VDC Research: Embedded Microprocessor, Board & Systems Market Blog

Design West / ESC Show 2012 Highlights - Part 1 The Embeddy

VDC attended the 2012 DESIGN West/Embedded Systems Conference in San Jose from March 27^th through March 30^th and met with more than 30 companies to discuss product announcements and a variety of industry trends impacting the embedded hardware market today.

I wanted to take a few minutes to thank the many outstanding people at the show that provided briefings to the VDC Embedded Hardware team. With our Migrating to the Embedded Cloud report in production, key trend elements we were especially attentive to included M2M connectivity of embedded computing products with cloud based services and infrastructure.

As the first part of this blog, I thought I would give some detail on the Embeddy winner. Then, in a follow up blog that will post next week I will highlight many other companies we met with and some of the new products and trends we heard about.

And now, without further ado, the winner of the VDC Hardware Embeddy award for the 2012 Design West / ESC show was Freescale for their Vybrid family of embedded controller solutions.

There were several things that impressed me about the Vybrid line. First of all there are several different combinations of features and performance that can be selected. This should make them very flexible and cost effective.

The second thing I noted was the heterogeneous architecture for the dual processors inside the device. One processor core was more powerful for the functions that needed it and the other processor core was more economical for less demanding functions. I would think that would make it an good fit in a world that is now demanding more embedded processing power while, at the same time looking for power economy as well.

Freescale looks to be providing product samples later this year and indicates that they will be ramping up production of them in 2013. It will be interesting to see how the market responds.

Perpetual & Pervasive Consumer Engagement Platforms Shaping Semi Market

From TVs, twitter, and mobile phones, the amount of electronic information with which we are presented on a daily basis has exploded and we have become increasingly conditioned to want this information on a at our fingertips real-time basis. We have almost gotten to the point now, however, that we – as a society – have developed a Device Attention Hyperactivity Disorder. So within the retail automation, at the same time that we want a more immersive consumer experience, it is becoming both more difficult and important to capture customer attention and loyalty.

Now enters the role of tomorrow’s digital signage. What were once nothing more than transaction facilitators or static standalone advertisement platforms have become a rapidly evolving medium for consumer engagement and market intelligence. The digital signage platforms of tomorrow combine artificial intelligence and real-time analytics in order to enable the more dynamic and tailored experience retailers want.

Imagine a world where you are in a mall and walk into a store and a digital signage kiosk can sense your preferences and suggest products to you as soon as you arrive in the store. Then you are presented with a range of potential product options that you can scroll through. Meanwhile, the digital sign pings the stores servers, an associate is paged, alerted to your presence, and given a heads up as to what of the products you are browsing through in stock.

As some of you all know, this type of M2M interaction is already starting to happen in some retail settings. So what does this mean to the embedded supplier community?

For one, there are new revenue opportunities presented through the enablement of this rich, connected consumer experience, but there is also an opportunity for embedded solution suppliers and their clients to access additional marketing revenue paid by clients hoping to have their specific brand promoted first within the digital signs.

Whereas these new functionality requirements can certainly help embedded solution vendors diversify their portfolio of products and services, the evolution of the semiconductor requirements for these systems is also helping to drive change in this market. Not only do these systems have higher performance media and graphics processing requirements, but the semiconductor technology needed to support them is becoming available at increasingly competitive price points that are reinforcing market opportunity growth.

ADLINK TECHNOLOGY ACHIEVES NUMBER TWO PC/104 MARKET SHARE THROUGH ACQUISITION

Approximately six weeks ago, ADLINK Technology, Inc. (New Taipei City, Taiwan) announced the 100% acquisition of LiPPERT Embedded Computers GmbH (Mannheim, Germany), providing a major increase in market share for modular computing products. (http://www.lippertembedded.de/en/information/news/312-adlink-acquires-lippert.html )

 ADLINK’s first major push into the modular computing segment was the firm’s 2008 acquisition of AMPRO Computers, Inc. (San Jose, CA), now doing business as AMPRO by ADLINK. AMPRO, historically, was the inventor and a leading supplier of PC/104 family modules, as well as a pioneer in the field of Computers-on-Modules (COMs). Indeed, AMPRO’s Encore COMs had won several awards, including the EDN Innovation of the Year in 2001, and Electronique’s Electron d’Or in 2002.

