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COMPTEL PLUS Fall 2015 Business Expo

COMPTELPlus

|

Tuesday, October 20, 2015

Beka Publishing,

www.bekapublishing.com

6

DAY 2

has added numerous members from these other

categories, including Google, Netflix Inc., Amazon,

Twitter, AngelList, Level 3, XO Communications,

Rocket Fiber and T-Mobile.

This year, INCOMPAS has been at the forefront of

several high-profile policy

victories, including Open Internet, the Tech Transi-

tions, and the defeat of the Comcast-Time Warner

Cable merger.

The new INCOMPAS name is effective immediately

and will be implemented across the organization’s

products and services over the next several months.

Learn more about INCOMPAS at

www.incompas. org

or plan to attend one of the association’s

upcoming events: The INCOMPAS 2016 Policy

Summit, February 8-11 in Washington, D.C., or the

2016 INCOMPAS Shows, April 10-13 in Washington,

D.C., and October 23-26 in Dallas.

o

(Rebranding, continued from page 1)

Carriers CanWin inWearables with Value-Adds

T

he revolution may be televised, but it’s also

going to be wearable.

Derek Kerton, founder of Kerton Group

and Telecom Council Silicon Valley, took to the

Over-the-Top Platform Zone in the Expo Hall

yesterday to talk about the future of wearables

technology—and where carriers fit in.

Wearables, he said, primarily fall into two cate-

gories: fitness trackers like Fitbit, and smartwatches.

For the former, the use cases are obvious. For the

latter, the main value proposition lies in how smart-

watches can streamline app notifications.

“Millennials get about 120 notifications per day,”

he said. “Everyone else gets about 20 to 50. Notifica-

tions tell you how many steps you’ve taken today;

who has opened the front door at your house;

whether you have new mail. Unlike the smartphone

experience, the ability to glance at information and

dismiss it without interrupting dinner or a meeting

is the No. 1 value prop—and that’s horizontal and

applies to everyone.”

When it comes to how operators fit into the

ecosystem, Kerton said that they need to be stra-

tegic, despite the conventional wisdom about

the Internet of Things (IoT) that predicts billions

of devices will be connecting to mobile networks

sooner rather than later.

“IoT is based on the notion that cellular networks

are not just about connecting phones anymore,”

Kerton said. “But the reality is, if I’m a farmer,

dropping sensors in my field to measure what’s

happening, it’s far more likely that I’ll roll those up

and transmit them via Wi-Fi into [my house] and

connect them via a cable connection. So how many

of these IoT devices will actually be connected to

carriers? Not many, unless they have appropriate

pricing and services.”

He added, “If carriers have rational pricing strat-

egies, and rethink their packages for all of these

things to fit into specific use cases, then more

people will attach their wearables.”

He pointed out that providing things like

data security will be critical to carriers being

able to participate in this market. They do have

an opportunity in providing value-adds around

services like security—particularly when one

considers just how much information wearables

collect on users.

Kerton brought up an example of data scientists

in Russia, who studied the data collected by Fitbits

on its users. Using big data analytics, they were able

to determine with 90 percent certainty whether

someone had early onset Parkinsons, because Fitbit

records even miniscule movements of the user.

“The data these types of gadgets collect

includes much more private information that you

ever thought that they did,” Kerton said. “Aside from

the serendipity involved in the early discovery of

disease and resulting better healthcare outcomes,

there’s a tremendous amount of business opportu-

nity for those willing to take it.”

IDC estimates that 72.1 million wearable devices

will be shipped in 2015, up 173.3 percent from

the 26.4 million units shipped in 2014. Shipment

volumes are expected to grow at a 42.6 percent

CAGR over the five-year forecast period, reaching

155.7 million units shipped in 2019.

o

By Tara Seals

Kerton Group’s Derek Kerton considers wearables and carrier models.