Smart Infrastructure Logical Top Priority for IoT

The only issue Clinton and Trump can agree on is the need for massive improvements to the nation’s crumbling infrastructure, especially its roads and bridges. But, please, let’s make it more than concrete and steel.

Let’s make it smart, and let’s make it the top priority for the IoT because of the trickle-down effects it will have on everything else in our economy.

Global economist Jeffrey Sachs stated the case eloquently in a recent Boston Globe op-ed, “Sustainable infrastructure after the Automobile Age,” in which he argued that the infrastructure (including not only highways and bridges but also water systems, waste treatment, and the electric grid) shaped by the automotive age has run its course, and must be replaced by one “in line with new needs, especially climate safety, and new opportunities, especially ubiquitous online information and smart machines.”

I’m currently reading Carlo Ratti and Matthew Claudel’s The City of Tomorrow: Sensors, Networks, and the Future of Urban Life, which makes the same argument: “The answer to urban expansion and diffusion — and the host of social consequences that they bring — may be to optimize, rather than increase, transportation infrastructure.”

The IoT is perfectly suited to the needs of a new information-based infrastructure, especially one which must balance promoting the economy and mobility with drastic reductions in greenhouse gasses (transportation produces approximately a third of the U.S.’s  emissions). It can both improve maintenance (especially for bridges) through built-in sensors that constantly monitor conditions and can give advance warning in time to do less-costly and less-disruptive predictive maintenance, and reduce congestion by providing real-time information on current congestion so that real-time alterations to signals, etc., can be made rather than depending on outmoded fixed-interval stoplights, etc.

Sachs points out that infrastructure spending as a percentage of GDP has fallen since the Reagan years, and that it will require much more spending to bring it up to date.

A good place to look for a model is China.  The country already sports the largest concentration of M2M connections in the world: “74 million connections at the end of 2014, representing almost a third of the global base,” much of that in the form of smart bridges, smart rails, and smart grid, and critical because of the country’s rapid economic growth (Ratti cites a Beijing traffic jam that immobilized cars for an astounding 12 days!). Similarly, the government aims to have 95% of homes equipt with smart meters by next year.The country has used its investment in smart infrastructure to build its overall IoT industry’s ability to compete globally.

Sachs argues for a long-term smart infrastructure initiative:

“I propose that we envision the kind of built environment we want for the next 60 years. With a shared vision of America’s infrastructure goals, actually designing and building the new transport, energy, communications, and water systems will surely require at least a generation, just as the Interstate Highway System did a half-century ago.”

He says we need a plan based on three priorities to cope with our current national and global challenges:

“We should seek an infrastructure that abides by the triple bottom line of sustainable development. That is, the networks of roads, power, water, and communications should support economic prosperity, social fairness, and environmental sustainability. The triple bottom line will in turn push us to adopt three guiding principles.

First, the infrastructure should be “smart,” deploying state-of-the-art information and communications technologies and new nanotechnologies to achieve a high efficiency of resource use.

Second, the infrastructure should be shared and accessible to all, whether as shared vehicles, open-access broadband in public areas, or shared green spaces in cities.

Third, transport infrastructure should promote public health and environmental safety. The new transport systems should not only shift to electrical vehicles and other zero-emission vehicles, but should also promote much more walking, bicycling, and public transport use. Power generation should shift decisively to zero-carbon primary energy sources such as wind, solar, hydro, and nuclear power. The built environment should be resilient to rising ocean levels, higher temperatures, more intense heat waves, and more extreme storms.”

The IoT, particularly because of its ability to let us share real-time data that in turn can regulate the infrastructure, is ideally suited to this challenge. It’s time for Congress to not only spend on infrastructure but to do so wisely.

The result will be not only the infrastructure we need, but also a more robust IoT industry in general.

 

I’ll be on live Thursday morning talking the IoT and Smart Cities

Cities are the future of global civilization and the economy, and smart cities are the only way they’ll survive and prosper!

Join me and two SAP experts on the subject, Dina Dayal (global vice president for Digital Enterprise Platform Group) and Saj Kumar (vice president of Digital Transformation and Internet of Things) as we guest on Bonnie D. Graham’s always-enjoyable Coffee Break With Game Changers, 11 AM EDT, 8 AM PDT (it will be archived at the site if you can’t listen live.

Bonnie likes us to start with a provocative (and relevant) quote, and mine will be from Jane Jacobs’ great Death and Life of American Cities:

Cities have the capability of providing something for everybody, only because,
and only when, they are created by everybody.”

… with the emphasis on everybody: I’ll explain that there really is an important role in smart cities for city government, the private sector, and — often ignored — grassroots innovators.

A critical key is the global Things Network, created by Wienke Gieseman and his Gang of Ten in Amsterdam,  who created a free LoRaWAN city-wide data network for $12,000 and in less than a month, and then went on to create a global network and a crowdsourced campaign to bring the cost of LoRaWAN hubs down to $200.

