Haydn Thompson

Professor Haydn Thompson

Group

“THHINK and Do” Applications Engineering

“THHINK Ahead” Long Term Research

“THHINK IT Through” ICT Consultancy

“THHINK for itself” Autonomous Systems

Autonomous Systems Pty

Smart Anything Everywhere (Anytime)

Smart Applications

Self-Powered Phone

Micro-generator Autonomous Vehicles

Satellite Comms.

Remote Monitoring

Nuclear Monitoring

THHINK Cloud

Europe, USA, Japan

• Digitising European Industry • Public Private Partnerships • Cyber Physical Systems • Mixed Criticality Systems • Systems of Systems • Digital Manufacturing • Internet of Things • 5G • Robotics and AI • Business Innovation • Autonomous Vehicles • FP9 • EU-US with NIST • Intelligent Manufacturing Systems

• Energy Harvesting Technologies • Microgenerator • EU-Japan IoT and 5G

Hyper Connected Society Vision

Hyperconnectivity is the increasing digital interconnection of people – and things – anytime and anywhere. By 2020 there will be 50 billion networked devices. This level of connectivity will have profound social, political and economic consequences.

Silicon Labs.

McKinsey estimates that digitisation will potentially add 1

trillion EUR to the GDP in Europe

Importance of Digitisation

Source THHINK

Importance for Europe 30% of market

Autonomous Vehicles

Autonomous Cars

Different levels of autonomy

Predicted Opportunities

• Software industry will be main benefactor in a move to autonomy • This leads to a global market prediction of $42 Billion in 2025 and $77 Billion market in 2035 • Not all cars will be fully autonomous in the future and looking at the global market there will be a mix of vehicles

on the road with Advanced Driver Assist Systems (ADAS), partial autonomy and full autonomy. • Navigant Research indicate that the future market will be dominated by the Asia Pacific region with roughly equal

numbers of cars being sold in Europe and North America. Worldwide the total number of autonomous car sales was considered to be about 95 million.

• The biggest opportunities for companies are in the software sector as this will be a differentiator and also key to safety. This is expected to grow from $0.5 Billion today to $10 Billion in 2020 and $25 Billion in 2030. Here it is expected that Google and IBM will be major players.

Changes from Digitisation

Trend Towards Services

Products Services

ICT sector

Products Services

ICT sector

The trend

Business Models for Digitisation • What is ROI? • Technology is ready – but being held back by viable business model. How does anyone make

money out of IoT for instance? Data Ownership is a key issue • Money is made out of the data. “Will cost $150 a month but I need access to your data”. • Data is a hugely sensitive subject in Europe - GDPR

Digital Transformation

Digitising European Industry

Digitising European Industry

Digitising European Industry

Digitising European Industry • Leadership in digital technologies value chains • From vertical markets to mainstream • Access to latest technology (SMEs, Midcaps, non tech.) • Skilling our workforce for digital change • Adapting the legislation

Two Key Drivers • European Leadership in Platforms (and technology gateways) • Innovation Hubs

Connecting Fragmented Initiatives

H2020 and EU Instruments

The seven-year spend on research by

Brussels is €77 billion by 2020.

Key Technologies for Digitisation

ICT in H2020

H2020 Industrial Leadership - ICT

• A new generation of components and systems:

• engineering of advanced embedded and resource efficient components and systems

• Next generation computing:

• advanced and secure computing systems and technologies, including cloud computing

• Future Internet:

• software, hardware, infrastructures, technologies and services, IoT

• Content technologies and information management:

• ICT for digital content, cultural and creative industries

• Advanced interfaces and robots:

• robotics and smart spaces

• Micro- and nanoelectronics and photonics:

• key enabling technologies

Instruments

• H2020 LEIT – 3 partners – 100% funding – Research and Innovation Actions – Innovation Actions – Coordination and Support Actions

• EUROSTARS II (EUREKA/EU)

– 2 partners - transnational – UK 60% funding up to 360KEuros/NL 45% up to 500KEuros – Research Intensive – 1.2Bn Euros funding

SMEs Important

Definition

– <= 250 employees

– <= 50MEuros Annual Turnover

– <= 43MEuros Annual Balance Sheet

Reality

• 99% of EU Enterprises are SMEs (20.7M)

• 2/3 of jobs provided by SMEs

• 85% of new jobs created by SMEs

THHINK

SME Instrument (c.f. SBIR)

Executive Agency for SMEs - EASME

SME Instrument

– Can do by yourself!

– 3 Phases 1) 50K Euros

2) Typically 1.5MEuros

3) 0!

– 70% funding

– Get coaching

Digital Innovation Hubs

Manufacturing and Smart Anything Everywhere

Public Private Partnerships - ECSEL

• The ECSEL-JU (Electronic Components and Systems for European Leadership) programme was created from a merger of ARTEMIS-JU and the ENIAC-JU in June 2014 and will finish in 2024.

