INTELLIGENT BUILDINGS AND BIG DATA CABA RON ZIMMER, PRESIDENT GREG WALKER, RESEARCH DIRECTOR NAVIGANT RESEARCH NOAH GOLDSTEIN, RESEARCH DIRECTOR

Presentation Overview Section 1 » Overview of CABA Section 2 » Size of the Market Section 3 » Big Data and Intelligent Buildings

Overview of CABA

About CABA The Continental Automated Buildings Association (CABA) is an international not-for-profit industry association dedicated to the advancement of connected home and building technologies. The organization is supported by an international membership of over 300 organizations involved in the design, manufacture, installation and retailing of products relating to home automation and building automation. www.caba.org ©2015 Continental Automated Buildings Association. All rights reserved.

CABA Board of Directors ©2015 Continental Automated Buildings Association. All rights reserved.

CABA Vision “CABA accelerates growth in the connected home and intelligent buildings sectors.” ©2015 Continental Automated Buildings Association. All rights reserved.

What are Intelligent Buildings 24/7 Monitoring Breakdown Plant Tuning Conditioned Monitoring Car Park Utilisation FIRE Functionality checks Detector service Fire, Life, Safety ACCESS Doors Buildings Occupancy Feed Forward ENERGY Utility Monitoring (Elec/Water/Gas/Oil) Tenant Building Air/Water Heat Lighting Back-up Generation HVAC Air-Handling Unit, Boilers Pumps, Fans, Energy Control, Variable Air Volume, Air Quality LIFTS Maintenance Traffic Performance SECURITY PIR Integration LIGHTING Schedules Occupancy Sensing W G E COMMUNICATIONS Voice/Video/Data

SOME CABA MEMBERS AT LIGHTFAIR 3M Company Acuity Brands, Inc. Advanced Power Control, Inc. BACnet International Eaton's Cooper Controls Business Creston Electronics, Inc. CSA Group Daintree Networks, Inc. EMerge Alliance EnOcean Alliance Inc. Intermatic, Inc. LG Electronics, US Inc. Lutron Electronics Co., Inc. LUXUL MechoSystems, Inc. Panasonic Corporation Philips PLC Multipoint, Inc. Juno Lighting Group by Schneider Electric

Caba Research Project: Intelligent Building Market Sizing North America Size of the Market

“Intelligent Buildings Market Sizing North America” Research ©2015 Continental Automated Buildings Association. All rights reserved.

Non-Residential Building Stock – North America (USA & Canada) TOTAL 6.5 Million Buildings ©2015 Continental Automated Buildings Association. All rights reserved.

Networked lighting controls product market by wired and wireless

Lighting control product sales breakdown by new construction, refurbishment and retrofit

Lighting controls product market shares ©2015 Continental Automated Buildings Association. All rights reserved.

Lighting controls systems market Installation breakdown ©2015 Continental Automated Buildings Association. All rights reserved.

North American LED* driver market forecast

CABA Research Project: Big Data and Intelligent Buildings

About this Project CABA commissioned Navigant Research to lead this study with a collaborative framework that engaged sponsors from a cross-section of building technology solution providers. Research Objective: Examine new tools and resources emerging in the market to help companies filter, analyze, and use Big Data collected from their intelligent and integrated buildings. ©2015 Continental Automated Buildings Association. All rights reserved.

Diamond Sponsors Emerald Sponsors Sponsors ©2015 Continental Automated Buildings Association. All rights reserved.

Ruby Sponsors Sponsors Cont’d. ©2015 Continental Automated Buildings Association. All rights reserved.

About Navigant Research Navigant Research provides in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Energy Ecosystem. Research programs: Energy Technologies Utility Transformations Transportation Efficiencies Building Innovations Research Offerings: Research Reports Subscription Research Services Custom Market Research Custom Market Analysis Strategic Advisory Sessions Market Sizing and Forecasting Commercial Due Diligence Primary Research Technology Evaluation Go-to-Market Services ©2015 Continental Automated Buildings Association. All rights reserved.

What is Big Data with regards to intelligent buildings? Purpose of Project Big Data has the potential to have a profound impact on intelligent buildings What is Big Data with regards to intelligent buildings? What do customers think? How big of a market will this be? What are the opportunities? What is really happening in the market? ©2015 Continental Automated Buildings Association. All rights reserved.

Defining Big Data in Intelligent Buildings Big data in intelligent buildings is defined as: The next generation in business and operational intelligence derived from the analysis of data integrated across multiple streams or sources for the purposes of overall system understanding, performance, and optimization The term big data encompasses both the solution architecture and associated analytics ©2015 Continental Automated Buildings Association. All rights reserved.

