CradlePoint Blog

Compass Intelligence recently announced it's "A-list" vendors in the M2M space. CradlePoint won the exclusive A-list distinction for M2M hardware. Other notable award recipients include:

• Integrator – IBM
• Wireless Infrastructure – Ericsson and Alcatel Lucent
• Health & Wellness - GE
• Retail/Point-of-Sale – CoinStar / Redbox
• Smart Grid / Infrastructure – GE
• Automotive – Ford and Airbiquity

CradlePoint's COR Series, which has become a "go-to" solution in the M2M space, was designed specifically to meet the space constraints and connectivity challenges of the M2M market. CradlePoint’s COR Series provides instant and reliable 3G primary connections for a multitude of applications, including retail, kiosks, digital signage, surveillance and monitoring.  Unlike other embedded 3G routers in the market, the COR series provides multiple Ethernet ports and robust Modem Health Monitoring (MHM) to self-monitor and to maximize modem uptime. Large deployments of these devices can be managed using CradlePoint’s WiPipe Central management software to monitor, configure, and upgrade geographically-dispersed systems without requiring on-site technical resources.

This announcement comes on the heels of the M2M Evolution Conference in Miami last week. Our own Ken Hosac was there and offered up his observations about M2M and "The Internet of Things" in a previous blog post.

I’m attending the M2M Evolution Conference this week in balmy Miami. Today, I am wrapping up the conference as a panelist discussing SmartGrid technologies and how to make them “smarter.” On Wednesday, the opening day of the conference, I had the pleasure of participating on another panel focused on the use of remote health care systems to monitor patients, particularly older adults.

On the healthcare panel, I discussed how CradlePoint has helped Healthsense, a market leader in remote monitoring health solutions for older adults, meet the challenges of connecting their systems wirelessly. Remote monitoring, emergency response, and nurse call systems are among the solutions that Healthsense provides to senior living communities and caregivers.  Each requires a steady, reliable and secure connection at all times.

There was some good discussion about the value proposition of M2M solutions in the healthcare space. That just happens to be this year’s theme for the conference (the “value proposition” phase of M2M). My key takeaway: M2M technology and remote patient monitoring not only improve the quality of a patients’ lives, but they can be used as a means of reducing our rising healthcare costs. In short, better patient diagnostics and better quality of life means fewer trips to the doctor.

The same can be said for my session today on SmartGrid technologies. CradlePoint is connecting Envision Charlotte Eco Kiosks (photo below), which use Duke Energy’s Smart Energy Now application to pull and read real-time energy data from uptown Charlotte. The application tracks homes and businesses to see how much energy they are using. The goal is to create awareness and change frivolous consumption behaviors with a 20% reduction of energy use by 2016. They are using a CradlePoint COR IBR600 in the kiosk.

In addition to the sessions that I’ve participated in, I’ve had the opportunity to meet with customers, speak with analysts, and sit in on some sessions as an observer. As such, here are my observations:

The Internet of Things

The "Internet of Things" is the lively discussion here. If you’re not familiar with the term, it applies to all the things (from alarm clocks to cows (yes, even cows)) that are connected to the Internet. In 2008, the number of things connected to the Internet, exceeded the number of people on the planet. Today it has grown well beyond that and it will only continue to grow. In other words, connectivity is king.

The WiFi is Hot

Actually, I should say wireless connectivity is king (or it’s about to be). I attended an interesting keynote by Perry Correll of Xirrus. According to Correll, it’s time to start planning for the future of WiFi. 38 percent of businesses have replaced their desktop and notebooks with tablets. And, by 2014, the industry expects there to be 11 billion WiFi hotspots.

With the device-to-person ratio exponentially increasing over the last few years (note the observation above), a “wireless tipping point” is not far off in the future. Wireless traffic will exceed wired traffic by 2015, while mobile Internet traffic is expected to grow a whopping 26 times from 2010 to 2015. This, in turn, is driving a pertinent need for wireless that is high-performance, scalable, and reliable.

Cloud. Cloud. Cloud.

While the sun is shining here in Miami, it’s the clouds that are the hot topic. According to Cisco’s “Global Cloud Index,” cloud computing is projected to grow 12-fold by 2015, and at least half of all workloads will be processed in the cloud within two years. Given my previous two observations, I think it’s fair to ask how many of those devices will access their workloads and cloud-based apps through a wireless connection? With the increasing adoption of cloud-based applications in the M2M world, the reliability of network connections is more important than ever.

