Semtech Corporation (SMTC) Earnings Call Transcript & Summary

Hello, and welcome to today's webinar discussion. It's on technology innovations, enabling a smarter, more sustainable planet. My name is Jeremy Cowan. I'm Co-Founder of the news portal iot-now.com, and it's my pleasure to be your moderator today for a webinar brought to you by Sierra Wireless. So thank you for joining us. We've all seen some simply amazing innovations in the Internet of Things. But of course, it's not just about connecting consumers or digitizing manufacturing. IoT is now enabling solutions that will deliver a smarter, more sustainable planet, solutions ranging from, say, precision irrigation and spraying in agriculture to connected robotics that support recycling. By rolling out networks such as 5G with faster speeds and lower latency or with greater throughput in low-power wide area networks, we are connecting billions of devices that can communicate in city centers or remote harsh environments. Ultra-low power asset tracking and remote real-time management, coupled with edge computing are generating a tide of data that can drive efficiencies and insights for continuous operation. So we are delighted to have you with us to see how the IoT is enabling a greener, more sustainable planet. And in order of appearance, our speakers today are Karthik Ranjan, the Partnerships and Ecosystem Leader at Semtech. Based in Seattle, Karthik is driving LoRa cloud solutions at Semtech. He is currently North America Regional Vice Chair in the LoRa Alliance. And prior to this, Karthik spent 2.5 years at AWS, where he led the LoRaWAN ecosystem development for AWS IoT, and he was instrumental in the launch of AWS IoT core for LoRaWAN. Before that, he spent 8 years at ARM, where he led the Healthcare segment team. So welcome, Karthik.

Thank you, Jeremy.

Good to have you here. And our next speaker is Greg Dunn, Senior Product Manager for Security and Networking at Sierra Wireless, a Semtech company. Greg is responsible for the security and networking for AirLink routers and gateways. His experience in Software-as-a-Service and industrial IoT have given him a really deep understanding of manufacturing processes and industrial data analysis as well as security for mission-critical solutions. And prior to joining Sierra Wireless, Greg worked as a senior software developer and product manager for GE. So thanks for being with us today, Greg.

Thanks, Jeremy.

Tanner Cook is Co-Founder and CTO at CleanRobotics. Tanner brings a wealth of engineering and research experience from his background as a nuclear engineer at fusion startup Innoven Energy as well as Higea Technologies, a nanotech company that he co-founded. Great to have you here, Tanner.

Thanks for having me, Jeremy.

And we are proud to have with us Andre Blignaut, who is Managing Director at Digital Matter EU. Andre is responsible for expanding Digital Matter's global operations. This includes working with partners to identify strategic opportunities and using the Digital Matter portfolio GPS asset tracking hardware and device management. Andre's 15 years experience has enabled him to expand the Digital Matter footprint in the IoT industry. Thanks very much for your time today, Andre.

Great to be here. Thanks, Jeremy.

Well, it's good to have you all. Now, please don't forget everyone, this event is being recorded, and you can stream it in the next couple of days at sierrawireless.com. And later, when we've heard from our speakers, I'm going to put your questions to them. So please start sending me your questions right now, and we'll discuss as many as time allows. Okay, that's quite enough from me. Let's hear from our first speaker, Karthik, over to you.

