Over 50 billion “things” or devices are projected to be connected to the Internet through wired and wireless networks, generating zettabytes of data, all powered by cloud computing. This Internet of Everything (IoE) will fundamentally transform businesses, generate enormous economic wealth and create immeasurable social value. Cisco is discovering that successful IoE implementations require a solid technical and business platform into which different vertical solutions can be easily plugged to efficiently and effectively Read More »
We are embarking on a new technological journey that will fundamentally change forever the economy, society and the way that we live. Wired magazine described a new era where “the most mundane items in our lives can talk wirelessly among themselves, performing tasks on command, giving us data we’ve never had before.” The Internet of Everything (IoE) is a world where up to 50 billion things (or devices) will be connected to the Internet by 2020; or, the equivalent of 6 devices for every person on the planet.
Businesses are beginning to completely re-design their processes, operations and business models to benefit from this new era. We are already starting to see the emergence of smart cities, connected utilities, connected railways, connected factories, connected cars, and even connected mines, to name but a few. All industries are looking to IoE as a breakthrough technology to help them optimize their business, enter new markets and enhance their relationship with their customers. This is why industry analysts, like IDC, estimate that businesses will spend up to $20 trillion over the next three years to realize the promise of the Internet of Everything.
But, The Internet of Things is More Than Just “Things”. As I described in this recent article, the Internet of Things is really a short-hand for the four technology pillars (mobility, cloud, big data and things), wrapped in security, that are forging a revolutionary new, and revolutionary, connected world. Successful IoE implementations don’t happen in isolation or independently. Cisco is discovering that successful implementations require a technical and business platform into which different solutions can be easily plugged to efficiently and effectively achieve the promised business benefits. The cornerstones of this IoE platform include a robust connectivity and technology infrastructure, operational and management services and a range of vertical and horizontal solutions.
In Cisco’s experience, all IoE implementations require all of these technical and business elements to be successful. Our vision is that effective IoE deployments will build an IoE platform that can be extended across the business, or even entire industries, to deliver a range of unique, value-added IoE solutions.
Starting from the bottom, the layers comprise:
- Network Connection – connecting all of the solutions, data and applications through fiber backhaul or licensed cellular.
- Network Access – a managed Wi-Fi, or other unlicensed wireless network, to connect all of the sensors and applications.
- Technology Platform – a platform to allow new devices and solutions to readily and securely “plug and play” into the overall architecture, and to connect to cloud storage and compute services.
- Vertical and Horizontal Solutions – the combination of devices and applications that deliver the unique solutions for different vertical and horizontal industry segments.
- Platform Monetization – in some verticals, like smart cities and B2C, opportunities exist to leverage the platform and network to create new sources of revenue.
- Shared Operating Platform – a shared platform to consolidate the management, customer care and service issues across all of the solutions.
- Professional Services – services to support areas such as systems integration, planning and design.
- Program Leadership – services to program manage the entire implementation, operations and partner ecosystem.
Successfully deploying and capturing the tremendous potential benefits of IoE is not just about cool things and applications. A comprehensive technical, operations and management IoE platform is required to turn vision and promise into reality.
It has been 15 years since Kevin Ashton popularized the term the Internet of Things. How could we have known then what that would come to mean and the huge impact that it would have on our lives? Cisco projects that 50 Billion things (or devices) will be connected to the Internet by 2020; or, the equivalent of 6 devices for every person on the planet. This exponential growth of connected devices is fundamentally impacting both society and the economy—changing our lives forever.
However, with all of our focus and media attention on the Internet of Things, we are really missing the fundamental technology revolutions that are reshaping our world. Radical advances in processing, storage, wireless technologies and new ways of delivering technology are reshaping our world – all at a much faster speed and drastically reduced price.
In my view, the Internet of Things is really a short-hand for the five technology pillars that are shaping a revolutionary new, connected world. Read More »
Cox Communications and Cisco Jointly Present on Innovations in Network Monetization and Optimization
Project Illustrates How Software Defined Network (SDN) and Network Functions Virtualization (NFV) Work in Concert to Enhance How Networks are Designed, Operated, and Monetized
Last week, I blogged about some joint research with Cox Communications related to our Evolved Services Platform (ESP) and NFV efforts. Another collaborative took place at the Society of Cable Telecommunications Engineers (SCTE) at their Cable-Tec Expo 14 event in Denver.
Loukas Paraschis, a Technology Solutions Architect at Cisco, co-wrote a paper (entitled SDN and NFV in Business Services) with Mazen Khaddam, Principal Lead Network Architect at Cox Atlanta.
The paper provides a comprehensive summary of Cisco’s SDN, NFV, and open source vision with the Cisco Evolved Services Platform (ESP). It specifically validates the service provider’s need for solutions that provide desired business outcomes for applications running across multiple domains (such as WAN and data center), and provides detailed use cases for the WAN Automation Engine (WAE).
The paper Read More »
Tremendous new opportunities are being created for technology vendors and service providers as cities around the world look to build out smart cities to reduce municipal costs, tap new sources of revenue, and improve the overall quality of urban life. The previous blog (Smart Cities Are a $7.5 Billion Annual Opportunity for Technology Providers) described all of the essential requirements of the smart city architecture and quantified the great opportunities for technology vendors and partners to help to create and operate these digitally smart cities of the future. The last question to address is what are the specific opportunities for SPs and where should they play to extract the most value from the deployment of smart cities?
The potential revenue opportunities available to SPs depend upon the strategic fit to their business. Specifically, we evaluated the opportunities across three strategic fit criteria:
- Core Business – How closely is the solution or service aligned with the SP’s core business (e.g., using existing assets, leveraging current business operations and expertise, in regional footprint)
- Stretch – To what extent would new investments or operations be required to deliver the solution or service (e.g., Capex for new assets, creation of new business operations, acquisition of new expertise, out of region play)
- Deal Dependent – To what extent would the nature of the deal and the governance structure influence the potential revenues available? (e.g., vendor or lead, city investment or PPP)
Assessing the smart city revenue opportunities across these criteria reveals a number of strategic options for how SPs can think about approaching the smart city opportunity: Read More »