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Procurement of innovative software-defined optics in backbone - - PowerPoint PPT Presentation

Procurement of innovative software-defined optics in backbone networks in HORIZON2020 ICT LEIT WP2015 Bart Van Caenegem European Commission bart.van-caenegem@ec.europa.eu DG CONNECT (Communications Networks, Content and Technology)


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Procurement of innovative software-defined

  • ptics in backbone networks

in HORIZON2020 ICT LEIT WP2015

Bart Van Caenegem European Commission bart.van-caenegem@ec.europa.eu

DG CONNECT (Communications Networks, Content and Technology) Directorate A: Components & Systems Unit A1: “Photonics”

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OUTLINE Funding for procurement of innovative solutions for NRENs? Background to this objective

– Horizon2020: LEIT ICT programme – Photonics21 and the PPP

The PPI objective in more detail Next steps Interesting links and contact details

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ICT Objective 27.b Innovation support through public procurement actions

■ Procurement of innovative software-defined optical technologies for the backbone communication network

Targeted operators: Public network operators such as National Research and Education Networks Using first commercial hardware and software to transport high traffic volumes Aim is on: – PPI to act as launching customer / early adopter / first buyer

  • f innovative commercial end-solutions newly arriving on the market

Expected Impact: Faster and wider roll-out of such technologies Creating a market pull Enable deployment of value-added services and applications in Europe thanks to the abundant capacity

ICT – 27: 2015 Photonics KET (3)

PPI, 20% funding

5 M€

LEIT ICT Call DDL: 20 JAN 15

DRAFT

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OUTLINE Funding for procurement of innovative solutions for NRENs? Background to this objective

– Horizon2020: LEIT ICT programme – Photonics21 and the PPP

The PPI objective in more detail Next steps Interesting links and contact details

  • •• 4
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Horizon 2020 R&I in the EU: 2014-2020

77 B€

Excellent Science (31.7%)

ERC, Marie Curie actions, FETs, Research infrastructures

Industrial Leadership (22.1 %)

Leadership in Enabling and Industrial Technologies (ICT, Nanotechnology materials, Biotechnology, Production Technologies, …) , Access to risk finance, Innovation in SMEs

Societal challenges (38.5%)

Health & Ageing, Energy, Transport, Resource Efficiency, Climate Challenge, ...

Photonics

Implement Photonics in Horizon 2020 through a PPP

■ The proposed Horizon 2020 legal text foresees a potential PPP for Photonics ■ ~1.6 B€ foreseen for both photonics and micro- and nano-electronics

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Photonics PPP in Horizon 2020 WHY?

Rationale ■Global market: In 2012, 350 B€; In 2020, 600 B€ -- Europe's share in 2012: 66 B€ (~18%) ■Major growth in lighting, biophotonics, laser-based manufacturing, optical communications ■Contribution to Societal challenges: health, energy & climate change, security, etc. ■In Europe: 5000+ companies (mostly SMEs), more than 300 000 employees ■A well-structured sector: Photonics21 ETP has > 2000 Members many national activities (national platforms + funding); 40+ Photonics innovation clusters

■ An R&D-intensive activity, requiring a long term horizon ■ Need for a critical mass of stakeholders and leadership at EU level No individual country has the required multi-disciplinary capability and can act at such level and scale of excellence

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Photonics PPP A Strategy for R&I in Horizon 2020

■ A well-coordinated approach: Photonics21 - National Technology Platforms – Regional Innovation Clusters ■ Support to innovative SMEs

– Clusters and SMEs – An EU-wide SoA Service infrastructure for SMEs

■ An ambitious Strategic R&I Roadmap for the next 7 years together with a value chain approach, incl. end-users ■ Access to risk finance (equity + debt)

PPP is at the core of an industrial strategy for Europe

■ Links to National Funding Programmes and to Regional Smart Specialisation Strategies

IMPACT?

