Is GE the future of manufacturing? IoT + nanotech + 3D-printing

The specific impetus for this post was an article in The Boston Globe about heart stents that fit perfectly because they’re 3-D printed individuallly for each patient.

GE jet engine 3-D-printed fuel nozzle

That prompted me to think of how manufacturing may change when three of my favorite technologies — nanotech, 3-D printing and the Internet of Things — are fully mature and synergies begin (as I’m sure they will) to emerge between the three.

I’m convinced we’ll see an unprecedented combination of:

  • waste elimination: we’ll no longer do subtractive processes, where a rough item is progressively refined until it is usable.  Instead, products will be built atom-by-atom, in additive processes where they will emerge exactly in the form they’re sold.
  • as with the stents, products will increasingly be customized to the customer’s exact specifications.
  • the products will be further fine-tuned based on a constant flow of data from the field about how customers actually use them.

Guess what?  The same company is in on the cutting edge of all three: General Electric (no, I’m not on their payroll, despite all my fawning attention to them!):

  • Their Industrial Internet IoT initiative is resulting in dramatic changes to their products, with built-in sensors that relay data constantly to GE and the customer about the product’s current status, allowing predictive maintenance practices that cuts repair costs, optimizing the device’s performance for more economical operations, and even allowing GE to switch from selling products to leasing them, with the lease price determined dynamically using factors such as how many hours the products are actually used.  Not only that, but they practice what they preach, with 10,000 sensors on the assembly line at their Durathon battery plant in Schenectady, plus sensors in the batteries themselves, allowing managers to roam the plant with an iPad to get instant readings on the assembly line’s real-time operation, to fine-tune the processes, and to be able to spot defective batteries while they are still in production, so that 100% of the batteries shipped will work.
    They’re also able to push products out the door more rapidly and updating them quicker based on the huge volumes of data they gather from sensors built into the products: “… G.E. is adopting practices like releasing stripped-down products quickly, monitoring usage and rapidly changing designs depending on how things are used by customers. These approaches follow the ‘lean start-up’ style at many software-intensive Internet companies. “’We’re getting these offerings done in three, six, nine months,’ he [William Ruh] said. ‘It used to take three years.’”
  • They’ve made a major commitment to 3-D printing, with 100,000 3-D printed parts scheduled to be built into their precision LEAP jet engines — a big deal, since there’s not a great deal of fault tolerance in something that may plunge to the earth if it malfunctions! As Bloomberg reported, “The finished product is stronger and lighter than those made on the assembly line and can withstand the extreme temperatures (up to 2,400F) inside an engine.”  They’re making major investments to boost the 3-D printers’ capacity and speed.  Oh, and did I mention their precedent-setting contest to crowd-source the invention of a 3-D printed engine mount?
  • They’re also partnering with New York State on perhaps the most visionary technology of all, nanotech, which manipulates materials on the molecular level. GE will focus on cheap silicon carbide wafers, which beat silicon chips in terms of efficiency and power, leading to smaller and lighter devices.

GE is the only member of the original Dow-Jones Index (in 1884) that still exists. As I’ve said before, I’m astounded that they not only get it about IoT technology, but also the new management practices such as sharing data that will be required to fully capitalize on it.

Thomas A. Edison is alive and well!

I’ll be on “Game Changer” Radio Today @ 3 EST Talking About IoT

Huzzah!  I’ll be a guest on Bonnie Graham’s “Coffee Break With Game Changers” show live, today @ 3 PM to discuss the Internet of Things. SAP Radio

Other guests will include David Jonker, sr. director of Big Data Initiatives at SAP, and Ira Berk, vice-president of Solutions Go-to-market at SAP, who has global responsibility for the IoT infrastructure and middleware portfolio.

