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Artificial Intelligence and the Internet of Things: The ultimate marriage of technological advancement?
Artificial Intelligence and the Internet of Things: The ultimate marriage of technological advancement?
If you keep up with the pace of technological advancement, you will know that the Internet of Things (IoT) is making devices and their data more and more closely connected. It is predicted that by 2025, there will be 75 billion such devices. Meanwhile, AI applications range from automating human tasks to analyzing data. However, a more exciting discussion is how these technologies can be combined to provide more powerful solutions - sometimes called Artificial Intelligence for the Internet of Things (AIoT).
Let’s take a look at some of the applications of AIoT in manufacturing, smart cities, self-driving cars, and more, as well as some of the companies driving this innovation.
Understand the rise of AIoT
Ultimately, the Internet of Things is all about organizing and sharing data. IoT devices typically acquire data through sensors or software and share the data with the wider network or through the cloud. A simple example is a smartwatch that collects the wearer's heart rate data while exercising and sends it directly to an app connected to it.
The problem is that the raw data itself is not particularly useful. Do you want to know your heart rate throughout the day, or do you want to understand what those numbers mean for fitness and health goals? For most people, that will be the second option — and that’s where artificial intelligence comes in. Artificial intelligence can process and analyze data, enabling it to make conclusions, predictions, and even decisions. This leads to more powerful insights and applications and eliminates the need for human supervision of certain processes.
But the potential of combining artificial intelligence with the Internet of Things is much more exciting than smart watches. Here's a look at where the most promising opportunities lie, and the businesses those looking to invest should keep an eye on.
●Smart Cities
Smart cities use technology to improve efficiency and sustainability. By using sensors to collect data about different infrastructure and behaviors, and implementing changes based on this information. For example, cameras and sensors can show that there is a congestion problem in a certain area of a city and change traffic light patterns to help solve the problem. IoT is responsible for acquiring data, but artificial intelligence is needed to understand the data and make decisions without human intervention.
Another exciting innovation in this area is “digital twins,” which create digital simulations of a city to test different policies or models. For example, examining how equipment or buildings can operate more sustainably. Many cities are already using it, including Las Vegas and Mannheim.
Microsoft and other companies provide software that allows companies to create digital twins. Microsoft Azure already has several partners in this area, including the city of Valencia, which uses the software to model lighting upgrades. General Electric (GE) is also the market leader.
●Self-driving cars
Self-driving cars also require artificial intelligence and the Internet of Things to achieve optimal performance. It needs to be able to analyze data in real time based on factors such as sudden traffic stops or weather changes. This applies to other self-driving vehicles as well.
Tesla is one of the clearest leaders in using this technology, but the automaker isn't the only beneficiary of this innovation. The companies that manufacture chips play a vital role in ensuring the required performance levels. For example, semiconductor company Qualcomm has included the combination of artificial intelligence and the Internet of Things in its future roadmap.
●Manufacturing
Like smart cities, manufacturing also uses sensors to collect information data, such as inventory in warehouses or the location of items in a supply chain. Therefore, the manufacturing industry can also use AI to improve efficiency and performance. AI can provide recommendations based on shortages or problems noticed in the supply chain and identify ways to modify processes.
For example, Siemens has developed a service solution called MindSphere for industrial applications. It uses the Internet of Things and artificial intelligence to help factories optimize processes and develop better products.
●Work Productivity
IoT and artificial intelligence technologies can also be used to improve individual productivity and create more comfortable workplaces. Google Nest has developed a smart thermostat that combines artificial intelligence and IoT technology to adjust the temperature based on an individual's work hours and preferred climate.
●Robots
So far, most of the robots created by humans are quite crude and cannot perform tasks that are easily accomplished by humans. However, as artificial intelligence becomes more sophisticated and able to obtain more data from sensors and cameras, autonomous robots are feasible.
Autonomous robots can be used in industry to increase efficiency and create a safer environment for humans. Some estimates suggest that as much as 40% of the workforce could be replaced within 15 years due to the potential of artificial intelligence and similar innovations. Additionally, companies like Amazon are already preparing for this shift by re-educating employees they believe will be left behind.
No matter where this technology takes us, there are many different opportunities for investors to pursue.
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