I like to think I was there at the beginning, working with Vivek Kundra, then the DC’s CTO (before his accomplishments there led Obama to name him the first US CIO). Vivek and Mayor Fenty took the bold move of releasing more than 40 major city data bases on a real-time basis, then held a contest to get smart developers to create new-fangled “apps” (remember, this was 2008!) to capitalize on them. Because the apps were open-source, they’ve been constantly copied and improved in the years since then.

And that’s only the beginning:

  • creative startups such as Alicia Asin’s Libelium, working with an enlightened city government, have made Barcelona a massive testlab for the Iot, and arguably THE smart city of the day
  • Columbus OH won the Obama Administration’s Smart City competition for its all-inclusive transportation scheme (and I do mean all-inclusive: who ever thought a better transportation network could be used to cut infant mortality???)
  • Smart Cities organizations have been formed in cities worldwide to share ideas — we’re all in this together!

And, of course, I’m going to bring the discussion down to earth by really getting down and dirty — yessiree, we’re gonna talk trash cans.

Be there or be square!

 

The Internet of Things Enables Precision Logistics (& Could Save Planet!)

A degree of precision in every aspect of the economy impossible before the IoT is one of my fav memes, in part because it should encourage companies that have held back from IoT strategies to get involved now (because they can realize immediate benefits in lower operating costs, greater efficiency, etc.), and because it brings with it so many ancillary benefits, such as reduced environmental impacts (remember: waste creation = inefficiency!).

       Zero Marginal Cost Society

Zero Marginal Cost       Society

I’m reminded of that while reading Jeremy Rifkin’s fascinating Zero Marginal Cost Economy which I got months ago for research in writing my own book proposal and didn’t get around to until recently.  I’d always heard he was something of an eccentric, but, IMHO, this one’s brilliant.  Rifkin’s thesis is that:

“The coming together of the Communications Internet with the fledgling Energy Internet and Logistics Internet in a seamless twenty-first-century intelligent infrastructure, “the Internet of Things (IoT),” is giving rise to a Third Industrial Revolution. The Internet of Things is already boosting productivity to the point where the marginal cost of producing many goods and services is nearly zero, making them practically free.”

Tip: when the marginal cost of producing things is nearly zero, you’re gonna need a new business model, so get this book!

At any rate, one of the three revolutions he mentioned was the “Logistics Internet.”

I’m a nut about logistics, especially as it relates to supply chain and distribution networks, which I see as crucial to the radically new “circular enterprise” rotating around a real-time IoT data hub. Just think how efficient your company could be if your suppliers — miles away rather than on the other side of the world, knew instantly via M2M data sharing, what you needed and when, and delivered it at precisely the right time, or if the SAP prototype vending machine notified the dispatcher, again on a M2M basis, so that delivery trucks were automatically re-routed to machine that was most likely  to run out first!

I wasn’t quite sure what Rifkin meant about a Logistics Internet until I read his reference to the work of Benoit Montreuil, “Coca-Cola Material Handling & Distribution Chair and Professor” at Georgia Tech, who, as Rifkin puts it, closes the loop nicely in terms of imagery:

“.. just as the digital world took up the superhighway metaphor, now the logistics industry ought to take up the open-architecture metaphor of distributed Internet communication to remodel global logistics.”

Montreuil elaborates on the analogy (and, incidentally, places this in the context of global sustainability, saying that the current logistics paradigm is unsustainable), and paraphrases my fav Einstein saying:

“The global logistics sustainability grand challenge cannot be addressed through the same lenses that created the situation. The current logististics paradigm must be replaced by a new paradigm enabling outside-the-box paradigm enabling meta-systemic creative thinking.”

wooo: meta-systemic creative thinking! Count me in!

Montreuil’s answer is a “physical Internet” for logistics, which he says is a necessity not only because of the environmental impacts of the current, inefficient system (such as 14% of all greenhouse gas emissions in France), but also its ridiculous costs, accounting for 10% of the US GDP according to a 2009 Department of Transportation report!  That kind of waste brings out my inner Scotsman!

Rifkin cites a variety of examples of the current system’s inefficiency based on Montreuil’s research:

  • trucks in the US are, on average, only 60% full, and globally the efficiency is only 10%!
  • in the US, they were empty 20% of miles driven
  • US business inventories were $1.6 trillion as of March, 2013 — so much for “just-in-time.”
  • time-sensitive products such as food, clothes and medical supplies are unsold because they can’t be delivered on time.

Montreuil’s “physical Internet” has striking parallels to the electronic one:

  • cargo (like packets) must be packaged in standardized module containers
  • like the internet, the cargo must be structured independently of the equipment, so it can be processed seamlessly through a wide range of networks, with smart tags and sensors for identification and sorting (one of the first examples of the IoT I wrote about was FedEx’s great SenseAware containers for high-value cargo!)

With the Logistics Internet, we’d move from the old point-to-point and hub-and-spoke systems to ones that are “distributed, multi-segment, intermodal.” A single, exhausted, over-worked (and more accident-prone) driver would be replaced by several. It’s a  little counter-intuitive, but Montreuil says that while it would take a driver 240 hours to get from Quebec to LA under the current system, instead 17 drivers in a distributed one would each drive about 3 hours, and the cargo would get there in only 60 hours.