Thank you very much, Jeremy. So let me begin by talking about the acquisition of Sierra Wireless by Semtech Corporation, which completed earlier this year. The key customer benefit is that you now have a single company that can offer connectivity solutions for both low-power wide area networks as well as broadband wide area networks. What does that mean? It means if you're a smart building customer, you have one company who can supply your connectivity technology for your HVAC security cameras, but also small devices, small low-power devices like occupancy management, leak detection. If you're a smart city, you have one company that can provide you solutions for EV charging as well as street lights. If you are utilities, whether you're electric, gas or water, you have a single company who can provide you the right connectivity solution for the right job. Combined together, these companies enable a smarter, more connected and sustainable planet. So let's double-click on what that means for having low-power wide area and broadband wide area. What we're talking about here is really the combination of cellular and LoRa LPWAN technologies. What cellular brings to the table is global network coverage that allows you to connect things like automobiles, routers for any kind of device, security cameras, but the key benefit is that you also have LoRa, which deals with the small, low-power, long-range devices that we mentioned. Connectivity is a foundational building block of all IoT networks. And not all IoT networks are made the same. We'll go into more detail on that in just a few slides. The key challenge was previously as a customer, you had 2 different classes of vendors coming to you, offering low power as well as broadband wide area. And this was a challenge because it created two different network tabs to the cloud. Now as a single company, you can take efficiencies by being able to use the broadband backhaul to also onboard small low-power devices. For example, you could have a surveillance camera for security or a vending machine at a retailer. Adding LoRa to that can enable you to manage your low-power devices such as shelf tags in the store, door window sensors and temperature in the coolers. So this leads to a sustainable technology. Sustainable technology is a key trend, including how companies will drive efficiencies and protect resources. In our opinion, it's important that Gartner predicts by 2025, 50% of CIOs will have their performance metrics tied to sustainability of the IT organization. To us, this aligns closely with Semtech Sierra solutions and use cases that will be highlighted in the following slides. So let's now talk about some of the key trends in IoT. So I talked a little bit about different kinds of networks. The term heterogenous networks is the first thing that comes to mind. It's very important when deploying an IoT network to pick the right network for the right job, and not all connectivity options are optimized for all IoT use cases. For example, we're all familiar with WiFi. Our phones, our PCs use it every day. But to use that for IoT may not result in the right applications you want. For example, it's designed for broadband short-range distances. If you're deploying a low-power application such as a sensor network, battery life is very, very important. In most IoT deployments that require low power, you want to deploy something and have it work in the field for months, if not years. And so battery life is a very key consideration. On top of that, range is also a very important consideration. If you need to be able to reach a long distance without putting additional infrastructure such as repeaters, having a long range, meaning kilometers, is very, very critical. And that leads to topology. Do you want a star network topology? Do you want to mesh network topology? The more nodes you have in the network, the greater the operational expense. The next consideration is global and geographical coverage. Many times, vendors want to be able to create a single SKU device and be able to ship back globally. This is a major challenge and is offered by cellular networks that are compliant to 3GPP standards that allow you to realize that vision of one ubiquitous device that can serve the entire world. The next is interoperability. It's very important to be able to have devices that you can buy off the shelf and feel confident that they're going to be able to work in the networks that you've deployed. And finally, business model. Not all networks offer the same business model. Do you have, in your budget, the ability to pay a monthly fee or do you -- are you okay with a small private network that's covering a fixed geographical area for which you can deploy a private network and avoid recurring monthly fees per device? And with that comes the ecosystem, having a rich ecosystem of different devices to choose from means that you'll have multiple suppliers where you can procure devices from and have a wide selection and be able to replace devices, should they not meet the performance metrics that you need. So let's double-click on the bottom right part of this chart and get on low-power wide area networks. So this is really the area where we have LoRaWAN. In this area, the key driver is low power. I talked earlier about meeting the device to last for years. This is delivered by consuming a very small amount of power by having an application where the device might only wake up once a day and send information to the cloud versus being always on and consuming power, which in most instances, means you need it plugged into the wall. The other element of it is long range. If you're deploying, for example, in agriculture or in a large lot, you would need to be able to cover a wide distance with a single sensor being able to speak to the gateway to connect to the cloud. And finally, low cost is very, very important because when you're deploying tens of thousands of sensors, every penny counts. So being able to address a broad set of use cases where you have low power is really where LPWAN shines. I'll now turn it over to Greg to talk to you about another trend, which is data processing at the edge.

