IoT is a concept meaning that anything could support the connection of things
This content is from the seminar "The most recent developments of IOT connectivity that will shape industries and markets", co-hosted by MSM MBA Program & Eurocham Vietnam on 4th June 2019.
The Internet of Things (IoT) is a scenario in which objects, animals or people are provided with unique identifiers and the ability to automatically transfer data over a network without requiring human-to-human (H2H) or human-to-computer (H2C) interaction. Prof. Andreas Antonopoulos (Faculty of MSM MBA in HCM, Rector of NY University of Praque) mentioned that IOT will have widespread and beneficial effects on the everyday lives of the public by 2025, when most major cities will have 1 million connected sensors per square km. Two thirds of data traffic have already been created by and for machines. Machine-to-machine (M2M) connections grow faster than human to human (H2H) connections.
With IoT, everything is connected over IP and would interact with each other based on pre-defined logic, e.g. a refrigerator can order milk by itself based on past consumption trends.
The real promise of IoT isn’t just linking billions of devices. The true potential is transforming business models by enabling companies to optimize processes or sell products in entirely new and better ways. Optimization has happened in every industry that make significant changes or disruptions. To name just a few, followings are optimizations in various industries:
1. Home Automation - Probably the first and most cited use case of IoT in the early days
2. Optimizing finance – tracking behaviours, building models
3. Connected advertising and marketing - (i.e. mobility data mining; public spaces billboards with auction based pricing)
4. Smart factories
5. Smart farming and livestock management optimization
6. Healthcare - patients constantly monitored using IoT-driven, non-invasive monitoring using sensors
7. Education – Delivery an interaction, innovative learning
8. Public transportation/smart cities - private fleet management, public transport optimizations.
Top disruptive technologies (source: McKinsey)
Prof. Andreas Antonopoulos comments that he expects Agtech that facilitates Smart farming and livestock management optimization is going to be very potential for Vietnam given that it is an agriculture-based country. SoilIQ, Flower Power, Easy bloom are providing soil sensors that collect measurement information from the complete environment, and combines dynamic meteorological, hydrological and soil data, with static geological and plant information. The result is a complex management tool, to monitor agricultural fields and let the farmers to react in advance, before the problems get irreversible.
Blue River Technologies, Terr Avion provide self-driven tractors and GPS/drone combination that work with SaaS software delivery method for effectiveness. With computer vision and artificial intelligence, smart machines can detect, identify, and make farmers’ management decisions about every single plant in the field.
Mr. Diep The Anh (Deputy General Director of ACB Securities - MSM MBA Intake 14) admits that Fintech and Retail tech in Vietnam will witness a significant impact to customers’ ways of doing transactions. The country’s high proportion of young generation with strong technology orientation will soon adapt to the new method of banking, lending/borrowing, shopping, paying/spending. Therefore there will be a big business change in the finance service sector. However, Agtech and Edtech normally are highly regulated industries. It may take longer time for IoT technology to disrupt agricultural and educational sectors. However, it is also very hard to say, as long as the government take some moves, we may see the disruption will take place in nearly every industry.
MSM MBA Program
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