Among other topics that I hope to get to during the discussion:

  • The “Collective Blindness” meme that I raised recently — and how the IoT removes it.
  • The difficult shift companies will need to make from past practices, where information was a zero-sum game, where hoarding information led to profit, to one where sharing information is the key. Who else can use this information?
  • How the IoT can bring about an unprecedented era of “Precision Manufacturing,” which will not only optimize assembly line efficiency and eliminate waste, but also integrate the supply chain and distribution network.
  • The sheer quantity of data with the IoT threatens to overwhelm us. As much as possible, we need to migrate to “fog computing,” where as much data as possible is processed at the edge, with only the most relevant data passing to the cloud (given the SAP guys’ titles, I assume this will be of big interest to them.
  • The rise of IFTTT.com, which means device manufacturers don’t have to come up with every great way to use their devices: use open standards, just publish the APIs to IFTTT, and let the crowd create creative “recipes” to use the devices.
  • Safety and security aren’t the other guy’s problem: EVERY device manufacturer must build in robust security and privacy protections from the beginning. Lack of public trust can undermine everyone in the field.
  • We can cut the cost of seniors’ care and improve their well being, through “smart aging,” which brings together Quantified Self fitness devices that improve their care and make health care a doctor-patient partnership, and “smart home” devices that automate home functions and make them easier to manage.

Hope you can listen in.  The show will be archived if you can’t make it for the live broadcast .

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Thermostats: yet another example why open standards win with #IoT

Despite my passion for all things Apple and the incredible functionality that comes from Tim Cook’s passion for integrating all parts of the ecosystem seamlessly (and, as I’ve noted in prior disclaimers, my part-time work at the Apple Store ..), I don’t think there’s any doubt when it comes to the Internet of Things that open standards win out.

That’s because they meet the test of my favorite Essential Truth, “who else can use this data?”

It goes back to my Data Dynamite book and my work with Vivek Kundra when he was opening up data in the District of Columbia before becoming the US CIO: when you share data, you empower end users and can go beyond your own developers’ talents and interests, to harvest others’ interests and developments.

opower_sHere’s a great example. Opower’s OpenStat API enables the electric  industry’s only open thermostat management platform. It allows any smart thermostat provider to participate in existing Opower-managed utility thermostat programs. It combines energy usage, billing, parcel and weather data to engage customers, drive measurable energy efficiency, and deliver reliable demand response.  It already has 95 partner utilities, 50 million (really? that sounds high to me…) homes in 35 states sharing data.

By contrast, Nest (which of course was created by Apple alums) had to create a specific API to allow sharing its data. 

This API is Nest’s answer to the Learning Thermostat’s lack of Z-Wave or ZigBee wireless communication. Nest came under fire from the CEDIA crowd when the Learning Thermostat launched since it wouldn’t work within even $100k home automation systems. The thermostat wasn’t friendly with others. It wouldn’t talk to other home automation products using the legacy home automation protocols. This API could change everything.

The jury’s still out — and it will really be interesting to see how many other companies decide to integrate with Apple’s new Health and Home apps. On one hand, a proliferation of standards just retards more creative API mashups, a la IFTTT (my heros!!). On the other, seamless integration and ease-of-use, the Apple hallmarks, could go a long way to ingraining the IoT into consumers’ daily lives.

What do you think?

 

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GE & Accenture provide detailed picture of current IoT strategy & deployment

I’ll admit it: until I began writing the “Managing the Internet of Things Revolution” guide to Internet of Things strategy for SAP, I was pre-occupied with the IoT’s gee-wiz potential for radical transformation: self-driving cars, medical care in which patients would be full partners with their doctors, products that customers would be able to customize after purchase.

GE_Accenture_IoT_reportThen I came to realize that this potential for revolution might be encouraging executives to hold off until the IoT was fully-developed, and, in the process, ignoring low-hanging fruit: a wide range of ways that the IoT could dramatically increase the efficiency of current operations, giving them a chance to experiment with limited, less-expensive IoT projects that would pay off rapidly and give them the confidence and understanding necessary to launch more dramatic IoT projects in the near future.

This is crucially important for IoT strategies: instead waiting for a radical transformation (which can be scary), view it instead as a continuum, beginning with small, relatively-low cost steps which will feed back into more dramatic steps for the future.

