With analysts estimating up to 80 billion devices in the market by 2020, the need for real-time processing and analytics has escalated as companies realise the additional revenue, says NEIL HERBERT, Director: Business Analytics, SAP Africa.
This is also leading to the development of more than 200 000 new apps and services as companies aim to take advantage of the potential benefits of the Fourth Industrial Revolution by exploring new business models, optimisations, and revenue streams. However, business leaders are quickly learning that IoT is simply a tool, not a silver bullet: to extract the optimum value from IoT projects, business leaders still need clarity on its role in driving digital transformation – and bottom-line results.
While some businesses are running multiple IoT implementations across various lines of business but still struggle to realise true commercial benefits, industries such as insurance, retail, supply chain, and agriculture are experiencing exponential benefits as their IoT initiatives deliver transformative business value. In the supply chain, for example, companies are using IoT for intelligent supply chain execution, logistics, and supply chain planning for near-real-time replenishment, smart warehousing, intelligent transportation optimisation, and real-time track and trace.
In a range of other industries, recent use cases are inspiring confidence in the business value of IoT to reduce risk and optimise processes.
IoT delivering business value across industries
The insurance industry is one of the first to deploy large-scale IoT implementations to drive innovation and improve the customer experience. As sensors become more commonplace in the home, at work, and society, insurers will have exponentially growing pools of structured and unstructured data that could provide the foundation of better customer insights, more accurate situational awareness, and improved business processes. Those that prioritise digital transformation have already shown how the combination of data sets from IoT, their own systems, social media, partners, and suppliers can drive innovation and unlock new business models, greater efficiency, and increased competitiveness.
In another example, a company managing large sports stadiums in Germany uses data sets from weather, traffic systems, supply chain, social media, sensors embedded in turnstiles, and retail outlets to monitor operational needs in real time during large events. If, for example, a specific player is performing extraordinarily well on field, their system could inform the retail outlet to increase its stock of jerseys sporting that player’s name, as there’s likely to be increased demand following the end of the match. Similarly, if weather patterns indicate unusually hot temperatures, the system could alert suppliers to dispatch additional stock of drinks and bottled water to meet heightened demand.
Here in Africa, the farming industry – which by some accounts provides income for up to 60% of African citizens – is seeing how IoT and analytics can improve livelihoods by making small but important improvements to farming processes. Farming in Africa mostly involves small-scale farmers, where in developed countries farming is done at a grand scale by large corporations. In a recent rural agricultural project involving an IoT solution, sugar cane farmers gained valuable insights from sensors guiding the optimal harvest and processing times. Sugar cane farmers have a limited window of opportunity to process cut sugar cane; up to 50% of the yield can be degraded if it is not taken for processing within 48 hours of harvest. By using IoT sensors combined with a cloud-based analytics platform that incorporates external data sets such as weather data, African sugar cane farmers that were part of the project received timely information regarding the optimal harvest and processing timelines for their crops, helping them improve their yield and increase their revenue while minimising waste.
Cloud platform enables innovation
With the exponential growth of data, companies need to consider ways to leverage technology to reach and support employees, customers, partners, and suppliers across the world. Here, a cloud platform powered by an in-memory computing platform proves essential, as it not only connects disparate data sources and technologies, but enables innovation at a grand scale.
Globally, companies are leveraging the SAP Leonardo suite of innovation tools, including IoT, to unlock business value and transform their operations, business models, and revenue streams. The most successful implementations include a design thinking element that brings together a broad mix of people within the business to help uncover areas of high-potential IoT innovation. By partnering with a global leader in IoT innovation that can provide a platform, intelligence, insight and support, companies are now able to realise the true transformative benefits of IoT and its associated commercial applications.
Which IoT horse should you back?
The emerging IoT is evolving at a rapid pace with more companies entering the market. The development of new product and communication systems is likely to continue to grow over the next few years, after which we could begin to see a few dominant players emerge, says DARREN OXLEE, CTOf of Utility Systems.
