HomeInternet of Things (IoT)Funding, business case top IIoT adoption challenges

Funding, business case top IIoT adoption challenges

Funding and identifying the right business case are the top challenges to IIoT adoption. IIoT understanding is however growing fast.

Awareness of industrial IoT (IIoT) has been improving fast, with 19 percent of companies saying they did not know or understand the IIoT in 2016, compared to a staggering 44 percent in 2015, according to a report by LNS Research. But growing awareness does not mean it is all that easy to get an IIoT project off the ground. Among the many challenges enterprises are facing when it comes to IIoT adoption, funding is the top challenge (32 percent of respondents), followed by building a business case (30 percent). “Surprising to many, security concerns and technology scalability do not top the list. This result is likely due to some companies just looking to get pilot projects off the ground and not having tackled these technology issues yet. For other companies it is likely because they have already done the research and are confident that IoT technology is scalable to the industrial space,” LNS Research noted. While security indeed does not top the list of challenges, it does however get a fourth place in the ranking of challenges to IIoT adoption, followed by standards. Scaling, executive support and hiring the right talent land instead at the bottom of the ranking.

IIoT adoption
Source: LNS Research

Building business cases

Building a business case must fit within the larger context of digital transformation, support its objectives and be viewed as a journey rather than a one-off decision, according to LNS Research. The analyst firm has designed a four-step framework for digital transformation, which includes strategic objectives, operational excellence, operational architecture and business case development. And use cases are crucial when looking at deploying IIoT. There, as LNS Research highlights, companies are looking at a multitude of use cases without singling out one top use case. There are however differences between use cases companies are pursuing today and those they are planning to pursue in the next year. “First, remote monitoring is top across both. Second, energy efficiency is viewed as low hanging fruit and something more likely to be pursued today than in a year. Finally, business transformation initiatives are viewed as a longer term use case and more likely to be pursued in a year from now rather than today,” LNS Research noted.

IIoT adoption
Source: LNS Research

The analyst firm surveyed 300 people in the manufacturing industry between mid-2015 and mid-2016 for the purpose of the research.

IIoT News Recap: Ingenu’s IoT network now available in Phoenix; APT to promote LoRa in Taiwan with IBM, Actility, Cisco; Logitech launches a smart button to rule them all; Somfy joins board of ZigBee Alliance

IIoT adoption

Smart city: Ingenu’s IoT network now available in Phoenix

Ingenu announced its Random Phase Multiple Access (RPMA) IoT network is now available in Phoenix. Ingenu said the operator could serve the city with only 10 RPMA access points. “Ingenu is laying the groundwork for development of smart applications and devices to serve the needs of the Phoenix metropolitan area,” said Tom Gregor, Ingenu’s president and general manager, Machine Network.  “The company’s proven expertise in delivering smart city solutions and the immediate availability of Machine Network connectivity in the area will support the city’s IoT initiatives for many years to come.” Ingenu is in the process of rolling out its IoT network across the U.S and plans to serve 30 major metropolitan areas by the end of 2016.

LPWAN: APT to promote LoRa in Taiwan with IBM, Actility, Cisco

Taiwan-based Asia Pacific Telecom (APT) is teaming up with 13 companies, including IBM, Actility and Cisco to promote its 4G, LoRa-based IoT platform, the GT platform, CTimes reports. APT has currently 500 LoRa hotspots in Taipei, the New Taipei City and Taoyuan. “Although there are a variety of IoT communications technology on the market. But in early 2015, Actility, Cisco, IBM and other industrial partners initiated the LoRa IoT alliance promoting unlicensed spectrum, low-power, long-distance transmission of WAN technology, it accelerates the development of LoRaWAN standard. Therefore, APT’s IoT by GT platform uses LoRa architecture,” said Lvfang Ming, APT chairman.

Smart home: Logitech launches a smart button to rule them all

Logitech Pop is the name of a new wireless home switch launched by Logitech, which promises to be far superior to other connected buttons on the market. Logitech Pop makes it possible to control Bluetooth and wifi-enabled smart devices, including products from LIFX, Phillips Hue, Lutron, and Insteon and Smart Things. In addition, it works with rules engine IFTTT to control additional connected devices. The Pop Home Switch will be released in the U.S. later in August. A starter pack will cost $100 and an add-on switch $40.

IoT standards: Somfy joins board of ZigBee Alliance

The ZigBee Alliance announced that home and commercial automation specialist Somfy has joined the alliance at the Promoter level and will have a seat on its board of directors. “We are entering a new era that will connect any object and will take advantage of interoperability within and across vertical domains. We are convinced that joining the ZigBee Alliance, an organization of strong brands and established standards, will help us to achieve this ambition,” said Jean Guillaume Despature, CEO of Somfy.

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