1. AT&T buys AlienVault:
AT&T has announced plans to acquire cybersecurity company AlienVault. Terms of the deal were not disclosed.
Founded in 2007, AlienVault offers a number of tools for detecting and responding to security threats through its Unified Security Management (USM) platform, while its Open Threat Exchange (OTX) platform serves as an online community where security professionals and researchers can share their latest findings and threat data.
2. AT&T to offer NB-IoT:
AT& already offers cellular LPWAN services (LTE Category 1 and LTE Category M1) for its IoT customers who want to connect devices, assets and equipment to the cloud. Now, AT&T says NB-IoT opens up new use cases for IoT. However, the company did not reveal pricing for its NB-IoT data plan(s).
“We already are using LTE-M, and based on a lot of customer feedback we felt that we needed complementary services for other use cases, such as in a fixed asset tracking environment with very low bandwidth uses,” said Shiraz Hasan, VP, IoT solutions at AT&T. “The motivation is cost savings primarily, and the other thing is the ability to utilize the tech a little better because it penetrates even better than LTE-M.”
Shiraz said AT&T has a lot of customers in the security and alarm industries, and that many of these companies are evaluating IoT technology and learning that NB-IoT may serve their needs best. Alarms and locks are often located deep within buildings, so using cellular connectivity to monitor equipment health requires radio transmissions that can penetrate thick walls.
AT&T says it will launch a narrowband internet of things network across the US and Mexico in 2019. “Adding NB-IoT to our portfolio will expand our LPWA capabilities, help drive investment in our evolution to 5G, and support our customers as they deploy IoT solutions across the US and Mexico,” said Chris Penrose, AT&T’s president of IoT Solutions.
“Adding NB-IoT to our portfolio will expand our LPWA capabilities, help drive investment in our evolution to 5G, and support our customers as they deploy IoT solutions across the US and Mexico.”
“It really spans every industry out there, connected cars is one of our biggest verticals where we’re adding over a million cars every quarter; we’ve got tons going on in healthcare, agriculture, retail, manufacturing, and asset tracking,” Penrose told ZDNet.
“You name it, we’ve got different solutions out there, and I think we’ve really established ourselves as a true global player; that’s one of the things we also like to say, we can make it happen for you anywhere in the world.”
According to Penrose, AT&T sees smart cities as being a big area, with traction happening in four to five areas: Energy, such as smart lighting; water, including leak detection, smart irrigation, and water quality maintenance; transportation, for instance parking and optimising traffic flow; and smart infrastructure, including roads and bridges.
“We’ve got solutions in all of those different areas, where we’re able to bring to the cities these kind of solutions that they can deploy into their cities to be able to address those particular areas,” he said.
As a result, AT&T created a series of spotlight cities across Dallas, Atlanta, Chicago, Miami, Portland,, Montgomery County, Mexico City, and various college campus environments wherein it allowed the cities themselves to choose what they wanted to solve, and then worked with them to meet those needs.
Verizon will initiate its NG-PON2 deployments in Tampa, FL, with Calix network equipment. The telco is expected to use the technology for higher-speed enterprise broadband, small-cell and fixed wireless backhaul. “We’re looking at this platform to cover residential, business and wireless carriers,” said Verizon’s Vincent O’Byrne.
Verizon and other carriers are expected to use NG-PON2 to support higher-speed business services, as well as backhaul for small cell networks. In Verizon’s case, the technology also will be used to provide backhaul for fixed wireless, according to O’Byrne.
“As we go forward, we’re looking at this platform to cover residential, business and wireless carriers,” said O’Byrne. NG-PON2 will be the access portion of Verizon’s vision for the “intelligent edge” network, which also will comprise unified transport and core network changes, he said. “NG-PON2 is the part that hits customers,” he added.
Although the Tampa, FL NG-PON2 deployment will use equipment from Calix, Verizon continues to test a second supplier in the lab, O’Byrne said.
The NG-PON2 equipment that service providers initially will deploy will support four wavelengths, but providers can turn up just a single wavelength to start or can add an additional four wavelengths in the future, O’Byrne said.
Each wavelength can support 10 Gbps in each direction, supporting speeds of up to 8.5 Gbps for customer traffic. NG-PON2 standards specify a bonding option that would enable a service provider to combine multiple wavelengths together to support a single higher-speed connection, he explained.