Since the 2008 acquisition, the combined firm’s market shares have been quite healthy. VDC estimates that, in 2011, ADLINK held a 6.25% market share in PC/104 Family modules (the number 5 position), a  3.01% share in COMs (the number 8 position), and a 13.69% share in “other stackable” CPU modules (EBX, EPIC), yielding the number three position.

LiPPERT is also a major player in the modular field, particularly in the area of PC/104 Family modules. The firm had an estimated 2011 market share of 3.41%, occupying the number 13 slot. The combined shares of ADLINK and LiPPERT (9.67%) would have given ADLINK the number two slot, second only to the Eurotech Group.

Although LiPPERT has also been active in both the COMs and “other stackables” arenas, the firm’s market shares are substantially smaller; the addition of LiPPERT’s shares to those of ADLINK would not have been sufficient to move the firm higher in rank.

However, both firms bring considerable across-the-board expertise to the table. VDC expects this combination to be quite formidable, particularly in the PC/104 Family field.    

Deepsea Challenger: Bringing Embedded to the Bottom of the World

Titanic and Avatar director and filmmaker James Cameron recently completed an epic adventure to the bottom of the Mariana Trench, the deepest location under the Pacific Ocean. In order to reach this location and survive the crushing pressures of the massive ocean above him, Mr. Cameron rode in a custom designed submarine called the Deepsea Challenger. Equipped with sophisicated video camera technology, Mr. Cameron was able to bring back footage from this alien world that lies nearly 11,000 meters below the surface. A sparse, barren plain devoid of life suggests that the Mariana trench is no place to plan your next vacation. Clearly, Mr. Cameron had some very advanced technology to go explore this place. So, the question from our perspective is, what embedded technology did Mr. Cameron bring with him?

Well, one primary and crucial embedded system is the touch screen that allowed Mr. Cameron to monitor all the critical systems within the Deepsea Challenger submersible, including life support, batteries, thrusters, speed, pressure, orientation, etc. This touch screen no doubt consolidated what would have been a nightmarish ensemble of dials, gauges, and other devices into one interactive screen. No doubt, the first visitors to the bottom of the world, explorers Jacques Piccard and Don Walsh, would be envious of the high tech systems that Mr. Cameron had at his disposal. This touch screen system is a good example of what made it possible for Mr. Cameron to attempt this solo journey.

VDC believes touch screen technology is a fast growing market with huge potential. While most of us will probably have to wait a little longer for deep-diving submersibles (SOTS – Submersibles Off-The-Shelf—you heard it here first), the much more common consumer products like iPods and iPhones already incorporate this technology. Appliances like refrigerators are beginning to incorporate these touch screen technologies as well. This is a particularly good business opportunity for embedded microcontroller companies such as Atmel Corporation with its maXTouch family of touchscreen controllers. In fact, VDC will be examining this kind of technology in its upcoming Track 2: Embedded Processing Technologies, Volume 1: Microcontroller Units (MCU) reports.

Market research aside, VDC congratulates Mr. Cameron and his engineering team on a successful and safe return from the bottom of the ocean.

Embedded World 2012: Year of the Microcontroller

According to the lunisolar calendar used in many parts of Asia, this is the Year of the Dragon. During this often revered cycle, VDC visited Germany for embedded world 2012. Held in the city of Nuremberg at the Exhibition Centre Nuremberg, the event features displays of the latest embedded technology and attracts the leading vendors from all over the globe. It was an exciting show, with more than 20,000 attendees. After experiencing the myriad exhibits of embedded technology and getting a feel for the latest trends, VDC’s embedded hardware team would like to propose an alternative hypothesis: this is the Year of the Microcontroller.

Over the course of two days at the event, VDC met with a number of embedded hardware companies including ADLINK Technology, AMD, Atmel, Connect One, Echelon, Eurotech, Freescale, IEI Technology, Kontron, MSC Vertriebs, National Instruments, NXP, SEA, Xilinx and many more. However, one of the most active technology areas that VDC observed at the show was microcontrollers. Microcontroller companies with product announcements at the show included STMicroelectronics, NXP, and Texas Instruments.

STMicroelectronics unveiled its STM32 F0 microcontroller family which is built around the ultra low-power ARM Cortex-M0 (http://www.st.com/internet/com/press_release/p3275.jsp).  The goal of the new microcontroller family is to provide customers with new features that were previously only available at higher price points. This represents a pathway for these customers to migrate from 8-bit and 16-bit MCUs. With its analog features, the STM32 F0 is designed for fast rate sensing and control across multiple channels. Potential applications include industrial controls, building automation, computer printers, and a range of other consumer products. Through the use of the ARM Cortex-M based product, the STM32 F0 can free a customer from dependence on proprietary architectures and accompanying limitations.

