India : Balancing ICT Standards Development with Economic Imperatives & Business Growth

1. India :Balancing ICT Standards Development with Economic Imperatives & Business Growth Arvind Mathur Strategic Technology Officer, India & South Asia, Cisco Systems New Delhi. March 14, 2013

2. It’s a large & complex ecosystem ! Network Cloud Green Infra… BIS, BEE, TEC, Industry Associations… ITU, IEC, IEEE, ISO W3C, IETF, ETSI… Telecom ICT Power… Applications Services Platforms … Security Privacy Identity So oft in theological wars, The disputants, I ween, Rail on in utter ignorance Of what each other mean, And prate about an Elephant Not one of them has seen!

3. A brief history of Connections 70 Years Ago: First general purpose electronic computer 40 Years Ago: First Internet connection 100 Years Ago: Invention of the Radio 170 Years Ago: Invention of the Telegraph 20 Years Ago: World Wide Web Intelligently Connecting People, Process, Data, and Things Today 500% 2/3 2016: IP Traffic: 1.3 zettabytes 2005: IP Traffic: 29 exabytes 2008: Video Traffic: 21 exabytes 2020: Global Cloud Market: 500% Growth 2012: 50M Connected Cars 2005: First Smartphone 2012: 1B Smartphones 2010: 0.5B Smartphones 2020: 1B Smartmeters 2015: 2/3rds Video Traffic 2011: 90M Smartmeters 2003: 0.5B Connected Devices 2010: 7B Connected Devices 2013: 10B Connected Devices 2017: 300M Connected Cars 2020: 4.5B New People, 37B New Things

5. Intelligent ConnectionsBusiness & Societal Impact Business & Societal Impact Internet ofEverything ImmersiveExperiences Digitize the World Connecting: • People • Process • Data • Things NetworkedEconomy Digitize Interactions (Business & Social) • Social • Mobility • Cloud • Video Digitize Business Process • E-commerce • Digital Supply Chain • Collaboration Connectivity Digitize Access to Information • Email • Web Browser • Search Intelligent Connections “The Internet of Everything brings together people, process, data and things to make networked connections more relevant and valuable than ever before - turning information into actions that create new capabilities, richer experiences and unprecedented economic opportunity for businesses, individuals and countries.”

6. Business Value of the Connected World (2013 - 2022) • IoE creates $ 14.4 trillion in Value at Stake (2013-2022) • 66% ($ 9.5 trillion – Industry-specific use case – Smart Grid, Smart Buildings etc.), 34% ($ 4.9 trillion - from cross-industry use cases future of work and travel avoidance etc.) • $ 14.4 trillion ! • $ 2.5 trillion : asset utilization (reduced cost) • $ 2.5 trillion : employee productivity (greater labor efficiencies) • $ 2.7 trillion : supply chain and logistics (eliminating waste) • $ 3.7 trillion : customer experience (addition of more customers) • $ 3.0 trillion : innovation (reducing time to market) • Technology driving the IoE economy • Cloud and mobile computing, Big Data, increased processing power • Business economics (Metcalfe’s law*) • IoE ‘connections’ include M2M, P2M, P2P * Metcalfe's law: value of a telecommunications network is proportional to the square of the number of connected users of the system (n2). Embracing the Internet of Everything to Capture Your Share of $ 14.4 trillion, Cisco 2013

7. Cisco – IoE Stake by Industry size4 of 18 industries ~ 50% of total value at Stake Embracing the Internet of Everything to Capture Your Share of $ 14.4 trillion, Cisco 2013

8. Industrial Internet – The Power of 1 Percent* *Illustrative examples based on potential 1% savings applied across specific global industry sectors. GE. Industrial Internet: Pushing the Boundaries of Minds and Machines, Peter Evans and Marco Annuziata, 2012

9. India – Sustaining Urbanization (IBM) Health Education

10. So, how do you build this smart city? – an example (Libelium)

11. Example: Networks in Manufacturing • GE Factory in New York • $170 million plant, July 2012 • Produces sodium-nickel batteries • 180,000 square feet • 10,000 sensors connected on Ethernet • Sensors measure: • - batch number • - baking temperature • - energy required to make each battery • - local pressure • Plant floor employees pick-up data • on Wi-Fi iPads • $ 1.5 million to fine-tune machines • & connect to enterprise SW – Internet • Worker productivity increased by 1.5% MIT Technology Review (2013)

