Internet of Things (IoT): A vision, future directions & Challenges

Internet of Things (IoT): A vision, future directions & Challenges

Introduction

The Internet of Things represents a vision in which the Internet extends into the real world embracing everyday objects. Physical items are no longer disconnected from the virtual world, but can be controlled remotely and can act as physical access points to Internet services. An Internet of Things makes computing truly ubiquitous – a concept initially put forward by Mark Weiser in the early 1990s. This development is opening up huge opportunities for both the economy and individuals. However, it also involves risks and undoubtedly represents an immense technical and social challenge.

            The Internet of Things vision is grounded in the belief that the steady advances in microelectronics, communications and information technology we have witnessed in recent years will continue into the foreseeable future. In fact – due to their diminishing size, constantly falling price and declining energy consumption – processors, communications modules and other electronic components are being increasingly integrated into everyday objects today. “Smart” objects play a key role in the Internet of Things vision, since embedded communication and information technology would have the potential to revolutionize the utility of these objects. Using sensors, they are able to perceive their context, and via built-in networking capabilities they would be able to communicate with each other, access Internet services and interact with people. “Digitally upgrading” conventional object in this way enhances their physical function by adding the capabilities of digital objects, thus generating substantial added value. Forerunners of this development are already apparent today – more and more devices such as sewing machines, exercise bikes, electric toothbrushes, washing machines, electricity meters and photocopiers are being “computerized” and equipped with network interfaces.

 In other application domains, Internet connectivity of everyday objects can be used to remotely determine their state so that information systems can collect up-to-date information on physical objects and processes. This enables many aspects of the real world to be “observed” at a previously unattained level of detail and at negligible cost. This would not only allow for a better understanding of the underlying processes, but also for more efficient control and management . The ability to react to events in the physical world in an automatic, rapid and informed manner not only opens up new opportunities for dealing with complex or critical situations, but also enables a wide variety of business processes to be optimized. The real-time interpretation of data from the physical world will most likely lead to the introduction of various novel business services and may deliver substantial economic and social benefits. The use of the word “Internet” in the catchy term “Internet of Things” which stands for the vision outlined above can be seen as either simply a metaphor – in the same way that people use the Web today, things will soon also communicate with each other, use services, provide data and thus generate added value – or it can be interpreted in a stricter technical sense, postulating that an IP protocol stack will be used by smart things (or at least by the “proxies”, their representatives on the network).

 Getting IoT ready

Preparing the lowest layers of technology for the horizontal nature of the IoT requires manufacturers to deliver on the most fundamental challenges, including:

• Connectivity: There will not be one connectivity standard that “wins” over the others. There will be a wide variety of wired and wireless standards as well as proprietary implementations used to connect the things in the IoT. The challenge is getting the connectivity standards to talk to one another with one common worldwide data currency.
• Power management: More things within the IoT will be battery powered or use energy harvesting to be more portable and self-sustaining. Line-powered equipment will need to be more energy efficient. The challenge is making it easy to add power management to these devices and equipment. Wireless charging will incorporate connectivity with charge management.
• Security: With the amount of data being sent within the IoT, security is a must. Built-in hardware security and use of existing connectivity security protocols is essential to secure the IoT. Another challenge is simply educating consumers to use the security that is integrated into their devices. The Evolution of the Internet of Things September 2013 50 Billion Connected Devices by 2020.
• Complexity: Manufacturers are looking to add connectivity to devices and equipment that has never been connected before to become part of the IoT. Ease of design and development is essential to get more things connected especially when typical RF programming is complex. Additionally, the average consumer needs to be able to set-up and use their devices without a technical background.
• Rapid evolution: The IoT is constantly changing and evolving. More devices are being added every day and the industry is still in its naissance. The challenge facing the industry is the unknown. Unknown devices. Unknown applications. Unknown use cases. Given this, there needs to be flexibility in all facets of development. Processors and microcontrollers that range from 16–1500 MHz to address the full spectrum of applications from a microcontroller (MCU) in a small, energy-harvested wireless sensor node to high-performance, multi-core processors for IoT infrastructure. A wide variety of wired and wireless connectivity technologies are needed to meet the various needs of the market. Last, a wide selection of sensors, mixed-signal and power-management technologies are required to provide the user interface to the IoT and energy-friendly designs

Compelling Benefits of IoT

IoT offers compelling business benefits and value that organizations cannot afford to ignore including cost savings, improved revenues and opportunities to innovate.

