Internet of Things, at its core, is an inter-connected network of devices that collaborate and communicate among themselves and exchange valuable information with each other. This network usually uses internet to link with other devices and can function independently on its own, without external assistance or help. Not only these devices communicate or share information but also make important decisions based on the knowledge that has been shared. In layman’s terms, Internet of Things makes machine to machine (M2M) communication possible i.e. different machines will be able to communicate with each other and performs actions without interference of humans.
The range of devices that are incorporated in IoT include household appliances like coffee maker, television, air-conditioner to industrial machines or cars or any gadget you can think of. IoT is highly scalable, ranging from a smart home where all the devices are connected to each other and thereby efficiently manage energy needs of the home, to smart traffic signal grid that automatically manages or controls traffic of a complete city on its own.
Is the fuss surrounding IoT justified and how does this impact you?
IoT will supposedly change our lives in next few years. According to analyst firm “Garter”, more than 26 billion devices around the world will be connected to form a colossal web of inter-linked sensors/devices that will influence and manage significant part of our lives. Though still in its early stage, the financial opportunity offered by IoT to industrial sector is believed to cross $2 trillion by 2020.
IoT has the potential to transform economies and growth of nations and companies by boosting revenues, fueling innovation and making the system more efficient. The areas or sector that will drive the growth of IoT include smart grids, healthcare industry, automotive sector, security and surveillance or home automation, according to Frost & Sullivan.
Despite so much optimism regarding success of IoT, privacy and security are the biggest challenges that pose a threat to success of IoT. Lot of issues need to be tackled including security i.e. with billions of devices exchanging data, it becomes extremely significant to make sure that the information is secure.
Of all the technology mega trends that are gaining momentum, IoT definitely deserves top position. All the leading technology companies are embracing IoT and pouring in billions of dollars into research and development of IoT to make sure that they are the leader in trillion dollar economic opportunity offered by this technology.
The future for IoT looks promising but deciding whether IoT is a ground-breaking innovation or just marketing gimmick is extremely difficult at this moment. For now the best we can do is educate ourselves about the Internet of Things and its potential impacts, so we are not left behind if IoT juggernaut takes tech world by storm in near future.