Accelerating Wearables: The New Connected Family Pankaj Kedia Sr. Director & Global Head, Smart Wearables Segment TDK Developers Conference 09.17.2018. QUALCOMM LEADING MOBILE, IOT, WEARABLE TECHNOLOGIES ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 2 The Industry Evolution Wearables Era LGWatch Apple Watch 2014 The 2015 Mobile Era Apple iPhone Apple iPad The 2007 2010 Portable Era Each Subsequent NEC UltraLite Era Bigger Than The 1989 The Previous One Desktop Era Complement, Not Replace IBM 5150 1981 Wearables = First Inning ©2013-2016 Qualcomm Technologies, Inc. and/or its affiliated companies. Shared under NDA 3 The “New” Connected Self WEARABLE CAMERAS SMART HEADSETS SMART GLASSES CONNECTED MEDICAL FITNESS BANDS TRACKERS SMART SMART WATCHES CARDS SMART PANTS SMART SHOES ©2013-2016 Qualcomm Technologies, Inc. and/or its affiliated companies. Shared under NDA 4 The “New” Connected Self + Family WEARABLE CAMERAS SMART MY PARENTS HEADSETS MY VALUABLES SMART GLASSES CONNECTED MEDICAL FITNESS BANDS TRACKERS MY SPORTS MY KIDS SMART SMART WATCHES CARDS SMART PANTS SMART SHOES MY PETS MY IOT DEVICES ©2013-2016 Qualcomm Technologies, Inc. and/or its affiliated companies. Shared under NDA 5 The “New” Connected Self + Family STAY CONTROL CONNECTED WEARABLE IOT DEVICES CAMERAS SMART MY PARENTS HEADSETS MY VALUABLES GET FIT, SMART HELLO ALEXA GLASSES STAY FIT OK GOOGLE CONNECTED MEDICAL FITNESS BANDS ALWAYS TRACKERS ENTERTAIN CONVENIENT LISTEN TO MUSIC MY SPORTS MY KIDS SMART SMART WATCHES CARDS ALWAYS IDENTIFY AND PRODUCTIVE SMART PAY PANTS BE SAFE SMART STAY HEALTHY SHOES BE SECURE MY PETS MY IOT DEVICES STAY WELL ©2013-2016 Qualcomm Technologies, Inc. and/or its affiliated companies. Shared under NDA 6 Qualcomm Wearables Segmentation Smart Watches Kids Watches Smart Trackers Wearable Companions LUXURY CHILDREN’S KIDS SMART BRAND CLIP / CARD FASHION PETS SMART GLASS OPERATOR BRAND SPORTS ELDERLY SMART SHOE GEN CE / PHONE VALUABLES SMART PURPOSE BRAND APPAREL ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 7 Option 2 Smartwatch Segment 8 Announced 9/10/18 3100 platform Next generation smartwatch platform based on new ultra-low power system architecture Gen 1 Gen 2 Gen 3 Snapdragon™ 400 Snapdragon Wear™ 2100 Snapdragon Wear™ 3100 Platform Platform Platform Luxury Fashion Many Many More Sports Brands Entering General purpose Announced On Sept 10 If Wear OS by Google, then Snapdragon Wear Qualcomm Snapdragon and Snapdragon Wear are products of Qualcomm Technologies, Inc. and/or its subsidiaries. Gen 1 Gen 2 Gen 3 Snapdragon™ 400 Snapdragon Wear™ 2100 Snapdragon Wear™ 3100 Platform Platform Platform Luxury Fashion Many Many More Sports Brands Entering General purpose Announced On Sept 10 100 smartwatches shipping from 25 brands Qualcomm Snapdragon and Snapdragon Wear are products of Qualcomm Technologies, Inc. and/or its subsidiaries. Smartwatch Usage The “5-95” Rule 5% 95% Interactive Ambient Smartwatches Today Phone Based Architecture 5% 95% Interactive Ambient A7 DSP / M4 Snapdragon Wear 3100 Smartwatch Based Architecture 5% 95% Interactive Ambient Big 4 x A7 Small DSP Tiny Co-Processor RTOS RFFE w/ GaAs PAs (QPA4360 / QSW8573 / QET4101) New ultra-low power co-processor Designed from the ground up to re-imagine smartwatch experiences Wi-Fi + Core baseband Modem / GPS New hierarchical system architecture Bluetooth (MSM8909w / APQ8009w) RF (WCN3620) (WTR2965 / With optimal partitioning across A7, DSP, and QCC1110 Wear OS WGR7640) Wearable New dual-display architecture PMIC DSP AP via MIPI, QCC1110 via SPI (PMW3100) Open Sensor framework Ultra-low power Dual Display Next-gen sensor processing with open execution environment in the co-processor architecture (QCC1110) DSP and co-processor, enabling higher differentiation and faster TTM RTOS New wearable PMIC NFC (NQ330 / NQ310) for lower power operation while reducing size and increasing integration New RFFE w/ Gallium Arsenide PAs Optimized for power efficiency and wearable form factors Sensors New NFC chips Support for smaller antenna design and higher reader interoperability Snapdragon Wear 3100: Next Generation Smartwatch Platform Application Processor Compelling Sensor A7 CHRE HAL Android Wear Hardware Abstraction Layer (HAL) Applications C I P M R t Q s a All-Ways Aware Hub (AAH) on MDSP f CHRE Sensors Execution Environment (SEE) Sensors/Algo Innovation BlackGhost Sensor [Accelerometer, Via Gyroscope, DSP rd SEE 3 Party Algos Magnetometer, Sensor Execution AR Pedometer SMD QHeart Pressure, ALS/Proximity Gaze Ungaze Off-Body PPG, AMD, Wrist Tilt] Environment (SEE) I P BlackGhost 2.0 S