Thanks, Karthik. I'm going to discuss data processing at the edge and how it's changing. Running computational tasks outside of data centers in the cloud and closer to the sources of data, edge compute has been happening for decades. Traditional IoT use cases such as protocol translation, data normalization and [ storing forward ] are important components in many IoT solutions today. There was, however, a divide between what processing can be done in the cloud or data center compared to what was done on the edge. This is primarily due to computational and resource requirements, but also the technologies that were used in the cloud were not supported in edge devices often. With the adoption -- with the broad adoption of [ Docker ] and [ Kubernetes ] outside of the cloud, the resulting resource expansion in devices such as cellular routers to support these technologies, the decision to where to run these computational loads is much less rigid. Traditional edge use cases can now be augmented by a computation that was previously reserved for the cloud or data centers. This enables potentially complex workloads to run closer to the asset [ off ] far away from the data center without the concern of complicated hybrid [ deployments ]. This is also enabling solutions to be deployed into environments with limited or no connectivity, greatly increasing the reach of some solutions. The reduction of latency, resilience against network interruptions, ability to disconnect [ mode ] and the reduction in bandwidth requirements are also driving the decision to deploy closer to the edge, enabling improved efficiency, which is helping to build a more sustainable planet. I'll now discuss some use cases that we feel leverage these trends. Smart agriculture is an industry where being able to deploy low-power wide area network sensor solutions, the edge compute and connectivity to fields or pasture lands can help significantly in crop yield, efficiency and a reduction in the environmental impact. For example, LoRa Tag offers the ability to deploy low-cost wireless sensors over a wide area, which enables use cases such as monitoring livestock location and animal health metrics, which helps a farm maintain a healthier herd. Soil nutrient sensors can be dispersed throughout a the field to indicate which areas need fertilizer to help reduce fertilizer overuse and potential runoff. Similarly, moisture sensors can be leveraged to reduce water used by enabling smart irrigation to target areas that are outside of ideal growing ranges. The farm's weather station data can be processed at the edge, along with sensor data to optimize growing conditions and increase the yield. These sensors, when coupled with cameras capturing plant images, processed locally with edge compute, can be deployed into greenhouses to achieve similar yield improvements, reduced resource overuse and significantly increased level of automation. Moving from the greenhouse back to the field, autonomous tractors leveraging location vision systems to fertilize the field based on the soil nutrient sensor data, can also be aided by drone imaging, processing in the vehicle targeting the application of fertilizer. Vehicle on [indiscernible] can also be collected, relay it to the farm operator for vehicle troubleshooting maintenance to help improve vehicle availability. The field harvest, stored in green silos of the farm, can be conditioned based on the temperature and moisture sensor data in order to improve the grade of the delivered products and lower waste. Farms can leverage solar and wind power sources and create renewable microgrids. And by leveraging edge compute capabilities, farms can better utilize their energy and storage resources. Decisions such as where to store -- whether to store excess power into farm's electric vehicles and tractors, pull power from those vehicles or sell power to the grid can be made on site. This decision helps make -- helps optimize the economic benefits of renewable installations, potentially improve adoption through an increase in ROI. Smart cities and buildings are also areas where the ability to easily deploy low-power wireless sensors, edge compute capabilities and connectivity can help significantly improving the efficiency, livability and sustainability of the city and building. [indiscernible] deploying a small, low-cost and easily installable wireless sensors can enable use cases that were difficult to achieve in the past. For example, deploying water leak sensors identifying flooding as soon as possible to help limit damage to the building or equipment within it, deploying sensors to monitor whether a window or a door is open, while the HVAC system is active can help mitigate HVAC costs. In the new hybrid working environment, monitoring capacity and hot desk use can help improve space utilization and energies. For example, areas can be closed and be running with a reduced power until the capacity is required. Similarly, monitoring EV station use or parking stall occupancy in a parking garage can help direct cars to the appropriate locations, limiting idle time. Zooming out a little bit from smart buildings into smart cities, there's similar opportunities for improvement. Security and traffic cameras can leverage edge compute to process images at the edge and only [ relay ] pertinent information. This drastically reduces the bandwidth requirements. It can reduce the barrier to adoption for use cases such as traffic optimization, hot hole detection, blocked storm drain or flooding detection. Smart meters today leverage wireless wide area network to remove the need for an operator to visit houses, buildings to take meter readings. Street lights coordinated over wireless wide area network can aggregate light sensor data and determine whether to turn the lights on or off. Because of the scale of street light use, even small changes in how long street lights are active can have meaningful impacts on energy use. Similar to the farm's implication of a renewable microgrid, a smart [indiscernible] power grid can be a collection of microgrid implementations with buildings, subdivisions or houses operating independently to consume and deliver renewable energy. While many of these use cases may appear to be relatively small impact individually, as the use case scales, the sustainability impact becomes substantial, helping to deliver a more sustainable planet. I'll now pass this over to Tanner with CleanRobotics to discuss the trash [ bulk ] product and use cases.