Another company showing its microcontroller products was NXP. During the show, NXP announced its LPC1100XL, which also featured the ARM Cortex-M0 technology. This product expands the scalability of the overall processor family and makes power less of a design concern for embedded engineers. The LPX1100XL has “power profiles” which allow for real-time power management. The device also has 256 bytes of page erase which enables field updates without having to erase sectors to write the next page. Typical applications might be in consumer electronics, industrial control, and portable medical technologies.

With so many excellent products at the show and only limited time to see just a selection of them, picking a favorite is always a difficult decision. VDC typically looks for products that address the latest trends and drive cutting edge innovation. However, we must inevitably choose a winner, and so…

BEST IN SHOW AWARD GOES TO (DRUM ROLL):

 

Texas Instruments perhaps had the most visible product launch, with an inflatable promoting the Wolverine microcontroller just outside the exhibit hall’s entrance. Texas Instruments claims their MSP430 micocontroller uses fifty percent less power than any other microcontroller. The microcontroller utilizes a relatively new form of memory known as ferroelectric RAM (FRAM). This memory is non-volatile and helps bring down the power consumption of the overall microcontroller as a result. The design also incorporates ultra low leakage (ULL) process technology. One potential application of this equipment would be wearable medical monitoring technology. Another is sports monitoring equipment that can be attached to running shoes. VDC believes this product addresses many of the significant trends in the market: the quest for ultra low power in various use modes, the need for wearable technologies that do not interfere with humans’ mobility, the need for more innovative types of memory, and having a software ecosystem in place to support the product. Because of the innovative promise of TI’s “Wolverine” microcontroller, VDC designates the MSP430 as the best in show of hardware for embedded world 2012. 

Other microcontroller exhibitors at the exhibition included:

Arrow Central Europe, ATMEL, Avnet Memec, Cypress Semiconductor, Digi International, EBV Elektronik, Echelon, Freescale Halbleiter Europe, Fujitsu Semiconductor Europe, Integrated Device Technology, Infineon, Microchip Technology, Microsemi, MSC Vertriebs, Renesas Electronics Europe, Silica, Silicon Laboratories, Toshiba Electronics Europe and many others.

VDC is currently in the process of researching for its Track 2: Embedded Processing Technologies, Volume 1: Microcontroller Units (MCUs) study. We encourage companies to contact us with relevant product announcements and to set up briefings regarding microcontroller divisions.

Enabling M2M Applications to Cloud Services Using Scalable Edge Nodes - Part 1

During the ongoing VDC report on the embedded cloud I have been hearing about many different interesting Machine to Machine (M2M) applications including several that distinctly feature products that we consider as Scalable Edge Nodes (SEN). During the next few weeks, I thought I would touch on a few of these interesting application cases and what the scalable edge node brings to the table.

First of all, in this initial posting, I thought I would speak to what a scalable edge node is. To start, lets work with what it is not. There are many network appliances such as routers, switches, firewalls, and web servers as well as storage devices. These are not scalable edge nodes but, a scalable edge node might have some of these functions incorporated inside them.

The next question to address is why are these SEN products needed? SEN products are often needed to support M2M applications particularly with respect to cloud services. This is not to say that machines are not already connected. They are connected but these connections are very isolated industrial networks that are optimized for productivity and safety. Any connectivity beyond the industrial automation and/or process control network can be problematic. The Stuxnet case underscores the exact nature of the problems.
This is one area where a SEN can enable the benefits of cloud connectivity and services while mitigating many of the risks. Lets take a look at this week's real world SEN example to underscore this benefit:

This week's M2M embedded cloud SEN enabled application is Tomra's Tomra-Trac product. Tomra is a manufacturer of Reverse Vending Machines (RVM). These are the machines you find at stores in places where bottle/can deposits are taken at the point of sale. The consumers return the empty cans and bottles in order to get the deposit back. These machines automate the process and shred/crush the returned units to minimize the storage space needed. For minimal security, these RVMs need to be connected to the store's network to allow the issuing, validation, and cancellation of the refund receipt's barcodes. As these RVM machines often sit in peripheral locations without a lot of oversight, there are some security risks to these connections to the store's network that can be mitigated by the use of SEN type products like Tomra-Trac.

