1. IoT and Smart Environments: Emerging Business Opportunities and their Use Cases Giorgio Micheletti, IDC EMEA Brussels, 25. March 2015

2. 1.The Study: What We Did and How 2.The IoT Ecosystem and key Trends 3.The Vision of IoT in 2020: Market Size and Forecast 4.Emerging Markets and Business Opportunities 2 Table of Content

3. 3 The Study «Definition of a Research and Innovation Policy leveraging Cloud Computing and IoT Combination» (SMART 2013/0037) Entrusted by the DG Connect, Unit E.1 IDC EMEA TXT e-Solutions To:

4. 4 What we did and how Overview on IoT Digital Ecosystem Focus on emerginig markets + potential business opportunities (IoT, Cloud and Big Data) Develop IoT Research & Innovation Strategy to support IoT market take-up Extensive econdary research Primary research -> expert interviews Stakeholders’ Workshop Market modeling for IoT market size and forecast (3 alternative scenarios). HOW WHAT

5. 5 The IoT Ecosystem Vendors providing components to solutions providers IoT Solutions & Services’ Suppliers to enterprise customers Customers using IoT solutions

6. 6 Ecosystystem and Trends Cloud computing Big Data Connectivity Smart Devices Horizontal Platforms Technology Push Demand Pull Demographics Public sector Business demand Consumer demand Solidly established but constantly changing Partnering is essential Verticals is where action is taking place Supply driven but powerful demand forces at play

7. 7 Market Size & Forecast: Baseline Scenario Source: IDC, 2014 Installed Base of IoT Connections in EU28 IoT Revenues in EU28 EUR 307 Billion 6+ Billion 2013 2020 2013 EUR 1,181 Billion 1.8 Billion 2020

8. 8 Market Size & Forecast: Vertical View Source: IDC, 2014 Finance and Utilities will grow faster than EU average Manufacturing will be biggest in 2020, followed by Public Sector and Finance

9. 9 From Verticals to Smart Environments Business Opportunities Identified Smart Environments A new concept to understand the complexity

10. 10 Smart Environments & Business Opportunities: Comparative Assessment Source: IDC, 2014

11. Main opportunities related to home security, energy applications and household appliances. Smart Homes: Main Use Cases New opportunity-rich use cases

12. Personal wellness applications and the varied world of wearable devices constitute the number- one opportunity area Smart Health: Main Use Cases New opportunity-rich use cases

13. Already fertile ground for IoT solutions and applications Smart Manufacturing: Main Use Cases New opportunity-rich use cases

14. Driven mainly by retail-oriented opportunities Smart Customer Experience: Main Use Cases New opportunity-rich use case

15. Thank you! Giorgio Micheletti gmicheletti@idc.com

16. Highest increase in number of use cases by 2020 Followers in the expansion of use cases Most Important Use Cases 2014, 2020