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Smart Connected Systems Innovation Will Be Driven From The "Edge"

Glen Allmendinger - Thursday, December 08, 2011

Wide adoption of smart devices and systems will take time, but the timeline is advancing thanks to improvements in underlying technologies. Advances in wireless networking technology and the greater standardization of communications protocols, particularly for hybrid networked environments, make it possible to collect data from devices and sensors almost anywhere and at any time. Ever smaller, lower power silicon chips for this purpose are gaining new capabilities, while costs, following the pattern of Moore’s Law, are falling. Massive increases in storage and computing make number crunching possible at very large scale and at declining cost.


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However, in order for the market to really take off several key technology hurdles will need to be addressed, including:  

  • Lack of truly ubiquitous device communications standards;
  • Costs and ease-of-use associated with provisioning device communications;
  • New software architecture to support massively peer-to-peer, complex event-driven data management;
  • Smart device, system and application interoperability.

Barriers, such as the lack of powerful, inexpensive devices and the inability to communicate over a wide range of wired/wireless networks are diminishing, but interoperability of distributed, real-time device data remains a huge hurdle.

The growing bottleneck lies in the relationship and interactions between ever more complex devices and the antiquated client/server architecture of the web.  With memory and processor capabilities getting cheaper by the day, product designers are embedding feature upon feature into their designs.  What may finally bring Moore’s law to its knees is the sheer complexity of software driving infinite interactions.

The growing disparity of “edge” devices on networks is diluting the ability of technicians to effectively manage them.  It is extremely difficult to keep up with the unique requirements of each new device and all its advanced features. Customers increasingly expect networked devices to be functional, ubiquitous, and easy-to-use.  Within this construct, however, the first two expectations run counter to the third.  In order to achieve all three, the network must be loaded with “edge” intelligence.

On the hardware forefront, smartphones and tablets are perhaps the most ubiquitous devices with falling prices and continuous new innovations making even the most sophisticated new smart end-point devices affordable. For embedded devices, OEMs are racing to develop increasingly powerful and smaller devices.  Small size comes with the trade-off of computing power. One can argue that the true hurdle to edge computing is the absence of fast, powerful, lightweight applications that can run on any small device in a truly distributed manner – at the end of the day, you really can’t fit a traditional “PC” architecture into a sensor.

Intelligent processing and transactional computing cannot occur on dumb clients where intermittent server connections, proprietary “locked” platforms, and large install footprints are prohibitive. The inability of today’s popular enterprise systems to interoperate and perform well in distributed heterogeneous collaborative environments is an obstacle that intelligent middleware can now overcome. Devices needed to host intelligent software components can communicate to other devices directly (peer-to-peer) or to logical collections of devices (peer-to-group) in any programming language, and do so autonomously.

Many basic technology hurdles that have previously held back Pervasive Computing and M2M are increasingly being met head-on, but the challenges of integrating complex event-driven systems and intelligent device communications in an interoperable manner remains a critical requirement. Interoperability is a key goal when evaluating new technologies, as wireless systems meld with legacy wired systems and developers integrate enterprise software systems. The inability of today’s popular enterprise systems to interoperate and perform well in distributed, heterogeneous “smart device” environments is an obstacle that newer intelligent platforms for edge devices can overcome. 

However, some things that look easy turn out to be hard. That’s part of the strange saga of the Internet of Things and its perpetual attempts to get itself off the ground. But some things that should be kept simple are allowed to get unnecessarily complex, and that’s the other part of the story. The drive to develop technology can inspire grandiose visions that make simple thinking seem somehow embarrassing or not worthwhile. That’s understandable in science fiction. But it’s not a good thing when defining and deploying real-world technology to deliver new innovation.  This is where today’s technologies and IT departments behaviors come into play.

For all its sophistication, today’s corporate IT function is a direct descendent of the company mainframe, and works on the same “batched computing” model—an archival model, yielding a historian’s perspective. Information about events is collected, stored, queried, analyzed, and reported upon. But all after the fact.

That’s a very different thing from feeding the real-time inputs of billions of tiny “state machines” into systems that continually compare machine-state to sets of rules and then do something on that basis. In short, for connected devices to mean anything in business, the prevailing corporate IT model has to change.

In its most basic and practical form, the story surrounding “edge” innovation is “enterprise systems meets embedded device computing.” But that’s not as simple as it sounds. Capturing the real value of Internet-connected devices goes much further than providing connectivity, databasing, and some XML-based transport scheme. For example, real Web services will allow networked, embedded devices to execute remote applications as if those applications were part of the internal operating system. This type of enablement can bring extraordinary value to the growing population of network embedded devices and collaboration in and amongst devices as well as humans.

At the end of the day, the convergence of collaborative systems and machine communications implies a total paradigm-shift in IT suppliers and users. The depth of this shift has begun to suggest itself, but it is by no means accomplished. It’s a shift from knowing “what happened” to knowing “what is happening”—all the time—and then automatically controlling systems with that knowledge. IT professionals rarely talk these days about the need for ever-evolving information services that can be made available anywhere, anytime, in true real-time, for any kind of information—human or device. Instead, they talk about “web services” or “cloud computing” interchangeably without giving it a thought.  New reference architectures for “edge-driven” integration and collaboration are required.