But in the interim, many companies face a dilemma because, in such a new industry, there are so many unknowns about its trajectory. With the variety of options available (particularly regarding the medium of communication), there’s the a question of which horse to back.
Many players also haven’t fully come to grips with the commercial models in IoT (specifically, how much it costs to run these systems).
Which communication protocol should you consider for your IoT application? Depends on what you’re looking for. Here’s a summary of the main low-power, wide area network (LPWAN) communications options that are currently available, along with their applicability:
SigFox has what is arguably the most traction in the LPWAN space, thanks to its successful marketing campaigns in Europe. It also has strong support from vendors including Texas Instruments, Silicon Labs, and Axom.
It’s a relatively simple technology, ultra-narrowband (100 Hz), and sends very small data (12 bytes) very slowly (300 bps). So it’s perfect for applications where systems need to send small, infrequent bursts of data. Its lack of downlink capabilities, however, could make it unsuitable for applications that require two-way communication.
LoRaWAN is a standard governed by the LoRa Alliance. It’s not open because the underlying chipset is only available through Semtech – though this should change in future.
Its functionality is like SigFox: it’s primarily intended for uplink-only applications with multiple nodes, although downlink messages are possible. But unlike SigFox, LoRa uses multiple frequency channels and data rates with coded messages. These are less likely to interfere with one another, increasing the concentrator capacity.
Ingenu Technology Solutions has developed a proprietary technology called Random Phase Multiple Access (RPMA) in the 2.4 GHz band. Due to its architecture, it’s said to have a superior uplink and downlink capacity compared to other models.
It also claims to have better doppler, scheduling, and interference characteristics, as well as a better link budget of 177 dB compared to LoRa’s 157 dB and SigFox’s 149 dB. Plus, it operates in the 2.4 GHz spectrum, which is globally available for Wi-Fi and Bluetooth, so there are no regional architecture changes needed – unlike SigFox and LoRa.
LTE-M (LTE Cat-M1) is a cellular technology that has gained traction in the United States and is specifically designed for IoT or machine‑to‑machine (M2M) communications.
It’s a low‑power wide‑area (LPWA) interface that connects IoT and M2M devices with medium data rate requirements (375 kb/s upload and download speeds in half duplex mode). It also enables longer battery lifecycles and greater in‑building range compared to standard cellular technologies like 2G, 3G, or LTE Cat 1.
Key features include:
· Voice functionality via VoLTE
· Full mobility and in‑vehicle hand‑over
· Low power consumption
· Extended in‑building range
Narrowband IoT (NB‑IoT or LTE Cat NB1) is part of the same 3GPP Release 13 standard3 that defined LTE Cat M1 – both are licensed as LPWAN technologies that work virtually anywhere. NB-IoT connects devices simply and efficiently on already established mobile networks and handles small amounts of infrequent two‑way data securely and reliably.
NB‑IoT is well suited for applications like gas and water meters through regular and small data transmissions, as network coverage is a key issue in smart metering rollouts. Meters also tend to be in difficult locations like cellars, deep underground, or in remote areas. NB‑IoT has excellent coverage and penetration to address this.
The LPWAN technology stack is fluid, so I foresee it evolving more over the coming years. During this time, I suspect that we’ll see:
1. Different markets adopting different technologies based on factors like dominant technology players and local regulations
2. The technologies diverging for a period and then converging with a few key players, which I think will be SigFox, LoRa, and the two LTE-based technologies
3. A significant technological shift in 3-5 years, which will disrupt this space again
So, which horse should you back?
I don’t believe it’s prudent to pick a single technology now; lock-in could cause serious restrictions in the long-term. A modular, agile approach to implementing the correct communications mechanism for your requirements carries less risk.
The commercial model is also hugely important. The cellular and telecommunications companies will understandably want to maximise their returns and you’ll want to position yourself to share an equitable part of the revenue.
So: do your homework. And good luck!