Now, there’s a great new study, “Industrial Internet Insights Report for 2015,” from GE and Accenture, that documents many companies are in the early stages of implementing such an incremental approach, with special emphasis on the necessary first step, launching Big Data analytics — and that they are already realizing tangible benefits. It is drawn from a survey of companies in the US, China, India, France, Germany, the UK, and South Africa.

The report is important, so I’ll review it at length.

Understandably, it was skewed toward the industries where GE applies its flavor of the IoT (the “Industrial Internet”): aviation, health care, transportation, power generation, manufacturing, and mining, but I suspect the findings also apply to other segments of the economy.

The summary underscores a “sense of urgency” to launch IoT initiatives:

“The vast majority (of respondents) believe that Big Data analytics has the power to dramatically alter the competitive landscape of industries just within the next year, and are investing accordingly…” (my emphasis).

84% said Big Data analytics “has the power to shift the competitive landscape for my industry” within just the next year, and 93% said they feared new competitors will enter the field to leverage data.  Wow: talk about short-term priorities!

It’s clear the authors believe the transformation will begin with Big Data initiatives, which, IMHO, companies should be starting anyways to better analyze the growing volume of data from conventional sources. 73% of the companies already are investing more than 20% of their overall tech budget on Big Data analytics — and some spend more than 30%! 80 to 90% said Big Data analytics was either the company’s top priority or at least in the top 3.

One eye-opening finding was that 53% of respondents said their board of directors was pushing the IoT initiatives. Probably makes sense, in that boards are expected to provide necessary perspective on the company’s long-term health.

GE and Accenture present a  4-step process to capitalize on the IoT:

  1. Start with the exponential growth in data volumes
  2. Add the additional data volume from the IoT
  3. Add growing analytics capability
  4. and, to add urgency, factor in “the context of industries where equipment itself or patient outcomes are at the heart of the business” where the ability to monitor equipment or monitor patient services can have significant economic impact and in some cases literally save lives [nothing like throwing the fear of God into the mix to motivate skeptics!].
For many companies, after implementing Big Data software, the next step toward realizing immediate IoT benefits is by installing sensors to monitor the status of operating assets and be able to implement “predictive maintenance,” which cuts downtime and reduces maintenance costs (the report cites some impressive statistics: ” .. saving up to 12 percent over scheduled repairs, reducing overall maintenance costs up to 30 percent, and eliminating breakdowns up to 70 percent.” What company, no matter what their stance on the IoT, wouldn’t want to enjoy those benefits?). The report cites companies in health care, energy and transportation that are already realizing benefits in this area.
Music to my ears was the emphasis on breaking down data-sharing barriers between departments, the first time I’ve seen substantiation of my IoT “Essential Truth” that, instead of hoarding data — whether between the company and supply-chain partners or within the company itself — that the IoT requires asking “who else can use this data?” It said that: “System barriers between departments prevent collection and correlation of data for maximum impact.” (my emphasis). The report went on to say:

“All in all, only about one-third of companies (36 percent) have adopted Big Data analytics across the enterprise. More prevalent are initiatives in a single operations area (16 percent) or in multiple but disparate areas (47 percent)…. The lack of an enterprise-wide analytics vision and operating model often results in pockets of unconnected analytics capabilities, redundant initiatives and, perhaps most important, limited returns on analytics investments.”

Most of the companies surveyed are moving toward centralization of data management to break down the silos. 49% plan to appoint a chief analytics officer to run the operation, and most will hire skilled data analysts or partner with outside experts (insert Accenture here, LOL…).

The GE/Accenture report also stressed that companies hoping to profit from the IoT also must create end-to-end security. Do do that, it recommended a strategy including:
  1. assess risks and consequences
  2. develop objectives and goals
  3. enforce security throughout the supply chain.
  4. use mitigation devices specifically designed for Industrial Control Systems
  5. establish strong corporate buy-in and governance.