Verizon has been testing NG-PON2 in the laboratory for several years. The Tampa customer trials, which will run for about three months, will make sure the carrier has the IT systems in place to support the offering, O’Byrne noted. A key function that will be examined is the ability to move services between wavelengths — a capability that will provide added protection from the consumer perspective and will enable Verizon to load balance. O’Byrne noted that during light traffic periods, Verizon might reduce the amount of power used by shifting customers to a single wavelength and turning off some line cards.
“You would have to be within Verizon to see the amount of positivity that is there that is similar to when we started to launch FiOS,” said O’Byrne, in an interview with Light Reading.
“We have a lot of big initiatives. These are exciting times. We do see ourselves on a positive cusp or tide of deploying new technologies and making a lot of changes to the network.” Vincent O’Byrne in an earlier video interview with Broadband World News. Vincent O’Byrne in an earlier video interview with Broadband World News. Those changes fit into what Verizon calls its Intelligent Network Edge strategy, designed to simplify and reduce costs across its network by eliminating the need for three separate network infrastructures and also speed its ability to deliver higher-speed services and bring fiber backhaul to the growing set of antennas that 5G deployment will require. Verizon had named two vendors for NG-PON 2 — ADTRAN Inc. and Calix.
It’s now moving forward initially with Calix because that vendor “was, from a timeline perspective, ahead and ready to go out and we have a need to get this deployment out there,” O’Byrne said.
Calix CEO and President Carl Russo shares O’Byrne’s excitement about what this move might mean for the bigger market. He credits Verizon with being willing and able to move quickly in adopting not just a new PON technology but a new overall approach to access networks. “When someone like Verizon, who is known for technical leadership and engineering orientation starts to deploy, it’s kind of like firing off the starting gun to the market saying, ‘Okay guys, this technology is go,’ ” he says in an interview.
“That doesn’t mean everybody rushes to it, it means you now have that legitimacy, that this is a production choice [operators] can make, as opposed to, ‘I’m not quite sure it’s ready.’ Now the market begins.”
Russo was impressed with the speed at which Verizon is working and the Agile processes it is using. “It has been an interesting partner approach because they have functioned as an Agile partner, it has been quite enjoyable,” he says. “It’s been hard, too, but they have engaged in a way that a lot of large customers find difficult to engage. There is a lot more exciting stuff coming, this market is real and it is going to get realer.” Verizon isn’t saying where it will initially deploy NG-PON 2 in Tampa because that will be a marketing decision, O’Byrne says, and will be driven by customer demand. Because NG-PON 2 can use the same physical fiber infrastructure that is already in use by GPON, Verizon will choose to deploy where customers need more than 1 Gbit/s service, he says. Because it’s newer, NG-PON 2 technology costs more than GPON, but those costs are offset by savings in many areas, as part of the transition to an intelligent edge and software-defined access.
For example, the AXOS E9-2 Intelligent Edge System combines subscriber management, aggregation and optical line terminal (OLT) functions into a single box, which offers both power and space savings and significant operational efficiencies, including greater automation, O’Byrne says. The net result is speeds up to 40 Gbit/s throughput and tunable optics for essentially the same cost. “The ability to move all three service sets into one box saves us an inordinate amount of money from processing, and just the ability to increase the speed at which we can provision systems reduces our OSS complexities that we would have,” O’Byrne says.
“That is why this overall intelligent edge network, we kind of see it as a big emphasis within the company.”
The Verizon executive says the company is continuing to work in the labs with Adtran. He calls it “standard practice” to work with two vendors, and move forward first with one and then the other. Thanks to the interoperability trial work that Verizon has already done, producing the Verizon OMCI specification — which is being incorporated into the ITU-T G.988 standard — Calix and Adtran gear will have common interfaces, he says. (See Verizon Proves NG-PON2 Interoperability). For Calix, however, this does represent market validation of its five-year journey to become a software platform company, Russo said.
“This helps people understand just how much that transformation has been completed,” he says. “AXOS being deployed at this level should make it clear what is going on with us, as a platform software company.” When Verizon was doing OSS work on FiOS we were working with the group in Tampa to make it operational. They were doing all the development there. That is consistent with your post Carol. The real question is this part of the rollout of 5G or is it a residential play. My guess is the former. Verizon was quiet open about the services to be offered when FiOS rolled out.