As Enterprises look to implement wireless strategies to accommodate the growing trend of consumer devices in the work place, here are few things to consider.

• Reliability: Connectivity solutions need a back up connection (i.e. failover) to protect against Internet downtime. The Internet will go down. It’s not a matter of if, but when.

• Flexibility: Look for a solution that provides “pathway diversity” through wired and wireless connections. An example of this would be a router that can connect through an Ethernet cable, but switches to a 3G/4G mobile broadband connection when the Ethernet goes down.

• Speed: Accessing the cloud means high-performance is a necessity. This doesn’t just apply to the primary connection either. Many Enterprises have back up connections, but these are legacy infrastructure like POTS lines that are far too slow to provide the proper bandwidth for cloud apps. With the advent of 4G LTE, mobile broadband offers speeds well beyond a T-1 line, and approaching that of T-3 lines, at a fraction of the cost.

• Remote Management: For large deployments of routers, the centralized management of those devices can save time and money. Remote management software can help to upgrade firmware, monitor data usage, and configure connectivity settings reducing the need for onsite IT support. CradlePoint’s WiPipe Central Management Software is an example of this kind of application.

As wired and wireless network infrastructures converge, the M2M market has turned to CradlePoint to keep up with the growing need for reliable, high-bandwidth M2M networks. Because CradlePoint devices can be used as either wired or wireless solutions, they can be quickly integrated and deployed without the constraints typically associated with wired connectivity. Whether it’s a primary connection or a failover solution, CradlePoint specializes in maximizing the potential of the cloud for businesses worldwide.

The National Retail Federation (NRF) Big Show took place this week in New York. It’s been a whirlwind of customer meetings, informational sessions, and an exposition of state of the art technology that promises to change the face of retail. As CradlePoint CEO, George Mulhern, wrote about out in a previous blog post, brick and mortar retailers who are being gouged by the online market need to evolve through technology to address the trend of consumer behavior shifting towards ecommerce and m-commerce. Along those lines, I gleaned some additional insights about the transformation that retail is going through. Here are my thoughts and observations.

From the Tradeshow Floor

I came across a number of products on the expo floor, but was most impressed by four solution categories: in-store metrics, digital kiosks, digital signage, and near field communication.

In-Store Metrics
There were several companies offering in-store metrics that used surveillance technology to count visitors and show traffic patterns as well as where visitors tended to linger. Having cut my marketing teeth in the world of ecommerce, I was envious that retailers could have that kind of data at their fingertips. Like web analytics, these solutions help stores understand which of their units perform the best from a conversion and flow standpoint as well as identifying areas where stores might improve traffic flow efficiencies.

Digital Kiosks
The vending kiosks sold anything from cell phones to video games plus there were a whole slew of service type kiosks for in-store registries and support. Each provider of course had their own spin on how they served content or products.

Digital Signage
There was quite a bit of innovation in the digital signage category. Interactivity was the theme here. Here’s a picture of our Expo Manager, Casandra Sipes, catching passes from Aaron Rodgers (I’ll note she earned a top ten score – hope we don’t lose her to the NFL!). Stratacache, which currently uses CradlePoint to connect to the cloud for ads serving in their PrimaSee solution, has a really cool interface. The ads are transparent so you can see what’s behind the window. For example, PrimaSee can be integrated into the door of a beer cooler at a convenience or grocery store to rotate through ads of complimentary products to increase attach rate (e.g. “Potato chips only $1.00 with a case of beer.”). Combine in-store analytics with these types of ad placements and support kiosks and you could really influence basket size.

Near Field Communication (NFC)
NFC or mobile payment solutions were also prevalent (4 of 10 retailers in a recent survey said mobile payments was an initiative for 2012). PayPal provided a great demo showing how to tie all of your loyalty programs into one payment form that could pull from any number of funding sources at the consumer’s discretion – both for online and offline purchases.

Sessions

I attended a session called, “Trends to Capitalize on in 2012 and Beyond” The panelists spoke of “everywhere commerce,” which includes ecommerce, social commerce, traditional commerce and mobile commerce. The retailers that can unlock the recipe for combining those sales tactics in the most effective and relevant ways for consumers will reap the rewards. Every touch point with a customer is a possible point-of-sale and multi-channel purchasers spend significantly more than single channel buyers. Even if the point-of-sale is not via the Internet, 53% of purchases today are web influenced as consumers turn to the web for reviews, research, and price comparison.