For the longer term, the report also mentioned a consistent theme of mine, that companies must begin to think about dramatic new business models, such as substituting value-added services instead of traditional sales of products such as jet engines.  This is a big emphasis with GE.  It also emphasizes another issue I’ve stressed in the “Essential Truths,” i.e. partnering, as the mighty GE has done with startups Quirky and Electric Imp:

“Think of the partnering taking place among farm equipment, fertilizer, and seed companies and weather services, and the suppliers needed to provide IT, telecom, sensors, analytics and other products and services. Ask: ‘Which companies are also trying to reach my customers and my customers’ customers? What other products and services will talk to mine, and who will make, operate and service them? What capabilities and information does my company have that they need? How can we use this ecosystem to extend the reach and scope of our products and services through the Industrial Internet?'”

While the GE/Accenture report dwelt only on large corporations, I suspect that many of the same findings would apply to small-to-medium businesses as well, and that the falling prices of sensors and IoT platforms will mean more smart companies in this category will begin to launch incremental IoT strategies to first optimize their current operations and then make more radical changes.

Read it, or be left in the dust!


PS: as an added bonus, the report includes a link to the GE “Industrial Internet Evaluator,” a neat tool I hadn’t seen before. It invites readers to “see how others in your field are leveraging Big Data analytics for connecting assets, monitoring, analyzing, predicting and optimizing for business success.” Check it out!

IoT ideal example of “recombinant innovation”!

I’m currently reading Erik Brynjolfsson (say that one fast three times…) and Andy McAfee’s brilliant The Second Machine Age, which I highly recommend as an overview of the opportunities and pitfalls of what they call “brilliant technologies.”

While they don’t specifically mention the IoT, I was riveted by one section in which they contrasted current digital innovation with past technologies, using economist Paul Romer‘s term “recombinant innovation”:

Economic growth occurs whenever people take resources and rearrange them in ways that make them more valuable…. Every generation has perceived the limits to growth that finite resources and undesirable side effects would pose if no new … ideas were discovered. And every generation has underestimated the potential for finding new … ideas. We consistently fail to grasp how many ideas remain to be discovered… Possibilitities do not merely add up, they multiply.” (my emphasis)

I felt like Dr. Pangloss, who was surprised to learn he’d been speaking prose all his life: I realized Romer’s term and definition was a more elegant version of what I’ve written before, especially about IFTTT, about an Essential Truth of the IoT — that sharing data is critical to achieving the IoT’s full potential. IFTTT is a great example of Romer’s argument in practice: individuals are “taking resource and rearrang(ing) them in ways that make them more valuable.” As Brynjolfsson and McAfee write:

“.. digital innovation is recombinant innovation in its purest form. Each development becomes a building block for future innovations. Progress doesn’t run out; it accumulates. And the digital world doesn’t respect any boundaries. It extends into the physical one, leading to cars and planes that drive themselves, printers that make parts, and so on….We’ll call this the ‘innovation-as-building-block’ view of the world..” (again, my emphasis)

This is such a powerful concept. Think of Legos — not those silly ones that dominate today, where they are so specialized they can only be used in making a specific kit — but the good ol’ basic ones that could be reused in countless ways. It’s why I happen to believe that all the well-thought-out projections on the IoT’s potential size probably are on the low side: there’s simply no way that we can predict now all the creative, life-saving, money-saving, or quality-of-life-enhancing ways the IoT will manifest itself until people within and outside of organizations take new IoT devices and use them in IFTTT-like “Recipes” that would never have occurred to the devices’ creators.  But beware: none of this will happen if companies use proprietary standards or don’t open their APIs and other tools to all those who can benefit.

How exciting!

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If This, Then That (IFTTT): essential crowdsourcing component to speed IoT development

I’ve been meaning to write about IFTTT (If This, Then That, pronounced like “gift,” but minus the g) for a long time, because I see it as a crucial, if perhaps underappreciated, component to spread the IoT more rapidly and increase its versatility — by democratizing the IoT.

