“Internet of things” is a convenient catch-all for all manner of technologies that carry common characteristics. They are capable of sharing their data not only with each other but also with other information technology systems. They enable far deeper insights into how well they are running and what is going on around them.
In 2015, more than 15.4 billion gadgets fell into this uber category, according to data from market research firm IHS. That number could double by the end of 2020. Then again by the end of 2025. These “things” can be installed virtually everywhere, from factory floors to streetlights to water pipes. Cities alone could spend at least $20 billion on sensor networks by 2020.
But one area to watch closely from sustainability perspective will be technologies related to buildings, both commercial and residential. The Internet of things (aka IoT) is crucial for broader adoption of smart buildings. That will have big implications for how companies handle energy management. And for the next few years, IoT will be more pervasive in smart commercial buildings than anywhere else.
Things are certainly pointing up. Revenue related to installations of sensor-equipped lighting, climate control equipment, thermostats and other automation systems could quadruple over the next decade to about $732 billion, predicted Navigant Research in a report published in early December.
ABI Research predicts that revenue related to IoT-enabled smart building technologies should grow to more than $8 billion in 2020. It was just $625 million last year. The bulk of that money will be related to smart lighting and “intuitive” HVAC control systems.
IoT platforms such as GE’s Predix, IBM’s Watson, and SAP’s HANA, in collaboration with facility service providers, like CBRE, ISS World, and ENGIE, are gradually creating inroads by integrating multiple building automation systems to deliver a unified facilities management solution. The ‘make or buy’ dilemma of whether to develop the solution in-house or collaborate with a third-party technology vendor.
Here, 10 big players to watch closely in the upcoming year.
Cisco
Part of San Jose, California-based networking giant Cisco’s “Internet of Everything” mantra is an energy efficiency concept. Cisco started pushing more aggressively in early 2016 called the “Digital Ceiling.”
The idea is to consolidate smart lighting networks and other Internet-connected devices into a centralized dashboard. The Dashboard can be controlled via a smartphone application. The system includes smart lighting which is powered by the Ethernet network itself. Cisco has created partnership, including LED lighting pioneer Cree, to help evangelize the idea.
Hitachi
Hitachi began touting its IoT strategy, based on a technology called Lumada.
This platform will be relevant across a broad range of applications not just smart buildings, including connected vehicles, although details about the technology are just starting to emerge. “While it is still very early days in the IoT platform market, the landscape is crowded, making it difficult for new vendors to differentiate themselves,” said Christian Renaud, an analyst for 451 Research. “Hitachi’s extensive expertise in operational technology and IT gives them a unique understand of the fundamental requirements to build and deploy IoT solutions at scale.”
Honeywell
Honeywell’s IoT strategy already touches about 10 million smart buildings worldwide. One of the Morris Plains, N.J.-based company’s latest forays is a mobile app — which sounds similar to technology from startup Comfy — that lets building occupants report issues with heating or cooling. Basically, people become “sensors” alongside digital counterparts such as sensor.
IBM
IBM is putting the firepower of its Watson artificial intelligence and data analysis software behind its projects that make buildings smarter.
One of its biggest customers for the technology is ISS, a facilities management company. ISS will use Watson in more than 25,000 buildings to assess readings from sensors on windows, doors, air conditioning systems and so on. The sensors on doors, for example, can help commercial kitchens within these facilities figure out how many meals to cook for lunch, helping cut back on food waste.
Johnson Controls
Johnson Controls allied with IBM on the smarter building cause back in 2010. However, they moved closer to Cisco earlier this year.
Legrand
The French-born electrical component manufacturer took a deeper interest in sustainable business practices. Legrand launched its IoT initiative dubbed ELIOT in November.
Legrand sees its technology as the glue tying together automation technologies from the likes of Samsung and Cisco. The effort even supports Alexa, Amazon’s voice-controlled home automation gadget, which is being engineered to handle tasks such as adjusting lights or temperatures. It helps that $4.5 billion Legrand’s sales for connected devices were more than $350 million in 2015, up 34 percent.
Panasonic
The Japanese company is already a well-known player in green building technologies such as energy-efficient lighting, refrigeration, air conditioning, heating and renewable energy. It is prioritizing investments that use data from these systems to help them run more efficiently. One example is its agreement with Germany’s Schneider Electric, announced in October. Under which the two companies are collaborating on wireless technology that connects Schneider’s building management system with Panasonic HVAC systems that use variable refrigerant flow (VRF) technology. Then, the amount of energy they require can be adjusted more finely.
Schneider Electric
The energy management specialist overhauled its smart building product line called EcoStruxure in late November. Its partnership with cloud services giant Microsoft is focused on helping companies analyze operational data more efficiently. Its aforementioned partnership with Panasonic is also powerful.
Siemens
During 2016, it announced partnerships with IBM and consulting firm Capgemini to build even more credibility in IoT expertise. The IBM pact centers on creating a cloud service to help corporate real estate managers gain access to energy efficiency metrics for their facility portfolios. The deal with Capgemini has a similar goal.
Verdigris Technologies
This San Francisco startup is using artificial intelligence. They collect information from a building’s electrical panels and analyze these “fingerprints” for opportunity to optimize settings. As well, they aim to predict possible maintenance issues that could boost power consumption.
Verdigris raised $6.7 million in an October venture capital round. It was led by contract manufacturer Jabil and Verizon Ventures, bringing total funding to about $15 million. The company is doing well helping companies in the hospitality sector reduce electricity usage. Hyatt, Marriott, and Starwood Hotels are all customers.
Source: Green Biz (19 Dec)