According to a Verizon spokesman, the company still has facilities in Tampa, and that is where they are doing the production testing of the systems and the various technology elements involved in the Intelligent Edge Network, including NGPON2. As Vincent O’Byrne says in the story, the company hasn’t publicly announced what services it will be offering as that is a marketing choice. The spokesman says that “over time we expect to support residential, business and wireless use cases. Once the testing is completed, I expect we’d have more to announce in terms of details.”
While the backhaul connection to the central office for GPON is 2.5 Gbps, that number rises to as much as 80 Gbps for NG-PON2, explained Calix CEO Carl Russo in a separate interview. But “that’s actually not the big thing” about NG-PON2, according to Russo. The big thing, he said, is “all the wavelengths and what they can do for you.”
The way Calix thinks about NG-PON2, he said, is that “it delivers the physical layer we’ve been in pursuit of for 10 years.”
The “efficiency of a shared PON,” he said, includes “the ability of a wavelength to run in a non-shared fashion – you can basically have a point-to-point connection.”
NG-PON2, he said, could be thought of as “the physical layer for unified access.”
Calix had to make some modifications to its existing NG-PON2 equipment to meet Verizon’s needs for its converged access network, Russo noted. A key requirement was the ability to switch wavelengths on the fly in less than 25 milliseconds.
“That is a very challenging target to hit,” Russo said.
According to Russo, Verizon also will use Calix’s AXOS software-based management system to support “always on” operation. Modifications can be made to the network without taking the network out of service, Russo said.
Russo expects to see carriers deploying both GPON and NG-PON2 for years to come. The technology that may get squeezed is XGS-PON – an alternative approach to boosting FTTP speeds and capacity that adds only a single wavelength to existing PON infrastructure and which some people viewed as an intermediate technology until NG-PON2 was available, he said.
A new by 5G Americas whitepaper, titled “LTE Progress Leading to the 5G Massive Internet of Things”is an overview of the technological advancements that will support the expanding IoT vertical markets, including connected cars and wearables. The term Massive IoT (MIoT) has been recently created by the telecom industry to refer to the connection for potentially large number of devices and machines that will call for further definition in the standards for LTE and later for 5G.
The generic requirements for IoT are low cost, energy efficiency, ubiquitous coverage, and scalability (ability to support a large number of connected machines in a network). To legacy operators, IoT services should ideally be able to leverage their existing infrastructure and co-exist with other services. In the 3GPP Release
13 standard, eMTC and NB-IoT were introduced. These technologies met the above generic IoT requirements. They support in-band or guard band operations. Device cost and complexity are reduced. A large quantity of IoT devices can be supported in a network while battery life is extended. Many of the related features were covered in the 5G Americas whitepaper, LTE and 5G Technologies Enabling the Internet of Things.
Jean Au, staff manager, technical marketing, Qualcomm Technologies, and co-leader of the whitepaper said: “Some cellular service providers in the U.S. are already adding more IoT connections than mobile phone connections, and the efforts at 3GPP in defining standards for the successful deployment of a wide variety of services across multiple industries will contribute to the growing success for consumers and the enterprise.”
At present, low-power wide area networks (LPWANs) are already gaining popularity and it is expected that cellular-based technologies including LTE-M (Machine) and Narrowband-IoT (NB-IoT) will emerge as the foremost standards for LPWA by 2020.
Wireless network operators will have the option to choose from several Cellular IoT (CIoT) technologies depending on their spectrum portfolio, legacy networks and requirements of the services they offer.
Vicki Livingston, head of communications, 5G Americas, said:
“There will be a wide range of IoT use cases in the future, and the market is now expanding toward both Massive IoT deployment as well as more advanced solutions that may be categorized as Critical IoT.”
According to Research and Markets, the global IoT platform market will grow at a CAGR of 31.79 percent from 2017 to 2021. The large number of active IoT devices collect data through sensors and actuators and transmit the back to a centralized location. The IoT platform empowers the end-user to make informed decisions using the data. Together with design innovations in 5G architectures, cloud-native edge computing platforms ensure Industrial IoT (IIoT) applications can be run in a cost-effective manner.