12. Example: IoE end-to-end Framework Systems Integration Business Applications Business Services IoE Applications Oil & Gas / Fleet Management / Digital Signage SAP/ Oracle Connectivity Service Integration Service DevTools & Open API Carrier SP M2M/IoE Cloud Services Application Service Remote Service Device Mgmt Security Service Admin Service Maintenance Mgr Policy Manager Network Intelligence Asset Mgmt Billing Service Data Mgmt Service Real-Time Subscriber Mgmt Identity Mgmt Data Analytics Transport Optimization Big Data Mgmt Personalization Manager P-GW Asset (Sensor) & M2M GW Edge Computing 3G/4G M2MGW 3G/4G/WiFi GPS M2MGW #m Sensors : 1 M2MGW M2MGW (GE/T1//E1 WAN Sensor # x Sensor # n Sensor # 1

13. Aligning Network Cost, Complexity, Scale with Profitability 80.5EB/mo 32% CAGR 2010–2015 Traffic Monetization New revenue streams Profitability Revenue Optimization Efficient delivery • From 2010 to 2015 mobile data traffic will grow at a compound annual growth rate of 92% • By 2014 video will quadruple all IP traffic • By 2015, companies will generate 50% of online sales via social and mobile apps • By 2015 there will be 7 billion smart phones

14. Network Evolution & Impact on Standards

15. Preferred IT Service Delivery Model - Rapid Global Cloud Traffic Growth A World of Many Clouds 66% CAGR 2010–2015 1.6 ZBs Media 1.1 ZBs FinancialServices Government 763 EBs 464 EBs 255 EBs 130 EBs Healthcare City Services Pharma 12x traffic increase between 2010-15 80% of IT managers plan to use cloud in the next 3 years • Main drivers of cloud savings: • Improved utilization • Multi-tenancy efficiency • Economies of scale Network as the Platform Seamlessly and Securely Connected

16. Cloud Intelligent NetworkBridging network & application performance for better QoE • Opaque & Overbuilt Networks • Inelastic Network Infrastructure • Poor Quality of Experience • High TCO • Changing • Consumer • Behavior Cloud –to-Customer Connect Cloud-to-Cloud Connect Network Infrastructure Growing Cloud Services & Applications • Optimized Interactions between clouds • IPv6 Enabled • Data Center Interconnect • – Make many DC seem as one logical unit • 100G Interconnect • Network Positioning System (NPS) • Network Virtualization (nV) • – Massively Scalable Data Center (MSDC) • User Experience Assurance and Security • IPv6 Enabled

17. Software Defined Network (SDN) “A way to optimize link utilization in my network, through new multi-path algorithms” “An open solution for customized flow forwarding control in the Data-Center” “An open solution for VM mobility in the Data-Center” “With SDN I can develop solutions to my problems far faster – “at software speeds”. I don’t have to work with my network vendor or go through length standardization” “A platform for developing new control planes” “A way to reduce theCAPEX of my networkand leverage commodityswitches” “A way to avoid lock-in to a single networking vendor” “A means to do traffic engineering without MPLS” “A solution to build a very large scale layer-2 network” Defined Software Network “A means to scale my fixed/mobile gateways andoptimize their placement” “A way to build my own security/encryption solution, avoiding RSA” “A way to define virtual networks with specific topologies for my multi-tenant Data-Center” “A solution to build virtual topologies with optimum multicast forwarding behavior” “A way to scale my firewalls and loadbalancers” “A way to configure my entire network as a whole rather than individual devices” “A solution to get a global view of the network – topology and state” “A way to distribute policy/intent, e.g. for DDoS prevention, in the network”

18. Software Defined Network (SDN)An attempt towards a generic definition Traditional Control Plane Architecture Control Plane Architecture with SDN(Examples) … • SDN* is an approach to architecting the network control plane, where the behaviour of the network is determined by software which is logicallyseparate from the network devices. This software could run in the network devices, a set/cluster of dedicated central server, application servers – or any combination of those. • Anticipated benefits include: Closely align the control plane with the needs of applications, enable a clear control-/data-plane split, improve performance and robustness, enhance manageability, operations and consistency Control-plane component(s) Data-plane component(s) * The term “SDN” was originally coined by a reporter talking to Nick McKeown, by analogy to Software Defined Radio

19. October 22-24, 2012 at the “SDN and OpenFlow World Congress”, Darmstadt-Germany* Network functions Virtualization (NfV) NfV aims to transform the way that network operators architect networks by evolving standard IT virtualization technology to consolidate many network equipment types onto industry standard high volume servers, switches and storage, which could be located in Data centers, Network Nodes and in the end user premises. It involves the implementation of network functions in software that can run on a range of industry standard server hardware, and that can be moved to, or instantiated in, various locations in the network as required, without the need for installation of new equipment. • NfV reduces Capex, Opex, Space, Power. Supports open ecosystem • NfV as an Industry Specification Group (ISG) under the aegis of ETSI • *Proposed by AT&T, BT, China Mobile, Colt, Deutsche Telekom, KDDI, NTT, Telecom Italia, Telefonica, Telstra, Verizon

20. IoT vastly expands the security, threats & privacy horizon • Cloning of ‘Things’ • Malicious substitution of ‘Things’ • Eavesdropping attack • Man-in-the-middle attack • Firmware replacement attack • Extraction of security parameters • Routing attack • Privacy threat • Denial-of-Service attack *Security Considerations in the IP-based Internet of Things. IETF draft-garcia-core-security-04 O. Garcia-Morchonet al.