Put in simple terms, low cost, easy to integrate sensors and edge devices with interoperable data management will drive wider adoption of real-time, complex event-driven systems.  Networking technologies and the standards that support them must evolve to the point where data can flow freely among sensors, computers, actuators and people. Software to aggregate and analyze schema-less data, as well as pleasing user/system interaction design techniques must improve to the point where huge volumes of data can be absorbed by smart systems and by human decision makers more appropriately.

For IT suppliers and users to really succeed they will need to fully embrace the real-time benefits of the Internet device collaboration.  Edge-driven and edge-designed systems demand that we design not only devices and networks but also information itself in ways not addressed by IT today.


Who's Developing All The Applications For 50 Billion Devices?

Glen Allmendinger - Friday, December 02, 2011

The Internet of Things (IoT) and cloud computing are combining to create new modes of asset intelligence, collaboration, and decision-making.  People, information, and technology are becoming more connected, distributed, and pervasive; enabling the convergence of the physical and virtual worlds.  While the IoT is a huge opportunity with many new market entrants who are predicting that enormous volumes of connected devices are “just around the corner”, we believe the biggest challenge will be finding enough new technology and industry fluent players to develop all the applications required to inform this expanding opportunity.

Having nearly reached the saturation point with traditional enterprise application development and deployment, professional IT services firms are now turning their attention to non-IT devices capable of being connected to a network and integrated into cloud services.  Services players are taking a number of market- and technology-oriented steps to advance smart connected devices and cloud market development, including beginning to work more directly with partners for smart system applications and capabilities.

These steps will enable services firms to provide more robust business and technology support to their customers. However, while the opportunity may be very large, many professional service providers are coming to realize the prevailing model for offering generic cloud services is not robust enough for market differentiation. What will be required of the technology and services players coming together to serve the IoT opportunity?  What are the critical challenges that need to be addressed:

Enhanced Service Delivery Platforms: With more players focusing on the smart devices and systems opportunity the competition for customers is heating up.  Network operators realize that in order to be profitable it will be necessary to connect large volumes of devices, as many IoT applications require minimal bandwidth, therefore limiting the data/usage rates that carriers can charge.   In turn, operators are seeking ways to differentiate their services, since already low data rates limit the opportunity to compete on price.  One emerging area for differentiation centers on Service Delivery Platforms (SDPs).

Connecting and managing networkable devices, has traditionally been a problematic area for customers.  In the past, it took several months to get a device network certified.  Once the device was connected, there was often little visibility into how it was performing on the network, as well as, limited back end control.   SDPs have emerged as a critical tool that can help address these areas.  SDPs provide configuration services, provisioning, SIM management and reporting, billing, upgrades, and basic asset-related application services.  Realizing that these services are crucial to end customers, professional services firms are beginning to search for SDP partnerships with third parties in an attempt to customize their services and meet the needs of their constituents.

Application Development & Delivery: Today, for most users, IoT applications are cumbersome and complex to develop. Whether the application is developed by the company deploying it or a third party, they are very custom in nature and often configured for the environment in which they operate—factory, office, hospital, and elsewhere. Application development for connected devices today entails a very high level of engineering complexity, due to disparate data formats, diverse networks, incompatible IP addressing schemes, different operating systems, and so on. The applications must be compatible with different device types, configurations, and operating systems, and must be supported by different wireless networks for the customer to gain real value.  Smart system application development, to date, has focused primarily on developing better infrastructure technology for provisioning, management and billing for connected devices - not for application development and application services delivery.     

Vertical Expertise:  Applications will require analysis tools and skills, and the ability to design systems to create awareness of asset status, structure the analysis of this data, define rules and work flow, and identify the right tools to initiate the appropriate actions.  Further, for those vendors that pursue a vertical industry strategy, choosing which verticals to go after will be a key success factor. Because application requirements tend to be unique to an industry, crafting the right combination of expertise, system elements and partners to address these challenges requires deep understanding of different industry segments and their unique challenges.

Professional services firms worldwide have seen a steady march to maturity for their core business. This has lead to critical introspection of their traditional business model.  As a result, many service providers are racing to develop new opportunities enabled by “cloud” services.  The emergence of new IT and network service offerings - so-called “cloud” or “X as a Service” or “Anything as a Service “ or “Everything as a Service offerings are rapidly becoming pervasive. Many services firms think offering on-demand IT services combined with their network resources will differentiate them.  But will it? 

Services players moving to expand IT services are also facing competition on multiple fronts.  Web application and services players such as Amazon and Google are leveraging their scale and experience to offer low-cost services with the network acting as a “dumb pipe” and, IT infrastructure and services players like IBM and HP are using their systems-integration capabilities and professional services relationships with IT organizations to develop their new offerings.

For forward thinking professional services players, developing a combined cloud computing and IoT offering is a prime example of an opportunity to gain share and really differentiate if they are willing to act.  The convergence of wireless networks, IT and smart devices drives huge opportunities.  However, innovation in the design of new businesses for traditional IT services players will need to extend beyond just simple ideas about new cloud service extensions. To successfully develop this market, IT services players will need to think and act differently.  A renewed focus on developing ecosystems and the critical relationships that will drive value are key to success. 

Ultimately, the dynamics surrounding the combined cloud computing and IoT opportunity are incredibly complex.  Basic enablement, network connectivity, middleware services, value-added services, and other device management functions are all needs that generally must be addressed when customers seek to connect smart devices.  Given all of the aspects that must be addressed from the customer standpoint, we believe alliances between unique emergent platform players and a new breed of smart device-fluent solution and services partners represent the best available means to address these market development challenges.