The impact of the IoT demystified

The Internet of Things is not of things!

“Internet of Things” was originally used as a differentiator to the “Internet” as we know it today, sometimes also called the Internet of People. The best way to describe the Internet of Things is as an application or a service that uses information collected from sensors (the “things”), analyzes the data, and then does something with it (e.g., via actuators – more “things”).

The IoT actually predates the Internet!

When considering IoT as a service that gathers, analyzes and transmits data, it‘s existed for years. For example, an “old” IoT application would be the ordinary home or building security system, with a set of motion sensors, and from there connected to a phone line and an alarm service center. Note that IoT does not need to be wireless and that this existed before the Internet, making ADT Security Services one of the older IoT companies today.

The IoT breakthrough?

So then why has such an old concept like IoT been such a hype in recent years? A few things changed. The 1st being that the Internet became nearly ubiquitous. Initially connecting computers, the Internet now connects homes and buildings. And with Wi-Fi, access to the Internet changed from a technology into a commodity. The 2nd change was essentially Moore’s Law rolling along, with smaller, more powerful and lower cost devices being developed to collect data. And finally, low-power communication technologies were developed to extend the battery life for these devices, connecting them permanently to the Internet.

What is holding the IoT back today?

The IoT is suffering from a lack of understanding of its true value proposition; and at the same time, a plethora of proprietary and open communication standards inhibit interconnectivity, create confusion with consumers, and confusion among product builders themselves, keeping product prices high and delaying market growth.

What is the core value of the IoT?

It’s all about “making better decisions faster.” This motivator drove computers into existence. Does anybody remember how to run a manufacturing plant without a computer? Making better decisions faster drove the Internet into existence. And making better decisions faster is driving the IoT into existence, too, making the quality of products better.

IoT: The Downsides

After the industrial revolution, people were replaced by computers and lost their jobs. „How does it feel to be replaced by a machine?” We’ve been asking this question for 40+ years and will continue asking it as the next wave of technology and robots takes over ever more complex jobs. Clearly, change has been very painful for those impacted. But overall, where jobs were lost, other jobs were created.

Is the IoT Secure?

Probably the simplest answer to this question is “no.” It is as secure as the Internet, which is to say, not entirely secure. Consider thinking of IoT security risks in the same way that a window in your house is a security risk. If you want to make your house safer, you could start by eliminating all the windows. Maybe a better question is, “Are the security risks of IoT applications acceptable compared to the benefits provided at a reasonable cost?” Although this depends on the application and the perception of the user, this can be answered with a “yes.”

IoT and Privacy?

The question of IoT privacy follows the same trail as the IoT security. It is clear, that different people have different needs for privacy. Privacy is clearly a tradeoff between the benefit of the application versus the impact of giving up some level of privacy. The key thing here is making an informed decision about this tradeoff, but unfortunately, product makers are not always transparent on this issue. This also means that privacy and privacy protection is becoming more of a legislative/enforcement issue than a technology issue.

The Integrity of IoT

If the IoT is starting to help us to make decisions, it should be no surprise that integrity is becoming a real subject of attention. Using an alarm system example, there are four situations (or “states”).

Integrity is about the chances of a false alarm or of a system failure. A system failing to detect an emergency is a serious problem, because system failures damage our trust in the system. The reliability of such systems is critical. When sensors themselves are the weakest point in the system, they get doubled or tripled so that failure of one sensor does not result in total system failure. This is just one example of the inherent need for integrity with autonomous systems and artificial intelligence.