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IoT INNOVATION DECEMBER 2016 | #4
Technology In Real Estate: 4 Trends To Watch Real estate agencies who expect to remain competitive must recognize the evolving capabilities of technology and data
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COULD THE SELF-DRIVING CAR RUIN NEW YORK AS WE KNOW IT?
DOES THE IOT MEAN YOU COULD BE ATTACKED BY A DUMB FRIDGE?
The deployment of self-driving cars is no longer a question of if but when. How will New York look when its famous yellow taxis are all autonomous? /10
IoT security is important as ever, with the recent DDoS attack having demonstrated that hacked IoT hardware can cause the denial of service of more than just one device /22
viva las data Big Data Innovation Summit January 25 & 26 2017 | Las Vegas
Speakers Include
Contact Jordan Charalampous: + 1 415 614 4191 jc@theiegroup.com
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ISSUE 4
EDITOR’S LETTER Welcome to the 4th Edition of the IoT Innovation Magazine
In 2017, the Internet of Things will be the center of attention for many companies. Smart machinery and connected devices have seen industries reveal their commercial potential, and Industry 4.0 has arisen as a result. For many, the fourth industrial revolution still sounds intimidating and confusing. Any revolution is about implementing change, and industries fear that this change is not going to be a positive one. Industry 4.0, though, is gathering momentum, and it’s now or never for business leaders to start planning how to take advantage of as many opportunities as possible from the IoT. The IoT offers a wide range of benefits, particularly in the wealth of additional data it will provide organizations to optimize their processes, find areas for cost-savings, monitor equipment, and so forth. However, to make sense of this data, companies will require machine learning algorithms and AI to analyze it. Analyzing data on the
scale that will be produced by the IoT is far beyond the realm of human capabilities. Advanced analytics with the IoT will enable a stronger, more reliable analysis - critical for the product development line. This will be combined with a number of other technologies, including augmented reality, robotics, and 3D-printing once integrated into design processes, these will eventually reduce the time needed for the production of goods - a problem especially relevant to the automotive industry. The connectivity provided by the IoT will also see better organizational structures introduced across all industries, which will help deliver more, better data. According to Business Insider, 82% of companies will have IoT applications implemented in their businesses to some degree. However, in order for companies to understand which features of industry 4.0 are most suitable for their particular business, it’s worth looking at problems that
they are trying to solve. Is it asset utilization? Human labor productivity? Lack of innovation? The matching of supply and demand? Once problems and future targets are defined, it will be easier to utilize the capabilities of the IoT and IIoT, and Industry 4.0 will no longer sound intimidating, but an exciting growth opportunity. As always, if you have any comments or would like to submit an article, please don’t hesitate to contact me at anastasia@theiegroup.com
Anastasia Anokhina MANAGING EDITOR
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design, develop & discuss your big data journey
Big Data Innovation Summit March 30 & 31 2017 | London Speakers Include
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CONTENTS 6 | COULD THE SELF-DRIVING CAR RUIN NEW YORK AS WE KNOW IT?
20 | INSIDE INDUSTRY 4.0: WHAT’S DRIVING THE FOURTH INDUSTRIAL REVOLUTION?
The deployment of self-driving cars is no longer a question of if but when. How will New York look when its famous yellow taxis are all autonomous?
Cyber-physical systems are set to bring the fourth industrial revolution. We look at what the smart factory is going to look like and how it will affect industries
10 | TECHNOLOGY IN REAL ESTATE: 4 TRENDS TO WATCH
22 | IOT SECURITY: WHAT CHANGE DOES YOUR APPROACH REQUIRE?
Real estate agencies who expect to remain competitive must recognize the evolving capabilities of technology and data. We look at how technology will disrupt the industry in the near future
IoT security has evolved from being a software obligation to requiring more sophisticated security methods as it’s now all about confidential data. Pradyumna Kulkarni explores new security approaches
12 | DOES THE IOT MEAN YOU COULD BE ATTACKED BY A DUMB FRIDGE?
