Presentation: Jagannath Rao: MindSphere in action – Our open IoT operating system

Innovation Day USA 2017 | Princeton, March 27, 2017

Jagannath Rao, Vice President, Siemens Digital Factory Division

Unrestricted © Siemens Corp. 2017

siemens.com/innovationusa

This document contains statements related to our future business and financial performance and future events or developments involving Siemens that may constitute forward-looking statements. These statements may be identified by words such as "expect," "look forward to," "anticipate" "intend," "plan," "believe," "seek," "estimate," "will," "project" or words of similar meaning. We may also make forward-looking statements in other reports, in presentations, in material delivered to shareholders and in press releases. In addition, our representatives may from time to time make oral forward-looking statements. Such statements are based on the current expectations and certain assumptions of Siemens' management, of which many are beyond Siemens' control. These are subject to a number of risks, uncertainties and factors, including, but not limited to those described in disclosures, in particular in the chapter Risks in the Annual Report. Should one or more of these risks or uncertainties materialize, or should underlying expectations not occur or assumptions prove incorrect, actual results, performance or achievements of Siemens may (negatively or positively) vary materially from those described explicitly or implicitly in the relevant forward-looking statement. Siemens neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated.

This document includes - in IFRS not clearly defined - supplemental financial measures that are or may be non-GAAP financial measures. These supplemental financial measures should not be viewed in isolation or as alternatives to measures of Siemens' net assets and financial positions or results of operations as presented in accordance with IFRS in its Consolidated Financial Statements. Other companies that report or describe similarly titled financial measures may calculate them differently.

Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

MindApps

• Use apps from Siemens, partners or develop own apps

• Gain asset transparency and analytical insights

• Subscription based pricing model

MindSphere

01

1000

01 1011

MindSphere

• Open interface for development of customer specific apps

• Various cloud infrastructures: SAP, AtoS, Microsoft Azure offered as public, private or on-premise (planned)

0110

1101

00 0110

10 1101

1001

0101

0111

1101

10 10

01

01

00

01 01

00 0011

MindConnect

• Open standards for connectivity, e.g., OPC UA

• Plug & play connection of Siemens and 3rd party products

• Secure and encrypted data communication

Step 1

Get MindSphere user- account, receive and integrate Connector Box into machine/equipment

Step 2

Configure data acquisition, connectivity and Visual Analyzer via MindSphere

Run Service

Monitor e.g. health status of all assets in MindSphere with Fleet Manager and drill into details using Visual Analyzer

Equipment

supplier

Equipment operator

Major soft drink producer

Major OEM

for Honing Machines

Major

international airport

Machine monitoring Machine uptime

and quality

Failure prediction

for baggage carts

• Affordable IoT solution for pre- dictive maintenance of 150 motors

• Increased asset uptime through

  accurate failure prediction

• Global accessibility of data

• The honing stones must be replaced before either critical threshold values

• Reduced downtime and

  guaranteed quality

• Differentiated service offerings & revenue stream for OEM

• Identification of all potential failures in baggage trail

• On-time maintenance of defective

  baggage carts

• Visualization of system failures

characteristics

• Application Programming Interface (API) of MindSphere for development of customer owned analytical apps (MindApps)

• Optimized for industrial IoT App development with additional reusable supporting modules

  (e.g. parsing, analytics and visualization modules)

• Upcoming MindSphere App Store will provide ready to use Applications

MindSphere

API beta release planned for beginning of 2017

characteristics

• Dedicated IoT Gateways with MindConnect Nano and MindConnect IoT 2000

• MindConnect embedded in standard Siemens industrial products also with engineering via TIA Portal (v14), with e.g. SIMATIC, Sinumerik

• Upcoming MindConnect Software and APIs for own integration into assets/ devices

MindSphere

The cloud-based, open IoT operating system

… and more to come!

MindSphere - The cloud-based,

open IoT operating system

Unique MindSphere strengths

Ecosystem

Applications and Digital Services

MindSphere IoT operating system

MindSphere

01

10 00

• Global Siemens installed base of millions of devices

  (30 million automation systems, 70 million contracted smart meters, 800 thousand connected products, e.g., trains)

• Transfer of domain know-how into vertical-specific analytical apps

• Integrated operational data with Digital Twin to optimize

  simulation and engineering (model-based analytics)

• Plug and play connectivity for quick connection

01

1101

01 01

01 01

01

01 01

01 01

10 11

01 01 01

01 00 01 00

01 11 01 11

of assets without coding

- Ecosystem with broad domain expertise and horizontal

IT capabilities

• Deep-dive workshop to identify use cases

  with our proven MindSphere ideation approach

• Implementation of one of the identified use cases

  with a technical proof of concept (PoC)

• Ongoing support after the PoC

to maximize benefit from MindSphere