• Cost savings: Costs can be reduced through improved asset utilization, process efficiencies and productivity. Customers and organizations can benefit from improved asset utilization (e.g., smart meters that eliminate manual meter readings) and service improvements (e.g., remote monitoring of patients in clinical settings). General Electric has estimated that if intelligent machines and analytics caused even a tiny reduction in fuel, capital expenditures and inefficiencies, it would result in billions of dollars in cost savings(See Below figure)
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• Improved asset utilization: With improved tracking of assets (machinery, equipment, tools, etc.) using sensors and connectivity, businesses can benefit from real-time insights and visibility into their assets and supply chains. For instance, they could more easily locate assets and run preventive maintenance on critical pieces of infrastructure and machinery to improve throughput and utilization.
• Efficient processes: Organizations can use real-time operational insights to make smarter business decisions and reduce operating costs. They can use real-time data from sensors and actuators to monitor and improve process efficiency, reduce energy costs and minimize human intervention.
• Improved productivity: Productivity is a critical parameter that affects the profitability of any organization. IoT improves organizational productivity by offering employees just-in-time training, reducing the mismatch of required vs. available skills and improving labor efficiency.

 IoT Futures

The acceleration of IoT from lofty concept to reality is predicated on the projected exponential growth of smart devices and the confluence of low-cost infrastructure, connectivity and data. Declining device costs, widespread and pervasive connectivity, and an ever-increasing focus on operational efficiency and productivity is leading to wide deployment of IoT solutions. In a 2012 survey by Zebra Consulting and Forrester, only 15% of organizations had an IoT solution in place, but more than half (53%) had plans to implement one in the next two years, and an additional 14% planned to implement in the next two to five years. Roughly 21% of respondents from the transportation and logistics sector indicated that an IoT solution was already in place.

• Billions of smart devices are becoming connected: The number of connected smart devices is exploding, with 50 billion devices possible by 2020 (see Figure). Similarly, machine-to-machine (M2M) connections – which are a key part of the fabric of IoT – are also on the rise. Machina Research estimates that M2M connections will grow to 18 billion by 2022, up from two billion in 2011.
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• Confluence of low-cost technologies, connectivity, data and sensors: Declining sensor costs, a dramatic increase in computing and processing power, low-cost data storage and widespread low-cost, high-bandwidth connectivity has brought IoT to a tipping point. For instance, services that require connectivity are becoming affordable as cellular M2M module costs have declined at a rate of 15% per year, and the cost of connectivity has plummeted, with 1GB now costing $1.50.1 Aiding the connectivity needs of the exploding universe of smart objects is the new standard Internet Protocol (IPv6), which uses a 128-bit address to offer 340 undecillion (or 3.4 x 1038) unique IP addresses, enough to connect the billions of smart objects that humankind will be using in the years to come.

Issues and Challenges

Notwithstanding IoT’s tremendous potential, organizations must overcome numerous issues and challenges that are inhibiting IoT’s growth. To get grounded in and eventually master IoT, organizations will need to work closely with mature vendors to overcome key hurdles, such as:

• A lack of standards and interoperable technologies: The sheer number of vendors, technologies and protocols used by each class of smart devices inhibits interoperability. The lack of consensus on how to apply emerging standards and protocols to allow smart objects to connect and collaborate makes it difficult for organizations to integrate applications and devices that use different network technologies and operate on different networks. Further, organizations need to ensure that smart devices can interact and work with multiple services.
• Data and information management issues: Routing, capturing, analyzing and using the insights generated by huge volumes of IoT data in timely and relevant ways is a huge challenge with traditional infrastructures. The sheer magnitude of the data collected will require sophisticated algorithms that can sift, analyze and deliver value from data. As more devices enter the market, more data silos are formed, creating a complex network of connections between isolated data sources. The lack of universal standards and protocols will make it even tougher for organizations to eliminate data silos.
• Privacy and security concerns: Deriving value from IoT depends on the ability of organizations to collect, manage and mine data. Securing such data from unauthorized use and attacks will be a key concern. Similarly, with many devices used for personal activities, many users might not be aware of the types of personally identifiable data being collected, raising serious privacy concerns. And because most devices involve minimal human interference, organizations need to be concerned about hacking and other criminal abuse. A far bigger potential for risk in the future is a security breach or a malfunctioning device that induces catastrophic failures in the IoT ecosystem.
• Organizational inability to manage IoT complexities: While IoT offers tremendous value, tapping into it will demand a whole new level of systems and capabilities that can harness the ecosystem and unlock value for organizations. For instance, making sense of the flood of data generated by sensors every millisecond will require strong data management, storage and analytics capabilities. Similarly, policy makers will need to address data, security and privacy concerns. Organizations will also need to develop skills to preempt potential component failures and replacements, using preventive servicing and maintenance practices to ensure business operations run effectively and efficiently.

 Conclusion

The Internet of Things promises to deliver a step change in individuals’ quality of life and enterprises’ productivity. Through a widely distributed, locally intelligent network of smart devices, the IoT has the potential to enable extensions and enhancements to fundamental services in transportation, logistics, security, utilities, education, healthcare and other areas, while providing a new ecosystem for application development. A concerted effort is required to move the industry beyond the early stages of market development towards maturity, driven by common understanding of the distinct nature of the opportunity. This market has distinct characteristics in the areas of service distribution, business and charging models, capabilities required to deliver IoT services, and the differing demands these services will place on mobile networks. It is hoped that a common understanding of the characteristics of IoT will enable industry stakeholders to collaborate more effectively in order to propel the market forward for the benefit of consumers and society.