Another panelist noted how retailers are moving away from being open only during “farmer’s hours” to a 24/7 model. Examples include a salon in NYC where you can get a hair cut 24 hours a day. This model has been reinforced partially by the fact that the 1:00 am to 6:00 am shift in ecommerce is one of the highest revenue driving time blocks on any given day. Also, flash sales (sometimes referred to as ”stop watch sales” or “nooners” as they’re often timed with a traditional lunch hour) are a recessionary tactic that appears to be sticking around even in economic recovery.

Whether its flash sales driving high-volume bursts of demand or a 24/7 “open all the time” model, the need for reliable Internet connectivity is a crucial factor that retailers need to consider before implementing these tactics. Even a temporary outage and suspension of point-of-sale service could represent significant losses in revenue due to customer frustration and abandonment. Such sales, as part of a short-term exclusive offer, are unlikely to be recovered. As George points out, retailers need their high-speed Internet to always be up. For this reason, CradlePoint’s 3G/4G mobile broadband failover solutions are setting the standard for retailers to ensure their businesses stay online.

I attended the National Retail Federation (NRF) Conference this week in New York. My key take-away: brick and mortar retailers are at a "strategic inflection point." It didn't take much in the way of deep thoughts for me to come to this conclusion. I must have heard the words "strategic inflection point" 50 times during various presentations and discussions. I am not a big fan of buzzwords and consultant jargon, but in this case, I have to agree.

Many of our traditional retailers have been hammered over the last several years by online competition. There have been predictions of the decline and possible demise of brick and mortar retail for a while now. But this sleeping giant of an industry has woken up. An industry that has traditionally had a very low IT spend is beginning to embrace technology to both enhance the customer experience and improve their operational efficiency.

Today's consumer is well informed and always connected. They are highly mobile and with the aid of their smart phone able to comparison shop while standing in the retailer’s store. To successfully compete, traditional retailers need to create a shopping experience that combines the best of both online and in-store experiences. Many retailers are starting to look toward the “virtualization” of their point-of-sale systems as a way to drive new experiences and increase operational efficiencies.

Virtualization is essentially the creation of a virtual (rather than an actual) version of an application (e.g. a point-of-sale system) somewhere on a server that can be accessed through the Internet on a computing or mobile device. The phrase du jour to describe this trend is “cloud computing.” In this case, a virtualized point-of-sale system is a “cloud-based” application.

Virtualizing the point-of-sale system is becoming a boon for IT and the business. Typically point-of-sale systems incorporate multiple applications like credit card processing, loyalty programs, CRM, returns, pricing, inventory, replenishment, special orders and employee time cards to name a few. By consolidating servers, operating systems, and by keeping the applications running at the data center rather than at each store location, the store-level environment becomes simpler.

IT benefits from:

• Fewer devices and licenses to maintain
• Software applications that can be updated remotely online
• Simplified PCI compliance
• Fewer truck rolls and onsite support staff
• Faster deployment

In addition, vendors of cloud-based point-of-sale systems have bundled marketing, operations, and reporting applications into their virtual systems to further enhance their offerings. In this case, the business benefits from:

• Agility – retailers can become more nimble as they add new applications more quickly because they no longer have to deal with individual stores’ server-based constraints.
• Mobility – with a device like an iPad, the point-of-sale can become mobile enabling the potential for innovative marketing and sales tactics.
• Reduced costs – VoIP phones, for example, can reduce the costs of phone service at the store-level.
• Guided selling – using customer analytics, retailers can understand customers buying habits and suggest products and promotions based on what customers already own (similar to Amazon’s “Recommended Products”).

The lynch pin to all of these applications, of course, is Internet connectivity. Without connectivity the benefits of the cloud start to look more like vapor. In a retail environment, Internet downtime is detrimental to the customer experience and can result in significant revenue loss. When operational applications like video surveillance and VoIP phones lose connectivity, employee productivity and loss prevention are also at risk.