Well, thanks for that, Greg. I'm Tanner, I'm the CTO at CleanRobotics. Thank you all for being here. I'm going to talk a little bit about the need for better recycling solutions. Right off the bat, recycling rules, in general, are confusing that's caused a lot of issues for everyone in the past. Because of that, we're not necessarily reclaiming all of those valuable materials that we use on a daily basis. There's high recycling contamination, meaning banana peels mashed in with nice aluminum cans. And people don't really accept those. There's no robotic system to be able to unmatch that banana peel from that nice aluminum can or a piece of paper. And another thing is there's lack of education, just a reward and gamification for people recycling. Right now, it's most of the time that you either have a bottle exchange where you get $0.10 for a bottle and that's kind of it or you're looking at a sign trying to figure out what is and isn't recyclable. And that causes a lot of issues, and it's not as rewarding for people who are -- and want to do a good job recycling. Now CleanRobotics, what we have is we've developed TrashBot Zero. And what we do is we kind of rethink the way we collect waste by sorting it at the source. I mean you throw away an item and TrashBot Zero sorts it out for you. The reason we do this is to make recycling easy. Make it so you don't have to think about where you're throwing away so you don't have to be nearly as educated about where you're throwing your object away in order to improve immediately the quantity and quality of recycled goods at a facility and a local area can reclaim. And what we found is, with our robotic system, we have improved diversion, meaning that we get a lot more recycled material out of a facility or compostable material in some instances. Operational efficiency, we can tell people how full a trash can is in a given footprint, what trash cans are getting full and when they need to service those and education and overall disposal experience. Our TrashBot is actually very interactive. So as you throw away items, it tells you what the item is, some information about the items and how you can take good recycling habits home in the future. And where we have these deployed is look for them soon at your local airport or a bus station, where else, stadiums. You'll be seeing TrashBots pop up all over the place soon. So I hope you guys get to see them some of those. How TrashBot works? It's more or less just like a normal trash can with a bunch of really cool features. You first approach the unit, throw away an object like any other object, TrashBot's robotic top closes over so you don't really see what's going on entirely. The item is identified by our AI. This is probably the most advanced part of the TrashBot. We recognize over 70 different categories of waste as well as subcategories of contamination. The robotics components then direct the item to the correct bin, based upon what the AI recognizes. And when the bin is full, we notify custodians that the bins are full and that they need to be serviced. Each TrashBot can sort between 2 to 4 streams of waste, whether that's compost, you just want cans, plastics, general recyclables or landfill. We provide waste analytics to anyone who wants to see them. We educate end users with the screen behind. We're able to, again, demonstrably do a little bit more than just a static sign and send fullness notifications as well. One of the best things about TrashBot and why we're here today is that it really requires no WiFi, and that is a core part of the value proposition of our business. For facilities, again, we don't have to use their WiFi to install, but we save them by recycling more, save them -- save facilities money by recycling more. Recycling costs substantially less than throwing something in the landfill, same thing with composting. We also educate the public at the same time. Again, no static signs there. We improved custodial efficiency through telling facilities when the bins are getting full and when they need to be serviced, so you're not checking empty bins and changing plastic bags in half empty containers. And we're allowing them to make data-driven decisions, showing them what objects are recyclable, not recyclable, where they're coming from is highly important for these facilities to meet their sustainability goals. And we help them easily achieve that. Now, connectivity is core to what we're doing. A lot of the processes that we're doing are on the edge. We have an edge computer inside that does all of our object detection and recognition through artificial intelligence. It's very important that we are able to keep connected up to that. The device health monitoring, that is a robotic system, us knowing what's going to go wrong and being able to predict and stay up to date on each one of our systems is incredibly important to the success of our business and the success of the product working with our customers. Data. We love getting our data in telling what is going where, how much of what is being recycled, why people are throwing away x, so we can generate dynamic content. And it allows us to more easily communicate with the public and with facilities as to what people can change in terms of habits. [ A lot of them ] fullness indication, being able to connect and relay information about the fullness of each of our bins to our customers is highly important. And uptimes of these can't be -- the importance of them is unequivocal within our business. Now there are plenty of connectivity barriers that we've seen in the past. Now our system is made to roll into a facility in plug and play. You just plug it in, turn on the TV and then you leave it alone. It should -- [ it ] does all the rest for you. And what we're finding is that there was a variety of barriers, depending on which facility that we're going into. We were having to rely on good old WiFi. IT departments are incredibly hit or miss, we were finding that our install times were really eating into our margins and getting on the nerves of our customers a little bit. There was lengthy security audits that we had to go through in order to connect to those WiFi systems. Again, there is no longer a plug-and-play aspect to our product. Worst of all is you go through all these processes just to find out that there's spotty network connectivity or no network connectivity at all in some of the areas where we're deploying our products. Again, we're deploying a variety of different facilities that did have these WiFi systems, again, airports, hospitals and campuses. But it was really becoming a massive barrier to our business, whereas we have this wonderful computer on the edge, it's able to do all these wonderful things, and we're not able to update the AI. We're not able to see what the -- how well the machine is doing and whether it needs to be maintained at all or we weren't able to tell our -- again, our customers how full the bins are in each case. So that's why we're partnered with Sierra Wireless. We -- it really met our core criteria of being able to simply set it up. We had tried other wireless solutions in the past, and we found that Sierra Wireless kind of took to heart the plug-and-play model, right? Being able to plug something in, hit a button and then have -- do the rest is tremendously important to our customers as it is for us. The reliability is also a very important part of what we do. Again, that uptime, being consistently able to see the uptime, being able to push content to our screens and make sure that it gets there within a reasonable time frame, all of our security updates and again, artificial intelligence updates are being taken in by our machines. And best of all, it's cost effective. We're finding that all the time that we are losing with our installs and going through the WiFi and the headache of figuring out and moving around our systems was costing us substantially more than just being able to plug in a simple module and pay a low monthly fee for it. So overall, it's proven to be a huge boon that we've found Sierra Wireless and have been working with them, particularly for deploying, again, our edge IoT products that we see doing so much good out there. So if you have any questions, feel free to e-mail me at tanner@cleanrobotics. And thank you for your time, everyone. And I'd like to introduce Andre from Digital Matter. I think you all will really enjoy his presentation.

