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June 2014
This article highlights the tremendous
opportunities created by the explosive
growth predicted for IoT applications,
and the challenge of existing and legacy
devices that needs to be overcome.
The Internet of Things (IoT) refers to billions
of Internet-connected devices, ranging from
industrial sensors to complex CT scanners.
Moving from a world of isolated systems to
one where systems communicate with each
other and the cloud and back allows companies
to make more efficient and productive use of
their assets and business processes. In turn,
their customers benefit from the added func-
tionality and value derived from the rollout of
new business models and service offerings.
McKinsey Global Institute recently reported
the number of connected machines has grown
by 300 percent over the past five years, due
largely to IoT technologies driving greater effi-
ciency in the estimated $36 trillion spend in
operating costs in affected industries. (McKin-
sey Global Institute, Disruptive technologies:
Advances that will transform life, business,
and the global economy, May 2013)
For example, industrial engineers are installing
Internet-linked sensors across the factory floor
to synchronize production, link machines to
smart electricity grids to reduce energy costs,
and monitor manufacturing processes remotely
via smart phones (Source: Milwaukee-Wiscon-
sin Journal Sentinel, “Rockwell Leading Way
in Next Industrial Revolution,” Jan 4, 2014).
In a store, weather forecasts indicating an ap-
proaching storm could trigger a retailer digital
signage to play advertisements for weather-re-
lated items, like umbrellas and tissues, thus in-
creasing sales. The true value in the Internet
of Things is realized when most devices, both
old and new, are connected to the cloud and
their data is collectively analyzed, revealing ac-
tionable insights that can transform business.
However, a significant challenge is that many
legacy and existing devices, which make up 85
percent of all devices (Source: IMS Research),
are isolated and unconnected. New solutions
are needed to get them securely connected
since waiting for a full refresh of infrastructure
to reap the benefits of IoT is impractical. Many
legacy devices, especially those used in com-
mercial and industrial applications, tend to
have long life-spans. As a result, it is not always
possible or economically feasible to upgrade a
large number of embedded devices to enable
them to communicate with the cloud.
An alternative is to use gateways, which provide
value by attaching to existing devices and their
sensors in order to secure, aggregate, and filter
their data. This creates opportunities to optimize
the efficiency of the device, prevent failures,
and create new services. The gateway needs to
be intelligent and have sufficient processing
power to enable end-to-end analytics that will
drive business transformation, as shown in the
following examples. Intel fabricates semicon-
ductor chips, which are placed into plastic
packages and tested in facilities called Assem-
bly/Test factories. Intelligent gateways are being
evaluated to connect manufacturing tools to a
private industrial, data center cloud, giving
Intel meaningful data, including equipment
errors, assists, and downtime in real time. The
ability to monitor Assembly/ Test equipment a
very granular level drives a two times improve-
ment in mean time between failures (MTBF),
thus increasing manufacturing throughput.
The worldwide largest heating, ventilation,
and air conditioning (HVAC) manufacturer,
Daikin Applied, is making use of the Internet
of Things through the integration of an Intel
processor based intelligent gateway solution
in its existing Rebel rooftop units. With the
gateway, Daikin Applied is able to seamlessly
connect Rebel units to the cloud. As a result,
customers can proactively manage the per-
formance of their buildings and address HVAC
issues before they happen, thus avoiding
expensive repairs and unpleasant temperature
excursions.
Intel Labs worked with Daikin Applied to dis-
aggregate component data so now it is possible
to see how much energy fans and compressors
are consuming, and take corrective action if
needed. Daikin Applied estimates that adding
intelligence to HVAC systems can reduce energy
consumption within a building by as much as
50 percent.
For device manufacturers developing intelligent
gateways, Intel is bringing to market solutions
based on the Intel Atom processor E3800 prod-
uct family and the Intel Quark SoC X1000.
The processors are supported by software com-
ponents, including McAfee Embedded Control
and the Wind River Intelligent Device Platform,
needed to connect, manage, and secure gate-
ways. These designs will help device designers
develop, prototype, and deploy application
services faster so they can focus on creating
new, value-added services.With these solutions,
users can securely aggregate, filter, and share
data from edge devices to the cloud in areas
such as energy, industrial, and transportation
infrastructure.
Connecting legacy devices to
the Internet of Things
By Adam Burns,
Intel
Intel uses gateways to the
cloud to improve yield in its
Assembly/Test factories.
