web Server 1995 2000 2005 2020 3 AE/EPI

3 Internet The Driver of Change Number of devices 1,000,000,000,000 Web 0 Web 1.0 Web 2.0 Internet of Things and Services Web 3.0 Linking the physical and virtual worlds Connecting Business Models 1,000,000,000 1,000,000 Connecting Documents Connecting Companies Connecting People Web Service Business Services Java, XML 1,000 Browser, Web Server AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

IoTS - Everyone & Everything Connected 5 billion People connected Devices connected 6.

062 billion vehicles 0.019 billion in telemedicine 0.070 billion in security 7.3bn 0.

000 billion mobile phones 1995 2005 2015 1.498 billion laptops 0.895 billion desktops 0.

4 IoTS - Everyone & Everything Connected 5 billion People connected Devices connected billion devices in billion World population People connected to the internet billion vehicles billion in telemedicine billion in security 7.3bn billion smart meters 5.7bn 6.5bn billion TVs billion tablets 3 billion 0,7% 15% 75% billion mobile phones billion laptops billion desktops billion servers 2 billion 1 billion AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

IOTS is based on Smart Things IoT Formula for Success THING IT [HW SW] THING-BASED FUNCTION [Local Business models known] IT-BASED SERVICE [Global Business models required] A B Example FUNCTION:

5 IOTS is based on Smart Things IoT Formula for Success THING IT [HW SW] THING-BASED FUNCTION [Local Business models known] IT-BASED SERVICE [Global Business models required] A B Example FUNCTION: Drive from A to B Example SERVICE: Send ambulance in case of accident (detected by sensors) Source: University of St. Gallen, Prof. Dr. Elgar Fleisch 5 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

6 Megatrends in a Fast Changing World CO 2 -reduction and energy efficiency New mobility concepts Demography Urbanization ConnectedWorld Globalization 6 C/OFE1-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

The Bosch Group at a Glance (Key Figures 2013*) Bosch Group 46,1 billion euros in sales 281,000

world s largest suppliers of automotive technology Industrial Technology Leading in drive and

Goods Leading manufacturer of security technology and global market leader for residential

appliances *NB Bosch no longer includes fifty-fifty joint ventures in its accounting (mainly

Current figures for sales, result, and headcount are comparable with 2012 figures to a limited

7 The Bosch Group at a Glance (Key Figures 2013*) Bosch Group 46,1 billion euros in sales 281,000 associates 47,000 R&D associates in 93 locations worldwide Automotive Technology One of the world s largest suppliers of automotive technology Industrial Technology Leading in drive and control technology, packaging, and process technology Energy and Building Technology Consumer Goods Leading manufacturer of security technology and global market leader for residential heating systems Leading supplier of power tools and accessories Leading supplier of household appliances *NB Bosch no longer includes fifty-fifty joint ventures in its accounting (mainly concerns BSH Bosch und Siemens Hausgeräte GmbH and ZF Lenksysteme GmbH). Current figures for sales, result, and headcount are comparable with 2012 figures to a limited extent only. 7 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Expansion of competencies for IOT Services Transformation of domain specific knowhow into services Automotive specific project management System and device integration into IoTS Multibrand vehicle

8 Expansion of competencies for IOT Services Transformation of domain specific knowhow into services Automotive specific project management System and device integration into IoTS Multibrand vehicle integration Data Analytics to generate Knowledge from data Access to in-vehicle data Software technology Agent-based services (ecall) Security IT infrastructure & technology The competence portfolio Communication technology Experience with UX and HMI in automotive environment Experience in automotive Embedded systems & sensors Access to cloud-based content Evolution of knowhow and potential for partnership 8 Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Internet of Things: Vision Industry Mobility Energy Smart Home Smart City 9 By 2015 more than 6 billion devices will be connected to the Internet of Things resulting in new

9 Internet of Things: Vision Industry Mobility Energy Smart Home Smart City 9 By 2015 more than 6 billion devices will be connected to the Internet of Things resulting in new business models and IT based services INST/P, CM/PJ-T, C/AI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Connected world creates new market opportunities Power Plant Mgmt Distributed ren. energy Smart Grid Energy Mgmt. Home Automation Smart Home Industry 4.