Under the new system, the current fractionated, isolated warehouse and distribution mess would be replaced by a fully-integrated one involving all of the 535,000 facilities nationwide, cutting time and dramatically reducing environmental impacts and fuel consumption.

Most important for companies, and looping back to my precision meme, “Montreuil points out that an open supply network allows firms to reduce their lead time to near zero if their stock is distributed among some of the hundreds of distribution centers that are located near their final buyer market.” And, was we have more 3-D printing, the product might actually be printed out near the destination. How cool is that?

Trucking is such an emblematic aspect of the 20th-century economy, yet, as with the neat things that Union Pacific and other lines are doing with the 19th-century’s emblematic railroads, they can be transformed into a key part of the 21-st century “precision economy” (but only if we couple IoT technology with “IoT thinking.”

Now let’s pick up our iPads & head to the loading dock!


 

PS: I’ll be addressing this subject in one of my two speeches at the SCM2016 Conference later this month. Hope to see you there! 

 

FedEx package…

Live Blogging from SAP’s HANA IoT event

Hmm. Never been to Vegas before: seems designed to bring out the New England Puritan in me. I’ll pass on opulence, thank you very much…

 SAP HANA/ IoT Conference

SAP HANA/ IoT Conference

Up front, very interested in a handout from Deloitte, “Beyond Linear,” which really is in line with speech I’ll give here tomorrow on the IoT “Essential Truths,” in which one of my four key points will be that we need to abandon the old, linear flow of data for a continuous cyclical one.  According to Deloitte’s Jag Bandia,

“Among users with a complete, 360-degree view of relevant data for each specific process can help avoid missed opportunities. The ‘all data’ approach means relevant data can and should come from anywhere — any application, any system, any process — not just the traditional channels associated with the process.”

Bravo!

First speaker: SAP Global Customers Operations CTO Ifran Khan:

  • “digital disruption”: catalyst for change & imperative to go digital.
  • digression about running going digital (I put in my 30 minutes this morning!!!), creating a totally new way of exercising (fits beautifully with “Smart Aging“!)
  • new macro tech trends are enabling digitalizations: hyper-connectivity, super computing, cloud computing, smart world, and cybersecurity (horrifying stat about how many USB sticks were left in dry cleaning!)
  • those who don’t go digital will go under…. (like John Chambers’ warning about IoT).
  • new opportunities in wide range of industries
  • need new digital architectures — “driving locality of data, integrated as deep as possible into the engine.
  • HOLY COW! He starts talking about a circular, digitally-centered concept, with a buckyball visual.  Yikes: great minds think alike.
  • sez HANA allows a single platform for all digital enterprise computing.
  • running things in real-time, with no latency — music to my ears!

Jayne Landry, SAP:

  • too few in enterprise have real-time access to analytics — oh yeah!
  • “analytics for everyone”
  • “own the outcome”
  • “be the one to know”
  • SAP Cloud for Analytics — “all analytics capabilities in one product.” real-time, embedded, consumer-grade user experience, cloud-based. Looking forward to seeing this one!
  • “Digital Boardroom” — instant insight. Same info available to board also available to shopfloor — oh yeah — democratizing data!

Very funny bit by Ty Miller on using SAP Cloud for Analytics to analyze Area 51 data. Woo Woo!

Ifran Khan again:

  • how to bring it to the masses? Because it’s expensive and difficult to maintain on the premises, extend and build in cloud! Add new “micro services” to SAP HANA cloud platform: SAP Application Integration, Tax Service, Procurement, Customer Engagement, Predictive, and, ta da, IoT.
  • video of Hamburg Port Authority. Absolutely love that and what they’re doing with construction sites!

Jan Jackman, IBM:

  • customers want speed. Cloud is essential. IBM & HANA are partners in cloud…

This guy is sooo neat: Michael Lynch, IoT Extended Supply Chain for SAP (and former opera student!):

  • “Connecting information, people, and things is greatest resource ever to drive insightful action.”
  • “big deal is the big data processing potential is real & chips are cheaper, so you can build actual business solutions”
  • STILL gmbh (forklifts) great example!
  • phase 1: connect w/ billions of internet-enabled things to gain new insights
  • phase II: transform the way you make decisions and take action
  • phase III: re-imagine your customer’s experience.
  • they do design thinking workshops — would luv one of those!
  • great paradigm shift: Hagleitner commercial bathroom supplies
  • Kaeser compressors: re-imaging customer service
  • working with several German car companies on enabling connected driving
  • once again, the  Hamburg Port Authority!!