Addendum: IDC’s IoT Forecast
Worldwide spending on the Internet of Things (IoT) is forecast to reach $772.5 billion in 2018, an increase of 14.6% over the $674 billion that will be spent in 2017. A new update to the International Data Corporation (IDC) Worldwide Semiannual Internet of Things Spending Guide forecasts worldwide IoT spending to sustain a compound annual growth rate (CAGR) of 14.4% through the 2017-2021 forecast period surpassing the $1 trillion mark in 2020 and reaching $1.1 trillion in 2021.
IoT hardware will be the largest technology category in 2018 with $239 billion going largely toward modules and sensors along with some spending on infrastructure and security. Services will be the second largest technology category, followed by software and connectivity. Software spending will be led by application software along with analytics software, IoT platforms, and security software. Software will also be the fastest growing technology segment with a five-year CAGR of 16.1%. Services spending will also grow at a faster rate than overall spending with a CAGR of 15.1% and will nearly equal hardware spending by the end of the forecast.
“By 2021, more than 55% of spending on IoT projects will be for software and services. This is directly in line with results from IDC’s 2017 Global IoT Decision Maker Survey where organizations indicate that software and services are the key areas of focused investment for their IoT projects,” said Carrie MacGillivray, vice president, Internet of Things and Mobility at IDC. “Software creates the foundation upon which IoT applications and use cases can be realized. However, it is the services that help bring all the technology elements together to create a comprehensive solution that will benefit organizations and help them achieve a quicker time to value.”
The industries that are expected to spend the most on IoT solutions in 2018 are manufacturing ($189 billion), transportation ($85 billion), and utilities ($73 billion). IoT spending among manufacturers will be largely focused on solutions that support manufacturing operations and production asset management. In transportation, two thirds of IoT spending will go toward freight monitoring, followed by fleet management. IoT spending in the utilities industry will be dominated by smart grids for electricity, gas, and water. Cross-Industry IoT spending, which represent use cases common to all industries, such as connected vehicles and smart buildings, will be nearly $92 billion in 2018 and rank among the top areas of spending throughout the five-year forecast.
“Consumer IoT spending will reach $62 billion in 2018, making it the fourth largest industry segment. The leading consumer use cases will be related to the smart home, including home automation, security, and smart appliances,” said Marcus Torchia, research director, Customer Insights & Analysis. “Smart appliances will experience strong spending growth over the five-year forecast period and will help to make consumer the fastest growing industry segment with an overall CAGR of 21.0%.”
Asia/Pacific (excluding Japan) (APeJ) will be the geographic region with the most IoT spending in 2018 – $312 billion – followed by North America (the United States and Canada) at $203 billion and Europe, the Middle East, and Africa (EMEA) at $171 billion. China will be the country with the largest IoT spending total in 2018 ($209 billion), driven by investments from manufacturing, utilities, and government. IoT spending in the United States will total $194 billion in 2018, led by manufacturing, transportation, and the consumer segment. Japan ($68 billion) and Korea ($29 billion) will be the third and fourth largest countries in 2018, with IoT spending largely driven by the manufacturing industry. Latin America will deliver the fastest overall growth in IoT spending with a five-year CAGR of 28.3%.
The Worldwide Semiannual Internet of Things Spending Guide forecasts IoT spending for 14technologies and 54 use cases across 20 vertical industries in eight regions and 53 countries. Unlike any other research in the industry, the comprehensive spending guide was designed to help vendors clearly understand the industry-specific opportunity for IoT technologies today.
The global satellite M2M and IoT market is expected to grow to $2.9 billion in revenue by 2026, according to satellite based market research company NSR.
This growth will be driven by over 6.8 million in-service terminals, NSR said in their new report. Potential applications include (see chart below): land transport and especially cargo tracking, which is expected to be the most profitable and sought after segment of the emerging industry.
“Revenues are growing year-over-year across each of the 22 applications NSR identified, and will accelerate as new M2M capacity supply, in the form of new constellations, come online in the medium term,” NSR senior analyst and lead report author Alan Crisp said.
“Most increases in new demand for M2M service today stem from basic product offerings, as for many use cases bandwidth requirements remain in the kilobyte range,” Crisp added.
While most M2M and IoT services require only low bandwidth, NSR also predicts that over the next decade some verticals will demand additional bandwidth to support applications such as big data analytics, engine telematics and live data streaming.