That’s because this cool site embraces one of my favorite IoT “Essential Truths.” We must start asking:

who else could use this data?

I first started asking this question in my book, Data Dynamite, which largely focused on a fundamental paradigm shift away from the old view of data, namely, that you could gain a competitive advantage if you had proprietary information that I didn’t have. It was a zero-sum game. Your win was my loss.  

No longer: now value is created for you if you share data with me and I come up with some other way to use that data that you hadn’t explored. Win-win!

As applied to the IoT, I’ve explored this shift primarily in the context of corporate initiatives, where it becomes possible, for the first time, to share data instantly among everyone who could benefit from that data: everyone within the company, but also your supply chain, your distribution network, and, sometimes, even your customers. 

samples of IFTTT recipes

Here’s where the benefit of sharing data with your customers on a real-time basis comes in: there are a lot more of them than there are of manufacturers, and I can guarantee you that they will come up with clever uses that your staff, no matter how brilliant, won’t. Exhibit A: during last year’s World Series, GigaOM’s Stacey Higginbotham, did an IFTTT “recipe” that turned her HUE lights red (too bad for her, the Sox scored more runs. Wait until next year…). What Philips researcher would have ever done that on company time?

By harnessing crowdsourcing of ideas, the IoT will progress much faster, because of the variety of interests and/or needs that individuals add to the soup!

So, how’s IFTTT work?

Here’s a brief outline (or go here for details):

  1. a “recipe” is made up of a “trigger” (i.e., if this happens, such as “I’m tagged in a photo on Facebook”) and an action (then that happens, such as “create a status message on Facebook.”).
  2. the building blocks for recipes are called channels — 116 as of now, and growing all the time — each of which his its own triggers and actions.  The channels include a wide range of apps and products, such as Nest thermostats or Facebook.

There is a wide variety of recipes on the IFTTT site (you can subscribe to have new ones involving a given channel that interests you sent to you as they are shared) or you can easily create your own — with no programming skill required. How cool is that?

Yes, IFTTT can be fun (“email your mother Foursquare checkins tagged #mom. Useful for brownie points“), but I’m convince that it’s also a critically important tool to speed deployment and impact of the IoT, by harnessing the power of crowdsourcing to complement the work of app developers and device manufacturers.

Now get going!

 

The New IoT Math: 1 + 1 + 3 — Jawbone UP24 now controls Nest thermostat

A chance conversation about the IoT the other day turned me on to this elegant proof-of-concept that what I call “Smart Aging” to help seniors be healthier and avoid institutionalization is possible: my Jawbone UP bracelet could now control my Nest thermostat (if I had one: with three heating zones in my house, I’m gonna wait until the NEST price drops before I’ll buy them…).

That, ladies and gentlemen, is exactly what I’m talking about with my concept of “Smart Aging” for seniors, which would combine:

  • Quantified Self devices such as Jawbone UPs, Nike FuelBand, the congestive heart failure necklace,  or the Biostamp sensor (more about that one in a future post!) that will easily and unobtrusively monitor your bodily indicators and, if you choose, report them to your doctor, both to improve diagnoses, and to encourage you to adopt healthy practices such as a daily walk.
  • smart home devices such as the NEST or the voice-activated Ivee hub.

Even better, if device manufacturers get it about one of my Essential Truths about the IoT:  who else could use this data?, they will allow free access to their algorithms, and someone will realize that 1+1=3: the two devices are even more powerful when linked! In this case, the Jawbone UP is powerful, and so is the Nest, but something totally new is possible when they are linked:

“By connecting your UP24 with your Nest Thermostat, the temperature of your house will automatically adjust to a temperature you prefer – the moment you go to bed or wake up.

“Through UP Insights, we have shared the fact that an ideal sleeping environment is cooler, between 65 and 72 degrees. With the Nest integration, we no longer just tell you this fact. We make it a reality. Once your band enters Sleep Mode, your thermostat will kick down to your ideal temperature. And when you wake? You guessed it. Your thermostat will automatically adjust to a warmer temperature… all without leaving your bed.”