SAP’s strategy:

  • offers IoT apps. platforms, and facilitates extensions of IoT solutions
  • work closely with Siemens: he’s talked with them about turbine business.
  • SAP has several solutions for IoT
  • Cloud-based predictive maintenance!
  • “social network for assets”: Asset Intelligence Network
  • They did the Harley York PA plant! — one line, 21-day per bike to 6 hrs.  (displays all around the plant with KPIs)
  • 5 layers of connectivity in manufacturing “shop floor to top floor”  SAP Connected Manufacturing
  • They have a IoT Starter Kit — neat
  • SAP Manufacturing Integration and Intelligence
  • SAP Plant Connectivity
  • SAP Event Stream Processor
  • SAP MobiLink
  • SAP SQL Anywhere/SAP ultralite
  • 3rd Party IoT Device Cloud (had never heard of “device cloud” concept — specialize in various industry verticals).

“Becoming an Insight-Driven Organization”  Speakers: Jag Bandla and Chris Dinkel of Deloitte.

  • Deloitte is using these techniques internally to make Deloitte “insight-driven”
  • “an insight-driven organization (IDO) is one which embeds analysis, data, and reasoning into every step of the decision-making process.” music to my ears!
  • emphasis on actionable insight
  • “when humans rely on their own experiences and knowledge, augmented by a stream of analytics-driven insights, the impact on value can be exponential”
  • benefits to becoming an IDO:
    • faster decisions
    • increased revenue
    • decreased cost of decision making
  • challenges:
    • lack of proper tech to capture
    • oooh: leaders who don’t understand the data…
  • 5 enabling capabilities:
    • strategy
    • people
    • process
    • data
    • tech
  • developing vision for analytics
  • Key questions: (only get a few..)
    • what are key purchase drivers for our customers?
    • how should we promote customer loyalty?
    • what customer sentiments are being expressed on social media?
    • how much should we invest in innovation?
  • Value drivers:
    • strategic alignment
    • revenue growth
    • cost reduction
    • margin improvement
    • tech
    • regulation/compliance
  • Organize for success (hmm: I don’t agree with any of these: want to decentralize while everyone is linked on a real-time basis):
    • centralized (don’t like this one, with all analyzed in one central group.. decentralize and empower!)
    • consulting: analysts are centralized, but act as internal consultants
    • center of excellence: central entity coordinates community of analysts across company
    • functional: analysts in functions such as marketing & supply chain
    • dispersed: analysts scattered across organization, little coordination
  • Hire right people! “Professionals who can deliver data-backed insights that create business value — and not just crunch numbers — are the lifeblood of an Insight-Driven Organization”
    • strong quantitative skills
    • strong biz & content skills (understand content and context)
    • strong data modeling & management skills
    • strong IT skills
    • strong creative design skills (yea: techies often overlook the cool design guys & gals)
  • Change the mindset (critical, IMHO!):
    • Communicate: build compelling picture of future to steer people in right direction.
    • Advocate: develop cohort of leaders to advocate for program.
    • Active Engagement: engage key figures to create pull for the program
    • Mobilize: mobilize right team across the organization.
  • How do you actually do it? 
    • improve insight-to-impact with “Exponential Biz Processes” — must rebuild existing business processes!  Involves digital user experience, biz process management, enterprise science, all data, and IT modernization.
      • re-engineer processes from ground up
      • develop intuitive, smart processes
      • enable exception-based management
  • Data:
    • “dark data:” digital exhaust, etc. might be hidden somewhere, but still actionable.
      • they use it for IoT: predictive personalization (not sure I get that straight…).
    • want to have well-defined data governance organization: standards, data quality, etc.
  • Technology: digital core (workforce engagement, big data & IoT, supplier collaboration, customer experience
    • HANA
  • Switch to digital delivery: visualizations are key!
    • allow for faster observations of trends & patterns
    • improve understanding & retention of info
    • empower embedded feeds and user engagement

 

IoT and the Data-Driven Enterprise: Bob Mahoney, Red Hat & Sid Sipes, Sr. Director of Edge Computing, SAP

  • What’s driving enterprise IoT?
    • more connected devices
    • non-traditional interactions such as M2M and H2M
    • ubiquitous internet connectivity
    • affordable bandwidth
    • cloud computing
    • standards-based and open-source software
  • Biz benefits:
    • economic gains
    • new revenue streams (such as sale of jet turbine data)
    • regulatory compliance
    • efficiencies and productivity
    • ecological impact
    • customer satisfaction
  • example of Positive Train Control systems to avert collisions. Now, that can be replaced by “smarter train tech”
  • SAP and edge computing (can’t move all of HANA to edge, but..)
    • improve security in transmission
    • reduce bandwidth need
    • what if connection goes down
    • actual analysis at the edge
    • allows much quicker response than sending it to corporate, analyzing & send it back
    • keep it simple
    • focused on, but not limited to, IoT
  • they can run SQL anywhere on IoT, including edge: SQL Anywhere
  • Red Hat & SAP doing interesting combination for retail, with iBeacons, video heat map & location tracking: yields real insights into consumer behavior.

3 Steps to Make Your City a World Leader in the IoT

I don’t know about you, but, in the face of grim news globally, I’m determined to make this an incredible year of change and growth.

Happy New Year!

I took a longer than normal time off, to pick up our youngest in Hong Kong after a semester abroad in Thailand, then vacation in Bali.

