The internet of things, or IoT, is a network of interrelated devices that connect and exchange data with other IoT devices and the cloud. IoT devices are typically embedded with technology such as sensors and software and can include mechanical and digital machines and consumer objects.
These devices encompass everything from everyday household items to complex industrial tools. Increasingly, organizations in a variety of industries are using IoT to operate more efficiently, deliver enhanced customer service, improve decision-making and increase the value of the business.
With IoT, data is transferable over a network without requiring human-to-human or human-to-computer interactions.
A thing in the internet of things can be a person with a heart monitor implant, a farm animal with a biochip transponder, an automobile that has built-in sensors to alert the driver when tire pressure is low, or any other natural or man-made object that can be assigned an Internet Protocol address and can transfer data over a network.
IoT systems function by gathering data from sensors embedded in IoT devices, which is then transmitted through an IoT gateway for analysis by an application or back-end system.
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The following four elements are incorporated into an IoT ecosystem for it to function:
An IoT ecosystem consists of web-enabled smart devices that use embedded systems, such as processors, sensors and communication hardware to collect, send and act on data acquired from their environments.
IoT devices can communicate with one another through a network over the internet. These devices share sensor data by connecting to an IoT gateway, which acts as a central hub where IoT devices can send data. Before the data is shared, it can also be sent to an edge device where it is analyzed locally.
Only the relevant data is used to identify patterns, offer recommendations and identify potential issues before they escalate. Analyzing data locally reduces the volume of data sent to the cloud, which minimizes bandwidth consumption.
Sometimes, these devices communicate with other related devices and act on the information they get from one another. The devices do most of the work without human intervention, although people can interact with the devices. For example, they can set them up, give them instructions or access the data. The connectivity, networking and communication protocols used with these web-enabled devices largely depend on the specific IoT applications deployed.
IoT can also use artificial intelligence and machine learning to make data collection processes easier and more dynamic.
A graphical user interface (UI) is typically used to manage IoT devices. For example, a website or a mobile app can be used as an UI to manage, control and register smart devices.
IoT helps people live and work smarter. Consumers, for example, can use IoT-embedded devices — such as cars, smartwatches or thermostats — to improve their lives. For example, when a person arrives home, their car could communicate with the garage to open the door; their thermostat could adjust to a preset temperature; and their lighting could be set to a lower intensity and color.
In addition to offering smart devices to automate homes, IoT is essential to business. It provides organizations with a real-time look into how their systems work, delivering insights into everything from the performance of machines to supply chain and logistics operations.
IoT enables machines to complete tedious tasks without human intervention. Companies can automate processes, reduce labor costs, cut down on waste and improve service delivery. IoT helps make it less expensive to manufacture and deliver goods and offers transparency into customer transactions.
IoT continues to advance as more businesses realize the potential of connected devices to keep them competitive.
IoT offers several benefits to organizations. It encourages companies to rethink how they approach their businesses and gives them the tools to improve their business strategies.
Some benefits of IoT are industry-specific while others are applicable across multiple industries. Generally, industrial internet of things (IIoT) is most abundant in manufacturing, transportation and utility organizations that use sensors and other IoT devices; however, it also has use cases for organizations within the agriculture, infrastructure and home automation industries, leading some organizations toward digital transformation.
Common example of IoT applications include the following:
Some of the advantages of IoT devices include the following:
Along with its various advantages, IoT comes with some potential drawbacks including the following:
Notable organizations involved in the development of IoT standards include the following:
Some examples of IoT standards include the following:
IoT standards often use specific protocols for device communication. A chosen protocol dictates how IoT device data is transmitted and received. Some example IoT protocols include the following:
IoT frameworks include the following:
IoT connects billions of devices to the internet and involves the use of billions of data points, all of which must be secured. Due to its expanded attack surface, IoT security and IoT privacy are cited as major concerns.
One of the most notorious IoT attacks happened in 2016. The Mirai botnet infiltrated domain name server provider Dyn, resulting in major system outages for an extended period of time. Attackers gained access to the network by exploiting poorly secured IoT devices. This is one of the largest distributed denial-of-service attacks ever seen and Mirai is still being developed today.
Because IoT devices are closely connected, a hacker can exploit one vulnerability to manipulate all the data, rendering it unusable. Manufacturers that don’t update their devices regularly — or at all — leave them vulnerable to cybercriminals. Additionally, connected devices often ask users to input their personal information, including name, age, address, phone number and even social media accounts — information that’s invaluable to hackers.
Hackers aren’t the only threat to IoT; privacy is another major concern. For example, companies that make and distribute consumer IoT devices could use those devices to obtain and sell user personal data. To ensure the safe and responsible use of IoT devices, organizations must provide education and awareness about security systems and best practices.
Many technological advancements have accelerated IoT. A few key advancements include the following:
Kevin Ashton, co-founder of the Auto-ID Center at the Massachusetts Institute of Technology (MIT), first mentioned the internet of things in a presentation he made in 1999 to Procter & Gamble (P&G). Wanting to bring radio frequency ID to the attention of P&G’s senior management, Ashton called his presentation “Internet of Things” to incorporate the cool new trend of 1999: the internet. MIT professor Neil Gershenfeld’s book, When Things Start to Think, also appeared in 1999. Although the book didn’t use the exact term, it provided a clear vision of where IoT was headed.
IoT has evolved from the convergence of wireless technologies, microelectromechanical systems, microservices and the internet. This convergence helped tear down the silos between operational technology and information technology, enabling unstructured machine-generated data to be analyzed for insights to drive improvements.
Although Ashton was the first to mention IoT, the idea of connected devices has been around since the 1970s, under the monikers embedded internet and pervasive computing.
The first internet appliance, for example, was a Coke machine at Carnegie Mellon University in the early 1980s. Using the web, programmers could check the status of the machine and determine whether there would be a cold drink awaiting them, should they decide to make the trip to the machine.
IoT evolved from M2M communication with machines connecting via a network without human interaction. M2M refers to connecting a device to the cloud, managing it and collecting data.
Taking M2M to the next level, IoT is a sensor network of billions of smart devices that connect people, computer systems and other applications to collect and share data. As its foundation, M2M offers the connectivity that enables IoT.
IoT is also a natural extension of supervisory control and data acquisition (SCADA), a category of software application programs for process control, the gathering of data in real time from remote locations to control equipment and conditions. SCADA systems include hardware and software components. The hardware gathers and feeds data into a desktop computer that has SCADA software installed, where it’s then processed and presented in a timely manner. Late-generation SCADA systems developed into first-generation IoT systems.
The concept of the IoT ecosystem, however, didn’t come into its own until 2010 when, in part, the government of China said it would make IoT a strategic priority in its five-year plan.
The following are some key milestones and current and future outlooks of IoT:
Learn about more current and potential future trends in IoT.
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