The Internet of Things has the potential to drastically change the way we do business. But what exactly is the Internet of Things (IoT)? The term is quite ambiguous, but IoT is quickly becoming a tangible technology that can be used to collect information on pretty much anything. In other words, it’s another aspect of the digital transformation of the world.
What is the Internet of Things?
The Internet of Things (IoT) is a system in which unique identifiers are assigned to objects, people, or animals. These unique identifiers then transfer the data they’ve collected about their assigned “thing” over a network, without the need for human interaction. IoT uses machine-to-machine (M2M) so that the objects, people, or animals are able to communicate with one another. So far, the Internet of Things has primarily existed in the manufacturing and power, oil, and gas industries. However, there is plenty of opportunity to expand into all industries.
For example, a “thing” can be a person with a heart monitor implant, a car that has built-in sensors to alert the driver when the tire pressure is low, or any other object that can be assigned an IP address and is provided with the ability to transfer data.
Why is the Internet of Things Important?
It’s no secret that we’re turning in to a virtualized world, but the development of Internet Protocol version 6 (IPv6) has increased the rate in which this transformation is taking place. IPv6 is an important factor in the advancement of IoT because it provides a seemingly endless number of IP addresses that can be assigned to objects, people, or animals.
Currently, we depend primarily on people to input data on our computers and upload information to the Internet. In fact, nearly all the information available on the Internet today was captured and created by people. However, the problem is that people can be impacted and influenced by outside factors, such as time, attention, and accuracy. By automating the process and allowing computers to gather information on their own without human assistance, we would be able to input and track everything while also reducing waste, cost, and loss of data.
Most importantly, IoT provides businesses with a vast amount of reliable information on their customers and products. Working with real time, digitized information that has been input directly from a “thing” (object, animal, or person) is a very accurate way of determining how your customers are interacting with your product.
Is your company ready to manage a significant amount of data? Your business should have a reliable, fast Internet service in order to obtain the data quickly, as well as place to store the data, such as a data center.
Next week, I will be discussing the security and privacy concerns of businesses and customers regarding the Internet of Things.
Blog Author: Vanessa Hartung
