IIC Journal of Innovation 2nd Edition | Page 28

New Service-provider and Business-model Disruption in the IIoT 1. INTRODUCTION Horizontal IIoT platforms will proliferate once organizations implement multiple IIoT applications across different business units within a single corporation, for example, and in communal environments, such as smart cities and multi-modal transportation systems. Two other factors that will fuel this trend are the favorable economics of shared platforms and the innovation potential of interoperable IIoT applications. This paper illustrates such a future from the perspective of a large-scale, intelligent transport systems trial (ITS). It involves four customers using a single, horizontal, standards-based IIoT platform to deploy six, interoperable IIoT applications. One disruptive objective of the trial is to enable different Data-as-a-Service business models. These allow device, sensor and transportation-data owners to monetize their assets through incentives for independent IIoT application developers and data-processing service providers. 2. NEW SERVICE-PROVIDER AND BUSINESS-MODEL DISRUPTION IN THE INDUSTRIAL INTERNET OF THINGS Thanks to low-cost electronics, miniaturization and near-ubiquitous wireless connectivity, the Industrial Internet of Things (IIoT) opens up new commercial opportunities in both industrial and consumer sectors. Many of the early-stage applications focus on point solutions for high-value industrial assets. Examples include remote monitoring and diagnostics for jet engines and industrial machinery. The same principles apply to assets that operate in groups. Thus, a logistics manager can optimize delivery routes for a fleet of vehicles while a beverage vendor has better information for stock control and replenishment schedules across its collection of connected vending machines. To deliver reliable and high-quality services, these types of applications depend on IIoT serviceenablement platforms for three key functions.  Firstly, they manage network-connectivity services. These are necessary for attaching devices to networks in ways that conserve network resources while enabling identity and security services, for example.  Secondly, they help to maintain devices over their operating life cycle. Supervisory capabilities ensure that devices are performing within design specifications while remote updating helps to fix software problems and to deliver new functionality.  Thirdly, service-enablement platforms include features and tools to implement and manage IIoT applications themselves. The first two sets of functions typically map onto connected device platforms (CDPs).The third category maps to application-enablement platforms (AEPs). - 27 - June 2016