|The Internet of Things and artificial intelligence are two powerful technologie. AI and IoT are more than buzzwords or trending topics in industrial automation (or in any other field) / Photo by: Teoh Chin Leong via 123RF|
The Internet of Things and artificial intelligence are two powerful technologies, said Bernard Marr of business news magazine Forbes. AI and IoT are more than buzzwords or trending topics in industrial automation (or in any other field), as noted by Janakiram MSV of Forbes. Both of them will have an impact on multiple industry verticals. When these two are combined, you get a more powerful technology known as AIoT. Think of IoT as the digital nervous system while AI is the system’s brain.
AIoT helps deliver intelligent and connected systems capable of correcting and healing themselves. The union of AI and IoT will reshape the future of industrial automation, leading to the Industry 4.0 revolution. Before we delve and appreciate the promises of AIoT, we must first understand how AI and IoT have become a potent combination in the tech world.
The Remarkable Power of AI and IoT
According to SAS, a leader in analytics, we can expect to see more than 55 million IoT devices by 2025, up from about 10 billion in 2018 and nine billion in 2017, as noted by Peter Newman of American business and financial news site Business Insider. That is more than four devices for every individual on the planet. Chris Pemberton of Global research firm Gartner revealed that more than 80% of enterprise IoT projects will include an AI component by 2022, up from 10%, as cited by SAS.
Moreover, companies that apply real-time AI to IoT data could “gain substantial business value,” which could include a 38% lift in profitability by 2035, stated Louis Columbus of Forbes. As for the AI industry itself, the sector will be valued at $190 billion by 2025 at a CAGR of 36.62% during the forecast period between 2018 and 2025, a sharp increase from $16.06 billion in 2017, said market research company Markets and Markets.
Moreover, commercial company McKinsey Global Insitute estimated that the IoT industry could have an economic impact of $3.9 trillion to $11.1 trillion by 2025 in various settings such as factories, retail, cities, and even the human body.
|According to SAS, a leader in analytics, we can expect to see more than 55 million IoT devices by 2025, up from about 10 billion in 2018 and nine billion in 2017, as noted by Peter Newman of American business and financial news site Business Insider / Photo by: scharfsinn86 via 123RF|
Understanding the Union of AI and IoT
When we talk about the Internet of Things, the “things” refer to refrigerators, digital assistants, sensors, wearable devices, and other equipment connected to the environment. These devices can be recognized by other devices. IoT gadgets can also process and collect data. Meanwhile, artificial intelligence refers to a system that can accomplish tasks or learn from data intelligently.
When AI is combined with IoT, it means that your devices can analyze data, make decisions, and act on that data without human involvement. They help facilitate efficiency and effectiveness, optimizing a system and generating better performance and business insights. Then, your device will create data that will help you make better decisions, which can be used as a “learning material” for the system. Therefore, it’s not surprising to know that the integration of IoT and smart systems make AIoT a powerful and significant tool in many use cases.
How AIoT is Used in Practical Settings
1. Retail – A camera system is equipped with computer vision capabilities in smart retail stores. The system can use facial recognition to identify customers as soon as they walk into the premises. It collects data such as gender, traffic flow, product preferences, and the like. The system then analyzes the data to accurately predict customer’s behavior and uses that data to make decisions regarding the store’s operations ranging from marketing to product placement.
For instance, if the store’s camera system detects that most of the customers are millennials, it can generate product advertisements or in-store specials that appeal to that specific demographic, thereby driving more profit. Further, smart cameras can also prompt customers to skip the checkout counter.
2. Traffic Management – There are practical uses of AIoT in smart cities such as traffic management by drones. Congestion can be minimized if traffic can be monitored in real-time. When drones are flown in a large area, they can send traffic data, enabling the AI to analyze the data and make decisions about how to optimally reduce congestions. With AI, the timing of traffic lights and speed limits can be adjusted without the help of humans.
For example, Alibaba’s cloud product ET City Brain leverages urban resources using AIoT. The firm’s system can detect illegal parking and accidents and change traffic lights to help ambulances get to their patients faster. In office buildings, some companies install a network of smart environmental sensors to detect personnel in the office. These sensors can also adjust the building’s temperature and lighting to improve energy efficiency.
3. Office Buildings – A smart building can also utilize facial recognition technology through the use of connected cameras and AI. The technology can compare photos taken in real-time against a database to determine which person should be granted access to a building. Likewise, employees do not need to clock in and attendance for mandatory meetings need not be manually recorded because AIoT will take care of that task.
Based on the above-mentioned statistics, we can expect the IoT and AI markets to grow rapidly in the future thanks to their increasing demand. Overall, AIoT will help revolutionize industries and fields such as retail, manufacturing, healthcare, and more.
|There are practical uses of AIoT in smart cities such as traffic management by drones. Congestion can be minimized if traffic can be monitored in real-time / Photo by: Yury Gubin via 123RF|