Hong Kong Internet of Things Association

I started the trip with a speech to the Hong Kong Internet of Things Association, in which I laid out my vision of radical change in corporate management and organization made possible by the IoT, away from the increasingly-obsolete hierarchical and linear forms that made perfect sense in an early 20th-century setting when data was hard to gather and share, but doesn’t when the IoT can allow instant sharing of real-time data by all who need it.

But the most interesting issue came up in the following q & a, when someone asked whether Hong Kong could become a global leader in the IoT.

I told them yes, and followed up with an op-ed in today’s South China Morning Post laying out the steps.

I believe the same steps can help your city become an IoT leader, and that this is a case of the-more-the-merrier: the more cities become IoT leaders the quicker widespread innovation and IoT adoption will become, and the more liveable and efficient our cities — the necessary focus of global growth in this century, especially to meet the challenge of global warming — will become.  So here goes!

  1. Create an IoT community.The one in Boston that I founded is now three years old, and numbers almost 2,000 members. My reason for doing it was that I’d run into many people working in the IoT here (Boston is listed as having the 4th largest concentration of IoT headquarters) but they were largely working in isolation, without a forum to bring them together.

    Forming an IoT network is a crucial step, because the IoT is inherently collaborative: as I’ve written many times before, “network effects” make each individual IoT device or service more valuable if they can be combined with others (for example, Apple’s HomeKit now allows someone to simply say “Siri, it’s time for bed,” and that voice command can trigger collaborative action by a variety of devices from different manufacturers, such as turning down the thermostat, locking the front door, and turning off the lights, which makes each of these IoT devices more valuable than they would be in isolation). Equally important, face-to-face contact may spark ideas that even the most talented IoT practitioner wouldn’t have thought of, huddled alone in his or her garret (or kewl cow0rking space…).

    An association that brings together all of your IoT practitioners will create synergistic benefits for all of them.

  2. Embrace the “smart city” vision. 

    This has the biggest potential payoff for your city, whether or not it becomes a big IoT commercial hub.Traditionally, cities have been laggards in technology adoption, but that’s no longer the case, starting in 2008, when I had the extreme privilege of being a consultant to DC CTO Vivek Kundra (who later became the first US CIO, specifically because of his achievements in DC) when he launched the DC Open Data initiative and the Apps [remember, this was 2008: what the heck are these “apps”???] for America contest to design apps to capitalize on this real-time data.  Hundreds of cities worldwide have embraced the concept, and because it stresses that the solutions be open source, cities that are late to the game can quickly benefit by adopting and adapting creative solutions that others have pioneered.

    When the IoT came along, many of these cities and their entrepreneurial residents were quick to realize their real-time data could lead to IoT apps and services that would deal with many of the prime concerns of cities: traffic control, mass transit, electricity, public health, environmental quality, and water and sewage (Credit where credit is due: IBM’s pioneering Smarter Planet service started working with many of the early adopters even before the smart city movement had a name).

    Cities that have launched comprehensive smart city programs, especially Barcelona’s, which includes projects ranging from free wi-fi to health monitoring for seniors to an app to find parking spaces, have realized tangible benefits while cutting operating costs and that will be the case for newcomers as well.

    Sometimes these initiatives tap the collaborative nature of the IoT to produce a public benefit that would be hideously expensive if they were carried out by municipal workers. For example, in Boston the “Street Bump” smartphone app uses the phone’s sensors to detect if the user’s car hits a pothole, then instantly reports the exact location to the city’s Department of Public Works (DPW). In essence, every driver becomes a de facto DPW employee!

  3. Finally,  join in the worldwide “Things Network” movement.As I’ve written before, this will create citywide, free networks for IoT data exchange, in essence turning an entire city into an IoT laboratory for experimentation and mutual benefit.

    This campaign, which was crowdsourced by only 10 technology enthusiasts in Amsterdam last August, successfully created a citywide data network there in less than a month, using 10 $1200 (USD) “LoRaWan gateways.”  LoRanWan is particularly suited to the IoT because it demands little power, has long range (up to 11 km) and low bandwidth. It wouldn’t require passwords, mobile subscription and zero setup costs.

    There are already 27 cities pursuing Things Networks, and the parent organization is making the concept even easier to deploy through a successful Kickstarter campaign last Fall to raise money to build a new LoRaWan gateway that would only cost $200.

    Unlike the full involvement of city government in initiatives such as opening city data bases, a Things Network is best done by volunteers, so that it will not be co-opted by official government agencies or powerful commercial interests: it is most powerful if it’s open to absolutely anyone who wants to try out a smart Internet of Things idea, while also potentially saving the city the cost of administering an expensive program that could instead be run by volunteers at little cost.

So there you have it: 3 practical steps to make your city a world leader in the Internet of Things that will improve urban life and make the city more efficient even if you don’t make the top 10.  Let’s get cracking!

Why Global Warming Must Be IoT Focus for Everyone

Thanksgiving 2015I want to offer you six great reasons — five of them are seated with my wife and me in this photo — why we all should make global warming a primary focus of IoT projects for the foreseeable future.

