CBSi B2B IoT Priorities Charts APAC June, 2018

Big Picture – The Landscape COMPANY INVOLVEMENT CURRENTLY USING IOT VENDORS USED TO ANALYSE AND MANAGE DATA OS for IoT Device 52% 42% 54% 72% Use Android Followed by: Windows CS/Windows 7 Compact -27% Red Hat Linux-17% Oracle Jave ME Embedded-17% Using off the shelf software applications either commercial or open source This is followed closely by 50% who are using in-house developed software for their IoT. Of companies surveyed said they were either developing services for/or using IoT Use Microsoft Azure Tools, including: Stream Analytics Azure Data IBM Streaming Analytics and Watson Analytics ran second with 25%

Big Picture – The Landscape SOFTWARE/ PLATFORM FOR IoT IoT BUDGETS VENDORS USED TO ANALYSE AND MANAGE DATA IoT DECISION MAKER 55% Have 50%+ of ICT budget related to IoT 6% 70% 42% Unaware of what software being used for IoT 13% Use Intel Gateway as their software stack/platform for devices 8% use Siemens Use Microsoft Azure Tools, including: Stream Analytics Azure Data IBM Streaming Analytics and Watson Analytics ran second with 25% SAS- 18%; Amazon Kinesis – 14%; Splunk – 11% Main role was to evaluate and recommend products and services 37% were the final decision makers 28% say it comes from a broad mix, no primary source 20% <50% ICT budgets directed at IoT 20% reallocated from existing IT

Big Picture – The Landscape IOT ADOPTION SMART ADOPTION TOP THREE IOT USES TOP VENDORS TO WORK WITH IN NEXT 12 MONTHS 48% >70% 54% ? Network Solutions: Cisco HP Microsoft Consulting: IBM Cloud/Data Centre: Amazon Google Software and Tools IBM; Microsoft; Apple Oracle ? Plan to adopt: Smart Retail – 82% Smart Logistics - 80% Smart Factory - 78% Smart Healthcare - 71% Smart Grid and Smart Agriculture – 70% Use IoT to increase efficiency/lower operational costs 43% use it to increase customer experience 39% use it to create new business/revenue stream Are new from scratch initiatives 27% expanding IoT based on earlier efforts 26% upgrading or making improvements

Big Picture – The Landscape CLOUD MODELS THAT BEST SUIT IOT PROJECTS SECURITY MAJOR IOT SECURITY RISKS 44% >55% 47% Hybrid Cloud 27% Private Cloud 17% upgrading or making improvements Find the growth in M2M connections and big data have only a little impact to the risk of customer data breaches 22% Were adamant there’s no rises in risk 18% believe there’s a lot of risk due to growth in M2M and big data Major reasons for risk: Access control taken over - 59% Outside control of systems/device - 58% Cyberattacks to interrupt critical data streams - 55% Managing deployed devices - 55% Secure storage of data - 55%

Big Picture – FUTURE: Next 24 Months 60% 66% 55% 59% Facilities management were likely to deploy IoT Looking at IoT for transport department Deploying IoT for research and development; and marketing Field Services; production; manufacturing; and operations 50% ICT

Big Picture – IoT Challenges for Business 35% 26% 23% 44% Costs (more so for – SMEs) Ensuring SECURITY of IoT network/ devices Learning curves related to new technology Found the scale of their IoT deployments greater than anitcipated

Big Picture – IoT Objectives 21% 12% 23% 36% Integrating IoT into existing proprietary networks Finding staff with needed IoT skill sets Plan to complete a a formal audit to identify all IoT and M2M based activity Turning to third parties to deal with security

IoT Overview

APAC: Company Involvement CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following is your company involved in? BASE: TOTAL INVOLVED

APAC: Currently Using Iot CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following is your company currently using for your IoT projects/implementations? BASE: TOTAL ACTIVE INVOLVED

APAC: Currently Using Iot CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following is your company currently using for your IoT projects/implementations? BASE: TOTAL ACTIVE INVOLVED

APAC: Vendors used to manage and analyze data CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel APAC: Vendors used to manage and analyze data What tools are you currently using to manage and analyze data from IoT? BASE: USE OFF-THE-SHELF APPS

APAC: os used for devices CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel APAC: os used for devices Which OS(s) are you using for IoT devices? BASE: TOTAL ACTIVE INVOLVED

APAC: Software/platform used for iot CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following is your company currently using for your IoT projects/implementations? BASE: TOTAL ACTIVE INVOLVED

APAC: Standards used for iot CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following standards are you following or expect to be following? BASE: TOTAL ACTIVE INVOLVED