Ms Office hack attacks up 4X
Exploits, software that takes advantage of a bug or vulnerability, for Microsoft Office in-the-wild hit the list of cyber headaches in Q1 2018. Overall, the number of users attacked with malicious Office documents rose more than four times compared with Q1 2017. In just three months, its share of exploits used in attacks grew to almost 50% – this is double the average share of exploits for Microsoft Office across 2017. These are the main findings from Kaspersky Lab’s Q1 IT threat evolution report.
Attacks based on exploits are considered to be very powerful, as they do not require any additional interactions with the user and can deliver their dangerous code discreetly. They are therefore widely used; both by cybercriminals looking for profit and by more sophisticated nation-backed state actors for their malicious purposes.
The first quarter of 2018 experienced a massive inflow of these exploits, targeting popular Microsoft Office software. According to Kaspersky Lab experts, this is likely to be the peak of a longer trend, as at least ten in-the-wild exploits for Microsoft Office software were identified in 2017-2018 – compared to two zero-day exploits for Adobe Flash player used in-the-wild during the same time period.
The share of the latter in the distribution of exploits used in attacks is decreasing as expected (accounting for slightly less than 3% in the first quarter) – Adobe and Microsoft have put a lot of effort into making it difficult to exploit Flash Player.
After cybercriminals find out about a vulnerability, they prepare a ready-to-go exploit. They then frequently use spear-phishing as the infection vector, compromising users and companies through emails with malicious attachments. Worse still, such spear-phishing attack vectors are usually discreet and very actively used in sophisticated targeted attacks – there were many examples of this in the last six months alone.
For instance, in late 2017, Kaspersky Lab’s advanced exploit prevention systems identified a new Adobe Flash zero-day exploit used in-the-wild against our customers. The exploit was delivered through a Microsoft Office document and the final payload was the latest version of FinSpy malware. Analysis of the payload enabled researchers to confidently link this attack to a sophisticated actor known as ‘BlackOasis’. The same month, Kaspersky Lab’s experts published a detailed analysis of СVE-2017-11826, a critical zero-day vulnerability used to launch targeted attacks in all versions of Microsoft Office. The exploit for this vulnerability is an RTF document containing a DOCX document that exploits СVE-2017-11826 in the Office Open XML parser. Finally, just a couple of days ago, information on Internet Explorer zero day CVE-2018-8174 was published. This vulnerability was also used in targeted attacks.
“The threat landscape in the first quarter again shows us that a lack of attention to patch management is one of the most significant cyber-dangers. While vendors usually issue patches for the vulnerabilities, users often can’t update their products in time, which results in waves of discreet and highly effective attacks once the vulnerabilities have been exposed to the broad cybercriminal community,” notes Alexander Liskin, security expert at Kaspersky Lab.
Other online threat statistics from the Q1, 2018 report include:
- Kaspersky Lab solutions detected and repelled 796,806,112 malicious attacks from online resources located in 194 countries around the world.
- 282,807,433 unique URLs were recognised as malicious by web antivirus components.
- Attempted infections by malware that aims to steal money via online access to bank accounts were registered on 204,448 user computers.
- Kaspersky Lab’s file antivirus detected a total of 187,597,494 unique malicious and potentially unwanted objects.
- Kaspersky Lab mobile security products also detected:
- 1,322,578 malicious installation packages.
- 18,912 mobile banking Trojans (installation packages).
To reduce the risk of infection, users are advised to:
- Keep the software installed on your PC up to date, and enable the auto-update feature if it is available.
- Wherever possible, choose a software vendor that demonstrates a responsible approach to a vulnerability problem. Check if the software vendor has its own bug bounty program.
· Regularly run a system scan to check for possible infections and make sure you keep all software up to date.
- Businesses should use a security solution that provides vulnerability, patch management and exploit prevention components, such as Kaspersky Endpoint Security for Business. The patch management feature automatically eliminates vulnerabilities and proactively patches them. The exploit prevention component monitors suspicious actions of applications and blocks malicious files executions.