M2M & IoTthe 4th Industrial Revolutionandthe Service Economy Roberto Siagri,

Chairman & CEO, Eurotech SpA

Manufacturing Industry is in Transformation

by the forces of:

‐ deregulation‐ technology‐ globalization ‐ competitive pressure

Steam Engine Assembly Line

Computer M2M

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in the 21st century,

we won't experience 100 years of progress

it will be more like 20,000 years of progress

The Law of Accelerating Returns

Ray Kurzweil

The pace of change is accelerating : be prepared!

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2⁰

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IoT/M2M is not about

Products & Technologies is about

Transition

Which Transition ?

both service companies and manufacturers 

are moving more dramatically into services

6

Vandermerwe and Rada, 1988 

is happening in almost all industries on a global scale

Servitization

a Services EconomyTh

e bi

ll

Time

Innovation

Custom Products

Commodity

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The most important technologies “disappear”

Standard Products

Utility/ as a Service

Diffusion‐Co

st

• Open & Industry Standards

• Standard  Computer HW components

• Cloud computing

• Standard   SW components

TimeCo

st‐Ubiqu

ity Z‐curve S‐curve

M2M/IoT : Commoditization of  distributed systems 

The Data Economy

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Value

Abbundace

Atoms

Data

A lighter GDP

The dawn of a New Smart World

Transforming Bits of Data at the Edge of the Network

into Actionable Information & Knowledge in the

Users’ hands will bring about the biggest

change in industry since the steam engine

Software is Eating The World *

Companies in every industry need to assume that a software

revolution is coming…

(*)Marc Andreessen

Software Complexity (or Cost)  is“naturally” growing

Cos

t--C

ompl

exity

TimeHW

SW

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Wirth’s law: “Software gets slower faster than hardware gets faster”

With the Cloud  TechnologySoftware Complexity (and Cost)  is going down (…for a while) 

Cos

t--C

ompl

exity

TimeHW

SW

14

Wirth’s law: “Software gets slower faster than hardware gets faster”

The integration Platform as a Service

The  Cloud reverse pyramid

SaasPaaS

Iaas

How to harness the complexity of IoTDecoupling Data-Producers from Data-Consumers

1- scale elastically

2- enable new services

3- reuse and combine

IoTInfrastructure Solution

Operational TechnologyBuilding Block

Data-Producers

Data-Consumers

How to harness the complexity of IoTDecoupling Data-Producers from Data-Consumers

1- scale elastically

2- enable new services

3- reuse and combine

Data-Producers

Data-Consumers

Connecting the field at the EnterpriseFour Layers and Two Architectural Components

Business Apps

Multi-ServiceGateway

M2MIntegrationPlatform

ActIntegrate,

StoreControlConnect

+Communicate

Compute Collect

@

Field Interfaces

Enterprise Service Bus

Field - Devices

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2

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ESF

(Everyware Software Framework)

ESF

(Everyware Software Framework)

EC (Everyware Cloud)

EC (Everyware Cloud)

iPaaS: Everyware CloudCustomers Vertical  APP Business APP Social 

Accessible by multiple users at the same time

remote maintenance and remote supervision

data management and device management

More data More services

Every business today is 

producing a lot of Data 

that can be turn into 

very valuable

Information.

Data

Re‐Thinking

• Products• Value Add• Business Model• Business Processes

Tomorrow

The evolution  will  most probably extinguish  the products that will not offer services

www.eurotech.com

Thank You!