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Dr. Richard Soley Executive Director, IIC Oliver Winzenried CEO WIBU-SYSTEMS AG Smart Factories Redefine Security Paradigms Speaker 3 March 9, 2016 Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 1

Smart Factories Redefine Security Paradigms

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Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 1

Dr. Richard SoleyExecutive Director, IIC

Oliver WinzenriedCEO WIBU-SYSTEMS AG

Smart Factories Redefine Security Paradigms

Speaker 3

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 2

Smart Factories

March 9, 2016

A (R)Evolution in Manufacturing

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 3

Smart Factories

Predictable Productivity

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 4

Smart Factories

Predictable Productivity

Predictive Maintenance

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 5

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 6

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 7

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 8

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 9

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 10

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 11

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 12

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 13

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

Greater Professionalism

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 14

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

Greater Professionalism

Higher Efficiency

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 15

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

Greater Professionalism

Higher Efficiency

Level Playing Field

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 16

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

Greater Professionalism

Higher Efficiency

Level Playing Field

Shorter Time to Market

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 17

Smart Factories

Predictable Productivity

Predictive Maintenance

Adaptive Analytics

Lower Operating Costs

Friendly to the Environment

Lower Enterprise Risks

Greater Convenience for the User

Custom Marketing

More Interactivity

Higher Safety Standards

Greater Professionalism

Higher Efficiency

Level Playing Field

Shorter Time to Market

New Business ModelsMarch 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 18

Global Smart Factory industry activities

Industrial Internet – Industrie 4.0 – Made in China 2025

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 19

Global Smart Factory industry activities

Industrial Internet – Industrie 4.0 – Made in China 2025

March 9, 2016

International Industrial Internet

Reference Architecture

Security Framework

Journal of Innovation

Germany / Europe RAMI 4.0

Reference Architecture

Industrie 4.0 Component

R&D Roadmap

China Transform China from

manufacturing giant to manufactoring power

Grow from big to strong

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 20

Global Challenges

March 9, 2016

The Industrial Internet:Reinventing the Factory Floor

Dr. Richard Mark SoleyExecutive Director9 March 2016

“A fundamental new rule for business is that the Internet changes everything.”

-Bill Gates, 1999

22

Or has it? March 9, 2016

Where We’ve Been

23March 9, 2016

Discrete Manufacturing

1980Programming a 584 Programmable Controller

2424

2016Programming a 984 Programmable Controller

March 9, 2016

No, the Internet Didn’t Change Everything

There is much more to be done:• Oil & Gas Exploration

• Geological data integration from multiple sensing sources• Jet engine performance management• Electric grid transmission management• Rail & other transportation

• Failure sensing and automatic rerouting of multimodal systems, far more extensive than JapanRail automatic stop

• Smart homes & smart energy usage• And on… and on… and on…

• “Internet Thinking” is key to Smart Manufacturing, Smart Connected Products, and Smart Product Data

25March 9, 2016

The Industrial Internet is leading the next economic revolution

26

GDP data extracted from the Futurist 2007

March 9, 2016

The Measurable Outcome will be in the Trillions of Dollars

27

GE: $32.3 trillion opportunity representing 46% share of GDP today.Cisco: Internet of Things (IoT) will increase private sector profits 21% and add $19 trillion to the global economy by 2020Gartner: IoT product and service suppliers will generate incremental revenue exceeding $300 billion in 2020. McKinsey Global Institute: $36 trillion operating costs of key affected industries could be impacted by IoT

The convergence of Internet of Things, Industrie 4.0, Cyber-Physical Systems presents an enormous opportunity.

Sources: GE, Cisco, Gartner, McKinseyMarch 9, 2016

Yet there are current roadblocks to widespread adoption

28

Connectivity

Technology

Standards

Research Academia

Systems Integration

Security

Big Data

Government Industries

March 9, 2016

The IIC: Things are coming together

Things are coming together.

Standards

Big Data

Government

Technology

Research

Security

Systems Integration

IndustriesConnectivity

Academia

March 9, 2016

Industrial Internet Consortium

MissionTo accelerate growth of the Industrial Internet by coordinating ecosystem initiatives to connect and integrate objects with people, processes and data using common architectures, interoperability and open standards that lead to transformational business outcomes.

Launched in March 2014 by five founding members:

30

Community. Collaboration. Convergence.

The IIC is an open, neutral “sandbox” where industry, academia and government meet to collaborate, innovate and enable.

March 9, 2016

Contributing Members

Founders, Contributing Members, & Large Industry

IIC Founder Companies

Small Industry

Nonprofit, Academic, & Government

IIC Core Focus Areas

Activities fall into three main areas that ultimately drive new opportunities for IIC

members:

TestbedsInnovation to drive new products, processes, services

Technology & SecurityArchitectural frameworks, standards requirements, interoperability, use cases, privacy & security of Big Data

The IIC EcosystemCompanies joining together to advance innovation, ideas, best practices, thought leadership and insights

Innovative products!

IIC Track & Trace Testbed

35

Source: Bosch

March 9, 2016

What about Standards? And Open Source?

Already plenty of standards at the communications level (e.g., OMG DDS)Semantic standards are going to be critical in all verticalsIIC is a source for standards requirements & priorities

The Future

How will we reduce jet engine failure & maintenance costs?

3737

How will we save lives through better patient care?

How will we reduce passenger fatalities? How will we reduce waste of

natural resources?

