Post on 05-Dec-2014
description
Beeline Business
Aleksey Nazarov, B2B Marketing Director 24/04/2013
Ecosystem with solutions for remote objects control and management via wireless devices and mobile network. Includes personal devices (e.g. PNDs, e-readers, logistics tablets, etc.) - with NO p2p communication or public internet access
What is M2M?
Devices Modules
Connectivity
VAS
Service (Refined data)
Connectivity management
Application SES*
* Service Enablement Services (IT politics management, service activation/deactivation)
M2M solution (e.g. fleet management system)
M2M market is growing fast
Global market is expected to double in the next 4 years
180148
1109887
+20% p.a.
2015F 14F 13F 12F 2011
USD Billions
Key drivers - WORLD market: • Growth of transport monitoring
market including lead automotive companies with new services for their own customers (multimedia systems in cars, technical monitoring, etc.)
• Growth of Consumer Electronics market (connected PNDs, e-readers, gaming, etc)
Key drivers - RUSSIAN market: • Growth of transport monitoring
market including ERA GLONASS program which will be launched in Russia in 2013 (with potential +2M connected cars each year*)
• Automation and modernization of automatic control systems (energy, municipal services , industry, etc.)
SOURCE: Machina research "Mobile operator strategy for success in M2M", September, 2012; McKinsey & VIP team analysis
Effective M2M strategy for Operator is 3 key directions development:
Connectivity
M2M Complex Solutions for all verticals
3 strategic areas to develop in M2M
M2M globalization and strategic alliances
M2M verticals Possible solutions Vertical market Possible solutions Players Example
Automation and monitoring
▪ Automated Meter Reading/Management (AMR/AMM)
▪ Remote measuring of pollution/weather data
▪ Remote measuring of meter/other device data in order to reduce leakage and operational cost
▪ Teliasonera turnkey contract with Vattenfall for data reading, management, and maintenance of meters in Sweden and Finland
Transpor- tation and logistics
▪ Fleet management ▪ Container tracking ▪ Inventory management
▪ Keep track of trucks, containers, and rental cars to optimize fleet logistics and locate stolen vehicles/ containers
▪ Orange “Fleetlink” service allows to track compliance on rules of drivers’ working hours
Security
▪ Automated alarm system ▪ Access control ▪ Facility management
▪ Active monitoring of alarm systems, facilities with guaranteed communication through a dual signal path
▪ Vodafone and Securitas agreement for an M2M WW network (150k connections in France and Sweden in Dec ’05)
Automotive
▪ Telematics ▪ Pay-as-you drive insurance
policies
▪ In-car diagnostic and repair assistance anywhere and any time
▪ Price discrimination on insurance premium as function of real usage of the vehicle
▪ Norwich Union’s «pay-as-you-drive insurance»: free installation of GPS on vehicle, assistance button for 24h access to help in case of accident/breakdown
Payments and POS
▪ Mobile payments ▪ Electronic toll collection ▪ Cash registers and vending
machines
▪ Wireless payments of transactions with remote monitoring of cash registers’ activities (e.g., tax evasion) and vending machines
▪ Development of a network directly connecting cash registers in Serbia with the local tax authority to improve VAT forecast
Healthcare
▪ Patient monitoring ▪ Electronic health cards and
hospital equipment
▪ Proactive patient care through wireless health devices and advanced analysis of diagnostic
▪ Accenture project for the development of a “lifeshirt” monitoring 30 physiological indicators with remote transmission of data to analytic engine for diagnostic
SOURCE: Company Web sites
Key focus – expansion of presence in value chain
Devices Modules
Connectivity
VAS
Service (Refined data)
Connectivity management
Application SES*
* Service Enablement Services (IT politics management, service activation/deactivation)
M2M solution (e.g. fleet management system)
Due to M2M value chain development with M2M Connectivity management we do: • Stabilize the ARPU • Achieved great success with APPMb +12% increase in 2012 • Lower the impact on the network with MbOU decrease -22%
Value chain expanding
Value creation
High Low
▪ Most international TelCos enter the solution space in software integration and sometimes even in software and hardware development
Player
Hardware Solution Connectivity
Hardware development
Solution integration
Traffic and data transmission
Solution development
SOURCE: operator website, press, Ovum, Yankee, McKinsey & VIP team analysis
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Strategy realization at VimpelCom
data
В2В Customer
1. М2М connectivity development
Example: Together with Jasper Wirelss VimpelCom launched in 2010 new solution for Russian market – multifunctional platform for M2M connectivity management– M2M Control Center
SIM & Connectivity management
2. M2M complex solutions launch (end-to-end services)
Example: product ‘Automonitoring’– fleet management system for online transport monitoring and additional information on its history and other parameters.
Strategic partnerships and alliances
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The M2M multioperator Alliance was founded in July 2012 Goal: to provide global seamless M2M solution for multinational companies all over the world Today it consists of 8 world operators
The Alliance is: 8 operators >35 countries
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Thank you