IoT security is important as ever, with the recent DDoS attack having demonstrated that hacked IoT hardware can cause the denial of service of more than just one device
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16 | 5 WAYS THE IOT WILL IMPACT YOUR BUSINESS IN 2017
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2016 has been a challenging year in terms of politics and global stability, but one thing that has shone through has been developments within the IoT
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| ASSISTANT EDITOR JAMES OVENDEN
| CONTRIBUTORS JOHNNY DELGAGIO, JESSICA ZHANG, MATTHEW REANEY,
PRADYUMNA KULKARNI, GABRIELLE MORSE, ANNA JOHANSSON
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“The policy ensured NHTSA’s commitment to reducing the 30,000 death’s that happen on America’s roads annually, of which 94% occur due to human error”
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Could The Self-Driving Car Ruin New York As We Know It? Johnny DelGagio, Tech Writer
The advent of the self-driving car is no longer a question of if, but when. The self-driving car’s benefits are both obvious and compelling. However, there may be lurking some subtle disadvantages to the new technology that we may not be able to anticipate until it starts driving down our own streets. Shaping the New York Roads of Tomorrow On October 28, 2016, New York held a City Council hearing to discuss preparations for self-driving cars in New York City. In this meeting an important question was asked: Will New York City become Silicon Valley’s most complex and elaborate proving ground for the new and disruptive tech or will local policy makers be able to determine how autonomous vehicles will impact the pedestrian and transit rich city?
Image Credit: ArthurStock / Shutterstock.com
their lives. Replogle campaigned for speed governors to regulate how fast autonomous vehicles travel in pedestrian or cyclist dense areas.
In September, the NHTSA (National Highway Traffic Safety Administration) released its optimistic policy on self-driving cars. The policy ensured NHTSA’s commitment to reducing the 30,000 death’s that happen on America’s roads annually, of which 94% occur due to human error.
While speed governors might protect against what could be reckless AI, there remains the question of how will self-driving cars prioritize the passenger’s safety? For instance, Inverse reports that a Mercedes company manager confirmed that their autonomous vehicle prototype, in a life or death situation, will prioritize the life of the passengers over those of pedestrians. Are we subtly ushering in terminator-like technology? Could it be said these cars are literally ‘programmed’ to kill (given the circumstance)? Not only does this have implications for tourism, but it could potentially have a massive impact on insurance rates in New York.
Ey, I’m Walking Here!
Gridlock
DOT Deputy Commissioner for Policy, Michael Replogle, urged the committee to protect New York from becoming a self-driving proving ground as that could come at the risk of costing pedestrians
Replogle, however, may be over ambitious in his protective nature as some old New York laws, now more bureaucratic than actually relevant, may have already done the protecting
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for him. Currently there exists a law made in 1971 that requires drivers to keep at least one hand on the steering wheel at all times while the vehicle is in motion. New York has over 2 million registered automobiles and approximately 8 million residents, who have been forced to the self-driving backburner. This has given headway to cities such as Pittsburgh, Austin and Denver to continue their progression in their journey to commercialize and normalize autonomous vehicles. During the City Council hearing Councilman Dan Garodnick tweeted, ‘NYC will miss chance to lead on autonomous cars if our laws do not even allow us to test them on city streets in a safe and controlled way.’
Search Google for a Restaurant, Then Let It Take You There The New York its residens have become familiar with has streets of yellow. Cabby culture is New York Culture. In some ways, that could all
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be about to change. In March 2015, Google signed an agreement with New York city Mayor, de Blasio, to replace taxis with autonomous Google Cabs. The Mayor’s office suspected that 5000 driverless cabs would be on the streets by 2016. It is currently unconfirmed whether or not any Google Cabs are currently roaming the streets of New York.
The New New York In 2014, New York witnessed 966 fatal auto related accidents. Federal auto safety regulators have waged that the nation’s streets will be safer with AI behind the wheel as opposed to people. As the self driving technology becomes more refined, hopefully the safety and well-being of the state of New York improves with it.
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Technology In Real Estate - 4 Trends To Watch Real estate agents who expect to remain competitive, let alone maintain an edge on their biggest rivals, must recognize t h e e v o l v i n g c a p a b i l i t i e s o f t e c h n o l o g y. You must embrace the changes it has already brought to the table and the many i m p r o v e m e n t s t h at w i l l u n d o u b t e d ly o c c u r i n the months to come. This year, we’re looking at some pretty impressive tech trends that will boost the experience for both the a g e n t a n d t h e c l i e n t. H e r e a r e f o u r t r e n d s t h at a r e e s p e c i a l ly w o r t h w at c h i n g a s w e close in on the new year.
