NMT, a regional standard supporting roaming, entered commercial service in Sweden and Norway in 1981 – a decade before the launch of GSM. willingness and ability to develop M2M/IoT (Internet of Things) solutions which will find their test-bed in home markets first.” Hatton credits Telenor Connexion as a first mover in M2M, establishing a good global business before other telcos realised there was much of an opportunity. Similarly, he notes that Ericsson’s Device Connection Platform is evidence of a strong software play in the region. The innovative mindset extends into internet-based business models such Spotify, iZettle and Klarna according to Robert Brunbäck, VP of Marketing, at Telenor Connexion. And, let’s not forget, the founders of Skype included a Swede and a Dane. The Economist Economic Unit recently reported that the Nordic countries are world leaders in broadband internet connections, IT knowledge and IT investments. For this reason, many companies use Scandinavia as a test-bed. “People are considered to be open to new ideas, curious and willing to try out new technologies and services,” says Brunbäck. Huawei, Intel, Motorola, Oracle, Symantec and ZTE are among the foreign companies conducting research and development in Sweden. Brunbäck also observes that the small size of the domestic Nordic economies forces local OEMs – which include car, truck, medical equipment and security product manufacturers – to focus on exports. “In order to keep competitive edge, some have been early pioneers in utilising connectivity for enhancing their core product.” Volvo’s collaboration with Telenor Connexion and Ericsson on connected cars is a prime example. Small populations can also mean that labour is expensive so finding ways to automate systems through M2M is seen as natural, according to Hatton. An ageing population is another driver. Patrik Björkman, deputy CEO of Maingate, a supplier of smart energy solutions for the home, enterprise and grids, notes that technology is recognised as a way of delivering good services to all. To date, public policy appears to have been a positive influence. The mandating of connected smart meters by the Swedish Government helped bolster the M2M sector by guaranteeing several million connections and nurturing an ecosystem according to Hatton. Brunbäck agrees: “We can now see a second wave where new services are developed on top of the new connected meter infrastructure.”
Commending Helsinki City Transport as a good example, Hatton says that making public transport and other ’smart cities’ data available to application developers – with minimal strings attached – attracts developers and helps create an IoT application ecosystem. Magnus Melander, CEO, B3 Connect Compute AB, describes data as “the gold of M2M” and service enablers as the missing piece between the generic networks and the application where the information is analysed. “Companies need to be specialists to provide a proper context to the information collected, processed and distributed,” he says. He founded the Swedish M2M Service Enablers Alliance, which currently boasts 16 members, to exploit the combination of available ICT skills, international outlook and “our peculiar consensus-style decision making.” A manufacturer of smart meters and smart metering systems, Kamstrup sees the ability to collaborate as vital. Even though the company offers a comprehensive portfolio, Kamstrup often finds that clients have legacy systems with which they must integrate. “The ability to co-operate with other specialist companies allows Kamstrup to offer more to its clients,” says CEO, Per Asmussen. The company has formalised partnerships with a number of other Nordic vendors including Tekla of Finland, Norway’s Powel and Denmark’s Grid Manager. However, partnerships in America show the company’s horizon extends well beyond their home region.
Matt Hatton, Machina Research: Finding ways to automate systems through M2M is seen as natural
The author is Ian Volans, an independent consultant and writer with more than 25 years’ mobile communications experience
But can Scandinavia sustain its leadership? Brunbäck is optimistic. “As more things, people, and processes are connected, the value will increase exponentially if data is captured, managed and visualised in the right way.” Hatton is slightly more cautious. “When it comes to engineering and connectivity then Scandinavia can claim a lead. However, as things shift towards a more open and internet-like model – where the application developer is king – the focus is very definitely in the internet heartland of Silicon Valley.” Driven by the imperatives of its ageing demographics and often sparsely populated topography, Björkman sees healthcare as one area where the region can continue to trail-blaze. “The engineering heritage is one of the keys to this, we focus on it and it’s our DNA.”
(See www.m2mnow.biz for more examples of M2M in Nordic countries.)
M2M Now December 2013
29