Category Archives: News & Analysis

NXP: ‘Industry needs to ensure IoT is simple and secure’

Internet of Things devices need to be simple and secure if customers are to adopt

Internet of Things devices need to be simple and secure if customers are to adopt

The entire telecoms industry needs to focus on ensuring the IoT delivers real value to consumers, and the security and user simplicity of connected devices should be of paramount importance, said Jeff Fonseca, the regional sales director, Americas at chip vendor NXP in an interview with Telecoms.com.

As an NFC specialist whose customer case examples in the contactless payments space include the London Underground’s contactless travel, the badges at MWC, and several banks’ EMV cards, NXP is increasingly focusing on IoT. According to Fonseca, securing connected devices is something that has to happen for consumers to really get on board with the IoT.

“What we bring in terms of IoT is really the security. All the [secure] stuff we do in passports, all the stuff we do on bank cards, and secure payments, getting you securely onto trains, that type of secure technology, embedding that and infusing that into other categories like IoT [is on our agenda].”

But he said it is not yet clear what exactly is behind the much hyped term. “Honestly, IoT is a big word that I don’t know has a true definition of what’s going to be the one key thing that is IoT. There’s so many moving pieces and parts the difficulty is really unwrapping that, and then making sure we know where we need to be on the trajectory with the right players and partners.

“We need to have ways to execute upon very good security and connectivity that is simple for consumers to use, and that is scalable. It [IoT] shouldn’t be just a buzz word, it should actually have usable value for the consumer.”

Fonseca said there’s not much point in having numerous connected devices in the home unless there’s one common way to communicate with them. “You’re not gona have 10 different devices that all talk a different language in your home, that’s not gona scale in the IoT space. But if you have the ability to have a few devices that talk a similar language, then consumers start to see value from the perspective of managing your home with your smartphone, for example.”

But with having billions of devices connected to the internet come security implications, and Fonseca said ensuring consumers’ security is a key consideration. “How does that work, and how does that work securely? How do you take the cloud and connect it down to these end-point devices in your home and still manage them with your smartphone or your tablet.

“These are the difficult conversations we all have to have as an industry to move in that direction to make sure that in the end it’s all about the consumer, and making sure that there’s an extremely simple and usable product for them. Even though it’s complex underneath to do all this stuff that has to happen in IoT, the consumer doesn’t care, the consumer just wants it to work and they want it to be secure.”

At the MWC 2015 NXP was showcasing its product portfolio, which on top of the technology to secure bank cards and passports also includes solutions for connected car, wireless mobile charging, and ‘smart-audio’ solutions that enhance voice and call clarity based on information passed on by algorithms designed to recognise the environment from which the call is made. The firm has also developed wireless, magnetic inductance-based earbuds as part of a concept it calls ‘true mobility’.

At the beginning of the month NXP announced its plan to acquire competitor Freescale Semiconductor. “We are going to acquire them and the announcement so far has stated that part of that [acquisition] is this IoT convergence play,” Fonesca said. “Freescale is very strong in that category as well, and we’ll see some obvious synergies from taking what NXP has and from what they can bring to the table towards an IoT play.”

Visit the world’s largest & most comprehensive IoT event – Internet of Things World – this May

Orange confirms Cloudwatt acquisition

Orange has confirmed it will acquire Cloudwatt

Orange has confirmed it will acquire Cloudwatt

Orange confirmed this week that the company has finalised an agreement to acquire all remaining shares of Cloudwatt, the cloud services provider it set up with the French government.

In January the company confirmed it had entered into discussions to buy the firm, in which Orange had the largest stake; Thales owned 22 per cent and Caisse des Dépôts 33 per cent of Cloudwatt.

“By acquiring Cloudwatt, Orange will strengthen its enterprise cloud services offering – a major focus of its “Essentials2020″ strategic plan,” Orange said in a statement.

“The technologies and services offered by Cloudwatt complement Orange’s own portfolio and represent an opportunity to accelerate the deployment of a sovereign public cloud both in France and in Europe.”

Through Caisse des Dépôts, the French state paid €75m for its share of Cloudwatt and spent another €75m to help set up Numergy (co-founded by SFR and Bull) through the French government’s ‘Project Andromeda’ in a bid to provide locally-hosted competition to US-based cloud service providers.

Reports earlier this year suggested a potential merger between Numergy and Cloudwatt was in the works in late 2014, however, now that Atos owns Bull and Numericable owns SFR, it’s thought a potential deal would have been too awkward for shareholders to accept.

The acquisition will see Orange integrate all of Cloudwatt’s employee into its operations (likely the company’s Business Services division).