The report states that a number of small satellite constellations will target low bandwidth and latency insensitive applications in agriculture and tracking market segments.
Despite the huge revenues predicted, the report notes that despite growing demand for IoT satellite services, the business case for IoT exclusive satellite constellations has yet to be proven – especially considering the exponential growth of LPWANs, LTE-M and NB-IoT terrestrial networks for IoT.
For example, last week China Mobile-Hong Kong demonstrated a smart parking service carried over its commercial NB-IoT network. Meanwhile, rival wireless network operators 3 Hong Kong (part of Hutchinson-HK) and SmarTone have also made recent announcements of NB-IoT deployments. 3 HK and Huawei have built the NB-IoT infrastructure with NB-IoT modules designed in accordance with the 3GPP standard to facilitate tests and development of NB-IoT applications.
This report answers key questions on the satellite M2M/IoT market:
- Which applications, frequencies and regions exhibit the greatest growth potential?
- How important are latency, security and high bandwidth requirements for upcoming M2M/IoT applications?
- What role will small satellites have with IoT connected devices, and how will this impact the existing satellite M2M/IoT operators?
- How can satellite benefit from the growth of Low Power Wide Area networks?
China Telecom’s 3 New IoT Partnerships:
China Telecom has entered three new partnership agreements aimed at accelerating the development of services based on an Internet of Things (IoT) open platform.
The operator has announced an expanded partnership with HKT to cover the development of a common IoT open platform to serve the operators’ customers in the combined geographical footprints of mainland China and Hong Kong.
With the arrangement, each network operator’s customers will be able to deploy IoT and M2M services on the other’s network.
The joint offering will allow seamless switching of IoT subscription between networks by integrating the two commonly-deployed embedded universal integrated circuit card platforms. The multi-domestic service is supported by the Ericsson Device Connection Platform (DCP).
China Telecom also announced a similar strategic partnership with Norway-based Telenor Group. That partnership will allow customers from China Telecom and Telenor Connexion to deploy IoT and Machine-to-Machine (M2M) services in each other’s network. It enables China Telecom’s multi-national enterprise customers with outbound IoT business to deploy their assets and offerings under Telenor Connexion’s networks in the European and other Asian Markets.
Similarly, Telenor Connexion’s global customers can enjoy the benefits of the rapidly growing Chinese market by leveraging on China Telecom’s IoT network resources and business capabilities. The seamless switching of IoT subscription between networks is achieved by the integration of the two commonly deployed eUICC platforms which are the key component of IoT collaboration across borders.
To recap, China Telecom’s multi-national enterprise customers will gain access to Telenor Connexion’s IoT networks in Europe and Asian markets, and will serve as Telenor Connexion’s preferred partner for connectivity in China.
A separate agreement with Orange Business Services will enable both companies to serve their respective enterprise customers through a combined footprint across three continents – Asia, Europe and Africa.
The network operators have also agreed to collaborate on the development of new service models supporting global IoT opportunities and to explore the potential of enhancing existing IoT capabilities and applying emerging technologies such as mobile IoT.
GSMA functions to connect participants throughout the global mobile communications ecosystem, including almost 800 operators and over 300 enterprises. The association lays significant emphasis on addressing common concerns to best serve the interests of mobile operators worldwide. GSMA’s “Best IoT Innovation for Mobile Networks” award identifies and rewards Internet of Things (IoT) products, solutions, services, and new business models to highlight innovative breakthroughs based on new technological developments and standards of mobile networks.
Huawei’s NB-IoT solution comprises an NB-IoT terminal chipset, terminal operation system LiteOS, NB-IoT RAN and EPC, OceanConnect (a cloud platform for IoT management), and OpenLab that helps related enterprises develop IoT services and applications. The goal of the Huawei NB-IoT solution is to jointly build a better connected IoT solution and ecosystem with operators and partners from a diverse range of vertical industries. Huawei was the first to launch associated products after 3GPP released standards formulated for NB-IoT – one of multiple competing “standards” for Low Power WANs (LPWANs) targeted at the (non LAN) IoT market.
In 2016, Huawei began conducting NB-IoT trial applications in conjunction with mainstream network operators and partners. In early 2017, Huawei launched Boudica120, the world’s first commercial NB-IoT chip.