Retailers know that their Internet connection represents a single point of failure for their POS system, which is why they have failover solutions in place to switch to a secondary connection when their primary connection goes down. What is frequently overlooked, however, is that these failover solutions operate using legacy infrastructure like dial-up or ISDN connections. Unfortunately, a 64 kbps line isn’t going to provide today’s retailer with the necessary bandwidth to access the cloud.

As retailers virtualize their systems and start to embrace cloud-computing, they are flocking to upgrade legacy connectivity with 3G/4G mobile broadband to ensure business continuity. For retailers with wired lines as their primary connection, mobile broadband has the benefit of providing their failover connection with “pathway diversity.” When a wired line is cut, 90% of the time other wired connections fail as well. CradlePoint solutions offer the versatility for the convergence of wired and wireless connections.

In addition, with the advent of 4G LTE, mobile broadband offers speeds that rival T-3 lines at a fraction of the cost. And with a CradlePoint 3G/4G mobile broadband router, that Internet connection is mobile, enabling easy deployment and “pop up” point-of-sale capabilities where wired lines aren’t available.

Whether it’s a primary connection or a failover solution, CradlePoint specializes in maximizing the potential of the cloud for businesses worldwide. CradlePoint’s portfolio of 3G/4G network solutions has attracted established retailers and national brands that rely on CradlePoint to deliver reliable, secure, and easy-to-deploy connectivity. We are helping retailers respond to this strategic inflection point and address the trend in shifting consumer behavior.

The 2012 Consumer Electronics Show (CES) in Las Vegas is in full swing. My CradlePoint colleagues and I are in the Enterprise Zone of Verizon Wireless booth (Las Vegas Convention Center, South Hall, Booth #30259). While this is a tradeshow that emphasizes "consumers," I will note that year after year, enterprises are finding their way to CES to hawk their B2B solutions. Businesses after all are run by consumers, right?

CradlePoint actually has the distinction of connecting 13 solutions that are being demonstrated in the Verizon Wireless Enterprise Zone. These are solution providers serving industries ranging from healthcare to entertainment to security to retail. Just one more example of how CradlePoint defines excellence in 3G/4G connectivity.

Speaking of connectivity, outside the realm of CradlePoint, I did observe some cool products on the trade show floor:

• Phones: AT&T announced a slew of phones that boost their portfolio of 4G LTE enabled devices. Nokia's Lumia 900 is the big one, literally. Specially designed for photographers, it uses the Windows Phone platform, AT&T's 4G LTE network, and has a 4.3-inch screen, which is huge. It seems like it's somewhere between a phone and tablet.
• Cameras with Wi-Fi: I love this concept. Shoot and upload while on the go. Samsung has integrated Wi-Fi into four of its cameras, including one with GPS for geotagging. Sony also introduced the Bloggie Live, a full HD mini-camcorder with a 3-inch touch screen and built-in Wi-Fi. Of course what better way to connect your Wi-Fi camera than with a 3G/4G CradlePoint router? Wired lines and hotspots aren't always convenient. So why not take one with you?
• Going green: I enjoyed the Envision Charlotte eco-kiosk, which is powered by Duke Energy's Smart Energy Now, a program that uses digital grid technologies to display real-time energy data throughout uptown Charlotte – creating awareness and driving behavioral change. The goal: cut energy use by up to 20 percent by 2016.  It tracks homes/businesses to show how much energy they are using in an effort to raise awareness and reduce energy consumption. They are using a CradlePoint COR IBR600 in the kiosk.
• My favorite thing at CES was this Emperor Workstation. If someone wanted to double my productivity, they could just put me in one of these with a never-ending supply of coffee. Seriously comfortable and the sound system was awesome. I think they debuted it a couple of years ago at CES, but it was new to me. 2 thumbs up.

• There is major headphone craze at CES. Seriously, when did headphones get to be in such high demand?  Do we have Dr. Dre to thank for this?
• There were also a surprising number of iPhone accessory – specifically case – vendors. Another surprise to me. One booth literally had walls and walls of iPhone cases – and that’s it. It was a huge booth too. There must be serious margin in these products.

But wait! There's more. CES will be going on for several more days. We'll keep you posted on our latest discoveries and observations. Stay tuned by following @CradlePoint on Twitter.