Fujitsu partners with Equinix on Singapore cloud datacentre

Fujistu has opened its third cloud datacentre in Singapore this week

Fujistu opened its third cloud datacentre in Singapore

Fujitsu has set up another datacentre in Singapore this week amidst what it sees as increasing demand for cloud services in Singapore and neighbouring countries in the Asia-Pacific region.

The datacentre, hosted in Equinix’s western Singapore facility, will host Fujitsu’s portfolio of cloudservices and offer a number of new connectivity features “currently under development” that would allow enterprises to federate with other cloud platforms.

The recently announced datacentre is Fujitsu’s third in Singapore, and it already operates over 100 worldwide; the company’s cloud services are hosted from six datacentres globally.

The company said it chose to add another datacentre in Singapore because of its strategic location and attractiveness to large multinational firms.

“In recent years, companies increasingly are embracing cloud services as a platform to support the accelerating pace of business in Asia. In particular, because of its low level of natural disaster related risk and its position as an international network hub with reliable broadband network lines, Singapore is often chosen as the location for integrated systems operations by many companies that are pursuing multinational business expansion,” the company said in a statement.

Fujitsu is the latest cloud vendor to view Singapore as a relatively untapped market for cloud services. This week CenturyLink, which recently expanded its managed services presence in China, added public cloud nodes to one of its Singapore datacentres.

Apart from locally established multinationals and the booming financial services sector, the Singapore Government has also shown itself to be looking to invest more in both using cloud services and growing usage of cloud platforms in the region.

According to Parallels, local SMBs are also hopping onto cloud platforms with reasonable pace. The firm believes the SMB cloud services market in Singapore is projected to hit $916M in 2017, with a three-year CAGR of 21 per cent.

Toy retailer The Entertainer taps Rackspace for managed private cloud

The Entertainer has moved onto Rackspace's managed private cloud platform

The Entertainer has moved onto Rackspace’s managed private cloud platform

UK toy retailer The Entertainer has moved onto Rackspace’s managed private cloud platform in a bid to improve how the company’s site and databases handle traffic spikes.

Working with omni-channel retail consultancy Conexus, The Entertainer sought to enhance its website and databases in a bid to cope with rising seasonal demand.

The company, which has about 100 stores in the UK, said in the five weeks leading up to last Christmas last year it saw a 60 per cent sales increase from the same period in 2013 (it generates half of its annual revenues between November and December).

“In addition to the scalability that’s available through the Rackspace Private Cloud, the high performance it offers is also very important to us. It has allowed the business to deploy a Click and Collect service, which has improved the customer experience and boosted sales,” said Ian Pulsford, head of IT services, The Entertainer.

“A crucial aspect of Click and Collect is having an effective stock management system, which we also power by the cloud. Every evening between midnight and 4 a.m. we monitor the stock available in each store, collecting data on our 17,000 products. This ensures that the availability we offer our Click and Collect customers is accurate and updated in real time,” Pulsford said.

“However, as we’ve learned in the past with previous hosting providers, the technology alone is not enough if we don’t have access to a high level of support and expertise to keep it running smoothly,” he added.

Jeff Cotten, managing director of Rackspace International said: “Multi-channel retailing is highly competitive, which means both the in-store and online experiences have to be excellent to keep customers coming back. It’s been great working with The Entertainer and Conexus to build a Private Cloud environment that is high performing and highly scalable, so The Entertainer can focus on developing new services and increasing its presence across a growing number of ecommerce channels.”

Google adds log analysis to cloud platform

Google is giving enterprises more tools to troubleshoot persnickety workloads and apps

Google is giving enterprises more tools to troubleshoot persnickety workloads and apps

Google has added a service enabling users of its cloud platform to analyse data logs from both Compute Engine and App Engine, which the company said would help users optimise management operators.

Google already offers a cloud monitoring tools that gives enterprises visibility into networking and compute resources associated with their instances (the company acquired these capabilities from Stackdriver last year), but much more can be gleaned from the massive number of logs that workloads generate – particularly when investigating consistent service errors.

That’s where the cloud logging service comes into play, enabling users of Google’s cloud services to view, analyse and export log data in real time.

“Businesses generate a staggering amount of log data that contains rich information on systems, applications, user requests, and administrative actions. When managed effectively, this treasure trove of data can help you investigate and debug system issues, gain operational and business insights and meet security and compliance needs,” explained Deepak Tiwari, product manager at Google in a recent blog post.

“But log management is challenging. You need to manage very high volumes of streaming data, provision resources to handle peak loads, scale fast and efficiently and have the capability to analyse data in real-time,” he said.