There simply is no way to sugar-coat the grim news coming out of the Paris climate talks: even with the most dramatic limits that might be negotiated there, scientists warn we will fall short of the limits in temperature rises needed to avoid global devastation for my grandchildren — and yours.

Fortunately, the Internet of Things can and must be the centerpiece of the drastic changes that we will have to make collectively and individually to cope with this challenge:

“Perhaps one of the most ambitious projects that employ big data to study the environment is Microsoft’s Madingley, which is being developed with the intention of creating a simulation of all life on Earth. The project already provides a working simulation of the global carbon cycle, and it is hoped that, eventually, everything from deforestation to animal migration, pollution, and overfishing will be modeled in a real-time “virtual biosphere.” Just a few years ago, the idea of a simulation of the entire planet’s ecosphere would have seemed like ridiculous, pie-in-the-sky thinking. But today it’s something into which one of the world’s biggest companies is pouring serious money.”

Let me leave you with a laundry list of potential IoT uses to reduce global warming compiled by Cisco’s Dr. Rick Huijbregts:

  • Urban mobility “apps” predict how we can move from A to B in a city in the most environmental friendly manner. Real time data is collected from all modes of city transportation.
  • Using solar energy to power IT networks that in turn power heating, cooling and lighting. Consequently, reduce AC/DC conversions and avoid 70% electricity loss.
  • IP­based, and POE (Power of Ethernet) LED lighting in buildings reduced energy by 50% because of LED and another 50% because of control and automation.
  • Sensors (Internet of Things) record environmental highs and lows, as well as energy consumption. Data analytics allow us to respond in real­time and curtail consumption.
  • Real time insight in energy behaviour and consumption can turn into actionable reduction. 10% of energy reduction can be achieved by behavioural change triggered by simple awareness and education.
  • Working from home while being connected as if one were in the office (TelePresence, Cisco Spark, WebEx, just to name a few networked collaboration tools) takes cars off the road.
  • Grid modernization by adding communication networks to the electrical grid to allow for capacity and demand management.
  • Planning, optimizing, and redirecting transportation logistics based on algorithms, real­time weather and traffic data, and streamlined and JIT shipment and delivery schedules.

These are all great challenges and offer the potential for highly profitable IoT solutions.  For the sake of my six grandchildren, let’s get going!

I’ll Speak Twice at Internet of Things Global Summit Next Week

I always love the Internet of Things Global Summit in DC because it’s the only IoT conference I know of that places equal emphasis on both IoT technology and public policy, especially on issues such as security and privacy.

At this year’s conference, on the  26th and 27th, I’ll speak twice, on “Smart Aging” and on the IoT in retailing.

2015_IoT_SummitIn the past, the event was used to launch major IoT regulatory initiatives by the FTC, the only branch of the federal government that seems to really take the IoT seriously, and understand the need to protect personal privacy and security. My other fav component of last year’s summit was Camgian’s introduction of its Egburt, which combines “fog computing,” to analyze IoT data at “the edge,” and low power consumption. Camgian’s Gary Butler will be on the retail panel with me and with Rob van Kranenburg, one of the IoT’s real thought leaders.

This year’s program again combines a heady mix of IoT innovations and regulatory concerns. Some of the topics are:

  • The Internet of Things in Financial Services and the Insurance sector (panel includes my buddy Chris Rezendes of INEX).
  • Monetizing the Internet of Things and a look at what the new business models will be
  • The Connected Car
  • Connected living – at home and in the city
  • IoT as an enabler for industrial growth and competition
  • Privacy in a Connected World – a continuing balancing act

The speakers are a great cross-section of technology and policy leaders.

There’s still time to register.  Hope to see you there!

 

 

IoT for Gamechangers: Talkin’ Smart Cities

Pope Francis wasn’t the only one speaking truth to power at 10 AM this morning: I was a guest again on SAP’s “Coffee Break With Game Changers” (you can catch a rebroadcast in a few hours), talking with hostess Bonnie Graham and SAP’s Ira Berk about smart cities.

Having just read the great bio of Elon Musk, I contrasted the top-down, I-gotta-sign-off-on-every-purchase-over-$10,000 style of Musk (and Steve Jobs, for that matter) with the out-of-control (in the best sense of the term!), bottoms-up approach needed in gigantic, complex, ever-changing cities (blogged on this earlier this week) to make them “smart.” IMHO, smart cities will evolve from a wide range of small, incremental changes, both public and private.

One of my favorite examples that I mentioned was announced today by Mayor Marty Walsh here in the Home of the Bean and the Cod.  The city has already been partnering with Waze for months: it informs Waze of any planned road work and detours, and, in return, Waze gives the city its real-time data to respond to traffic jams. Today the mayor announced that bike-riding Traffic Enforcement Officers will be able to swoop in on double-parking miscreants using Waze data.  Oh yeah, there’s another party to this collaboration: you and I, who make Waze work by reporting traffic and obstacles that we encounter while driving the city’s streets. Perfect example of my IoT “Essential Truth” that we must share data.