■Knowledge creation ■Competitiveness ■Growth & Jobs

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■ Basic principle of the PPP

– Open to All, Representative of the Stakeholders, transparent in decision making – Private sector partners advise the Commission on R&I priorities of the Horizon 2020 work programmes – Implementation via 'normal' programme for R&I using H2020 Rules for Participation and with comitology

■ Contractual agreement (MoU) to include:

– Vision and Strategic Objectives – Multi-annual Strategic R&I roadmap – Commitments – Impacts – Governance – Key performance indicators, monitoring of PPP performance – Means for termination

Photonics PPP The Contractual Agreement

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Methodology for R&I Priority Setting

Proposals for R&I priorities from WG Members

  • Description of the topic, objective, (TRL)
  • Relevant Research & Innovation present in

Europe

  • Impact on European economy, employment
  • Impact on societal challenges
  • EU added value
  • EU Funding (justification)

Consolidation of proposals from the WGs WG Chairs for further prioritisation Prioritisation in the Board of Stakeholders Priority List to the EC WP texts in H2020

KETs HLG

Interactions with EC (clarifications / amendments)

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■ R&D actions:

– Roadmap-based research with a value chain approach – Recognised value of potentially disruptive innovations

■ Innovation actions:

– TRLs 5-8: Pilot manufacturing lines; Large scale demonstrations; precommercial procurement and procurement of R&I – Innovative SMEs: open schemes; access to technology, manufacturing capabilities and support services

■ Coordination & Networking actions:

– Coordinated R&I Activities with national / regional programmes, actions for networking stakeholders and clusters, and for attracting / educating people

Large scale demo actions Collaborative Projects Pilot manufacturing lines PCPs, PPIs ERANETs

Photonics PPP Strategic Research Agenda

Networking Instruments, Prizes

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Photonics PPP in Horizon 2020 LEIT ICT WP 2014-2020

Photonics PPP – Work programme 2015 44 M€

RTD Optical communication for data centres High-throughput laser-based manufacturing Device, circuit and fabrication technology for Photonic Integrated Circuits (PICs) Innovation (PPI) Pilot deployment of software-defined optics in backbone networks ERANETs Actions with the Member States Coordination and support actions Open access of Researchers and SMEs to advanced facilities

Cross-Cutting KETs 2014 18 M€

RTD Development of novel materials and systems for OLED lighting or displays

Cross-Cutting ICT KETs 2015 56 M€

Innovation (14 M€) ICT-KET integrated platforms for the healthcare and food sectors: 13 M€ Coordination of stakeholders in the health sector (bio-photonics and micro-nano-bio solutions ): CSA, 1M€ Pilot Lines (3x14 M€) Pilot line for OLEDs on flexible substrates Pilot line for analytical mid-infrared (MIR) micro- sensors Pilot line for PIC fabrication on III-V and/or dielectric based platforms

PPP Factory of the Future 2014

RTD Towards zero-failure laser-based manufacturing Support Action concept and roadmap building in relation to smart and safe workspaces for laser-based manufacturing

Photonics PPP – Work programme 2014 47 M€

RTD Biophotonics for screening of diseases Sensing for safety and security Disruptive approaches in sensing Innovation

Open system architectures for Solid State Lighting (SSL)

ERANETs Actions with the Member States Coordination and support actions Strategic coordination and networking The wide uptake of SSL technologies EU-wide outreach

DRAFT

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OUTLINE Funding for procurement of innovative solutions for NRENs? Background to this objective

– Horizon2020: LEIT ICT programme – Photonics21 and the PPP

The PPI objective in more detail Next steps Interesting links and contact details

  • •• 12
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Software defined optics in backbone networks Software defined optics in backbone networks

As network operator What are your customer requirements? What are your requirements as network operator? When do you foresee your next network upgrade in the backbone network? Which technology are you looking for? WDM – software-defined optics (dynamic, flexible bitrate, etc) What is the product roadmap and does it fit your network roadmap? Has it the desired level of maturity, flexibility, etc.? What would you expect or desire in addition? In how many phases do you foresee to upgrade the network? Do you want to take some risk as early adopter of new technology?

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Objectives Objectives PPI cofund actions PPI cofund actions

Focus on commercialisation / deployment phase Help transnational procurer groups to reduce fragmentation of demand and reduce risk/cost of early adoption of innovative solutions Result in early deployment/first application of innovative ICTs. Commitment to deploy if market able to deliver innovative solutions within pre-set time with pre-set quality/price requirements Buyers group uses tactique of early announcement of the intention to deploy innovative solutions, to encourage the market to make changes in production process to meet better than available quality / price requirements for mass market deployment Not pre-commercial R&D phase Can include Innovative solutions already technically demonstrated (small scale) but owing to residual risk (price/quality not suitable yet for mass market deployment) not widely deployed yet Does not include procurement of R&D. Either no R&D needed or R&D already progressed up to products nearly/already on market in small quantity, but not scaled up yet to meet mass market requirements.