How will we minimize unplanned factory downtime?

Things are coming together.

March 9, 2016

For More Information

Dr. Richard Mark SoleyExecutive DirectorIndustrial Internet Consortiumtel: +1-781-444 0404fax: +1-781-444 0320email: [email protected] http://www.iiconsortium.org

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 39

WIBU-SYSTEMS activities

Projects involved

March 9, 2016

Security requirements

Available solutions

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 40

Smart Factory Projects with Wibu-Systems involved

SesaOPS: SmartFactoryKL

Secure Plug & Work: Fraunhofer IOSB

IUNO: German reference project for security in Industrie 4.0 Large consortium: 14 companies and 7 research institutes

Four large use cases (testbeds)

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 41

Technology Initiative SmartFactoryKL

March 9, 2016

Technology Initiative SmartFactory KL e.V.

Registered Association

• Human-Machine-Systems• Automation

German Research Centre for Artificial Intelligence (DFKI)

Kaiserslautern

Research Department Innovative Factory Systems

University of Kaiserslautern

Department of Mechanical and Process Engineering

Institute of Production Automation (pak)

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 42

More than 10 years…

Technology Initiative SmartFactoryKL

March 9, 2016

Cyber Physical Systems

2002 2005 2015

Smart Home

Internet of Thingswww

2011

10 year anniversaryLaunching:

DEVELOPING THE VISION FOR INDUSTRIE 4.0

www.SmartFactory.de

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 43

Technology Initiative SmartFactoryKL

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 44

Technology Initiative SmartFactoryKL

March 9, 2016

longer product lifecycles

costdriven

Faster – better – cheaper

Yesterday Today

shorterdevelopment times

productindividualisation

customerdriven

longdelivery times

increasingsalaries

shorter product lifecycles

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 45

Technology Initiative SmartFactoryKL

March 9, 2016

Topics and content:• Cyber-Physical Systems• Vertical integration via OPC-UA• Decentralised process control via RFID• Semantical product and object memory model • Resource protection through

context-enabled M2M communication• Human machine interaction based on augmented reality

Wibu-Systems contribution• Secure signed data in RFID • Secure key storage and certificates for OPC-UA• Security components from sensor to cloud

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 46

Project Secure Plug & Work

Plug & Work capability of producing components using open standards

Secure authentication and configuration of production components andtrusted communication

Wibu-Systems contributionCodeMeter Protection, Licensing, Security, OPC UA integration

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 47

IUNO: Reference Project Security in Industrie 4.0

March 9, 2016

Four big Use Cases (Testbeds)

Collect all requirements and solutions in a toolbox

Implementation

Transfer to Industry!Secure ConnectivityVisual security control room for a production scenario

Secure Processes Customer individual production

Secure Services Remote access / trusted partners

Secure Data Technology marketplace for process data

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 48

IUNO: Reference Project Security in Industrie 4.0

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 49

How to Implement Security in Connected Products

Working Principles

March 9, 2016

WIBU Solutions & Processes

Samples

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 50

Turnkey Solutions for New Requirements

March 9, 2016

Know-how Protection data and program code encryption

Product Protection encryption & unclonable keys

Flexible Licensing encryption & biz process integration

Tamper Protection using digital signatures

Highest Security for IP and tamper protection

Flexible Storage for multiple licenses

Communication Security: cyber security -> e.g. OPC UA

Retrofitting brown field

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 51

Wibu-Systems Technologies and Solutions

March 9, 2016

Software Integration

Back Office Integration

Protection Suite: Ax/Ex/Ix-Protector

CodeMeter License Central

CodeMeter®

Secure Key Storage (Hardware / Software)

De-/Encryption (AES, ECC, RSA)

Flexible License Models

Software Integration Automatic Code Protection / API

Secure Boot / OPC UA

Back Office Integration Key and Certificate Deployment

License Deployment

License Administration

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 52

Integrate Once – Deliver Many

March 9, 2016

Integration into processes

Delivery to the userIntegration into software

Software SoftwareCodeMeter

Protection Suite

Integrate Once Deliver Many

CodeMeter LicenseCentral

LL L L

ERP/CRM

e-commerce

CodeMeter LicenseCentral

Software

License Portal

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 53

Samples: Banking and Retail, Medical, IoT, IA

March 9, 2016

ESI[tronic] 2.0

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 54

Samples: Banking and Retail, Medical, IoT, IA

March 9, 2016

Wibu-Systems Webinar: Smart Factories Redefine Security Paradigms 55

Summary: …

Dr. Richard Soley: Industrial Internet of Things (IIoT) technology isn't new; it's the convergence of many

economic & technical factors as applied to industrial systems While IIoT is heavily hyped, it is proven in the field in areas as diverse as healthcare,

precision agriculture and flexible manufacturing Waiting for standards is a bad idea; organizations have to apply the technology to

their processes now to understand how to best use it Oliver Winzenried:

Security is the enabler for IIoT and Industrial Internet Each device needs a tamper proof identity IP and know-how in flexible production process and data need to be protected

March 9, 2016

Deutschland: +49-721-931720

USA: +1-425-7756900

China: +86-21-55661790

http://www.wibu.com

[email protected]

Germany: +49-721-931720

USA: +1-425-7756900

China: +86-21-55661790

http://www.wibu.com

[email protected] Webinar: Smart Factories Redefine Security Paradigms

Thank you!Questions? Next Steps? Contact us

March 9, 2016