There was a lot more on the show: hope you can tune in!

BTW: when Bonnie asked at the end of the show if we’d dust off our crystal balls and predict how the IoT will make smart cities by 2020 — I stuck my neck out and said it would much quicker for the reasons I cited in the above-mentioned post on smart cities, especially the free citywide IoT data network movement spearheaded by Amsterdam.  If you’re in Greater Boston and would like to be in the vanguard of this movement, meet us next Wednesday night at the kewl new InTeahouse space in Cambridge, to plan our strategy to launch the free, citywide (including neighborhoods!) Boston IoT Data Network!

 

Give It Up, People: Government Regulation of IoT Is Vital

Could this be the incident that finally gets everyone in the IoT industry to — as I’ve said repeatedly in the past — make privacy and security Job 1 — and to drop the lobbying groups’ argument that government regulation isn’t needed? 

I hope so, because the IoT’s future is at stake, and, frankly, not enough companies get it.

I’m referring to the Chrysler recall last week of 1.4 million Jeeps for a security patch after WIRED reported on an experiment in which two white-hat hackers remotely disabled a Jeep on an Interstate from miles away, exploiting a vulnerable link between its entertainment and control systems.  Put yourself in the place of reporter Andy Greenberg, then tell me with a straight face that you wouldn’t be out of your mind if this happened to you:

“As the two hackers remotely toyed with the air-conditioning, radio, and windshield wipers, I mentally congratulated myself on my courage under pressure. That’s when they cut the transmission.

Immediately my accelerator stopped working. As I frantically pressed the pedal and watched the RPMs climb, the Jeep lost half its speed, then slowed to a crawl. This occurred just as I reached a long overpass, with no shoulder to offer an escape. The experiment had ceased to be fun.

At that point, the interstate began to slope upward, so the Jeep lost more momentum and barely crept forward. Cars lined up behind my bumper before passing me, honking. I could see an 18-wheeler approaching in my rearview mirror. I hoped its driver saw me, too, and could tell I was paralyzed on the highway.

“You’re doomed!” Valasek [one of the hackers] shouted, but I couldn’t make out his heckling over the blast of the radio, now pumping Kanye West. The semi loomed in the mirror, bearing down on my immobilized Jeep.”

OK: calm down, get a cool drink, and, when your Apple Watch says your heart beat has returned to normal, read on….

But, dear reader, our industry’s leaders, assumedly knowing the well-publicized specifics of the Chrysler attack, had the hubris to still speak at a hearing of the Internet Subcommittee of the House of Representatives Judiciary Committee last week and claim (according to CIO) that that government regulation of the IoT industry wasn’t needed.

CEA CEO Gary Shapiro said in calling for government “restraint”:

“It’s up to manufacturers and service providers to make good decisions about privacy and security, or they will fail in the marketplace….. Industry-driven solutions are best to promote innovation while protecting consumers.”

Sorry, Gary: if someone dies because their Jeep got spoofed, the survivors’ attorneys won’t be content with the company’s failure in the marketplace.

There are some important collaborative efforts to create privacy and security standards for the IoT, such as the AllSeen Alliance. However, as I’ve written before, there are also too many startups who defer building in privacy and security protections until they’ve solved their technology needs, and others, most famously TRENDnet, who don’t do anything at all, resulting in a big FTC fine.  There are simply too many examples of hackers using the Shodan site to hack into devices, not to mention academics and others who’ve showed security flaws that might even kill you if exploited.

One local IoT leader, Paddy Srinivasan of LoMein, gets it, as reported today by the Boston Globe‘s Hiawatha Bray:

“‘I think it is a seminal moment…. These new devices need a fresh approach and a new way of thinking about security, and that is the missing piece.'”

But it’s too late to just talk about self-policing.

Massachusetts’ own Ed Markey and his Connecticut counterpart, Richard Blumenthal, have called the associations’ bluff, and filed legislation, The Security and Privacy in Your Car Act (AKA SPY Car, LOL)  that would require the National Highway Traffic Safety Administration (NHTSA) and the Federal Trade Commission (FTC) to establish federal standards to secure cars and protect drivers’ privacy. It would also create a rating system — or “cyber dashboard”— telling drivers about how well the vehicle protects drivers’ security and privacy beyond those minimum standards. This comes in the wake of the Markey study I reported on last Winter documenting car companies’ failure to build in adequate cyber-hacking protections.

Guess what, folks?  This is only the beginning.  Probably the only thing I’ve ever agreed with Dick Cheney on (ok, we agree it’s cool to have been born in Wyoming and that Lynne Cheney is a great writer), is that it wouldn’t be cool for the Veep to have his pacemaker hacked, so you can bet there will be legislation and regulations soon governing privacy and security for wearables as well.

As I’ve said before, I come at this issue differently from a lot of engineers, having earned my keep for many years doing crisis management for Fortune 100 companies that bet the farm by doing dumb things that could destroy public trust in them overnight. Once lost, that trust is difficult, if not impossible, to regain.  Even worse, in this case, cavalier attitudes by even one IoT company, if the shock value of the results is great enough, could make everyone in the industry suffer.

