Industrial IoT Trends to Know in 2019
As IoT technologies improve, use cases continue to proliferate among new industries. Analysts predict significant advancements over the next year. Manufacturing breakthroughs have lowered the costs of IoT technology and have allowed for decreases in device size and upgraded processing speeds, making IoT increasingly available and beneficial to a number of new industries. According to IDC forecasts, global IoT spending is projected to reach $1.4 trillion by 2021. The Industrial IoT market alone is expected to increase by $232.15 billion over the next four years as more and more industrial businesses recognize the need for digital transformation.
However, it is important to note that increased spend does not necessarily unlock the benefits of Industrial IoT. In fact, 451 Research’s IoT survey indicates that slightly more than half of current IoT projects move successfully from proof-of-concept (POC) to production, according to respondents. Beyond that, the amount of time spent in POC is actually rising, indicating the Industrial IoT journey is becoming more, not less, challenging for enterprises.
Based on this evidence, it is becoming increasingly important for companies to consider the right partnerships before embarking on a complicated Industrial IoT venture. As technologies advance and proliferate, so do the complexities of integrating those technologies into cohesive systems with demonstrable ROI. Systems integrators with real-life, hands-on experience like CB Technologies will be the key to driving from and Industrial IoT idea, to POC, and finally to production.
Experience Industrial IoT in action: Contact CB Technologies for a tour of the Refinery of the Future at Texmark Chemicals.
With that being said, let’s take a look at some exciting expectations for IoT in 2019:
Digital transformation is changing the way organizations modernize their processes and maximize efficiency. The Industry 4.0 movement is expected to push industrial companies into the digital age with more accessible Industrial IoT technology. With smart sensors and advanced analytical systems, businesses can monitor equipment and workflow in real-time. Industrial processes can be refined to peak efficiency, and equipment downtime can be minimized, reducing expenses and optimizing production.
The Intersection of IoT and AI
Coming advancements in AI will make IoT even more beneficial in industrial settings. Many of the leading chip manufacturers are expected to release new chips this year that will improve the speed and utility of AI-based applications. As IoT and AI converge at the cutting edge of computing technology, Industrial IoT will become increasingly precise, providing more accurate, advanced analytics and enabling capabilities like predictive maintenance.
Machine learning systems will perform better analyses and easily turn IoT gathered data into accessible, meaningful information that organizations can use to make well-informed business decisions. AI can comb through the data generated by IoT applications to uncover patterns and correlations and then use this information to make increasingly accurate predictions. With this level of predictive power, businesses can completely overhaul the way they manage and maintain their key equipment.
Automated Machine Learning (AutoML) algorithms will drastically advance machine learning by eliminating the need for specific models to solve complex problems. Developers will be able to focus directly on the issue at hand, without having to analyze workflow and all of the corresponding processes. AutoML is compatible with custom machine learning platforms and cognitive APIs, and it will substantially accelerate problem-solving and resolve complex issues with less manpower.
Radical Productivity Improvements
IoT has rapidly become more affordable and accessible for mid-sized businesses allowing organizations from all industries to amass and analyze vast amounts of data from their physical systems. With this previously unavailable data in hand, companies can significantly increase their productivity and create new growth opportunities. The Industrial IoT market is poised to grow rapidly over the next year, as more mining, transportation, manufacturing, and utility companies take advantage of the automated inventory management, predictive maintenance, and self-optimizing production applications that IoT offers.
IoT technology allows for the use of “digital twins.” Digital twins are virtual replicas of physical devices and environments, enabling businesses to run simulations before deployment. Increasing demand is driving more Industrial IoT vendors to offer digital twin capabilities, and half of the large industrial companies are expected to utilize the concept by 2021.
Substantial data collection and management, adaptive analytics, and AI are all required for digital twin development, but businesses that take advantage of this technology can expect noticeable improvements to their critical process cycle times. Industrial companies will be able to lower their maintenance costs and reduce downtime with predictive and condition-based maintenance. Collaborations between organizations are expected to increase as digital twin technology usage becomes more widespread.
In previous years, companies have focused primarily on AR as an external business tool, utilizing it for sales and marketing strategies. However, research shows that AR is increasingly used for training and operational efficiency improvements. Over the next year, businesses are expected to shift their focus internally and use AR to consolidate and improve operations within their organizations. While financial returns on external AR tend to drop off when competitors begin using the same strategies and an industry standard is set, internal utilization has the potential to offer long-term ROIs through increased efficiency.
Focus on Security
Data security is a high-profile issue, and both hardware manufacturers and IoT providers are expected to focus on improving cybersecurity in 2019. Dell, Cisco, and other hardware developers are already creating more durable, secure infrastructures, while security vendors are adding additional endpoint data protection and monitoring solutions to their security arsenals.
As IoT use expands, security breaches are predicted to increase in both strength and numbers. Temporary fixes and network patches will no longer be sufficient, and cybersecurity will be transformed with innovative new solutions. Machine Learning and AI will be incorporated into cybersecurity, strengthening security systems and providing more efficient data protection. IoT developers will likely utilize blockchain to increase device and network security. Security by design is expected to replace third-party security solutions, as both hardware and software developers begin to offer more products with built-in security measures.
Industrial IoT adoption is becoming a necessity for companies that want to remain viable and competitive in the digital age. Businesses throughout the industry are already investing in IoT technology in an attempt to optimize their productivity with more efficient processes and increased capabilities. Industry 4.0 can revolutionize the way industrial organizations operate. The incorporation of AI and machine learning could make IoT solutions more beneficial than ever. Advancement in cybersecurity could provide better data protection, while AR and digital twin technology strive to optimize organizations’ processes and increase their operational efficiency.
2019 is expected to be a big year for industrial digital transformation, but businesses should not invest without proper planning and foresight. As referenced earlier, more IoT projects are stuck in the POC phase than ever before, indicating that new technologies are only valuable when correctly integrated and rolled out.
If now is the time to see what Industrial IoT can do for your business, ask CB Technologies for a consultation. Our innovative Refinery of the Future project at Texmark Chemicals is a living example of our expertise in this area and we’re happy to give you a tour to show the exciting possibilities of Industrial IoT in action.