There's nothing like kicking off the New Year with an award. We're thrilled that the CradlePoint MBR95 has been recognized as the #1 product at the 3G Store. The award was given based on four criteria:

• Volume sold
• Customer reviews and feedback
• Customer returns
• Tech support issues with each product

Of the 80 or so reviews, 93% of them were 4 or 5 stars (with the majority being 5 stars). It's been awhile since I've been in school, but last I recall, 93% was a solid A.

Here's what just a few of the reviewers had to say:

"This is our second one that we purchased. This one was for a relative since our first worked so well. 3G store did a great job on prompt shipment and setup. Would highly recommend."

"Works great. Easy to set up."

"Easy to set up, works with Verizon 4G LTE right out of the box. Excellent!"

If you're looking for a home or small office routing solution, the CradlePoint MBR95 is a simple and secure way to create a high-speed network. It's designed specifically for multimedia, gaming, and small office use, the MBR95 has the versatility to share a Cable, DSL or 3G/4G Internet connection wirelessly at 802.11 N speeds or through any of the four Ethernet ports.

To provide a safe networking environment, the MBR95 provides a wide variety of security features to prevent unwanted access, and robust content filtering to prevent children from accessing undesirable web content. The MBR95 enables guest Internet access via WiFi, using a second SSID with separate security settings. This enables guests to access the Internet, without allowing them to access private computers and devices.

As a software engineer and Innovation Group facilitator at CradlePoint, I am always interested in stories about innovation. I found this story of two young men turning some ugly, unwanted shipping pallets into green shelters, and hope for homeless and refugees an excellent example of the importance of innovation.

The young men are architects Gregor Pils and Andreas Claus Schnetzer of Austria. When the ugly but practical pallets came together with Gregor and Andreas on a family building site, a surprising innovation came about. The two, after some brainstorming with other members of their families, decided that the pallets, which were used to ship materials to their site, could also be used to create homes.

The two men have created a pallet home with all the utilities. Well-designed and insulated versions of a pallet home need as little as a small, 2000-watt heater to keep it warm during winters. The pallets are used as floors, walls, and ceilings. Support beams, piping, wiring, and insulation fit into the spaces between the surface of the pallet and the base. Other accouterments can be added, and the construction can be extended to create additional rooms and floors.

Another use of their innovation is long-term emergency shelters for people in refugee camps around the world. Pallet homes are constructed quickly, are very durable, provide a more comfortable and practical living environment than tents, and cost a very small fraction of what typical construction would using more expensive materials. By providing refugees living spaces made from pallets and inexpensive insulation materials like straw, they can have a more comfortable, healthier lifestyle than they could in a typical shanty-town camp.

Gregor and Andreas want their pallet home designs to be used to provide permanent homes in poor nations where materials and resources are scarce. A more complete version of the emergency shelter can provide a safe and comfortable home to people who may not otherwise be able to have a permanent place to live.

Giving people permanent homes in poor areas of the world and building more durable and comfortable housing in refugee camps helps the shelter's occupants feel more comfortable and secure. The beneficial lift in spirits gives hope to people who may otherwise be living in a muddy tent city or shantytown. Hopeful, happier people can more easily fight off disease and infection, are less likely to commit crimes, and bolstered with a sense of pride are more willing to help themselves to improve their situation.

Reusing pallets as building material reduces the world's carbon footprint since people aren't burning the pallets that are used. Burning broken or discarded pallets can create significant amounts of CO2 and can release noxious chemicals from some of the chemicals used to weatherproof and treat the pallets.

Using the pallet as the principal building material reduces waste and recycles otherwise worthless wood into something very useful. Through the innovation of Gregor and Andreas there are people in the world today who now have homes, shelters, and hope for a better life.
 

I’m sure you’ve heard about the $39 billion proposed AT&T – T-mobile merger (it officially was withdrawn on Dec 19). What about Sprint shelling out nearly $2 billion to Clear last month? How about the nearly $4 billion Verizon just put down for some Comcast resources? Why is all this money changing hands between carriers? As a product manager with an electrical engineering degree and an MBA at CradlePoint, it’s my job to understand the macro level forces at play in the wireless industry and the technical details behind them. The world of wireless Internet has been taking off and one of the most important limited resources – spectrum – has led to a rash of mergers and acquisitions in recent months to increase wireless spectrum holdings.

So, what is spectrum and why should you care about it?