So, if you’re arguing for no regulation of the IoT industry, I have just one suggestion: shut up,clean up your act and take a positive role in shaping regulations that would be performance-based, not prescriptive: the horse has already left the barn.

Now I have to check my Apple Watch to see when my heart rate will get back to normal.

 

LOL: The Boston Olympics that Will Not Be: How the IoT MIGHT Have Pulled It Off!

Well, there go the billions my wife and I were going to make from renting our house through Airbnb for the Boston 2024 Olympics….   The US Olympic Committee pulled their support for the bid several hours ago based on the lack of public support for the proposal, which comes as NO surprise to those of us who know and (sometimes) love the local sport of choice in Boston: not the modern pentathalon, but debating any issue ad nauseum and eating our own.

Oh well!  I’d been planning a special meeting of our Boston IoT MeetUp for September about how the IoT really might make it possible that we could both build the Olympic infrastructure on time and on budget through creative use of the IoT AND also build a positive legacy that would endure after the games were over.

I’d also just written an op-ed on the subject. Since the chances of getting one of the local rags to publish that now are also zero, I thought I’d post it here, in hopes that it may inspire the other cities still bidding for the Games to adopt this approach, and that Boston and Massachusetts will also make the IoT a critical part of any major construction projects and smart city strategies.


 

What if a single approach could meet both of Boston 2024’s main challenges: building the venues on-time and under budget, AND assuring a positive legacy for the city, region and state?

There is: the Internet of Things (IoT), the concept of linking not just people, but also devices, via the Internet so they can be coordinated and activated automatically and in real time.  The IoT is already a reality, as demonstrated by examples ranging from “smart” thermostats you can adjust from your smartphone to fitness devices that let you track your vital signs.

While most are still unaware of the IoT, Boston was recently ranked as the world’s fourth-leading city in terms of numbers of IoT companies, and the Boston IoT MeetUp that I co-chair has grown to 1400 members in less than two years.

Every Olympics faces serious questions because of the history of cost overruns and construction delays, but our bid faces the extra burden of the botched Big Dig.

Construction sites are inherently chaotic because of so much equipment and so many subcontractors, resulting in an astounding 70-80% idle time, but the IoT changes that.  My client, SAP, and SK Solutions have collaborated in Dubai (which is on a construction binge dwarfing anything the Olympics might bring), putting sensors on all of the construction equipment, trucks, etc., so that the managers can visualize, in real-time, who is where, and make sure the right ones are in place and ready to go exactly when needed. Everyone who needs it, from operators to maintenance, shares the same data at the same time, building collaboration and efficiency.

The IoT can also make the games run smoothly and efficiently. After last Winter, we know how poorly the MBTA operates currently. The IoT can dramatically improve operations because sensors will report real-time data about the condition of every piece of rolling stock, so issues can be dealt with quickly and cheaply ( “predictive maintenance”) before they become critical. Ports and airports, such as Logan, are also inherently chaotic, but the Port of Hamburg has increased its operating efficiency through IoT coordination of every vehicle.  Clever IoT transportation projects already underway by the Mayor’s Office of the New Urban Mechanics can also help the games operate efficiently.

Believe it or not, even the most prosaic parts of our urban landscape can and must be reinvented to make the games run smoothly.  You’ve already seen the ultra-modern Big Belly Solar trash compactors (from Needham) that now dot downtown, which compact trash and collect recycling to make our streets cleaner. But did you know that each of them also houses a wireless system that creates a free “mesh network” that gives us free wi-fi access on the streets as well (and, in a post-Olympics disaster, could provide real-time response information)? Why not deploy them region-wide? Or, why have conventional streetlights when there are ones that not only cut electric use with LED bulbs, but also have banner-like LED panels that could have constantly-changing panels about that day’s events and would switch instantly to showing real-time detours because of data about traffic jams just ahead?

The Olympics will also stress our electricity infrastructure, and the IoT can help there as well. Two-way real-time data flow will allow a electric “smart grid” to dispatch power exactly when, where, and in the amount needed. What if we also had the world’s best network of neighborhood electric car chargers, and if Zip Car, one of our home-bred IoT innovations, became the preferred way of getting around not just downtown, but also the whole region?

A smart grid and efficient, reliable mass transit wouldn’t be the only positive legacy from the IoT.  If the Olympic Village to house the athletes was made up of “smart buildings” with built-in sensors, after the Olympics they would become economical, user-friendly and affordable apartments.

You may not have heard much about the Internet of Things so far, but the technology is already here, and the cost is plummeting.  Major orders for sensors, operating software and other components for the Olympics would create more jobs in our local IoT industry and further drive down the IoT’s cost.

Experts agree that the IoT will bring about as radical a transformation in our lives and economy as the Internet did, and making it the centerpiece of Boston’s Olympics construction, operations and legacy planning could make us again the Hub of the (Internet of Things) Universe.


 

Oh well!

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