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T IoT

IoT solutions: What's really behind this term?

IoT solutions are increasingly making their way into everyday life - especially in companies! But what is actually behind the three letters and what impact is it already having on different industries? We answer these questions in the following article.

In brief

  • Definition: Networking of devices and sensors via networks (e.g. cloud) that autonomously collect and process data and trigger actions - usually without human intervention.
  • Core components: Sensors/devices, data transmission (WLAN, 5G etc.), cloud-based data processing and user interfaces for control.
  • Application areas: Transport & logistics, production, fleet management, smart cities (e.g. charging infrastructure), smart buildings and automotive (connected cars, predictive maintenance).

What are IoT solutions?

The term IoT is the abbreviation for Internet of Things. In principle, it describes devices that are connected via a network using software, sensors or other technologies. Communication usually takes place via a cloud. The data arrives in this cloud, whereupon software processes it and determines the next step. As a rule, a human eye no longer needs to look at these processes. In other words, the networked devices communicate and interact with each other independently.

The four elements of IoT solutions:

  • Sensor/devices: They record all data, for example about the production process of a manufacturing machine in industry. This data enables the software to detect a production error or a defect in the machine, for example.
  • Connectivity: The device sends all recorded data to a cloud. This takes place via different transmission paths such as WLAN, LPWAN, Bluetooth, Ethernet or satellite. Which transmission path the connectivity chooses depends on the IoT application.
  • Data processing: When the data arrives in the cloud, the software processes it directly. It can use the information to make various decisions. For example, it could stop production because the machine has a defect. However, there are also cases where it is not possible without human intervention - this is where the user interface comes into play.
  • User interface: An employee has access to the system via the user interface and can check it there. Here, the desired action can be carried out via the reverse path, i.e. from the user interface to the device.

IoT solutions quickly become the attentive eyes and ears of a company. After all, employees cannot monitor all processes without interruption.

How long has IoT actually been around?

The term was first coinedby Kevin Astonin 1999. At his "Internet of Things" presentation, he presented an idea for tracking supply chains with a small radio chip in the future. However, the technical development began back in the 1970s. A time when companies were using "pervasive computing" to research how to connect different devices with each other.

What are all IoT devices?

In principle, all technical devices that can communicate independently via the Internet are considered IoT devices. This includes, for example

  • Smartphones
  • E-mobile charging stations
  • Intelligent fire alarms
  • Intelligent door locks
  • Notebooks
  • IoT Cloud solutions
  • GPS tracker
  • Production machines
  • etc.

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What areas of application are there for IoT?

There are already numerous applications for IoT solutions in various industries. Companies that use sensors to automate their business processes in particular benefit from this technology. Below we present a few industries and the corresponding IoT application examples.

Transport and logistics

Numerous Transport and logistics systems on a variety of IoT applications. For example, IoT sensor data can be used to automatically determine driving routes depending on weather conditions, vehicle availability or driver availability. The intelligent IoT solutions also take care of stock control. This allows you to track not only the shipment status, for example, but even the temperature regulation in the means of transport.

A point that is particularly important in the food, beverage and pharmaceutical industries. These goods are often considered temperature-sensitive stocks, and an incorrect temperature could render the goods unusable. IoT solutions constantly monitor temperatures and issue alerts if the level rises or falls.

Fleet management

IoT solutions in Fleet management go far beyond simple vehicle tracking. The use of GPS trackers and sensors brings companies multiple advantages, such as:

  • Monitoring vehicle location
  • Optimise routes
  • Reduce fuel consumption
  • Gaining insight into employee driving behaviour

These features help companies reduce operating costs. They also allow the automatic generation of digital logbooks to meet legal requirements. 

One of the greatest benefits, however, is the insight into driving behaviour. The sensors analyse how a vehicle is driven and detect risky manoeuvres such as speeding or sudden braking. In such cases, companies could impose a driver safety training course. This not only reduces accident risk and increases road safety, but also lowers CO₂ emissions. 

Production

In production, IoT solutions already give many companies a competitive edge. The sensors can effectively monitor operations and production processes, and notify technicians in advance of required maintenance or faults. If the sensor detects a defect, it can independently stop production via the affected system. This helps companies reduce machine downtime and lower operating costs. Such IoT-based applications are particularly common in the automotive industry. 

Servitization

IoT turns classic product sales into a digital service, a process that can be used as a Servitization is designated. Companies no longer just offer their customers a physical product, but link it with digital services based on real-time data. For example, instead of selling a machine, a machine manufacturer can offer a usage-based service in which the machine is monitored, maintained and billed according to usage. Customers benefit from higher availability, better maintenance planning and predictable costs, while suppliers can build long-term customer loyalty and develop new business models. IoT is the key to data-based services and a new value proposition in the after-sales sector.

Automotive

n the automotive industry, IoT is changing entire business areas, not just in production, but across the entire vehicle life cycle. Intelligent sensor technology enables predictive maintenance (Predictive maintenance), vehicle data can be analysed and used in real time, for example to optimise driving behaviour, consumption or service intervals. In addition, new mobility concepts are becoming possible: from connected cars and shared mobility to autonomous vehicles. Manufacturers, suppliers and mobility service providers gain new insights into the use of their vehicles and can develop targeted data-based services.

Industry often talks about IIoT solutions

In industry, the term IIoT solution is often used instead of IoT solution. IIoT is the abbreviation for "Industrial Internet of Things" and describes the use of IoT solutions in industrial applications

Expansion of the charging infrastructure

IoT solutions make an important contribution to the smart city and therefore to the expansion of the charging infrastructure for electric vehicles. By networking the devices, companies can efficiently monitor and control their charging stations. This allows potential problems such as breakdowns or maintenance-related interruptions to be recognised or rectified at an early stage. This is a very important point, as the German government has set the goal of putting more and more electric vehicles on German roads in the future.

Companies can also use integrated energy and load management to optimally regulate the power consumption of the charging station. This allows charging priorities to be optimally managed and unnecessary overloading of the grid to be avoided. The scalability of IoT solutions is particularly important for companies! They can set up or expand their infrastructure individually, whether for the workplace, the site or fast charging stations on the move.

Smart Building

Energy costs have long been a problem for companies! Some are therefore already monitoring their electricity, gas and water consumption using various IoT solutions. Retrofit sensors are used to ensure efficiency and keep consumption as low as possible. They measure the energy flows in the building in real time. As soon as a value is conspicuous, it reports this to the system. The root cause analysis can then begin there. However, this integration of an IoT solution is only part of the Smart Buildings They also support companies in other areas, such as:

  • Smart Cleaning

  • Room comfort control

  • Building maintenance and servicing

  • Building automation

  • Determination of operating costs

IoT solutions can therefore already be found in numerous industries, where they fulfil a wide variety of tasks. In view of the ever-increasing networking, the field of application of such solutions is (probably) continuing to grow.

IoT Connectivity

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IoT Connectivity

The right IoT connectivity coordinates IoT connections across platforms, integrates devices and data via API, and enables global control with the highest security standards. You can manage your IoT projects flexibly, efficiently, and independently of manufacturers.

Potrait photo Annalena Rauen

Annalena Rauen

Marketing Manager IoT

Back in 2016, Anna worked on IoT topics at Deutsche Telekom for the first time. Since then, she has been supporting customer best practices in a wide range of industries – always focusing on the benefits that the Internet of Things can provide. Her IoT blogposts describe real use cases and the value these innovations add to market players, their business models, and even entire industries.

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