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PCP and PPI PCP and PPI complementary complementary

Supplier B Supplier C Supplier D Phase 1 Solution design Phase 2 Prototype development Phase 3 Original development

  • f limited volume
  • f first test products /

services Supplier A Supplier B Supplier C Supplier D Supplier B Phase 0 Curiosity Driven Research R&D / Pre-commercial Procurement (PCP) Phase 4 Deployment of commercial end-products Diffusion of newly developed products / services Supplier D Public Procurement of Innovative Solutions (PPI)

PCP to steer the development of solutions towards concrete public sector needs, whilst comparing/validating alternative solution approaches from various vendors PPI to act as launching customer / early adopter / first buyer of innovative commercial end-solutions newly arriving on the market

… … in line with WTO proc. rules, EU Treaty, State aid free in line with WTO proc. rules, EU Treaty, State aid free

Supplier(s) A,B,C,D and/or X Also normally multiple sourcing here to keep competition going

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For more info: http://lowcarbon-healthcare.eu/ UK brand name for PPI = Forward Commitment Procurement (FCP) Low carbon healthcare PPI started 2006 Introducing more energy efficient LEDs in network of over 20 hospitals in 8 EU countries:

  • 30% energy consumption saving
  • 88% maintenance savings

Total cost savings enable take-in +10% patients Swedish environmental/energy efficiency PPIs done by NUTEK/STEM agency:

  • heating-ventilation-cooling of buildings
  • public transportation (hydrogen busses)
  • office blocks (sun shading, lighting)
  • white appliances (washing machines, fridges)
  • wind energy parks

Result: Reduced the SE dependency on nuclear energy with 15% through PPIs in combination with product certification/labeling, take-up subsidies & tax incentives

PPI examples PPI examples In Europe In Europe

PPI called teknikupphandling in Sweden

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PPI project focusing on cross-border

PPI procurement for more efficient and sustainable healthcare solutions Procurers: Bologna univ. hospital Authority (IT), Erasmus Univ Medical Centre (NL), Nothingham univ hospital & Rotherham NHS trusts (UK), Such Deskidzka hospital (PL)

PPI examples PPI examples Ongoing EU funded PPIs in healthcare Ongoing EU funded PPIs in healthcare

(PPI is called teknikupphandling in Sweden)

www.happi-project.eu

PPI project focusing on cross-border PPI procurement for healthy ageing solutions Partners from 12 different EU countries including procurers: NHS commercial Solutions (UK), Centrale de Marches Mercure (BE), FHL (Lux), Resah-Idf (FR), FPA (AT), SCR Piemonte (IT)

www.ecoquip.eu

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Eligible Participants Eligible Participants Funding Funding

Eligible participants Minimum 3 mutually independent public procurers from 3 different Member States or Associated Countries, OR one sole participant formed by several legal entities if these are minimum 3 public procurers from 3 different countries Entities that are not public procurers can also participate in action, if they are not potential suppliers of solutions sought for by the PPI (avoiding conflict of interest). E.g. private procurers with similar procurement needs, independent experts assisting procurers with PPI 1 public procurer acting as 'lead procurer' that coordinates the PPI procedure for the 'buyers group' in the consortium Funding Funding rate = 20% Funding is proportional contribution to the total investment made by participants in the action. This includes:

  • Coordination & networking activities (max 50% of requested grant)
  • PPI procurement price (incl. VAT those not able to deduct VAT)
  • In-kind contributions of third parties
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Activities Activities

In proposal, consortium shall have already identified concrete specific challenge in innovation plans of procurers that requires innovation. Each project selected goes through a preparation stage and execution stage.

Preparation stage Open market consultation, announcing intention to buy critical mass of innovative solutions if market able to meet solution requirements by pre- set date (published as Prior Info Notice in OJEU).

Optional: testing/certification of solutions before buying, to check whether market really meets solution requirements.