Spectrum is a range of frequencies of radio waves that travel through air. Those waves travel at different frequencies. Blocks of those frequencies are defined and sold by the FCC in the US and like organizations around the world. The blocks are split up both by frequency and geography so a carrier can buy blocks in different geographic regions as well as urban or rural areas.  Blocks of spectrum are assigned for all sorts of applications such as AM and FM radio, TV signals, cell phones and military communications. If multiple devices are operating on the same spectrum they can interfere with one another, which is why it’s important to regulate and define who owns what spectrum. This makes spectrum very valuable.

As wireless carriers see increasing demand from customers for more and more wireless data, they need more spectrum to provide more data throughput. Much of the spectrum owned by wireless carriers is already saturated by what they call 3G technologies. There are more efficient ways to transmit more data faster and that’s what this whole wave of 4G technology is all about. Generally speaking 4G is 3 to 10 times faster than 3G, ie. 1-3 Mbps (millions of bits per second) vs 5-30 Mbps. To run 4G networks, wireless carriers need more spectrum. The problem is that there is only so much of it and some of it is better suited for some purposes than others. Generally speaking, the lower the frequency, the less energy it takes to broadcast and the better it is at penetrating buildings and bending around corners. 

One particularly favorable frequency for transmitting data over large areas that penetrates buildings well is 700MHz (millions of cycles per second).  This spectrum was used for analog television until it got turned off back in 2009. Verizon and AT&T as well as other carriers were planning ahead for 4G and snatched up blocks of spectrum.  Verizon and AT&T alone spent $16 billion in the auction for the old TV waves back in early 2008 while TV didn’t stop transmitting until June 2009.

Verizon launched its 4G LTE network in December 2010 on what’s known as “Band 13” which is a block of spectrum they picked up in the auction.  AT&T lit up its 4G LTE in September and both are pursuing aggressive rollout plans.  AT&T is up to 15 markets while Verizon is almost at 200.  Not wanting to get left behind, AT&T put down a $39 billion bid for T-Mobile to gain its subscribers, but also to snatch up that valuable spectrum.  The bid was officially withdrawn as of December 19, 2011, but the story is not over.  AT&T will now have to look at other ways to increase its spectrum holdings.  Verizon in the meantime offered Comcast and partners $3.6 billion to pick up more spectrum and then another $315 million to take some off the hands of Cox Communications.  All of it helps Verizon stay in the lead in the 4G game.

Don’t forget about Sprint though.  They may be the small player among the big three but they’re not going to go without a fight.  Last month they bailed Clearwire out with a $1.6 billion offer that ensures Sprint has access to their 4G WiMAX (competing 4G technology to LTE) network until 2015.  WiMAX got the 4G ball rolling, but while it had its 2 years in the spotlight, it was never able to really take off due to technology and funding limitations.  Sprint saving Clearwire also ensures Sprint has access to that spectrum when they transition to LTE.  Sprint has signed agreements with LightSquared for about $14 billion to have the LTE network run on Sprint’s spectrum.  LightSquared is a company building out an open 4G LTE network.

And then there’s T-Mobile.  They are the 4^th nationwide carrier.  They are relatively small and they almost became part of AT&T, but that deal just fell through making their future uncertain.  In the meantime, they have been pursuing a fairly aggressive rollout of their own “4G” network.  It’s really just a major upgrade to their 3G network to make it run faster, but they have fewer customers and their spectrum isn’t overloaded so they have room to upgrade their current network on the same spectrum.  They don’t have a clear path toward 4G LTE which is the future of mobile data, but somehow it’s expected they will get there.  They may be on track for a merger with Sprint, but that’s pure speculation.

So what does all this mean?  It means that that there will be more mobile data available in the future.  Speeds and availability are going to increase.  It’s not a particularly stunning conclusion, but it does have a far reaching effect.  It means that individuals and companies will be tied less to the wired Internet world.  It will open up the possibility of high bandwidth applications running in remote areas.  It will also mean that wireless failover will be able to keep entire companies and all their bandwidth hogging applications online when the wired line goes out.  CradlePoint is a technology company that is well positioned to provide businesses access to those fast 4G networks through business-class routers with failover and load balancing capabilities as well as advanced features such as Dual-SSIDs and WiFi-as-WAN for network offloading.  Wireless spectrum may be limited, but the ability to stay connected wirelessly continues to rapidly expand.