Thanks, Tanner. Hi, everyone. Thanks for having me. First of all, I'm just going to start off with a little brief update and background of who Digital Matter is. We are a device manufacturer. We've been around since the year 2000. We've manufactured over 1 million devices that are out and deployed already. We have over 500 channel partners based in various parts around the world. We have our devices deployed in over 120 countries, and we are sending our device data to more than 1,500 endpoints. So yes, a lot happening in our systems. So today, we're going to focus on a bit of our edge portfolio. It kind of follows the trend of everything we're speaking about today. So the two devices we'll talk about is the Yabby Edge, that one is available in LTM, CAT-M1 and NB-IoT as well as the LoRaWAN version, and the Oyster Edge LTM NB-IoT version as well. So yes, our edge portfolio reduces the cost and the complexity of indoor and outdoor asset tracking. Traditionally, a tricky, difficult space to get that right. And with the edge computing side of things and the edge location stuff, that really starts making things a little bit more interesting and more feasible. So indoor and outdoor, how do we do that? So on these devices, we're making use of Semtech's LR1110 chip. We make the use of that one specifically because we can use GNSS for outdoor. When the asset is sitting in the right place, we can do some GNSS scanning, and we can use that to figure out where it is. But in those use cases where you never know where your asset is indoors or outdoors, then has the option as well to be able to do WiFi scanning. So WiFi scanning picks up as many of the MAC addresses as it can. And then we then compute that to figure out what that position is, based on those signal strengths, the rest. Also has cell tower or LoRaWAN geolocation pullback in those real extreme deep cases. So you never lose sight of the asset. You always know where it could be. Deploy one's [ battery life ], it's kind of a thing that we're really, really proud about, and we push for is that these devices, now that we are using Semtech's chip on there, we've been able to take that power hungry part of it off of the device. So traditionally, a GPS on a device is something that consumes a lot of power. So now we take that off and we do it in the cloud. So the device will just do the scans, send that up, and then we'll do the processing and the complexity of what and where it is and what it might be to give that endpoint or that GPS position, let's call it. So yes, makes the device last a lot longer than what previously was possible. So even in the small Yabby Edge, the Yabby Edge is only using 3 AAA lithium batteries. If we're doing a once-a-day update, we're getting over 10 years. And if we're doing movement-based tracking, meaning more frequently when it's moving and less frequent when it's not moving, we're still getting 3.5 years. Now 3.5 years out of 3 little batteries is quite an impressive feat, but that's all because of the edge and how we're doing it. So yes, we transfer that data, as I mentioned. We take that workload off the device. It's the most important part of it in how we save on the battery as much as possible. And yes, ultra-rugged. Obviously, we're very much focused in the industrial world and keeping track of those sorts of things. And so yes, ultra-rugged, IP68 rated, nylon glass composite housings, so they can really take a lot of beating and impact whatever the use case is, we're confident that device can handle it. So some of the IoT asset tracking benefits, and then obviously, I'll mention some of those sustainable outcomes from it. So we'll start with the one that we all know about and probably the most spoken about is the track and trace. So what is the sustainable outcomes for those? So it enables the supply chain transparency, know where your stuff is, make smart decisions and optimize what you're doing. And one of the use cases, obviously, wildlife, quite a big one for us as well. Tracking wildlife that are endangered or under threat as well, we've been able to figure out where they are and give them the right protection that they need. And track and manage hazardous waste for correct disposal. Real hot topic nowadays is, where is that hazardous waste going? Is it going to the right place? The large containers, are they being delivered to the right places where they need to be disposed of correctly or processed correctly? Reduced asset loss and theft. Yes. I mean that's a pretty obvious outcome. That one is that eliminates expense and unsustainable asset replacement. I mean, those are really important parts. Not -- keep on having to replace things that keep getting stolen makes a big difference on that sustainability side. Assets and route optimization, reduce that fuel usage, in turn, reduce their emissions, all things we're all very aware of nowadays and trying to figure out ways that we can do that better. And condition monitoring, reduce the likelihood of that damage or spoilage and minimize the reduce of the replacements. So yes, in the event where you need to monitor the actual assets as they're moving and what's being transported in them, being able to tell you if they're in good condition, are they in the right temperature range? Are they in the right humidity spec range as well? Those sorts of things then can reduce that spoilage and loss at the end. Some of the interesting use cases, just to give you some background on the ones that I was kind of mentioning now, and I think we will give you a bit of context for them is, yes, the rhino tracking. It's a big one for us. I'm originally from South Africa. So a pretty close and dear one to my heart is the rhinos. Tracking them, monitoring them 24/7 being able to map some animal behavior knowing where they are in the park and why they spend a lot of time in those areas. Are they under threat in those areas as well, which is another big one. So knowing that you can do something more in that area of the park to be able to protect them from whatever it might be. Real-time geofence alerts, that's another really important one, maybe setting up the geofences is one of the things that the [ Ronen ] guys were specifically doing is knowing that when an animal left that specific geofence, they knew they were going into an area that was may be less safe for them and then being able to action something on their side to protect the animal. And then, yes, probably the saddest one is the inactivity. So if a rhino isn't moving, the devices can be configured to send an alert if it doesn't pick up any movement over a predetermined time. So at least being a little bit proactive that if something bad has happened, that they can deploy and send people out to investigate. Battery collection. So yes, bin management, this is a really nice one with one of our partners in Australia. Yes, they're optimizing the battery recycling bin collection points. 350 of those points or more across Australia. They want to track those bins. They want to optimize and they want to report on those dangerous goods inside there. So with the Yabby Edge, they have actually been able to alert on whether the bin is full from the amount of times the doors have been opened and closed, so they can proactively plan their roots to go and empty it, also so that they don't get overfull and people maybe then just start chucking their batteries outside the bin and not putting them in. So help them keep on top of whether the things are full or not and then reduce manual service frequency. So sending people out, more vehicles, more people, more time, driving around, checking that everything is happening or checking that the bins aren't full, that they are operating correctly, being able to do that all from a central point is a really important thing for them. And then beehive monitoring, quite a hot topic in the world at the moment with the bees under threat. And so this is becoming more and more of a sustainable use case that's becoming adopted in many parts of the world. This one is also in Australia. Yes, reduce the beehive threat as they become more of a commodity and less easier for people to actually start breeding them, then people start stealing them. So at least just tracking the beehive has become quite an important part of it. Getting an alert if that beehive has moved outside of specific geofence where it shouldn't be. And yes, finally, tracking and managing the queen bees. So those queen bees are extremely important. And so when they get transported and ship from one place to the next, one of our devices, the Yabby Edge gets put inside the bag with it so that they can actually track and monitor that it arrives at the right destination. And if it gets lost in that transporting process, they know where it is and how to get to it. So yes, really important one. And yes, that's it for me. Thanks, everyone, for listening, and thanks for letting me participate in this.