Survey Findings On a scale of 1 to 5, where 1 is not knowledgeable at all and 5 is extremely knowledgeable, how do you rate your knowledge about the concept of big data and the application of big data to buildings? (n=400) ©2015 Continental Automated Buildings Association. All rights reserved.

Survey Findings On a scale of 1 to 5 where 1 is not important at all and 5 is extremely important, please rate how important the following factors are when making improvements to your building. (n=400) ©2015 Continental Automated Buildings Association. All rights reserved.

Survey Findings On a scale of 1 to 5, where 1 is not concerned at all and 5 is extremely concerned, how concerned are you about the following issues as it relates to data collected in your building? (n=400, 1 is not important at all and 5 is extremely important) ©2015 Continental Automated Buildings Association. All rights reserved.

Big Data in Intelligent Buildings Market Big Data in Intelligent Buildings Revenue, North America: 2015-2020 $512 $171 ©2015 Continental Automated Buildings Association. All rights reserved.

Market Dynamics: What needs to change? Bridge the Gap Market Dynamics for Big Data in Intelligent Buildings ©2015 Continental Automated Buildings Association. All rights reserved.

Market Maturity: How Can Provider Prepare Time to Educate On a scale of 1 to 5, where 1 is not knowledgeable at all and 5 is extremely knowledgeable, how do you rate your knowledge about the concept of big data and the application of big data to buildings? (n=400) ©2015 Continental Automated Buildings Association. All rights reserved.

Build Off Smart Solutions Solutions Offerings: How will Big Data become part of the Intelligent Building? Create Roadmaps Build Off Smart Solutions Big Data Solutions and the Convergence of Facilities, Business, and Energy Management ©2015 Continental Automated Buildings Association. All rights reserved.

Customer Value Propositions for Big Data Solution Offerings Value Propositions for Big Data Adoption: How will Big Data Change Intelligent Buildings? Customize the Message Customer Value Propositions for Big Data Solution Offerings ©2015 Continental Automated Buildings Association. All rights reserved.

Vancouver Coastal Health Authority Case Study: Eco Opera Showcases the benefits of the Eco Opera’s EcoCEO platform to optimize the building systems operation process Combination of ongoing commissioning and a performance measurement and verification (M&V) process Weekly reports for systems performance validation and/or systems fault detection Monthly reports offering detailed trend analysis Time-balanced commitment 5-minute review of the weekly reports 1-hour review of the monthly reports Vancouver Coastal Health Authority ©2015 Continental Automated Buildings Association. All rights reserved.

Seneca Manufacturing Facility: Schneider Electric Showcases Schneider Electric’s Building Analytics service to diagnose system inefficiencies, save energy, and cut costs Building Analytics service automatically analyzed the plant’s performance, comfort levels, energy, and maintenance Pre-designed daily diagnostic reports A complete ROI is typically achieved within 18 months using the service Seneca Manufacturing Facility ©2015 Continental Automated Buildings Association. All rights reserved.

2. Market for big data in intelligent buildings is nascent Major Findings 1. Big data in intelligent buildings represents a pinnacle in energy and operational management 2. Market for big data in intelligent buildings is nascent 3. Chasm between the technology and end-user readiness for big data in intelligent buildings 4. Customers prioritize investment on the economic impacts over all other benefits. 5. The majority of decision makers in the intelligent buildings market do not know how to define big data or understand the potential benefits of these new solutions. ©2015 Continental Automated Buildings Association. All rights reserved.

Major Findings Continuted 6. Data security is a major concern for customers, and technology providers have an opportunity to demonstrate how standards and procedures can protect businesses investing in big data solutions. 7. Those interested in big data require transparency in the ROI of building and operational improvements. 8. There is a lot of low-hanging fruit in building and operational improvements – many customers can still benefit from periodic reporting and analytics on existing building systems, and, as a result, many customers are not ready to adopt fully integrated big data solutions. ©2015 Continental Automated Buildings Association. All rights reserved.

CABA’s Connected Consumer Roadmap: Driven by the Internet of Things CURRENT SPONSORS

Zero Net Energy Buildings: Building Intelligent Controls Driving Success CURRENT SPONSORS

New CABA Landmark Research “Intelligent Buildings and Cybersecurity” This research project will provide a detailed look at: the state of the cybersecurity and intelligent buildings industry, how to prevent cybersecurity attacks, how to deal with and manage cybersecurity attacks, the future direction of cybersecurity in intelligent buildings and specific recommendations going forward. A number of industry expert interviews and stakeholder surveys will be conducted in this large comprehensive research project.

Next Steps and Contact Information Noah Goldstein, Navigant Research Director Email: Noah.Goldstein@Navigant.com Phone: 415.399.2131 Greg Walker, CABA Research Director Email: walker@caba.org Phone: 613.686.1814 x227 Ron Zimmer, CABA President & CEO Email: zimmer@caba.org Phone: 613.686.1814 x230