Nest-2_thermostatJawbone_UpHow cool (or hot, depending on the season…) is that?

I particularly like it for seniors because of one UP feature: instead of setting a precise wake-up alarm, you also have the option of creating a 30-minute window when it it should vibrate to wake you, with the exact time determined by what the UP determines is the ideal point in your natural sleep cycle.  Some working people on extremely tight morning schedules may not want to take advantage of that option, but for seniors, answering to no one but themselves, that would be an added benefit: get the best possible sleep, AND get up in a warm house (oh, and while you’re at it, why not link in some Phillips HUE lights and a coffee pot plugged in to a Belkin WeMo socket, so that you’ll also have fresh-brewed coffee and a bright kitchen?).  Sweet!

Do the math: one IoT-empowered device is nice, but link several more of them, and 1 + 1 = 3 — or more!

New #IoT Health Paradigm: Partnership Between Doctor and Patient

With all the Internet of Things emphasis on making “dumb” things “smart,” we shouldn’t ignore how it will make all of us smarter as well.

Nowhere will that be as important as in healthcare, where I believe it will produce a dramatic paradigm shift in which patients will become empowered and will be full partners in their care, improving health, and cutting costs. Today’s post follows up on one I wrote recently focusing on seniors’ health care, which I believe will dramatically improve due to the IoT.

I was provoked to write by the annual report from the Partners (appropriately enough….) Health Center for Connected Health (full disclosure: my wife directs the women’s physical therapy program @ Brigham & Women’s Hospital, part of Partners, although her particular service isn’t working with the Center), which reports on a wide range of initiatives to address key issues such as reducing re-admissions, improving access to care, and helping with the transition from hospital to home.

IMHO, there’s an inevitability to this shift, because the current health care system is unsustainable, at least in the US. Costs are too high, many physicians will retire in the next decade, and the number of seniors is increasing dramatically. Oh, yea: we ain’t getting what we’re paying for either: our health is lousy compared to other nations.

But something amazing happens when people start to track and report their own health indicators, either on their own or as part of the fast-growing Quantified Self movement. As Dr. Joe Kvedar, founder and director of the Center  for Connected Health, says, “People can and do take very good care of themselves when you give them the tools to do so.”

We’ve got the essential tool for this transition right in our hands: the Center for Connected Health has found that 70% of patients in one of Partners’ community health centers have smartphones.

The apps  — there are now more than 100,000 health care ones! — and related devices such as Fitbits, Nike Fuels or Jawbone UPs to monitor health via smartphones still aren’t fully accurate, but they’re still valuable because they do accurately demonstrate personal activity trends, so you can compare your activity from day to day.

And they do change behavior:

“Can trackers really change behavior in people? Last year, Dr. Rajani Larocca, a primary care physician at Massachusetts General Hospital, conducted a six-week lifestyle program for 10 patients with diabetes ages 50 to 70 that included weekly sessions to encourage exercise and healthful eating; each participant also was outfitted with a Fitbit Zip tracker.

“‘Every single person increased their activity,’ Dr. Larocca said. ‘People felt more knowledgeable.’ Eight months later, about half the patients from the group still wear a tracker.

“Researchers at the Center for Connected Health in Boston have been giving activity trackers to subjects for six to nine months, then studying changes in their behavior. Dr. Kamal Jethwani, head of research at the center, said he saw three distinct groups of people among study participants.

“About 10 percent are ‘quantified selfers’ with an affinity for this kind of feedback; just by looking at the numbers, they are motivated to be more active. An additional 20 percent to 30 percent need some encouragement in addition to tracker data to effectively change their behavior.

“But most of the subjects observed by Dr. Jethwani don’t understand the data and need help making sense of it. For them, he said, social motivation from a friend or joining a team or workplace challenge may be more effective.”