10 Connected world creates new market opportunities Power Plant Mgmt Distributed ren. energy Smart Grid Energy Mgmt. Home Automation Smart Home Industry 4.0 Preventive Maintenanc EV Charging Logistics Cloud Services Automotive Smart City Street Lighting Autonomous Driving Parking Management Fleet Management Car Sharing New cooperation models /partnering 10 AE/EPI Illing 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

11 Internet of Things and Services City Enterprise Mobility Life Energy Industry Service Service Service Service Service Service Layer Application Fields Applications, solutions and services for industry sectors Applications, solutions and services for industry sectors Internet of Services Agile composition of business processes, rules and data Linking business services and system function Flexible composition of system functions and real world data Integration Devices, Systems and System of Systems Internet of Things 11 BPM : Business Process Management BRM: Business Rules Management AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

12 Fleet Management Services to various customer groups Fleet-Management Web portal B2B 24 / 7 B2C On demand OES workshops B2B/C 24 / 7 -> regularly App Services Independent aftermarket workshops Leasing / Rental Car Insurances ecall-center 12 Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Fleet Management Solutions Basic Connected Advanced Fleet Productivity Optimizing the number of vehicles, routes and admin expenses Driving Behavior Optimization of operating costs and driving safety

13 Fleet Management Solutions Basic Connected Advanced Fleet Productivity Optimizing the number of vehicles, routes and admin expenses Driving Behavior Optimization of operating costs and driving safety Vehicle State Protection against loss of value Fleet Administration Master data, Reporting, Controlling elogbook Digital Logbook Vehicle Eco Driving Diagnostics Reducing fuel consumption & CO 2 emissions Optimized Contract Monitor data of contracts More customer contacts Pool Optimization Dispatching / Scheduling Green Zones Prevent theft Protection from Abuse purpose Proactive Vehicle Diagnostics Mainten. Opt. workshop intervals Cost reduction Reservation, Vehicle Diagnostics Pickup & Return Cost reduction for car rental process Safety Driving Reduce the frequency of accidents Accident Recorder Accident data recorder & reconstruction Dynamic Order Mgmt.. Resource optimization in logistics Car Theft Protection Prevent vehicle theft Integrated Data- and process integration in customer s IT landscape Backend server with access to enterprise services of customer Seamless integration into existing IT landscape Plug-in SDK for custom adapter 13 Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Automated driving supported by cloud service highly robust in all use cases surround sensing protection against technical failure and deliberate attacks safety and security quality of map data global

14 Automated driving supported by cloud service highly robust in all use cases surround sensing protection against technical failure and deliberate attacks safety and security quality of map data global standards and clear liability HMI and driver legislation distraction system architecture redundancies for sensing, ECUs, and actuation required (fail operational) map data always precise and up-to-date 14 Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

15 Automated driving - dynamic map data Data provider Collection of sensor data from vehicles Cloud Up-todate data Dynamic layers High dynamic info with absolute location Low dynamic info with absolute location Temporary regional info 30 e. g. Hazard spots e. g. Speed limits e. g. Traffic information Localization map for automated driving Digital static map 15 Highly automated driving requires latest high-precision map data Aggregated information processing and delivery via the cloud - Normalized data attributes to adapt to vehicle specific sensor information Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Logistics - railroad tracker service 16 BCDS 11/16/2014 Robert Bosch GmbH 2014.

monitor Geolocalisation 17 BCDS 11/16/2014 Robert Bosch GmbH 2014.

17 Logistics - railroad tracker service Functions and Components Mobile communication (GPRS) Mileage Impacts Device Portal Geofencing Load monitor Geolocalisation 17 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Smart Home Example Gigaset Elements 18 AE/EPI 11/16/2014 Robert Bosch GmbH 2014.

