04 December, 2013

the Internet of Things

Chances are you’ve heard about the Internet of Things (IoT) or you will soon enough. The term carries a number of definitions. But in general, the IoT refers to uniquely identifiable objects, such as corporate assets or consumer goods, and their virtual representations in an Internet-like structure. In effect, these networked things become “smart objects” that can become part of the Internet and active participants in business processes. Current or potential examples of the IoT include a vast array of objects: fleets of trucks, medical equipment, vending machines, construction equipment, gas and electric meters, thermostats, household appliances, advertising display signs, and many others.

Enabling and driving the transformation to integrated computing is the move from isolated systems to Internet-enabled devices able to network and communicate with each other and the cloud. The Internet of Things (IoT), essentially a super network is being built by the convergence of increasingly connected devices, cloud economics, and the acceleration of big data analytics to extract value from data.

And it’s a major global trend that will increasingly impact CIOs so it’s important to monitor the scope and scale of IoT. Intel predicts that IoT will represent a 3.8 billion-device opportunity by 2015, and ABI Research thinks that IoT will be a 30-billion device opportunity by 2020. Cisco thinks that more than 50 billion things will be connected to the Internet by 2020. To put this number in perspective, that comes to about 7.1 devices for every person the United Nations projects to be living on our planet seven years from now.

Advances in microcontrollers, sensors, wireless connectivity and software are now enabling IoT. But as companies seek to capitalize on IoT they face challenges around fragmentation, interoperability, and intelligence at the edge of the network. It is important to address the fragmentation of IoT solutions to reduce the amount of required integration, and addressing interoperability means finding ways to effectively integrate legacy devices on the network with the growing number of new devices.

Companies increasingly will be operating in “smart buildings” with advanced HVAC systems that are connected to the rest of the corporate network. Many utility companies will be deploying Web-connected smart meters at customers’ facilities to allow for remote monitoring. Physical security is increasingly being tied to the company’s own network security, so that data from security cameras and authentication readers are coming under the purview of enterprise IT. Retailers such as WalMart, Target and Best Buy already use RFID and other tracking technologies to manage supply chain logistics. IoT is a natural next step.

Then there’s “operational technology”, where enterprise assets such as manufacturing equipment, fleet trucks, rail cars, even patient monitoring equipment in hospitals, become networked devices. Other examples of operational technology might include companies deploying vending machines that are connected to the Internet, so that they can be automatically restocked when certain items run low.

What will likely happen is a convergence of operational technology and IT. As these machines go onto the corporate network the CIO or the COO need to start talking together about what the future is going to look like when traditional IT stuff and OT stuff are overlapping on the network.

Furthermore, there are the data management issues. Getting the most value out of IoT requires an ability to manage data and gain insight from analyzing that data. If everything has the potential to provide some type of data stream, companies will need technologies to manage, store and analyze the data. While some organizations might be able to leverage existing information management tools, many will need to bring in new technologies designed to handle the real-time and large-scale nature of the IoT. Recent IT trends such as the move to the cloud and implementations of big data and analytics will likely come into play with the IoT, experts say.

Ensuring intelligence at the edge will provide the opportunity to address real-time needs by filtering massive amounts of data from an ever-increasing number of intelligent devices. CIOs that embrace IoT and monitor advancements in IoT devices will be well-positioned to capitalize on the analytical opportunities arising from the massive streams of real-time information that will become available to improve operations. Intelligent devices, need to funneled through intelligent gateway solutions, and the whole data stream is to be overseen by intelligent analytics. The computer industry via its usual pioneers is now focused on accelerating the development and deployment of intelligent devices, creating systems of systems by connecting legacy devices to the cloud and enabling end-to-end analytics to transform businesses across the globe.

With most of today’s networked devices based on legacy systems, the need to address interoperability instead of replacing all existing infrastructure is imperative. Layering in new technologies — such as intelligent gateways — into existing environments allows companies to maximize their infrastructure investments while acquiring the intelligence needed to drive next-generation design innovation. As businesses increasingly embrace IoT, they must first address the integration demands that come with connecting devices, the cloud, the datacenter, and all the other facets of IT.

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