The Tomra-Trac product helps solve this security problem and, at the same time, adds cloud based services. If a beverage manufacturer comes up with a new product, the RVMs can be securely updated frequently to recognize the new product's bar-code. In RVMs that sense product profiles in order to detect counterfeits, these parameters can be updated if manufacturers change their can/bottle sizes and/or shapes. The Tomra-Trac allows the store management to remotely track the status of the machines which can save them money by only assigning personnel to RVM tasks when needed.

Tomra can also provide better, more cost effective service by polling the RVMs for potential problems and minimize downtime by proactive or prompt reactive service. So there you have it, a SEN allowing safer/secure M2M connectivity and providing benefits to the store as well as Tomra.

Connect with VDC Research Group at the Design West/Embedded Systems Conference 2012!

VDC Research Group will be joining the Design West/Embedded Systems Conference 2012 exhibition and conference.  During the conference, we will be presenting the coveted VDC Embeddy awards to a deserving product in each of the 2 software and hardware categories. To make sure your product is considered, please make sure that:

• The product is formally announced at the show or, has been announced as of January, 2012
• That the VDC Research team will be briefed on the details of the product by your show staff.

VDC’s Embedded Hardware Team will be arriving March 27th and will be at the conference through March 29th.  During that time, we welcome the opportunity to connect with attending vendors.  We look forward to explaining VDC’s research methodology, learning about your latest product releases, and discussing your market research and strategic needs.

If you would like to learn more about the show, please click here.

If you would like to schedule a meeting around Embedded Hardware, please contact:

David Laing, Senior Analyst, Embedded Hardware & Systems Practice, VDC Research Group at: dlaing@vdcresearch.com or 508.653.9000 x146.

Or

Chris Rommel, Vice President, Embedded Hardware & Systems Practice, VDC Research Group at: crommel@vdcresearch.com  or 508.653.9000 x123.

If you would like to schedule a meeting around Embedded Software, please contact:

Jared Weiner, Analyst, Embedded Software & Tools Practice, VDC Research Group at: jweiner@vdcresearch.com  or 508.653.9000 x143.

The Embedded Cloud – A Logistics Based M2M Solution to Many Worldwide Problems

As we read the news on an almost daily basis we see stories where counterfeit and/or inferior products are being sold to unsuspecting consumers and companies.  In other similar cases, the products are correct and/or close to what they should be with respect to quality and identity but their places of origin have been misrepresented. Then, we have the cases where products have been mishandled or contaminated but tracing them back to the sources is almost impossible or at least time consuming. Lastly, there are always concerns about the control, tracking, and inspection of cargo at ports of entry. So, in summary there are global concerns including health, safety, ecology, crime/fraud, and economics that could all be addressed by the embedded cloud.

In some industries like Pharmaceutical, there are new systems/solutions coming into play that use elements of machine to machine (M2M) Embedded Cloud connectivity. At present, what is lacking is a global, fully comprehensive system that tracks all types of products and materials from their sources all the way to where they are used in manufacturing/processing and/or sold to the end customer.

How would this comprehensive system work and how would M2M embedded cloud technology enable this? Let me show you a hypothetical solution that uses M2M connectivity in many cases aided by units we call Scalable Edge Nodes (SEN). The process would involve several steps as outlined below:

1.)    As a key to the whole process you would have to have a Global Certification Agency (GCA). This organization would have many standards for data tags, RFID, and Barcode as well as reporting units. This organization would be responsible for the tracking and reporting but the infrastructure could possibly be delegated and/or outsourced.

2.)    Next, you would have to have a source of certified RFID/Barcode tag products. These tags could be constructed in many ways to allow tamper detection and also include many sensing/detecting elements.

So, at the first stage, you have (GCA) certified manufacturers of these RFID / Barcode tag products and there would be M2M connectivity between the machines that manufacture the tags and the GCA to ensure each tag has a unique combination of RFID/Barcode serial number.

3.)    At this point in the process, the tag manufacturers then sell the tags to GCA certified suppliers of a given product. This transaction and the physical transfer of these tags would be tracked by the GCA. If the shipment of tags went astray, they would be revoked by the GCA.

4.)    The certified supplier of a given product wants to make a shipment and they register it with the GCA as being some quantity of a specific grade of product and link it with GCA certified tags/seals as appropriate.

