IoT (Internet of Things): Potential and Challenges

Ever decreasing prices of semiconductor chips, coupled with innovation and advancement in sensing and communication technologies has started influencing the industry leaders to make their strategies about Internet of Things (IoT). No industry can afford to take the risk of being oblivious to the increasing impact of IoT on their businesses. IoT has potential to touch and positively impact the human life in every aspect. Comfortable living, public safety, optimum usage of natural resources, connected automobiles, smart homes, smart cities, smart retail, Industrial Internet of Things (IIoT) and many more are just few examples of IoT inspired living. IoT is not about making one device intelligent and efficient instead it is about making the entire ecosystem of devices intelligent, efficient to solve real business problems or to make living smarter and better.

The technical challenges of IoT devices are different than regular devices like smart phones. These devices are characterized by very limited power, which user may not be able to charge or replace their batteries very often. These devices may be placed in harsh environments where user may not reach even easily. They send short messages with minimum protocol overhead so as to consume as less power as possible. Considering such needs, special protocols are being developed for IoT devices by Standards Development Organizations (SDOs) and Industry Alliances world-wide. If one thing that can completely block the wide spread entry of IoT devices into the business and life of people is leak in the security. With communication devices all over the city, homes, plants, plants vehicles etc., the security attack on user’s confidential data can happen from any of these entry points and hence they become vulnerable.  For security experts, IoT (Internet of Things) can also be taken as “Internet of Threats”.

There are regulatory challenges too before IoT device can be seen in wide spread use by all industry/user segments. The strong regulations will be required to win the confidence of users that their confidential data, acquired by IoT devices and exchanged/stored in IoT ecosystem, will not be misused or shared with others without their express permission. Without providing the fool-proof security and confidentiality of user’s data, IoT may be a distant dream. Most IoT devices will use wireless interface for their communication hence there is a need of wide enough RF spectrum for efficient functioning of IoT devices and for sustainable growth of IoT devices in the cities/market places.

Considering business challenges, the businesses will have to come up with techniques to monetize IoT and generate the revenues from IoT ecosystem. Customers may not suddenly switch towards IoT devices and abandon their legacy devices. Consumers/Customers will need to be given some incentives via new business models to switch to IoT style of living to take IoT to mainstream.