A number of Google’s rivals (Microsoft, AWS) already offer log analysis tools for cloud service users but Google said its tool, which is currently in beta (and free for the time being), comes pre-integrated with a number of its services (BigQuery for analysis, Google Cloud Storage for longer term log data storage) and can be deployed quickly.

LeShop taps OpenShift for hybrid cloud app development and management

LeShop has deployed OpenShift to support the company's hybrid cloud strategy

LeShop has deployed OpenShift to support the company’s hybrid cloud strategy

LeShop.ch, one of Switzerland’s largest online supermarkets has selected Red Hat’s commercial OpenShift distribution in a bid to improve how it develops and deploys applications in the cloud.

The company, which uses a combination of its own datacentres and the public cloud to host its applications and consumer-facing websites, was looking to deploy a platform-as-a-service because it wanted increase the performance of its apps and ease their management in a hybrid environment.

Last year the e-retailer migrated its applications to a tightly linked micro-services oriented architecture in order to make its online platforms more scalable, and said it selected OpenShift after considering a number of options including Cloud Foundry and Docker-based platforms.

“It’s not going to be a problem to complete the project on time and on budget,” said Raphaël Anthamatten, head of infrastructure and operations at LeShop.ch. “OpenShift Enterprise provides all of the functions we need to implement the highly flexible micro-services architecture in development and operation.”

Ashesh Badani, vice president and general manager, OpenShift at Red Hat said: “Quickly and reliably launching innovative solutions to market, while leveraging new technologies and application architectures, is one of the key challenges for any online retailer. With OpenShift Enterprise, we support LeShop.ch in developing innovative new services for their online customers in order to become an even more prominent leader in the Swiss market.”

Cisco to open Internet of Things innovation centre in Australia

Cisco will open an Internet of Things innovation centre in Australia this year

Cisco will open an Internet of Things innovation centre in Australia this year

Networking giant Cisco plans to open an Internet of Everything Innovation Centre in Australia this year, which the company said will house experts in the Internet of Things and help catalyse IoT innovation in the region.

The $15m centre, one of eight planned globally (Rio de Janeiro, Toronto, Songdo, Berlin, Barcelona, Tokyo and London) will include locations in Sydney at Sirca and in Perth at Curtin University. Perth-based energy firm Woodside Energy will also contribute resources to the centre.

The centres include dedicated space to demonstrate Internet of Things platforms, and are being pitched as areas where customers, startups and researchers can come together to prototype and test out their ideas.

“Australia is a sophisticated market with a high level of innovation and an early adopter of new technology. Australia is already highly regarded globally for its resources and agriculture sectors and is well-placed to serve the rapidly growing Asian markets, and the Australian government has prioritised these sectors accordingly,” said Irving Tan, senior vice president Asia Pacific and Japan at Cisco.

“The aim now with Cisco IoE Innovation Centre, Australia and its ecosystem of partners is to accelerate innovation and the adoption of the IoE in Australia,” Tan said.

The announcement comes the same week Cisco published a report claiming UK Internet of Things startups could generate more than £100bn over the decade as their offerings catch on in industries like healthcare, retail, transport and energy.

The company also said large firms, SMEs, and government organisations in the UK need to cultivate more joint innovation partnerships if any industry stakeholders are to reap the financial benefits of such a proliferation in internet-connected devices.

OpenPower members reveal open source cloud tech mashups

OpenPower members have been busy creating open source server specs based on the Power8 architecture

OpenPower members have been busy creating open source server specs based on the Power8 architecture

OpenPower Foundation members pulled the curtain back on a number of open source cloud datacentre technologies including the first commercially available OpenPower-based server, and the first open server spec that combines OpenStack, Open Compute and OpenPower architectures.

Members of the open source hardware community, which IBM – the community’s founding organisation – said now numbers over 110 organisations, revealed a number of joint hardware initiatives falling under the OpenPower umbrella.

The Foundation announced the first OpenPower-based servers, developed by Chinese ODM Tyan (TYAN TN71-BP012), a variant of those IBM recently said it would add to its SoftLayer datacentres. The servers will be commercially available in the second half of 2015.

IBM and Wistron also revealed an OpenPower-based server using GPU and networking technology from Nvidia and Mellanox, respectively, which is being aimed at high performance compute workloads.

The foundation also announced the first server spec and motherboard mock-up combining the design concepts of the Facebook-led open source hardware project, Open Compute, with OpenStack and OpenPower technologies, an initiative Rackspace – among other service providers with a vested interest all three open source projects – was keen to bring to fruition.

“Collaborating across our open development communities will accelerate and broaden the raw potential of a fully open datacentre. We have a running start together and look forward to technical collaboration and events to engage our broader community,” said Corey Bell, chief executive officer of the Open Compute Project.