• ECSEL has coverage from industry in a number of areas including micro-/nanoelectronics, embedded and Cyber-Physical Systems and smart systems.

• The strategy of ECSEL is decided by a Governing Board which comprises the ARTEMIS Industry Association, AENEAS and EPoSS, participating states and the European Commission.

• ECSEL makes its own calls to fund R&I projects via the Public Authorities Board. • Call topics are agreed by participating states, associated countries and the European

Commission. • To date six calls have been launched and 39 projects have been selected for funding: 22

Research and Innovation Actions and 17 Innovations Actions. • The total funding for these is €1956.8 million with industry providing 56% of this, the

remainder being provided by the European Commission and Member States.

Platform Dependency

• GAFA platforms • Google $364.99 billion • Apple $598.73 billion • Facebook $245.00 billion • Amazon $247.60 billion • (Also Alibaba $231 billion)

• Opportunity for platforms targeted at manufacturing, autonomous cars, etc.

• To be successful it needs to be “industrial strength”, and supported by developers and users

• A key element of the DEI is concerted action to strengthen Europe’s leadership position in digital technologies and digital industrial platforms across value chains in all sectors of the economy

The Commission proposes the following actions: • Reinforce the role of public-private partnerships (PPPs) as coordinators of EU-wide R&I effort, national initiatives and

industrial strategies by focusing on key technologies and their integration including through large-scale federating projects

• Focus a significant part of the PPPs and national investments on cross-sectorial and integrated digital platforms and ecosystems, including reference implementations and experimentation environments in real-world settings

• Research and development of technology and systems building blocks: addressed through better alignment of national RD&I programmes, both with each other and with EU programmes around strategic priorities established in PPPs

• Development, validation and piloting of digital industrial platforms: addressed through co-investment in large-scale integration, testing and experimental facilities

• Roll-out of digital industrial platforms: addressed through co-investment in large-scale deployment actions (support to first production, infrastructure, etc.)

WG2 – Platforms – Bridging the Gap to Solutions

Budget • 300 MEuros allocated in 2018-2020 for

Platform Building • Each project will be about 15MEuros Areas • Digital Manufacturing Platforms, e.g.

Plug and Produce Equipment Platforms • Agricultural Digital Integration

Platforms • Smart Hospital of the Future & Smart

and Healthy Living at Home • Internet of Things for Energy : Smart

Homes and Grids • 5G for Connected and Automated

Driving • Also considering Construction Sector –

looking for money for this

New Calls for Platform Building

Leveraging Approach

FP9

• Preparations already underway and consultation up front with Member States 1st Q 2018

• 3rd Q 2018 Plan for FP9 will be issued – 77 Billion in H2020 - looking for 160 billion per year EC Budget

(target is 1 trillion for FP9) – Money for Digital Infrastructures and want to develop European

Platforms – Concerns over mergers and acquisitions – e.g. foreign

companies buying up European Tech companies. Looking at digital funds in the form of loans

– More outsourcing of project management

• Potential issues - Brexit March 2019, New European Parliament …

Lamy “Lab-Fab-App” Report

• Lab-Fab-App - laboratories, innovation fabrication and applications • Urges a doubling in funds

– Nothing less than €120 billion to address the failure rate problem (1 in 4 good proposals cannot be funded in H2020)

– Revamp EU state aid rules – European Research Council and Marie Skłodowska-Curie Actions should get more money – Problem stiff competition from other parts of the EU budget, e.g. agriculture and regional development

• Make FP9 simpler and more flexible – Focus more on results and goals rather than process and administration – Eliminate one third of funding “schemes, instruments and acronyms” – Audits should only be carried out when there is a suspicion of fraud or serious financial wrongdoing. – Give applicants choice between cost-based or lump sum funding for their project. The latter will eliminate

the need for cost reporting, timesheets and routine financial audits.

• Coordinate better with member-states and broader EU policies – Allocate/move responsibility for more agricultural and regional funding to innovation-related work giving

access to a €100 billion pot of money to invest in regions to improve their competitiveness and stimulate industrial innovation

• Define long-shot research goals to capture public imagination and involvement: – Achieving a plastic litter-free Europe by 2030 – Understanding the brain by 2030 – Producing steel with zero carbon in Europe by 2030 – Making three out of four patients survive cancer by 2034

• Create a new agency, the European Innovation Council, to coordinate most innovation-related programmes with the aim of investing in entrepreneurs and businesses (there is 5 times less VC funding in Europe than the USA!)

Effect of Brexit

“[The] full and continued engagement with the UK within the post-2020

EU R&I programme remains an obvious win-win for the UK and the EU. A

positive cooperation model should be established,”

Concluding Remarks

• Digitisation will transform the world we live in

• It will have social, political and economic consequences

• Huge opportunity for companies (1 trillion Euros)

• Aim is to coordinate fragmented activities across Europe via H2020 and in future by FP9

• Europe very good on connectivity but less advanced in data services (where there is real value and money to be made!)

• Look for new innovative business models