Thank you very much, Andre. So we heard from both Digital Matter as well as CleanRobotics about how they're using Sierra and Semtech solutions to enable that innovation. Let me now go into and talk to you a little bit about what those building blocks are that are provided by the combined Sierra and Semtech company. So here, we have a combination of hardware as well as software and services. Let me start with the hardware. So we provide multiple solutions here for our customers. Starting at the far left, we provide LoRa chipsets. So those chipsets are for end nodes. So we provide regular transceivers. We provide transceivers with WiFi and GNSS geolocations, such as the -- that are incorporated in products like the Yabby Edge and Oyster Edge that you heard from Andre about. We also offer LoRa chips with satellite connectivity. So you can get coverage in the middle of the ocean or in the middle of the forest. We also provide LoRa gateway chipsets, which go into a variety of different gateways that are available on the market. Moving to the right. We also now offer with Sierra Wireless, a wide range of modules, all the way down from CAT1M in the LPWA space all the way up to 5G for things like connecting your camera or your vehicle. And last but not least, on the hardware side, we offer a wide variety of gateways and routers for cellular connectivity. So at the very low end, it's something as simple as converting ethernet into cellular to convert your legacy devices, could be things like legacy wired connections that you want to connect or even WiFi endpoints via connectivity via cellular. All these hardware components are complemented by a range of IoT connected services such as the modem and geolocation services that complement our LoRa Edge that are used by Digital Matter, all the way to providing managed connectivity. Sierra Wireless is a global [ MVNO ]. We have 600 partners in over 190 countries. And what that means for you as a customer is you can purchase a single SIM from us, put it into your device and ship it to almost any country in the world and feel confident that it's going to work out of the box with a local carrier. This will really enable a near-global plug-and-play user experience for your customers. We also offer on top of that device management to be able to manage your routers and gateways, doing things like checking the CPU load, configuring the parameters on the router. We also complement that with a variety of services per data management as well as edge management. We heard from Greg about edge computing and our capabilities to allow to run workloads all the way on the router itself. As well as being able to provide provisioning for these capabilities, whether it's provisioning a cellular module or a cellular SIM, all the way up to provisioning a LoRa end node. What that means for you as a customer is ease of deployment. You now have one company to provide you both the LPWA solutions as well as the broadband solutions, which reduces complexity. We also offer a variety of connectivity options, based on your needs, supporting both public and private networks. And what this means now is you have a single company who can provide most of your connectivity needs for IoT deployments. I'll now turn it over to Greg to wrap up.