As I wrote in my post about seniors’ health care, as soon as we have effective mechanisms to feed the data to doctors the quality of care will improve. It’s like with so many inanimate things whose real-time status we’re able to really observe for the first time with the IoT: doctors will no longer have to rely on our self-reporting (“um, I think that about two months ago I felt out of breath a lot”) or the measurement of vital signs in the artificial setting of a doctor’s office. Instead, they’ll have access to longitudinal data about how you actually live (in fact, Partners introduced a system last year that allows people to electronically upload data to their medical records gathered from devices such as glucometers, blood pressure cuffs, bathroom scales, and pulse oximeters.

It’s a bright — and healthy — new day!

Gotta go now: my Jawbone UP tells me I’ve got to walk to CVS and the post office to meet my 10,000 steps per day target….

PS: If you’re ready to test the waters, check out the Center’s Wellocracy.com site to learn about self-monitoring devices and how to use them!

 

Libelium’s Alicia Asín Pérez: crafting an IoT leader from the ground up!

Any time you run into a leading IoT engineer who says she draws inspiration from the early NYC skyscrapers (Why? “..Most of them were built during the Great Depression and make me think that in big crisis like the one we are living there are also the greatest opportunities for creating amazing things.”) you know you’re in for some outside-the-box thinking!

Alicia Asín Pérez of Libelium

That’s the case with Libelium’s Alicia Asín Pérez, who I had a chance to interview just before she was to leave for this year’s Mobile World Congress, where Libelium unveiled its new Smart Water sensors, the latest addition to the eight-year old company’s impressive list of IoT sensors.

What impresses me the most about the company is how Asín and co-founder/CTO David Gascón have pursued their vision of an open-source system (their Waspmote platform “sends any sensors’ data using any communication protocol to any information system so that anyone can play in the IoT”) without compromise from when they started the company.

After attending the Universidad de Zaragoza, the young engineers decided to enter the decidedly un-cool field of hardware, not app design.

They didn’t want to get trapped into serving only one industry vertical (at present they’re serving smart cities, smart water, smart metering, smart environment, security and emergencies, logistics, industrial control, smart agriculture, smart animal farming, home automation, and ehealth.  Any areas they’re not serving?), so they refused to deal with VCs, bootstrapping the company before the days of crowdsourcing. They even appeared on a quiz show for entrepreneurs to get cash, and were prepared to head to Hollywood quiz shows (Asín knows a lot about a lot of subjects, LOL!) if need be.

Libelium is intent about focusing on open source solutions, walking their talk to the point of even using Linux computers.

They also get it about one of my “Essential Truths” of the IoT, that it “democratizes innovation.”  On one hand, Libelium has partnered with major firms such as IBM (with the “Internet Starter Kit”), and, on the other, 30% of its revenues come from its work with the “Maker Movement,” through its “Cooking Hacks” division, which includes:

  • +4000 products for DIY projects
  • Waspmote starter kits
  • Step-by step-tutorials to get started
  • A community forum

Asin sounds like a revolutionary with her call for “democratizing the technology of the Internet of Things,” and speaks proudly of how Libelium quickly created a Radiation Sensor Board used by an ad-hoc network of activists who documented radiation levels after the Fukushima accident. Speaking to Postscapes, she emphasized that while IoT projects by major companies are important, it’s equally important to use the IoT to empower individuals:

When you are in front of such a revolution, you can neglect individuals. It is a big mistake thinking about the IoT players as big companies or just companies. If we look at the general sociopolitical situation, at the citizen movements all across the globe, we see that individuals are just claiming more transparency and not depending on governments and big companies for accessing data: people want Open Data, Open Source, Open Hardware, Open Funding… Because of that, we see projects like Safecast for detecting radiation levels in Fukushima or Air Quality Egg in the Netherlands. People want to do things on their own and are finding support in all the crowdfunding platforms like Kickstarter and companies backing open hardware that allows them to access inexpensive technology. For example, we just launched a kit to experiment with eHealth and we have already sold more than 1,000 units. People are being more creative and innovative than ever, and everyone needs tools for doing that. Those ‘tools’ are sensors and providing them is our vision.” (my emphasis).

