The Evolving Role of Operators. in Delivering M2M

Size: px
Start display at page:

Download "The Evolving Role of Operators. in Delivering M2M"

Transcription

1

2 The Evolving Role of Operators Agenda in Delivering M2M Introduction Operator Roles Challenges Conclusion Speaker: Buket Tuna Ericsson

3 M2M A Different Business From best effort to embedded, business critical communication From national focus to international deployments From pure telco expertise to industry expertise From owning the service From standard infrastructure serving all customers to be part of an integrated solution to dedicated infrastructure for M2M customers only From retail focus to enterprise focused business models and M2M customers need to be served differently!

4 M2M Business Models B2B2C Typical Example: Operator agreement with e-reader ASP ASP has direct relationship with end consumer and bills customer directly Operator is more an enabler: No specific additional value add provided by the operator other than network services End consumer has no interface with the operator and does not deal with the operator B2B2B Typical Example: Operator agreement with MVNO that provides services to Smart Energy providers MVNO has direct relationship with enterprise customer and bills customer directly Operator is more an enabler: No specific additional value add provided by the operator other than network services End customer has no interface with the operator and does not deal with the operator B2C Typical example: Selling consumer electronic devices with embedded modems (Internet picture frame, refrigerators, etc.) Consumer has to sign up for service with operator Operator may provide additional value add: Specialized services in that specific vertical (photo printing services, etc.) bundled or offered as subscriptions B2B Typical example: Remote electronic health record updates from doctors to hospitals over operator network Business agreement directly between Operator and Enterprise Customer Operator may provide additional value add: Specialized customer support services More stringent Service Level Agreements (SLA) Operator is a key service supplier rather than simply an enabler

5 Operator Scenarios In Verticals addressable needs and relative business models Cost efficient connectivity and more intelligent smart pipe services Enabling the M2M services creation and delivery incl device provisioning, update/rollback of device sw and firmware, data warehousing End Users and Verticals commercial offer management Applications for specific industry/customers incl e-2-e integration projects New market development - enables developers to create applications that take advantage of M2M data. Operator scenarios adressing verticals needs Connectivity provider Service Enabler E2E Solution Provider Value Added Market Maker Specific offer addressed by other market actors i.e service provider, enterprise, etc.

6 Operator roles in M2M solutions BUSINESS SOLUTION BUSINESS SOLUTION SERVICE ENABLEMENT SERVICE ENABLEMENT & PROVISIONING & PROVISIONING CONNECTIVITY CONNECTIVITY CHIP & MODULE CHIP & MODULE DEVICE/ MACHINE DEVICE/ MACHINE APPLICATIONS & CONTENT MANAGEMENT AGGREGATED GSM NETWORK DESIGN SERVICES Provisioning Billing API Reporting Diagnostics Personalization Secure SIM Feature Data & Role Security Flexible Plans & Subscriptions Rapid Certification Device Performance API Integration Certify with the network Execute SLA Partner for other services Host applications, development, storage, security and access 3 rd party connections Deliver industry-unique M2M services Install, maintain devices Activate, maintain, secure and operate VPN Rapid certification once for all countries Optimise network utilization Standards-based, fast and simple integration Source: Stratecast, Ericsson Consulting

7 M2M CHALLANGES Complex eco-system but will become significant business over time Much lower revenues per connection Huge diversity in devices, traffic and subscriptions M2M is a different business Very large number of connections Drives provisioning/operational costs Roaming Data Restrictions Complex multi sided business models Charging and billing in many directions Many charging parameters

8 Conclusion Operators need to make M2M simple to set up and use Operators have a role in M2M solutions reliable Operators becoming an integral part of their customers Operators should be involved earlier in the solution design Operators understand M2M strategic needs Partnership activities