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Anna Johansson, Founder and CEO, Johansson Consulting
1. Virtual and Augmented Reality A very popular home trend among buyers is the ability to tour a potential home virtually through online 3D representations. Interested parties may click through an interactive photo platform that shows off the residence from every angle: up, down, left, right, and diagonally. There’s also an emerging trend of using virtual reality goggles from Samsung or Oculus Rift that give the viewer a fully immersive experience. As the wearer leans forward or shifts directions, you can feel as if you’re actually walking through and exploring the space without leaving the realtor’s office.
2. 3D Printing 3D printing brings the concept of manufactured homes to a brand-new, unprecedented level. There has been much talk about using 3D printers to print homes after natural disasters for immediate relief aid. The printed homes would be very simple but offer enough insulation to protect residents from the elements until they could move into a real home. A Chinese manufacturer WinSun claims it can print real, secure homes for people to live in permanently. In 2014, WinSun claimed to have printed 10 fully functional homes in just 24 hours, which is a clear record. In January of this year, the firm also claimed to have printed a six-story apartment complex with one of its machines. It’s unlikely these structures will make WinSun wealthy just as they are. In no way do these buildings qualify as luxury residences, and they lack some of the comforts of a modern home. But this technology has opened a door that will be increasingly hard to close as manufacturers devise ways to build bona fide residences in a fraction of the time it takes to build a home today.
3. Big Data
The information continues to grow, and real estate professionals must constantly learn how to use data if they want to stay competitive
4. The Internet of Things (IoT) Big data and the IoT are intertwined concepts that have altered everything from marketing homes to making them more comfortable. The IoT connects the details of people’s daily lifestyle to the internet, which generates information that’s useful for marketing, sales, and tenant interactions.
With the help of big data, an ambiguous term used to describe the copious amounts of information generated from online interactions in any given industry, agents can better understand the clients they’re working with. Such data can be analyzed to determine likes and dislikes, and even help with the screening process for potential buyers or tenants.
The IoT is also the basis for smart homes. Furniture and appliances can ‘talk’ to the owner and perform simple automated tasks for convenience. Applications within the home can be easily integrated with one another, smart thermostats can lower utility bills, smartphones can be used to turn off water and lock doors remotely, and people may unlock their house simply by waving the phone in front of the lock.
Data is also used in marketing and online selling processes. It gathers information that clarifies how an agent should proceed with the sale of a home. The information continues to grow, and real estate professionals must constantly learn how to use data if they want to stay competitive.
These trends are spreading more rapidly than many realtors know. Professionals who ignore the potential of technology will find themselves outdated and overmatched in the future by people who carefully watched and embraced all the trends as they came up. / 11
The basis of a DDOS attack is simple, somebody gets control of millions of devices and has them access something at the same time, effectively crashing the underlying servers and thus the entire site
Does The IoT Mean You Could Be Attacked By A Dumb Fridge? Gabrielle Morse IoT Commentator
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On October 21st, my Spotify stopped working, so I went to Twitter to check if other people had the same problem, and couldn’t because it was also down. The reason for this is a distributed denial of service (DDOS) attack on Dyn, a DNS system which powers much of the architecture behind these sites and others like Paypal, Netflix and Reddit. The concept of DDOS attacks are not new and often don’t even make the news, we have seen the BBC and Donald
Trump’s website attacked in January 2016, the Church of Scientology was attacked in January 2008 and even smaller political groups like Occupy Central in Hong Kong were targeted in June 2014. The basis of a DDOS attack is simple, somebody gets control of millions of devices and has them access something at the same time, effectively crashing the underlying servers and thus the entire site. This can only be
effective of certain sites, as trying to do this to somebody like Google or Facebook, who can accept billions of requests at a time, would perhaps slow them down a bit, but not crash them. It was this kind of attack that shut down Twitter et al on October 21st, but this attack was different to many others in that it was not done by millions of computers, it was done by smart things. So rather than accessing sites through a connection on a PC, it was done by fridges, plug sockets, baby monitors and even kettles. This was an attack conducted by IoT connected devices, which have little robust security because essentially they are too dumb. We are seeing the spread of the IoT having some amazing impacts on our society, with our world becoming more connected than ever, but some of this connectivity is coming at a price. One of the key issues is that the spread of the IoT means that there is consumer demand for it, with