BlackGhost Proxy Sensors Execution Environment (SEE) Co-Processor Sensor Ultra Low Power RTOS Sensing Wrist Accel ALS/ AMD LLOB Mag Pressure PPG Tilt Gyro Prox I C P 2 S I Accel/Gyro sensor Mag sensor Pressure sensor PPG sensor ALS/Prox sensor New Sensor Framework in DSP and Co-Processor Fashion Meets Smarts Enhanced ambient mode Today Snapdragon Wear 3100 A7 DSP MON 10 2843 Co-Processor RTOS Smooth second hand, multi-color, live complications, adaptive brightness, full touch Available at launch Sports Meets Smarts Dedicated sports experiences Today Snapdragon Wear 3100 Up to A7 Up to Heart rate 145 km/h 32.8 DSP 00:4517 3 Hours Hours GPS + HR GPS + HR* Co-Processor RTOS 1 Range of Experiences: Run, Swim, Hike, Bike, … Available via future release *Qualcomm Internal Calculations. Based on typical sports watch 450mAh battery capacity. 2 3 Option 2 Kid Watch Segment 19 Announced 6/26/18. 2500 platform First Dedicated Kid Watch platform designed to accelerate 4G based use cases Qualcomm Kid Wearables Kid Trackers 4 YEARS 6 YEARS 10 YEARS 12 YEARS 18 YEARS Smartphone Kid Watches ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 21 Kid Wearables: Transitioning to 4G 1 Billion 4-10 Year Kid Population Around The World Kid Watch Segment Transitioning to 4G 4G Transition 80 70 60 50 40 30 20 10 0 2015 2016 2017 2018 2019 2020 2021 2022 2023 4G 3G 2G 80+ Mu Total Market, 4G Accelerating to 85+% by 2023 Significant Upside Across India, Latin America, Indonesia ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 22 Kid Wearables: Use Case Evolution Phase 1: Calling Only Phase 2: Calling + Tracking Phase 3: 4G Kid Platform Stay Fit Fun-n-Play Learn-n-Grow 4G Keep-in-Touch Location Tracking Phone Calls 2G ©2013-2018 Qualcomm Technologies,GPS +2G/3G Inc. and/or its affiliated companies. All Rights Reserved. 23 Accelerating 4G Kid Watches QSC6270 / 6155 Strong Customer Pipeline In Place 4 OEMs | 8 SKUs 12 OEMs | 15 SKUs Going Global with 5 Operators | 3 Countries 13 Operators | 12 Countries Range of Brands 24 Qualcomm Snapdragon Wear is a product of Qualcomm Technologies, Inc. and/or its subsidiaries. 4G Kid Watches Going Global !!! Devices based on Snapdragon Wear shipping at 15 operators in 14 countries USA Germany, Italy, COMING Netherlands, Turkey Japan SOON UK, Greece Spain Mexico South Korea Peru South Africa China 25 Strategic Collaboration with TDK Expanding Algorithms Choices for Fun-n-Play Description Push arm down Announced Push arm up June 2018 Gestures Shake (2 half twists of the wrist) Multiple arm shake front-back Inverse B2S (Put Arm down for screen off) Strategic Collaboration with TDK (Invensense) • Optimized algorithms to enable new use cases • TDK to provide algos running on A7 • TDK open to engaging with customers for OEM-customized algo solutions Benefits to Customers • More differentiated options for customers • Enabling an out-of-the-box-experience via TDK-developed APK ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 26 Option 2 Smart Tracker Segment 27 1100 and 1200 platforms Cat 4/1 and Cat M1/NB-IOT Platforms optimized for smart tracking 28 Pet Ownership High Across Regions Source: GfK survey 2016, 27K internet users, ages 15+, 22 countries ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 29 Pet Trends 4.5M pets lost 95% of owners each year, 1 pet consider their lost every second pets to be part of GLOBAL 2M dogs killed on the family roads per year $70B Spent on Pets If HH Income >$70K, USA in 2017 >$1K Spent on Pets ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 30 Pet Tracking Use Cases Value Proposition Safety Activity Behavior Health • Count steps • Re-enforce good behavior • Track heart rate • Measure active time • Bark detection & training • Monitor respiration • Indoor & Outdoor Location • Track sleep • Discourage anti-social • Measure temp behavior • Geo-fence • Heat map logging • Detect abnormal posture and behavior • Virtual fence • Vaccination reminders • Monitor environment temp • Detect ambient sounds (bark) • Voice Call (Lost & Found) ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 31 Pet Tracking Segmentation Premier Tier 4G Pet Tracker 4G Health: Vital Signs Monitoring High-End 4G Pet Tracker Activity & Behaviour 3G 2G Multi-purpose Tracker Location: Safety & Security RF Behavioural Training ID RFID USB Step Counter $50 $100 $200 ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 32 Example Qualcomm Based Trackers ©2013-2018 Qualcomm Technologies, Inc. and/or its affiliated companies. All Rights Reserved. 33 Wearable Companion Segment 34 2100 and 2500 platforms 4G + Android based