A few days ago, at an event hosted by Continental, Deutsche Telekom AG, Fraunhofer ESK, and Nokia Networks, I came across an interesting example of an emerging mobile Internet-of-Things (IoT) solution: the initiative to “connect the Autobahn” in Germany. The goal of the Digitales Testfeld Autobahn initiative is to develop a platform that allows a wide range of players to access a common platform for digital services in the context of Germany’s road infrastructure. The event also included a test drive to highlight how driving “assistants” in connected cars could communicate with a latency of about 15 milliseconds. Discussions at the event underlined several insights that CIOs should consider when devising mobile IoT solutions:
Ecosystem partnerships create more value for IoT solutions than standalone approaches. At the event, Deutsche Telekom’s CEO, Continental’s Head of Interior Electronic Solutions, Nokia’s VP of Strategy, Fraunhofer-Institute’s Head of Embedded Systems, and Germany’s Minister for Transport all pointed to the necessity for close cooperation to make the “digital Autobahn” platform work. Proprietary OEM technologies will not boost the connected road infrastructure. Continental told us that open IoT systems create more value than closed systems for the company and its customers. To uncover its true potential, the “digital Autobahn” platform will also need to be open to third parties like weather forecasters, retailers, and entertainment companies. This means that CIOs need to support open APIs.
I recently attended IBM BusinessConnect 2015 in Germany. I had great discussions regarding industrial Internet of Things (IoT) and Industrie 4.0 solutions as well as digital transformation in the B2B segment. One issue that particularly caught my attention: edge computing in the context of the mobile IoT.
Mobility in the IoT context raises the question when to use a central computing approach versus when to use edge computing. The CIO must decide whether solution intelligence should primarily reside in a central location or at the edge of the network and therefore closer to (or even inside) mobile IoT devices like cars, smart watches, or smart meters. At least three factors should guide this decision:
Data transmission costs. The costs of data transmission can quickly undermine any mobile IoT business case. For instance, aircraft engine sensors collect massive amounts of data during a flight but send only a small fraction of that data in real time via satellite connectivity to a central data monitoring center while the plane is in the air. All other data is sent via Wi-Fi or traditional mobile broadband connectivity like UMTS or LTE once the plane is on the ground.
Mobile bandwidth, latency, and speed. The available bandwidth limits the amount of data that can be transmitted at any given time, limiting the use cases for mobile IoT. For instance, sharing large volumes of data about the turbines of a large container ship and detailed inventory measurements of each container on board is completely impractical unless the ship is close to a coastal area with high mobile broadband connectivity.
The hordes gathered in Las Vegas this week, for Amazon's latest re:Invent show. Over 18,000 individuals queued to get into sessions, jostled to reach the Oreo Cookie Popcorn (yes, really), and dodged casino-goers to hear from AWS, its partners and its customers. Las Vegas may figure nowhere on my list of favourite places, but the programme of Analyst sessions AWS laid on for earlier in the week definitely justified this trip.
The headline items (the Internet of Things, Business Intelligence, and a Snowball chucked straight at the 'hell' that is the enterprise data centre (think about it)) are much-discussed, but in many ways the more interesting stuff was AWS' continued - quiet, methodical, inexorable - improvement of its current offerings. One by one, enterprise 'reasons' to avoid AWS or its public cloud competitors are being systematically demolished.
Retail CIOs have always had a tough job, but digital makes it tougher. Emerging digital technologies threaten to transform retail experiences both in stores and at home. Without a good business case, CIOs at large retailers will find it hard to prepare their business to compete with small, nimble startups. My latest report highlights the potential of today's digital technologies to radically disrupt the retail industry once more. It serves as a call to CIOs to begin shaping their strategy to digitize the end-to-end customer experience and start proving the business case in time to make the investments needed.
Specialty fashion retailer Rebecca Minkoff is creating a truly differentiated in-store customer experience by combining RFID tags with new technologies like digital mirrors in the changing room connected to employee mobile devices. At the NYC Rebecca Minkoff store, customers can select products from racks or a digital fashion wall and head to the dressing room, where they meet their personal fashion consultant. Once in the dressing room, a digital mirror displays all the products and sizes the customer has in the room. The customer can easily request a new size by selecting it on the mirror. The consultant delivers the new sizes to the dressing room without the customer having to redress or wander the store half-undressed. By extending what Rebecca Minkoff has already achieved, we get a glimpse of a future in-store experience that helps each customer quickly find more products that satisfy their desires.
Internet of Things (IoT) security is a hot topic among security and risk professionals. It seems as if every "thing" on the market is becoming smarter and more interactive. As the level of IoT device maturity increases so does the level of risk of data and device compromise. The scary thing is that we really have no idea what IoT devices are in our environment let alone the correct way to secure them.
Both IoT product makers and IoT product operators need to understand the security implications of IoT devices. Security in IoT involves product makers rethinking how they create technologies, secure code and hardware, develop new offerings, and ensure the privacy of the data they collect. These areas of security are not typically areas that automobile, manufacturing, and retail technology makers have had to consider in the past. The scale of IoT devices in each vertical is enough to employ a small army of developers who are yet not up to speed on the latest secure code and hardware concepts.