So rather than accessing sites through a connection on a PC, the attack was done by fridges, plug sockets, baby monitors and even kettles
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the smart thermostat market alone growing by 123% in 2015. Alongside this demand comes the need to create the cheaper products that consumers demand with one of the most expensive developments being giving them enough computing power to run effective firewalls and security. This is scrapped for less robust and cheaper alternatives, which is what led to the attacks in late October. Essentially, companies are making their smart devices as dumb as they can. With this kind attack making the news, it should act as a battle cry for IoT devices to become more secure from this kind of attack but also to educate consumers to protect themselves too. Dr Mercedes Bunz, a senior lecturer at the University of Westminster believes that consumers ‘just keep their default passwords and they are so easily hackable and they are very easily turned around into a little bot, because that doesn’t need a lot of memory.’ So protecting data and IoT connected devices is not simply going to be about putting new firewalls in place or increasing memory, but about educating the general public about how to protect themselves. It needs to be done in the same way that internet users are often prompted to change their passwords or think carefully about opening suspect looking emails. It ultimately doesn’t matter if you have the best security systems on your fridge, if you keep your password to it as ‘admin’. Protecting data and connected devices needs to be a priority for those aiming to grow the industry further and this can only be done through a mixture of improved basic security and customer education. If these kinds of attacks become common there will be backlashes against smart connected technologies which will only slow down further development of the IoT, which is something nobody wants to see.
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Editorial Credit: Denys Prykhodov / Shutterstock.com
creating a connected eco-system Internet of Things Summit April 19 & 20, 2017 | San Francisco
Speakers Include
Contact Roy Asterley: + 1 415 692 5426 rasterley@theiegroup.com theinnovationenterprise.com / 15
5 Ways The IoT Will Impact Your Business In 2017 Jessica Zhang IoT Observer
The IoT has created a significant opportunity for companies to create new technologies that can integrate across millions of devices
2017 is around the corner and it promises to be a big year for data and connected devices. 2016 has by and large been a fairly terrible year in terms of politics and global stability, but one thing that has shone through has been technological developments, especially within Internet of Things (IoT) development. 2016 is the year we have seen connected devices become common in many homes, companies utilizing them for their own benefit and increasingly large swathes of society understanding what they do. 2017 is likely to bring even more change, so we decided to look at the five ways that the IoT is likely to impact businesses in the next 12 months.
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Supply Chain
Efficiency
Security Threats
Regardless of whether you are a small office-based service company or a huge international retailer, supply chains are hugely important. It could be from anything from the vital supplies needed for a presentation to a new client, through to sending out millions of the most popular new cell phones across the globe.
Efficiency is a broad subject, but is primarily the focus of the IoT and something we are going to see even more of in the coming 12 months.
An attack on Dyn that took down Twitter, the Guardian, Netflix, Reddit, and CNN was the largest recorded in history, with the attack generating 1.2Tbps of traffic to the service, which has been claimed to be the most powerful DDOS attack ever. This was done through IoT devices and the ease with which the hacker managed to gain control of millions of them is likely to have a huge impact on data security moving forward.
The IoT is going to have a huge impact on supply chains across the world, with more accurate tracking, increased reliability in deliveries, and even improving maintenance of certain products. One of the key ways this is likely to work initially is through the use of RFID chips, which can automatically identify where an item is at any one time. So rather than relying on an item being scanned at a warehouse, the sensor for the RFID chip can notify people of where the package is in realtime, decreasing the chances of loss or delay. In addition to this, it helps to identify if a product has changed in state during transit, something which can be essential to restaurants, catering, and grocery companies in particular. If they have ingredients that need to be stored in a specific temperature range throughout the entire supply chain, they can know with confidence that they have been properly maintained from source or if they haven’t who can be held responsible. This is an essential element for many companies as any change could either decrease shelf life, flavour or even promote the growth of bacteria within certain products. The IoT is going to bring increased peace of mind for companies in this regard, creating a level of transparency previously unthinkable and certainty of deliveries based on knowing exactly where an item is at any one time.