Thanks, Karthik. Yes. As we're wrapping up, we really want to just highlight some of the key takeaways from the presentation. First one, not all networks are optimized for all use cases. Sometimes a solution they require multiple network solutions to deliver optimal results. Edge compute capabilities are changing. What can be run at the edge today is much broader than ever before. We heard from CleanRobotics about their TrashBot Zero product, which is helping to improve recycling in a smart city. We also heard from Digital Matter, products leveraging LPWA technology are helping to drive sustainable outcomes. And the last takeaway is at Semtech, now combined with Sierra Wireless, offers a broad set of off-the-shelf end-to-end IoT connectivity solutions that can help enable a smarter, more sustainable planet. To learn more -- so for more information, please visit our website at sierrawireless.com/resources and semtech.com/lora. And now I'll transition back to Jeremy for the Q&A session.

That's excellent, Greg. Thank you all, gentlemen. That's really interesting. Okay. Let's move on to our live Q&A. And thank you for the questions you've already sent us to. Please keep them coming. Of course, any questions that we can't get to in the time that's left to us today, we will respond to directly offline. Now the first question I've got is for Tanner. Kind of the question says, what is the value of AI technology for waste management?

That's an excellent question. The value of AI is that it allows a system to do a highly repetitive task again and again with high accuracy. I mean that -- just as a task. In our instance, that task is sorting waste properly, identifying and sorting waste properly. Something that's seemingly simple, but in reality, has levels of complexity due to policy changes, rule changes, local recycling requirements and so on. So I think that's the real impact of AI in our field anyways, is being able to automate that seemingly simple task.

Question here for Karthik. Karthik, what is the single biggest benefit for customers from the acquisition of Sierra Wireless by Semtech?

Yes. So the single most benefit is that previously, you had vendors essentially selling unique solutions for either broadband or for LPWA. The biggest customer benefit is that now customers don't need to choose, for example, between LoRa and NB-IoT, they can actually choose the right tool for the right job. As I talked about earlier, choosing the right connectivity solution is the single most important decision when deploying an IoT network. And when you do that, you want to be able to have multiple tools for the right job. So being able to connect those low-power sensors, where you're going to put a battery in, expect it to last for months, if not years, and connect that to an always-on broadband connection for your high-bandwidth devices such as cameras or vending machines. Now, Semtech, with Sierra Wireless, is able to offer a one-stop shop for all those connectivity needs.

Okay. Question here for -- something that you might be able to help us with, Greg. We heard quite a bit about edge computing. What are the routers that support edge computing?

Yes, thanks. Yes. So today, the edge compute capabilities support [ Docker within ] data on the [ XR80 ], XR90 and RX55 routers.

Okay. We've had a question in from -- that is a general interest. Somebody wanted to know if slides will be available. As mentioned at the beginning, the presentation will be available to download from sierrawireless.com. Andre, I wanted to come to you with the next question. Could you help us with this? How does the Oyster Edge get a position? The questioner wants to know.

Yes. Great question. So exactly what I mentioned, obviously, we're making use of the LR1110 chip in that device. We use that to do a GNSS scan as well as a WiFi scan at the same time. We collect that information on the device and then send that, in the Oyster Edge's case, by LTM or NB-IoT to the cloud, where we then use Semtech's LoRa Cloud to be able to calculate that position, based on the satellite it can see or whether it's the WiFi access points and their signal strength to be able to calculate what that position is and where it might be.

Fair enough. Karthik, I think this one is best for you. For asset tracking use cases, what are the pros and cons of cellular versus LoRaWAN? And as a follow-up, when should I use one over the other?