5.)    Throughout the shipment process, each transportation/handling company would be certified by the GCA and have M2M connectivity to record scans of products as they pass. Coordinated systems between the RFID sensor tags on the products as well at the transport/storage systems would ensure proper handling and traceability through the system.

6.)    If, at some stage(s), the product is used by a manufacturer to make another product or divided by a distributor/retailer. In each case those entities would be registered by the GCA and have M2M connectivity and, if needed, new tags for their outgoing products.  The GCA would prevent or, at least flag cases where certified outgoing shipment of products exceeds the certified incoming products. The manufacturer, distributor, and/or retailer could also verify that the goods had not likely been damaged or had not deteriorated during transport.

7.)    Finally, the product makes its way to the end user / consumer.  They could scan or enter a bar code on the product and see many things. Where did their medicine or seafood product come from? Was it fresh/handled correctly? Is a product really 100% organic? Did it come from a sustainable “Green” ecologic source? Is the DVD or handbag they purchased legitimate or is it pirated / counterfeited? Is the wood in the chair really mahogany? Many, if not all of these questions could be answered with reasonable assurance.

Is this process possible? As mentioned previously, some industries such as Pharmaceutical have some ongoing efforts.  Even so, the market for these types of products/systems is extremely fragmented.  In other industries this type of M2M system is virtually non-existent. This is where scalable edge nodes could help de-fragment the industry by converting existing data formats/standards to the unified GCA standard that would be used in all markets. Then the markets can flourish based on a unified set of standards and systems.  In my opinion, a global unified M2M embedded cloud system is the only way this works.

In conclusion, the GCA system would allow competition with regards to the RFID/Barcode tags as well as the embedded computing and M2M sensing and transmitting / networking products. Product suppliers and logistics/transportation companies could also compete based on the extent and quality of their M2M systems. Would the globally unified GCA system be perfect? No, it still relies on the human element of someone certifying that a product or material they ship/sell has certain properties or attributes. The GCA system would, over time, allow the people that cheat to be identified and de-certified as well as in certain cases prosecuted. At the same time, the benefits to those who are in compliance would be extensive.

Media Processing: Unseen but Powerful

As I watched yesterday’s SuperBowl, I was painfully aware of each moment of the Patriots’ loss to New York. One thing of which I was blissfully unaware at the time was how much media processing was going on to bring me the crystal clear image on the massive HDTV in front of me. Media processing is what enables on-field action captured by NBC network’s cameras to be then consumed on a high-def television, or ultrabook, or smart phone, or tablet, etc. 

With the surge in connected devices, and in particular connect devices that can view video, the need for media processing is expected to increase dramatically over the coming years.  Not only that, but users are increasingly generating video traffic using handheld devices like smart phones. As the consumption and creation of video ramps up the flow of digital video traffic, the processors performing media processing have expanded from the traditional DSPs to include CPUs, GPUs, SoCs, etc. 

VDC will explore media processing in its upcoming embedded processor market research.  In May 2012, VDC will publish its Track 2, Volume 2: DSPs, GPUs, & Media Processors will take a deep dive into this technology-rich and fast-growing market. We will be reaching out to the leading vendors in each of these markets to learn their perspectives. If you wish to participate in our embedded processor research, please contact me:

Jonathan Hastings, Analyst, Embedded Group, Email: jhastings@vdcresearch.com

Connect with VDC Research Group at embedded world 2012!

VDC Research Group will be joining the embedded world 2012 exhibition and conference.  Last year’s conference was a fantastic event, with numerous exhibitions and great presentations of embedded hardware.

VDC’s Embedded Hardware Team will be arriving February 27^th and will be at the conference through February 29^th.  During that time, we welcome the opportunity to connect with attending vendors.  We look forward to explaining VDC’s research methodology, learning about your latest product releases, and discussing your market research and strategic needs. 

If you would like to learn more about the show, please click here.

If you would like to schedule a meeting around Embedded Hardware, please contact:

Jonathan Hastings, Analyst, Embedded Hardware & Systems Practice, VDC Research Group at: jhastings@vdcresearch.com or 508.653.9000 x127.

Or

Chris Rommel, Vice President, Embedded Hardware & Systems Practice, VDC Research Group at: crommel@vdcresearch.com or 508.653.9000 x123.

If you would like to schedule a meeting around Embedded Software, please contact:

Jared Weiner, Analyst, Embedded Software & Tools Practice, VDC Research Group at: jweiner@vdcresearch.com or 508.653.9000 x143.