For some, the term IoT may still be somewhat unfamiliar. IoT has still yet to become an integral part of our lives.
Everyone is aware that at the beginning of the smart era, Apple emerged as a smart solutions provider in the mobile device and service industry, and other companies came about that copied and developed these technologies. So, we don’t need to delve into what the term ‘smart’ means.
However, the IoT market still does not have a clear front-runner. While there was once only a blueprint for what IoT would be, IoT has now become more clearly defined. It may take time for IoT come into common use, it is impossible to deny that IoT will surpass existing IT and influence traditional industries to create new markets.
In early 2015, the IDC (International Data Corporation) cited that the smartphone market saw a growth rate of 39% but predicted that the market growth rate would soon steeply decline. This market forecast is based on the analysis of a smartphone market that was already saturated. However, even though the IoT market is viewed differently by different organizations, it is predicted to show rapid growth going forward. KT DigiEco stated that the IoT market in Korea will grow from USD 4.3B in 2016 to USD 19B by 2022.
Until now, most of us have selected a device and used that device to exchange information or consume content.
But in the IoT era, devices will act on their own without humans to send or consume information. Devices are able to detect more objects, analyze more data and work faster and more efficiently than humans. They make new services possible that we have yet to experience.
① Home IoT
Users can turn off appliances and switch of the gas in their homes from their mobile devices or by simply shutting the door behind them when they leave. Users can also activate motion sensors or CCTV systems to detect when there is an intruder and configure the systems to sound an alarm and simultaneously send an alert to a preconfigured phone number. Videos taken while the user is away from home can then be sent to the user.
The door to the user’s home can be opened automatically before the user arrives and the user can even call the elevator to their apartment remotely as they arrive home. A string of operations such as turning on the lights and adjusting the temperature when the front door is opened are also possible.
Household devices can also be control from outside the house via mobile devices and volumes of power and water that is used in the home can be collected with a Smart Meter and transmitted to the user.
Data can be collected on people’s behavior patterns with sensors and this data can be used to control devices without direct control by humans. With this type of functionality, we can make our lives even better.
Of course, the home IoT devices that have been released up until now still need some degree of human control. As it looks now, a transitional will soon come as we take the next step in IoT development.
② Factory and Logistics IoT
According to the IoT 2020 Business Report drafted at the 2016 Innovation Summit targeting 2,500 individual business leaders in 12 countries, 81% of poll responders said that IoT has helped their business after being implemented at their organization.
IoT has applications for improving production, increasing safety and conserving energy in the fields of manufacturing and logistics.
The ‘Industrial Safety Service Model’ created by LG CNS allows for safety equipment to have IoT sensors applied to deny access to users not wearing the devices, and monitoring of accident prone areas to improve response times when accidents occur.
The French firm Schneider Electric has developed Smart Factory that detects when a problem occurs in a factory and then analyzes the issue and reconfigures the manufacturing process on its own.
The logistics giant Amazon offers a device called the Dash Button that has innovated the ordering and delivery system. When a product with the Dash Button attached to it exceeds its lifetime, the user can press the Dash Button and a new product from Amazon automatically.
When the user clicks the button, the Dash Device sends a signal to Amazon and the user is charged for a one click transaction process. But, the user does not need to be aware of the process. Once the button is clicked, the order and transaction is processed by a chip in the Dash Device without a computer or smart device.
③ Automobile IoT
Telematics is a term used to describe an array of services that provides real-time traffic information using GPS and telecommunications technology. Telematics connects IoT with ‘connected car’ technology. The term connected car refers to a car that can wirelessly connect to other cars or external systems.
This includes everything from a cars infotainment to the navigation system. Currently, the market is primary directed at sending and receiving information from smartphones for infotainment but soon cars will be able to exchange information to detect traffic conditions and work as an automated navigation system.
Through these types of systems, cars can identify traffic conditions to improve the efficiency of the driving experience and improve safety.
IoT is expected to improve everything from our behavior pattern in our homes to production, safety and profitability in business. Also, IoT is expected to revolutionize the automobile and help us find uncongested traffic routes and change the very concept of driving.
Gartner vice-chairman, Steve Prentice, said that in the near future, as humans become connected to more and more devices, these devices will become artificial intelligence devices and services. And as these changes continue to occur, new business platforms will be invented.
Currently, the IoT business model is just taking off and only limited B2B and B2C business models are being offered. Soon, as more devices and services become connected, new business models will be created and they will have a great impact on our lives.
We can look forward to the changes IoT will have on our world.
Written by Hyejin Choi, LG CNS