One example we have seen is the use of sensors within plane engines to predict the wear and tear on an engine to let engineers know about potential issues in advance of them becoming problems that can ground aircraft for repairs. It is something that GE Aviation, the second largest plane engine manufacturer in the world, has been including IoT sensors in engines and now collect between 5-10 terabytes of data per plane per day to help maintain their operational readiness. This means less down time and fewer delays for passengers on airlines, but this kind of pre-emptive sensordriven repair work is also stopping environmental disasters for oil companies. An increasing number of ‘digital oilfields’ and pipelines are utilizing the IoT to track the state of valves, pipes and wells that will automatically divert or stop the flow of oil if an issue is detected, without any kind of human interaction. This means less chance of tons of oil being leaked and potential environmental devastation. It is also helping to direct maintenance crews to specific areas, meaning that they don’t need to survey the thousands of miles of pipelines, instead they can be directed to specific areas where sensors show potential future issues, saving them time and decreasing the chance of downtime in the supply chain.
Trying to defend against an attack like this is going to be impossible given its strength, but it shows the weakness in several IoT devices that companies will need to be aware of. They may not be using the more simplistic devices with their most sensitive data, but the truth is that sensors on things like engines and valves need to be balanced between affordability and security. It means that companies looking to utilize the technology more fully in the next 12 months are going to need to think about how they will achieve this and the early adopters are going to need to work out how they can retro fit security to devices already in use.
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Centralized Control
Increased Opportunity For Integration
In our global economy there are many companies who work across the world and trying to maintain control of every moving part is almost impossible. However, with the use of the IoT, this is likely to change.
The IoT has created a significant opportunity for companies to create new technologies that can integrate across millions of devices. We have already seen lightbulbs, car engines, fridges, plug sockets, kettles and boilers, as well as thousands of other ‘dumb’ devices becoming smart and connected, it is a trend that is only going to increase.3
Going back to the digital oil field as a prime example, where before oil companies would need to have several people working across a single site in order to make sure that everything was working properly, through the IoT they could technically have one person controlling everything across the world. Sensors would be able to detect anomalies and act instantaneously to avoid issues before informing the operator that something is wrong and needs to be fixed. It also means that elements like heating control, power usage, and water usage can be monitored from one place. It may seem like a small saving at first glance, but if a company has 30 offices around the world, the savings that can be made from becoming more sustainable in these elements can be significant.
This gives companies many avenues to explore that have not been previously considered, with sensors becoming both more capable and smaller they could be used in almost any product. At the same time, with the proliferation of the technology the knowledge available around it has also increased, so with more people working on more technologies, this cycle of growth and IoT innovation is only going to accelerate. With this kind of development occurring more and more, companies are going to look at the potential that the IoT will have for their business in 2017, it looks like it will be an exciting year.
The early adopters are going to need to work out how they can retro fit security to devices already in use
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Inside Industry 4.0: What’s Driving The Fourth Industrial Revolution?
Matthew Reaney Director & Founder, Big Cloud
The term Industry 4.0 refers to the fourth industrial revolution and is comprised of growing trends in automation, the Internet of Things, big data, and cloud computing technologies. Just like steam power, electricity, and digital automation of the past, cyber-physical systems will create the factory of the future; the smart factory. Originating from Germany as part of a Governmental strategy for the computerization of factories, this is a revolution that will spread across industries globally. It is predicted that the adoption of Industry 4.0 will benefit production due to increased connectivity across entire businesses as manual factories are transformed into smart factories.
Cyber-physical systems provide factories with increased connectivity between management level and the production floor. They’re able to monitor the manufacturing process in real time and make decentralized decisions based on data fed back through these networked machines. The autonomous networking of machines and systems along with the inclusion of big data analytics could help predict maintenance issues or system failures and react to them accordingly. Saving valuable time and money for companies. These technologies are also revolutionizing the way things are designed, demand for mass production and even product lifecycles.
But what exactly is driving this revolution?... / 20
The Internet of Things and Industry 4.0 The evolution of the Internet of Things has gone beyond internet connected appliances in recent years with the integration of different technologies such as machine learning, embedded systems, and wireless connection. The Internet of Things is pivotal to the inception and evolution of Industry 4.0. The sensors in networked physical connected devices collect data in real time that is valuable to businesses and can help optimize manufacturing processes.