Other relevant coordination / networking activities Outcome preparation stage: Agreed Common specifications Signed Joint Procurement Agreement

Confirmation of collaboration details to launch PPI tender Confirmation of availability of financial commitments to launch PPI tender

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Activities Activities

Execution stage Execution of 1 joint PPI call for tender based on above common specs + Implementation/follow-up of the contracts

1 joint call for tender published in OJEU 1 joint evaluation of offers - best value for money (not just lowest price) Possible to work with framework contracts with different lots Each procurer in buyers group issuing his own specific contracts for purchasing his own quantity of solutions under his own national legislation and individually paying the supplier(s) that deliver to him Solutions bought by all procurers having same core functionality (common specs used for framework contract), but local add-ons possible as defined in the lots for each procurer's purchase Signature of contracts + payment to suppliers

Deployment and operation of procured solutions for a duration that allows for evaluation & dissemination of results of the PPI Plus, possibly if well justified, additional activities

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Deployment of commercial end-products Early adoption of new to the market products / services Public Procurement of Innovative Solutions (PPI) Procurer 1 buying e.g. €2 Mio solutions from supplier A

How to use EC How to use EC PPI support? PPI support? Example PPI Example PPI cofund grant cofund grant

Example: €5 Mio PPI cofund grant

  • Suppose €0,5 Mio for coordination and other activities (€2,5 Mio cost)
  • Remaining €4,5 Mio = EC contribution to the ICT solutions procured / deployed through
  • ne joint PPI procurement based on jointly defined specs
  • Reimbursement rate 20% for public and private procurers -> value total amount of

innovative solutions procured by all procurers in consortium = €22,5 Mio

Preparation Joint or coordinated PPIs

P1 P2 P3 P4 P10

Consortia of procurers e.g. P1->P10 (min 3)

One Joint PPI call for tender + joint evaluation

  • ffers (based on

common tender specs)

Procurer 2 buying e.g. €1,5 Mio solutions from supplier B Procurer 3 buying e.g. €5 Mio solutions from supplier D Procurer 4 buying e.g. €2 Mio solutions from supplier E Procurer 10 buying e.g. €2 Mio solutions from supplier X

… …

Lot 1 Lot 2 Lot 3 Lot 4 Lot 5

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Possible timeline

When? What?

July 2014 Launch of second LEIT ICT call 2015 20/January/2015 Closing of second LEIT ICT call 2015 1/July/2015 Possible start of the project 1/07-31/12/2015 Preparation stage 1/January/2016 Start of execution stage (call for tender) Call dates are tentative

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OUTLINE Funding for procurement of innovative solutions for NRENs? Background to this objective

– Horizon2020: LEIT ICT programme – Photonics21 and the PPP

The PPI objective in more detail Next steps Interesting links and contact details

  • •• 23
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Next steps Next steps

Who is potentially interested? What can you get out of this project if you participate? Expected benefits in terms of cost and functionality of network gear and in terms of knowledge Not necessarily for green-field deployment! Check your network roadmap Check the possible timing of the project Can you make the necessary funds available? Is somebody taking the lead? Follow-up in next GA meetings? Follow-up in dedicated meetings/workshops Photonics21 and EC can facilitate further preparation

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CNECT website on PCP and PPI:

Info on calls, EU funded projects, background docs, FAQs, PCP/PPI initiatives in countries around Europe http://cordis.europa.eu/fp7/ict/pcp/home_en.html

Info about PCP/PPI initiatives in MS and AC

http://cordis.europa.eu/fp7/ict/pcp/msinitiatives_en.html

PCP/PPI event in Krakow, 14-15 Nov 2013

http://cordis.europa.eu/fp7/ict/pcp/events_en.html

Interesting links and events

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Interesting links and events

Photonics21 and Photonics Public Private Partnership: http://www.photonics21.org

■ ICT event 2013 in Vilnius 06-08 November

https://ec.europa.eu/digital-agenda/en/ict-2013

Horizon 2020: http://ec.europa.eu/research/horizon2020 Launch events at every Member State Photonics21 Annual Meeting 2014 (Brussels, 27-28 March 2014)

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My contact details

Bart Van Caenegem Bart.Van-Caenegem@ec.europa.eu Photonics in FP7-ICT (our unit website) - see: http://cordis.europa.eu/fp7/ict/photonics/