Yes, that's a very good question. So cellular provides that global ubiquitous network. So if you're going to be deploying something that you need to be able to light up globally, then cellular is clearly your choice. However, that does come with a monthly fee for connectivity that you have. The benefit of LoRa is that if you're deploying something in a local network, like one really good use case that we have is vehicle lot tracking. You have these vehicle lots for auctions, for example, that have tens of thousands of vehicles, and it's in a very limited geographical area, maybe a few square miles. In that kind of model, you could very easily deploy a handful of LoRaWAN gateways be able to put LoRaWAN tracker devices in those vehicles, and you're really only paying the backhaul for the gateway. So if you have an existing backhaul for the gateway such as in the office, you can use your WiFi or Ethernet. So you're really going to get the best cost reduction from doing that. But again, that's the beauty of it. You have choice. If you have some vehicles that are going to roll out, then you can do a mix of hybrid as well as cellular hybrid as well as LoRa.

That was very concise, considering the length of question. That's really helpful. Greg, a question, I think, for you. Why should I consider 5G routers today?

Well, I mean the 5G routers today really offers a lot of bandwidth. There are a lot of different opportunities compared to other similar technologies. Similar to what Karthik has been mentioning, really, the right network should be chosen for the right use case. So 5G offers wide bandwidth use, carrier aggregation, the ability to do big backhaul. But it also has power constraints. It also has other negatives. So really, the solution around choosing 5G versus 4G or other technology should be use case-driven.

Okay. Tanner, the question comes here, why do we need waste data? You covered a lot on that. Could you just sort of reroute back to that?

Sure, sure. So why do we need waste data? Primarily because there isn't much right now, and it is needed to inform decisions, whether that's a decision from a facility to move away from certain nonrecyclable materials or to offer alternatives to standard materials or compostable materials or to inform policymakers about how much of what is going where and why in order to create more useful policy in the long term. So more data, again, just informs decisions and decision-making.

Yes. I think it's useful to circle back on that. Karthik, a quick question for you. How can Semtech help our company achieve our sustainability goals? That's a huge question. And we've got a couple of minutes if you need it.

Yes. I mean that's a really good question, right? A lot of the use cases around sustainability -- I mean one of the low-hanging fruit is really around smart buildings, right? It's been able to monitor things like ambiance sensing, right? Did somebody leave the window open? And the HVAC is now running and just pumping that hot air out the window. Those are some of the low-hanging fruit. Another big challenge that companies are facing today is around real estate, right? We're coming back to COVID, we're going back to the office. We're doing this hybrid environment. Being able to really monitor desk and room occupancy is really a big challenge for a lot of building managers and facilities managers, right? What floors do I need? Can I consolidate this hybrid environment and put more people on a single floor and not invest in cooling and lighting some of the other floors? There's a bunch of solution providers within our ecosystem who are providing the solutions to be able to measure that kind of sustainability and provide capabilities for companies to be able to use these tools, use these I/O technologies, but actually translate that into measurable value such as how much energy has been saved and what is the carbon footprint that's been reduced.

There's a question here for Tanner. I know how the younger generation are really switched on to recycling. I'm wondering who we're thinking of educating. It's probably all the other generations. What, asks the questioner, can data do for recycling education?

That's an excellent question. It allows us to educate on smaller factors that you wouldn't necessarily think of. Most people understand that plastic water bottles are recyclable, right? Most people do not know that if you have a half-full plastic water bottle that it is not recyclable. So being able to drive data into those educational kind of snippets that we give to people allows for a longer term, more sustainable and more recycling being able to happen and facilitate that. And it's also recognizing that anything can be waste, right? I'm in this job, I look at trash every day. It's my job to know what is recycled and what is it. And I still have questions that I can't answer. A good one is, where do I put my toothbrush? I still haven't figured that one out yet. But we're gathering data and information on that consolidating, and it allows us to educate people in a more focused, meaningful and impactful way when we tell them aside from just a static sign that has a dozen pictures on it.

Well, thank you all. I'd love to go on this discussion longer, but I've got to let you go. And I'm very, very grateful for you taking all the questions we've thrown at you. Sadly, we are out of time. Don't forget to bookmark website at sierrawireless.com. And very soon, you're going to be able to stream this discussion from there. So it just remains for me to say a big thank you to our speakers, who have been Karthik Ranjan at Semtech. Thank you, Karthik.

Thank you very much, everyone.

And Greg Dunn from Sierra Wireless. Greg, thanks.

Thank you.

Tanner Cook of CleanRobotics. It's been good to have you here, Tanner.

Yes. Thank you, Jeremy, and thank you, Sierra Wireless and Semtech.

And Andre Blignaut from Digital Matter. Thank you to you, Andre.

Thank you. Thanks, Jeremy, and thank you, everyone, for being here.

But most of all, as Andre says, thank you all to our audience. We want to thank you, wherever you are for joining us around the world. Until the next time, bye for now.