Robotics and Artificial Intelligence Smart machines like expert systems, digital assistants and autonomous devices are changing manufacturing processes. With advancements in robotics and Artificial Intelligence, this is now disrupting industries once considered safe from automation. These emerging technologies will no doubt have a negative impact on employees and there will be a focus on companies to look at how workers and machines can work together symbiotically.
The Future of Industry 4.0 Big Data and Cloud Computing Using advanced analytics, Big Data is transformed into meaningful information to meet business objectives. Companies now have better means to organize, analyze, and seek the real value of their Big Data as Cloud Computing offers a flexible and affordable way to support business operations, from remote working and backing up information to storing large data sets.
With the technologies in place and the demand for companies to rapidly adapt to market changes in real time, the future is looking extremely positive for Industry 4.0. By 2020, it’s projected that over 1 billion connected objects will equip factories – a huge increase from 237 million objects in place today. The impact of Industry 4.0 won’t be immediate, but with its forecast growth on the rise, more companies will be looking to invest in Industry 4.0 or risk being left behind.
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IoT Security: What Change Does Your Approach Require?
Pradyumna Kulkarni, Technical Blogger and Social Media Specialist, Medium
From kitchen to the parking lot, oďŹƒce spaces to toilets every section of urban life culture will come under the IoT veneer
The Internet of Things, intuitively seems like a terminology to mean interconnected software dependent appliances. But it is not just that. It also encompasses the architectural rules to be followed in order to make them work with mutual congruence. It is a topic which will be in top trends in coming years since it can significantly alter the lifestyles of people depending on it. From the kitchen to the parking lot, office spaces to toilets - every section of urban life culture will come under the IoT veneer. It is because of its inherent scope to network across internet devices which can connect, regulate and automate the processes. When data gets distributed with rapid advancements in technology, it consequently faces the threat of information exchange getting vulnerable to security threats. Due to extensive commercial scope IoT
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offers, the data security occupies the utmost priority for architects working on it. The security threats are not limited to the personal privacy issues and malicious content distribution, but will also majorly include the financial transactions occurring on dedicated secure streams.
What is the Challenge? Reverse your approach to System Security! Although addressing the IoT security issues is merely a software obligation, the way it was initially incepted and developed did not consider the possibility that in future it might involve high-quality confidential data. The devices developed were modeled to handle smaller tasks that cannot affect the entire system even if there is a security breach. But after they wielded their influence to fetch the personal (yet anonymous) data, IoT devices call for the re-engineering of the thus posed device constraints. The major issue is the dependency of the IoT on human intervention. The advancements the IoT has extended to major and classified sectors like enterprise automation in robotics, software infrastructure in nuclear powerhouses requires the data to be maintained at the highest level of security. But the paradox is, whenever an IoT device needs a software update, it cannot be acheived without exposing their software systems to external or concerned modules who are not authorized to have access to it.
The dominant perception of most of the security models is that of addressing the gaps where the vulnerability is high. Often, we ignore the comprehensive perspective of device life-cycle by assuming that other modules are not vulnerable. This has to be countered by shifting the approach to multi-layered security which will confront the security needs with hierarchical priorities. The security breaches can be upscaled by following the principle of minimum privileges. According to it, the concerned authority will be provided with the minimum access to perform an action. The operating systems should have built-in rolebased access controls which will have restricted privileges accordingly. If a device component needs certain privileges to perform an action, it will have only those privileges and no more accessions other than that. It is a reverse approach to the system security opposed to conventional ‘emergent’ security protocols. Traditionally, it was open and otherwise secured, but now every module will be concealed unless you have the required access. It is an obsolete approach to consider security as an optional feature a business system should possess. Time is rife to take it seriously than in past by giving due diligence and considering it as an integral part of the device ecosystem. Initially, we were focused only on security at the levels of exposition, but now we should condense our approach to the operating system level. This will also eliminate the possible burden on developers and device designers to think of data vulnerability at every stage and saves the time being spent on it. It will usher in a broadened innovation potential of the IoT technology and allows us to explore its unprecedented heights.
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