21. SDN-enabled Security* • Opportunity is to make Security a key application for SDN • Use SDN to build a Network-based Threat Defense System • 1 . SDN makes the broader network more threat aware • - Visibility of applications, data, user and device identities, locations and overall behavior patterns • - Analysis tools leverage information coming from devices across the network • - More “Software Defined Security” • 2. Real time control to quickly act on advanced threats no matter where they are in the network or the DC • - Leverage intelligence of security devices to work in conjunction with the broader set of network devices • - Enable blocking traffic, drop infected hosts and prevent advanced malware from getting to sensitive • information in the Data Center. • 3. Build Security in-to the network, and not simply bolted on to it • - Deliver an on demand model that synchronizes applications & security in one motion • - Bring security services closer to the applications themselves and allow decisions at a more granular level • - Automate “trust, but verify” access models because SDN-enabled security applications will have access to • multiple context attributes all from a single authoritative source – the network itself. *Adapted from RSA March 2013 Conference Keynote by Chris Young, Cisco

22. Today, Networks Stand ApartPublic Internet and Applications Public DCs eCommerce PCs Smartphones Email, storage Tablets Communication OTT Apps Video Gaming

23. Today, Networks Stand ApartBusiness Networks & Business Applications Hybrid DCs Private DCs Business Apps PCs Smartphones Email, Storage Tablets Communication Mobile Apps MPLS 3G/4G Networks

24. Today, Networks Stand ApartInternet of Everything (Sensors and M2M) Smart and Connected Communities Home and Building Management Smart Devices Transportation Cars, Roads Retail Point of Sale, Vending RFID Manufacturing Oil and Gas

25. Today, Networks Stand Apart…. Federating All Networks, Data Centers, and Applications Is Critical Step to Enabling Customized User Experiences Industrial Internet Business and Mobile Network, Business Applications Public Internet and Applications

26. Consolidating Scattered Analytics Oil and Gas Medical Manufacturing Internet of Things Meters Device Business Apps Private and Mobile Networks Automotive Mobile Operator City Cameras Company-specificAnalytics Location Expertise Applications Friends and Family Location Public Internet Browsing Likes and Hobbies Search Content consumed

27. Network is the common denominator…can become the most insightful analytics engine! Oil and Gas Medical Analytics will become the currency of Digital Economy ! Manufacturing Internet of Things Meters Automotive City Cameras Device Business Apps Private and Mobile Networks Mobile Operator Company-specificAnalytics Location Expertise Applications Friends and Family Location Public Internet Browsing Likes and Hobbies Search Content consumed

28. The Grid Connects All Networks and InformationSynthesizing and integrating cloud and the network Mobility and New Devices: iPhone, iPads, BYOD Cloud (iTunes, Google) Social Networking • True integration of applications / cloud and the network • Analytics-based • Continuously learning and adapting; being “inside the topology;” You move, it adapts • Proactiveandpredictive Video HTML5 SDN and HTML5

29. Standards Development – Where can India lead ? * • Security and Privacy • Identity, Identity Ecosystem, Management • Security Standards & Certification • Telecom and ICT standards convergence • Scalable, Automated Key Management • SDN-enabled Security • Service Delivery Platforms • Platform architectures - Healthcare, Smart Grid, Smart Cities, Government Services • Open API’s • Platform Security • Green ICT and ICT for Green • Network, Data Center, Cloud • Green ICT architectures by Industry vertical • GHG Protocol – Measurements, Reporting • Best Practices, ‘Green Passport’ Certification • Networks • Lightweight Networking Routing Protocols for LLN • IPv6; 6LowPAN, Zigbee and others • Software Defined Networks (SDN) • Network functions Virtualization (NfV) • Wireless Sensor Networks • Analytics • Cloud • Inter-Cloud and Cloud-Customer Interfaces • Application Performance • Open API’s • Security, Privacy & Identity • Big Data and Analytics • Network Positioning Systems • Virtualization * Authors Perspective Only.

30. Standards Development – General Observations • Most sectors we are looking at today makes use of Internet technologies. • The common standards used by all of these sectors are open and voluntary, and were developed through broad industry consensus. • The voluntary standards ecosystem that exists is itself healthy, and what has made possible adoption of Internet-based technology by over 2 billion people. • Common interoperable architectural building blocks, therefore, are good, and are met best with global approaches.

31. Thank you Arvind Mathur arvmathu@cisco.com