In an interview with BCN earlier this month Brad McCredie, IBM fellow and vice president of IBM Power Systems Development and president of the OpenPower Foundation said there is a big opportunity for Power to succeed in the market, and that IBM hopes to claim up to 30 per cent of the scale-out market in a matter of years.

Ken King, general manager OpenPower Alliances at IBM said: “OpenPower started off as an idea that immediately resonated with our technology partners to strengthen their scale out implementations like analytics.  Now, OpenPower is fundamental to every conversation IBM is having with clients — from HPC to scale out computing to cloud service providers.  Choice, freedom and better performance are strategic imperatives guiding customers around the globe, and OpenPOWER is leading the way.

Oracle hits out at Salesforce as cloud revenue grows

Larry Ellison said the company's cloud revenue will eclipse Salesforce's revenue this year

Larry Ellison said the company’s cloud revenue will eclipse Salesforce’s revenue this year

Oracle reported SaaS and PaaS revenues of $375m for the third quarter 2015, up 33 per cent from the previous year, with the company’s cloud services now growing at a quicker rate than those offered by Salesforce according to Oracle chief technology officer Larry Ellison.

While Oracle reported strong growth in its cloud services segment, the company’s overall revenues, however, remained flat at $9.3bn, with a 2 per cent decline in hardware systems revenue (to $1.3bn) and operating income down 5 per cent to $3.4bn.

Nevertheless, the company’s executives were quite pleased with the results.

“In Q3, we sold nearly $200 million of new SaaS and PaaS business as measured in annual recurring revenue,” said Oracle chief executive officer Mark Hurd.

“In Q4, we expect to sell over $300 million of new SaaS and PaaS annual recurring revenue. That means we have a real chance to sell more SaaS and PaaS new business this coming quarter than any other cloud services provider. I think our hyper-growth in the cloud comes as a big surprise to a lot of people,” Hurd said.

Ellison was less inclined to mince words in a call with press and analysts this week, calling out one of its biggest direct competitors in the CRM space – Salesforce.

“Oracle now has a cloud revenue run rate of well over $2 billion a year. We’re already the world’s second-largest SaaS and PaaS company. On our last quarterly conference call, I predicted that in our fiscal year 2016 Oracle would likely sell more SaaS and PaaS new business than Salesforce.com. Well, I was way too cautious.”

“I now believe that Oracle will sell more new SaaS and PaaS business than Salesforce.com in this current calendar year, 2015,” he said.

This kind of rhetoric isn’t uncommon among the awkward yet symbiotic trio, SAP, Oracle and Salesforce, which to some extent have come to epitomise the dynamic between the large slower moving incumbent and the smaller but rapidly growing new kid on the block.

Last month Salesforce, which is led by ex-Oracle executive Marc Benioff, announced a record fourth quarter with full fiscal year 2015 revenue hitting $5.37bn. In a call with press and analysts to discuss the results Salesforce vice chairman and president Keith Block said it achieved those results “right in SAP’s backyard.”

CenturyLink expands public cloud in APAC

CenturyLink is expanding its public cloud platform in Singapore

CenturyLink is expanding its public cloud platform in Singapore

American telco CenturyLink has expanded the presence of its public cloud platform to Singapore in a bid to cater to growing regional demand for cloud services.

CenturyLink, which recently expanded its managed services presence in China and its private cloud services in Europe and the UK, is adding public cloud nodes to one of its Singapore datacentres.

“The launch of a CenturyLink Cloud node in Singapore further enhances our position as a leading managed hybrid IT provider for businesses with operations in the Asia-Pacific region,” said Gery Messer, CenturyLink managing director, Asia Pacific.

“We continue to invest in the high-growth Asia-Pacific region to meet increasing customer demand,” Messer said.

The company said it wants to cater to what it sees as growing demand for cloud services in the region, citing Frost & Sullivan figures that show the Asia-Pacific region spent almost $6.6bn on public cloud services last year. That firm predicts annual cloud services spending in the region will exceed $20bn by 2018.

The move also comes at a time when the Singapore Government is looking to invest more in both using cloud services and growing usage of cloud platforms in the region.

Last year the Infocomm Development Authority of Singapore (IDA) said it was working with Amazon Web Services to trial a data as a service project the organisations believe will help increase the visibility of privately-held data sets.

The agency also signed a Memorandum of Intent with AWS that would see the cloud provider offer usage credits $3,000 (US) to the first 25 companies to sign up to the pilot, which will go towards the cost of hosting their dataset registries or datasets.

It’s also announced similar partnerships in the past with Pivotal and Red Hat.