19 Smart Home System, Services Services Cooperations, Partnering Service Technology 19 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

20 Bosch Thermotechnology Service & maintenance Connectivity Commercial boilers, CHP units, use of waste heat Solar thermal systems Domestic hot water heating Air conditioning and ventilation Heat pumps Heating systems Heat pumps 20 TT/ESY2 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

21 Integration of heatings into building automation systems Installed in prefab houses from Okal, Massa, Allkauf Router Buderus boilers can be integrated into smart home systems from My Gekko and RWE Simplified control, fewer operating units Increased comfort ("heating on demand") Reduced costs (avoidance of stand-by mode) Buderus already has three standard webenabled boiler series in the market 21 Thermotechnology TT/ESY2 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

22 Internet of Things and Services City Enterprise Mobility Life Energy Industry Service Service Service Service Service Service Layer Application Fields Applications, solutions and services for industry sectors Applications, solutions and services for industry sectors Internet of Services Agile composition of business processes, rules and data Linking business services and system function Flexible composition of system functions and real world data Integration Devices, Systems and System of Systems Internet of Things 22 BPM : Business Process Management BRM: Business Rules Management CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

23 Solution Architecture Portal Applications Device Management Applications Device Abstraction Device Data Device Access Event Management Data Analysis Big Data CRM Field Force ERP Logistic Network protocols Agents Edge Controller Device & Machine Level Direct Nodes Indirect Nodes CRM = Customer Relationship Management, ERP=Enterprise Resource Planning, M2M=Machine to Machine 23 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Process Execution Portal for user interaction Integr

24 M2M Device Management (M2M) BPM Business Process Management (BPM) BRM Business Rules Management (BRM) Agent Agent Agent- - - Hub Hub Hub M2M Central Registry BPM BRM Device Management Device Abstraction Event Management Software Provisioning Identity Management Process Modeling Process Execution Portal for user interaction Integration layer with ESB (e.g. SAP, ) Define actions according to certain events Recommendations for actions 24 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

25 Internet of Things and Services City Enterprise Mobility Life Energy Industry Service Service Service Service Service Service Layer Application Fields Applications, solutions and services for industry sectors Applications, solutions and services for industry sectors Internet of Services Agile composition of business processes, rules and data Linking business services and system function Flexible composition of system functions and real world data Data Acquisition and Access Integration Devices, Systems and System of Systems Internet of Things 25 BPM : Business Process Management BRM: Business Rules Management CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

26 Internet of Things Connected Smart Devices Multiple sensors Connectivity Microcontroller Embedded Software IoTS Power management Small form factor Wireless Connected Smart Sensors and Actuators: Enabler for the IoTS 26 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Ubiquitous smart devices Enabler MEMS Internet of

Automotive 2 nd wave 1 st wave 1990 2000 2010 2020

27 Ubiquitous smart devices Enabler MEMS Internet of Things (IoT) 3 rd wave Consumer Electronics Automotive 2 nd wave 1 st wave MEMS = Micro Electro Mechanical System BCDS/PRM 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Today s state-of-the-art portfolio 3-axis sensors

microphones Accelerometer Gyroscope Magnetometer

Application Specific Sensor Nodes (ASSNs, incl.

Environmental Unit Analog and digital MEMS

for mobile devices Sensor data-fusion software

BST/Marketing 11/16/2014 Robert Bosch GmbH 2014.

28 Today s state-of-the-art portfolio 3-axis sensors 6-axis sensors 9-axis sensors environmental microphones Accelerometer Gyroscope Magnetometer ecompass IMU Absolute Orientation Sensor Application Specific Sensor Nodes (ASSNs, incl. µc) Barometric Pressure Sensor Integrated Environmental Unit Analog and digital MEMS microphones (Akustica) High quality voice input for mobile devices Sensor data-fusion software ties everything together 28 Bosch Sensortec BST/Marketing 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Smart Home Intrusion Sensor Sensors & Functions Acceleration Gyroscope Geomagnetic

000 closing cycles assumed) Applications Home safety monitoring Energy efficiency

detection Flexible usage for doors and windows Extendibility to many different use

29 Smart Home Intrusion Sensor Sensors & Functions Acceleration Gyroscope Geomagnetic sensor Buzzer Battery life time: up to two years ( closing cycles assumed) Applications Home safety monitoring Energy efficiency management Ambient Assisted Living Benefits Easy and fast installation Multiple event detection Flexible usage for doors and windows Extendibility to many different use cases 29 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

30 Agenda 1. The Internet of Things 2. Connecting business domains 3. Application examples 4. Challenges 5. Conclusions 30 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Platforms for efficient re-use Connected Devices Platform

3 axis angular rate 3 axis magnetic field Temperature

connectivity Low energy consumption Secure data handling

examples 31 BCDS 11/16/2014 Robert Bosch GmbH 2014.

