1.
1
IoT Business in Japan,
The Cases of Yukai Engineering Inc.
2017/09/28 v1.02
Jun HARADA, COO of YUKAI Engineering Inc.

2.
ToC
2
1.Introduction
2.Prototyping Service
3.Consumer Hardware
4.IoT Trends in Japan
5.Future of IoT

3.
Introduction: Our Vision
3
2025: Every Family has a Robot.

4.
Introduction: Our Business
4
Prototyping/MP Service Private Brand
Find out consumer needs from prototyping/mass production(MP) service.
We design products to meet the needs as private brand.

5.
Introduction: BOCCO
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BOCCO is the robot for children and his parents.
https://www.youtube.com/watch?v=87bITbf81TY

6.
Introduction: Simple Design
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Easy-to-Use for Everyone Awards / Media

7.
Introduction: What does “robot” mean?
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In 1954, the first programmable robot arm “unimate” was in production.
“Robot” has broader meaning, such as automation software(RPA) and AI Speaker.
1954年
unimate, Devol
1972年
fanuc
2010年
AR.Drone, Parrot
2014年
pepper, softbank
2002年
roomba, iRobot
2008年
palro, FujiSoft
2000年
asimo, Honda
2016年
Echo, Amazon
2013年
double
2013年
RPA
technologies
2004年
hal, Cyberdyne

8.
Introduction: AI Speaker
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The number of consumer robots is growing.
AI Speaker becomes most interesting consumer robot.
*robotstart社、robot library, https://robo-lib.com/
The end
of 2015
Jan, 2016
April, 2016
Oct, 2016
June, 2017

9.
Introduction: Amazon Echo
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https://www.youtube.com/watch?v=FQn6aFQwBQU

10.
Introduction: Why AI Speaker?
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Skills(applications for Echo)Sales of AI Speakers
*Jeff, Amazon's Echo isn't going to give up its lead anytime soon,
Business Insider
35.6M AI Speakers in the world.
Amazon Echo has 70% share.
*Adam, The 2017 Voice Report by VoiceLabs, VoiceLabs
The number of applications for Echo is growing.
Now Echo has over 20K skills.

11.
Introduction: Echo is next iPhone?
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Apple expands sales by iPod and iTunes.
Echo is believed as next iPhone.
*Raphael, Creating Value Through Business Model Innovation, MIT
Sloan

12.
Prototyping Service
12

13.
Prototyping Service: Our Customers
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Top tier companies in Japan work with us

14.
Prototyping Service: Why prototyping?
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Mass production has risk...
I don’t like
this product!
Confirm good UX
OMG!
Dead
stocks...
I love
this product! Happy
Mass
Production!

15.
Prototyping Service: Bad UX Example
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Opening the lock with smartphone looks fine but actually there are too many steps to open.
*Golden, The Best Interface is No Interface

16.
Prototyping Service: Good UX Example
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The lock opens automatically when it detects a man coming. (by BLE of smartphones)
*Golden, The Best Interface is No Interface

17.
Consumer Hardware
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18.
Consumer Hardware: Value Shift to Hardware
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Prototyping focused on software because a cost of hardware prototyping is too large.
Technologies (e.g. 3D printer) decrease the cost and enable hardware prototyping.
Now many ideas are realized via prototyping.
Software Development was
focused on.
Hardware Development is
easier than ever.
1990~2010 2010~
• 3D printer
• Fablab
• Prototyping
Kit

19.
Consumer Hardware: Prototype of BOCCO
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Raspberry Pi
Arduino
3D printer

20.
IoT Trends in Japan (especially about consumer business)
20

21.
IoT Trends in Japan: Natural and Cute
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Difference between Japan and other countries is small.
However, Japanese IoT focuses more on look and feel.
Others: functionalityJapan: Look and feel

22.
IoT Trends in Japan: Pechat
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Pechat is the button device that lets a stuffed animal talk.
https://pechat.jp/
overview
• Price: 4,990 Yen
• Sales: 60K pcs
• Maker: Hakuhodo (ad agency)

23.
IoT Trends in Japan: Gatebox
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Gatebox is the hologram device that projects 3D character.
http://gatebox.ai/
https://www.youtube.com/watch?v=nkcKaNqfykg
overview
• Price: 298,000 Yen
• Sales: 300 pcs (pre-order)
• Maker: Gatebox
• Acquired by Line

24.
IoT Trends in Japan: Kirobo Mini
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Kirobo mini is the small companion robot that can talk with a man.
https://www.toyota-europe.com/world-of-toyota/articles-news-events/introducing-kirobo-mini
https://www.youtube.com/watch?v=G__ruOOlv-Q
overview
• Price: 39,800 Yen
• Sales: (NA)
• Maker: Toyota

25.
IoT Trends in Japan: mui
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mui is the touch screen made of wood.
http://mui.jp/#en
overview
• Price: TBD
• Sales: (NA)
• Maker: NISSHA
• YUKAI Engineering work with
NISSHA as technical partner.

26.
Future of IoT
26

27.
Future of IoT: Taking a Hint
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As-Is: Explicit commands To-Be: Implicit hints
Explicit commands are necessary for AI
speakers.
Devices around human take a implicit hint
from human behavior.
Alarm
stops
when
getting up
Curtain
opens
when
sunny

28.
Future of IoT: Google Nest
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Nest learns characteristic of the human and room.
Nest learns:
About room
• Heating and cooling system
• Time to temperature
Human behavior
• Schedule of being home
• Difference between weekday and
weekend

29.
Future of IoT: growth of IoT
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This Year: New Experience A Few Years: Eco-system Robot taking a hint
• Widespread as AI speaker
(music device)
• Also work as voice control
system.
• Increase of Voice
Application(Software)
• Sensors and devices will be
connected to Voice Control
devices.
• Pattern recognition AI will be
integrated to the system.
• Every device will work
automatically.

30.
Summary
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World Trends: AI Speakers Japanese Trends: Looks and Feels
Future: take a hint by robots
Growth of IoT eco system Device works automatically