IoT users

APAC: Iot budget allocation What portion of your ICT budget is directly related to your IoT initiatives? BASE: UTILIZE IOT Where budget is coming from… A broad mix, no primary source 28% Reallocated from existing IT budgets 20% Net new, incremental budget 17% Reallocated from existing LOB budgets 7% From start-up/investor/incubation funds 6%

APAC: role in Iot What is your role in product and/or service acquisition and implementation for IoT related initiatives in your company? BASE: UTILISE IOT

APAC: iot current level of interest Which of the following best describe your company's position on IoT? BASE: UTILISE IOT

APAC: Iot Efforts What percent of your IoT efforts are directed toward each of the following? BASE: UTILIZE IOT

APAC: Enterprise Oriented ioT areas using CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following Enterprise oriented IoT areas is your company using or planning to adopt? BASE: UTILIZE IOT

APAC: Priority of business objectives CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Please indicate the priority of objectives/business outcomes that your company is trying to address with IoT efforts. BASE: UTILIZE IOT

APAC: iot vendors CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel And which of the following vendors are you likely to work with in the next 24 months in each of the following areas as it pertains to IoT initiatives? BASE: UTILIZE IOT

APAC: Priority of business objectives CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Please indicate the priority of objectives/business outcomes that your company is trying to address with IoT efforts. BASE: UTILIZE IOT Top 2 Rating – Favorable/Somewhat Favorable Bottom 2 Rating – Unfavorable/Somewhat Unfavorable

APAC: iot deployment CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which functional areas of your company are deploying and using IoT solutions , and which have plans or are likely to do so in the next 24 months? BASE: UTILIZE IOT

APAC: top challenges for using iot CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel What are the top three challenges you experience in using IoT at your company? BASE: UTILIZE IOT

APAC: iot audit and outcome CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Has your company conducted a formal audit to identify all IoT/Machine-to-machine based activity? BASE: UTILISE IOT How would you characterize the outcome of that audit? BASE: UTILISE IOT

IoT developers

APAC: involvement CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Regarding your company's IoT efforts, in which of the following IoT areas does your company make or market products or services? BASE: DEVELOP OR PROVIDE SMART DEVICE TO OR SERVICE TO SUPPORT IOT

APAC: role in it CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel APAC: role in it What is your role in product and/or service acquisition and implementation for IoT related initiatives in your company? BASE: DEVELOP OR PROVIDE SMART DEVICE TO OR SERVICE TO SUPPORT IOT

APAC: iot current level of interest CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following best describe your company's position on IoT? BASE: DEVELOP OR PROVIDE SMART DEVICE TO OR SERVICE TO SUPPORT IOT

APAC: consumer orientated iot areas involved CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel APAC: consumer orientated iot areas involved Which of the following consumer oriented IoT areas is your company involved with providing? BASE: DEVELOP OR PROVIDE SMART DEVICE TO OR SERVICE TO SUPPORT IOT

APAC: iot infrastructure areas involved CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following IoT Infrastructure areas is your company involved with? BASE: DEVELOP OR PROVIDE SMART DEVICE TO OR SERVICE TO SUPPORT IOT

Cloud and IoT

APAC: benefits of cloud CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Cloud computing can create a powerful synergy with IoT to improve results. Regardless of whether you are supporting your IoT with cloud computing today, how beneficial would each of the following be in supporting your IoT deployments? BASE: TOTAL ACTIVE INVOLVED

APAC: best cloud model CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Which of the following cloud computing models would you say BEST fit your overall IoT strategy? BASE: TOTAL ACTIVE INVOLVED

IoT security

APAC: risk assessment CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel Compared to 24 months ago, how has the growth in machine-to-machine connections (e.g. the Internet of Things) and big data impacted the risk of customer data breaches for your organization? BASE: TOTAL ACTIVE INVOLVED

APAC: significance of security threats CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel In relation to all potential security threats in your ICT environment, how significant do you regard each of the following security elements related to IoT? BASE: TOTAL ACTIVE INVOLVED

Sample demographics

APAC: job function & firmographics CHARTS AND GRAPHS: You can change the colors of any BAR, Line or Slice by clicking on it and selecting a new fill color from the SHAPE FILL Panel What is your primary job function? BASE: TOTAL ACTIVE INVOLVED Top Industries Software Development 16% Education/Training Services 11% Business Services/Consulting (Computer-related) 10% Banking/Accounting/Financial Services/Insurance 5% Research and Development 4% Government-Local/State/Federal 4% Average co size: 1,959

METHODOLOGY Random user intercept site survey fielded on ZDNet.com and TechRepublic.com Respondents qualified as involved in the purchase, implementation or on-going management of IoT solutions Fielded – October 2, 2017 – March 14, 2018 Sample size = 399 qualified

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