31 Platforms for efficient re-use Connected Devices Platform Door / Window Ambient Sensing & Acting 3 axis acceleration 3 axis angular rate 3 axis magnetic field Temperature Pressure Humidity Sound Light Current Features Wireless connectivity Low energy consumption Secure data handling Application specific Software Low emission (radio) Design examples 31 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

32 Small, Autonomous, Intelligent Sensor Nodes Pressure Humidity Volume Temperature 32 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

33 My Automotive Spin Connectivity Platform CCU Use case Connectivity Control Unit Platform Connected Truck Connected Coach Connected Trailer Connected Car Toll Collection Connected Fleet OEM business Project business CCU for integration into CV driver working place incl. remote diagnosis, fleet- and workload management. CCU for Bus Rapid Transport Systems (BRT) incl. Infotainment and diagnosis applications CCU for vehicle and cargo monitoring as well as fleet management. CCU for vehicle communication CCU for electronic road charging application CCU for remote vehicle diagnosis and fleet management 33 Car Multimedia CM/PJ-T 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Security Challenges Password theft or cracking Portals and

sniffing, ) Internet Permanently changing and developing

hacking or theft, Application layer attacks, Identity theft

34 Security Challenges Password theft or cracking Portals and Apps Protocol and network layer attacks (e.g. sniffing, ) Internet Permanently changing and developing security threats Enterprise Systems Local Gateway DNS hacking man-in-the middle (e.g. spoofing) Application layer attacks (e.g. Buffer overflow, cross site scripting) Devices Hardware hacking or theft, Application layer attacks, Identity theft Denial of Service Attacks (DoS) (e.g. using botnets) Backend and Cloud Runtime 34 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

35 Security Concepts Identity Management (Authentication) Portals and Apps Data encryption, Key management Internet Security Architecture and Concepts - Design Time - Runtime Enterprise Systems Devices Local Gateway Trusted Platform Module (TPM), firewall, port filtering and blocking, identity assurance Client & Server certificates, certificate management Demilitarized Zone (DMZ), firewall, packet filtering, reverse proxy Authentication, Authorization, and Accounting (AAA) Management Backend and Cloud Runtime Denial of Service (DoS ) Attack Detection 35 BCDS 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

Standardization Device modelling Current Status: - Many different standardization efforts

the field for long time Initiative: -Idea: Introduce meta-level for device model description

-VORTO: - Eclipse foundation project proposed 10/14 - initial contribution 1Q15 36 AE/EPI

36 Standardization Device modelling Current Status: - Many different standardization efforts -active in one or more layers of communication stack - none dominant, likely to have many in the field for long time Initiative: -Idea: Introduce meta-level for device model description -Tool to create device models easily. Translation to and from existing implementations. -VORTO: - Eclipse foundation project proposed 10/14 - initial contribution 1Q15 36 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

37 Standards Wireless Emerging Technologies Many options for Radio (PHY/MAC) -Preferred solution depends on application and even region New standards initiatives coming up frequently -High effort to follow -Which ones to engage in actively? LoRa 37 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

38 Summary Many different standards lead to poor interoperability and increased effort in development and variant management. Work to be done on bridging standards. IOTS applications require smart things, connectivity, domain knowhow, infrastructure and service. Active knowledge management and partnering essential. Innovation and new business is at the boundaries and intersections of existing business fields. The IOTS is an enabler for these opportunities! 38 AE/EPI 11/16/2014 Robert Bosch GmbH All rights reserved, also regarding any disposal, exploitation, reproduction, editing,

STRATEGIES FOR THE MOBILITY TRANSFORMATION HANNO MIORINI, ROBERT BOSCH GROUP

STRATEGIES FOR THE MOBILITY TRANSFORMATION HANNO MIORINI, ROBERT BOSCH GROUP Bosch four business sectors Key Figures 2017* Bosch Group 78.0 billion euros in sales Our objective: To develop innovative,