On the other side of the coin, enterprises have the unenviable position of implementing these poorly coded and built technologies. Overwhelming pressure will come from competing enterprises causing an increase in IoT adoption to improve business efficiencies. IoT will become pervasive, and mandatory, throughout every vertical from gas and electric to automotive. The threat landscape in these areas will be immense.
Consumers are implementing connected home activities one gadget at a time - Forrester surveys show that about 13% of US online adults use one or more smart home device. But unlike mobile, where a brand new technology established a new category, smart home products will transform existing home markets, such as insurance, energy, health, water, and food, rather than create a new one.
Sure, Apple and Google will battle to be the dominant app interface and software platform – but they won’t be controlling or taking over those markets. Instead, individual companies will soon be experimenting with how to promote and even subsidize smart home products to create interactive relationships with their customers that simply weren’t possible before. Liberty Mutual and American Family just started subsidizing Nest Protect smoke detectors in return for monthly confirmation that the homeowner is keeping them on and connected to Wi-Fi. Similarly, grocers and food brands such as Nestlé and Unilever will begin promoting smart devices, like the Drop baking scale, and recipe filled apps to encourage shoppers to keep coming back.
Emerging smart home devices will perform 13 activities that can be organized into two domains: crucial background activities that automate everyday tasks like environmental comfort, home access, and home safety, or fun and helpful foreground activities that sustain engagement, such as entertainment activities, cooking and health management, and monitoring family members. Clients can see more details and many examples in our report, The Smart Home Finally Blossoms.
Once a month I use my blog to highlight some of S&R’s most recent and trending research. This month I’m focusing on application security and asking for your help with some of our upcoming research into the security and privacy risks associated with Internet of Things (IoT). IoT is any technology that enables devices, objects, and infrastructure to interact with monitoring, analytics, and control systems over the Internet. The illustrious and debonair, Tyler Shields (@txs), will lead our research into IoT security, but as the risks become more and more concrete for various verticals, you can expect the entire team to engage in this research.
Take our IoT security survey and talk with our analysts! If you contribute to the emerging IoT market, please fill out this brief survey (http://forr.com/2015-IoT-Security-Survey). Participants will receive a complimentary copy of the completed research report and we'd be happy to interview anyone who would like to discuss IoT and security in detail. Be sure to reach out to Tyler (email@example.com) or Jennie Duong (firstname.lastname@example.org) if you’re interested.
Survey data from Forrester Research indicates that Internet of Things (IoT) solutions may finally be ready for ‘prime time.’ Business Decision Makers (BDMs) report that IoT has become a top business priority and they are assessing solution feasibility and, in some cases, already investing. IoT will be driven by the business side of the house, but a close collaboration between business and technology management stakeholders is a prerequisite for success. Forrester believes that IoT will ultimately serve as a driving force for the Business Tehcnology (BT) Agenda by changing processes, skills, and the mindset of technology management organizations.
Forrester Business Technographics® runs a series of annual surveys with business and technology decision-makers measuring technology adoption plans, drivers, barriers and buyer behaviors. Let’s take a closer look at how adoption plans for IoT have evolved over the past year.
Compared with 2014, BDMs surveyed in 2015 were more than twice as likely to report they would begin IoT investment within the next 12 months, 50% more likely to report they were currently implementing or piloting IoT and dramatically less likely to be unfamiliar with IoT adoption plans or report they were not familiar with the technology. In 2015, 49% of BDMs reported that the expansion of IoT initiatives was a “high” or “critical” organizational priority over the coming 12 months.
Mobile World Congress (MWC) was a real marathon: According to my wearable gadget, I walked 70,278 steps, or 53.7 km, in four days. So was it worth it apart from the workout?
MWC was certainly busy; it attracted more than 90,000 attendees, including about 50,000 C-level executives (of whom 4,500 were CEOs) — making it the largest MWC event to date. While MWC does not attempt to cater to CIOs’ requirements — only about one-third of the attendees come from outside the technology sector, mostly from government, financial institutions, and media and advertising firms — the event deals with all the critical topics that CIOs will have to address in the years ahead.
This year’s MWC focused on innovation, which is arguably the single most important business priority to ensure business survival in a rapidly changing marketplace. As a business enabler, every CIO must meet the expectation of today’s business customer that he can get what he wants in his immediate context and moment of need. MWC highlighted that:
Mobile is critical to provide a great user experience. Therefore, mobile is becoming a critical factor for CIOs in driving product, service, and process innovation and enhancing customer and employee engagement.
Consumerization is redefining enterprise mobility. At MWC we saw more and more vendors targeting the mobile mind shift taking place in the business segment. This is reflected in the shift of most mobile business solutions away from traditional sales and field force automation toward delivering mobile moments.
The CES Tech West Expo has a number of specific areas of coverage including fitness and health, wearables, connected home, family safety, and some young innovative companies located in the startup area of the section. I spent a few hours interviewing and discussing the Internet of Things (IoT) with as many vendors as I could find. I had many good laughs and shed a few tears during the process. To describe the process, the general communication would go something like this:
Me: "Can you point me at the most technical person you have at your booth? I'd like to talk about how you secure your devices and the sensitive / personal data that it accesses and collects."
Smartest tech person at the booth: "Oh! We are secure; we [insert security-specific line here]."
Me: "Never mind . . ." (dejected look on my face).