It’s too early in the IoT’s evolution to predict the ultimate winners, but I suspect that Libelium’s passion for open systems, its technical expertise at creating a growing array of sensors, and its ability to partner with both big and small firms will help it prosper over the long haul.

General Electric Keeps on Practicing What They Preach!

I’m beginning to sound like a schill (no, not a typo, just a bad joke: short for [Curt] Schilling, the former Red Sox pitcher — sorry, I can’t get those guys out of my head today…) for GE, but it’s hard to argue with their impressive record of walking their talk about the “Industrial Internet,” their marketing term for the subset of the Internet of Things dealing with the industrial sector.

The latest evidence? A report today in the NYTimes‘ “Bits” blog that GE has just announced “14 more products that combine industrial equipment, Internet-linked sensors and software to monitor performance and analyze big streams of data. G.E. had previously announced 10 similar industrial products.”

Equally impressive, the Industrial Age behemoth turned nimble IoT leader said that by next year, almost all industrial products it makes will have built-in sensors and Big Data software to analyze the huge data streams those sensors will create.

Right now I’m writing an e-book on IoT strategy for C-level executives (not sure if I can disclose the customer — it’s a big one!) and GE VP of Global Software William Ruh, used the news to fire a shot across the bow at companies that are slow to realize a fundamental paradigm shift in manufacturing, product design and maintenance is well underway:

““Everyone wants prediction about performance, and better asset management… The ideas of speed, of information velocity, is what will differentiate the winners from the losers.”

You in the corner office: got your attention?

Equally important, given my insistence that the IoT is all about collaboration, GE simultaneously announced partnerships with Cisco, AT&T and Intel. It had already inked deals with Accenture and Amazon’s cloud subsidiary and has also invested in  Pivotal, an Industrial Internet app creator.

Smart companies will follow GE’s lead in radically reforming the product design process to capitalize on the rapid feedback on performance that the Industrial Internet products’ built-in sensors yield. According to Ruh, they’re switching to an iterative design process, with rapid changes based on data from the field:

“… G.E. is adopting practices like releasing stripped-down products quickly, monitoring usage and rapidly changing designs depending on how things are used by customers. These approaches follow the ‘lean start-up’ style at many software-intensive Internet companies.

“’We’re getting these offerings done in three, six, nine months,’ he said. ‘It used to take three years.’” (my emphasis)

That change is definitely going to make it into my e-book! Brilliant example of how the IoT, by allowing companies to think in terms of systems dynamics, especially feedback loops, will have profound impacts on the design and manufacturing processes, integrating them as never before (oh, and don’t forget, the data from the built-in sensors will also allow companies to start marketing services — such as leasing jet turbines, with the lease cost based on the actual amount of thrust the engines create)!

Combined, that’s definitely a paradigm shift!

Oh, I almost forgot. Here’s a brief rundown of the products themselves and the industries served. They are clustered under the Predictivity name, and are powered by Predix, a new IoT platform:

  • The Drilling iBox System (oil and gas)
  • Reliability Max (oil and gas
  • Field 360 (oil and gas)
  • System 1 Evolution (oil and gas)
  • Non-destructive Testing Remote collaboration (oil and gas)
  • LifeMax Advantage (power and water)
  • Rail Connect 360 Monitoring and Diagnostics (transportation)
  • ShipperConnect (transportation)
  • Flight Efficiency Services (aviation)
  • Hot SimSuite (healthcare)
  • Cloud Imaging (healthcare)
  • Grid IQ Insight (energy management)
  • Proficy MaxxMine (energy management)

Given the diversity of industries the Predictivity products serve and GE’s global clout, I predict this level of commitment will radically accelerate the IoT’s adoption by big business, as well as accelerating the payback in terms of lower operating, energy and maintenance costs, and reduced environmental impacts.

Will GE’s competitors in these sectors get on board, or will they be left in the dust?

 

http://www.stephensonstrategies.com/">Stephenson blogs on Internet of Things Internet of Things strategy, breakthroughs and management