3

IoT Digital Value Chain Connecting

Research, Innovation and Deployment

Ovidiu Vermesan1 , Peter Friess2 , Patrick Guillemin3 , Martin Serrano4 ,

Mustapha Bouraoui5 , Luis Pérez Freire6 , Thomas Kallstenius7 ,
Kit Lam8 , Markus Eisenhauer9 , Klaus Moessner10 , Maurizio Spirito11 ,
Elias Z. Tragos12 , Harald Sundmaeker13 , Pedro Malo14
and Arthur van der Wees15
1 SINTEF, Norway
2 European Commission, Belgium
3 ETSI, France
4 Digital Enterprise Research Institute, Galway, Ireland
5 STMicroelectronics, France
6 GRADIANT, Spain
7 iMinds vzw, Belgium
8 SAMSUNG Electronics Research and Development Institute, UK
9 Fraunhofer FIT, Germany
10 University of Surrey, UK
11 ISMB, Italy
12 FORTH, Greece
13ATB Institute for Applied Systems Technology Bremen, Germany
14 FCT NOVA and UNINOVA, Portugal
15Arthur’s Legal B.V., The Netherlands

“Productivity isn’t about how busy or efficient you are – it’s about how much
you accomplish.” Chris Bailey

3.1 Internet of Things Vision

Internet of Things (IoT) is considered one of the next industrial revolution
enablers, which is fuelled by the advancement of digital technologies. IoT
is dramatically changing how companies engage in business activities, and

15
16 IoT Digital Value Chain Connecting Research, Innovation and Deployment

how people will interact with their environment. Its disruptive nature requires
the assessment of the requirements for the future deployment across the digital
value chain in various industries and in many application areas.
IoT is a concept and a paradigm with different visions, and multidisci-
plinary activities. IoT considers pervasive presence in the environment of a
variety of things, which through wireless and wired connections and unique
addressing schemes are able to interact with each other and cooperate with
other things to create new applications/services and reach common goals.
In the last few years IoT has evolved from being simply a concept built
around communication protocols and devices to a multidisciplinary domain
where devices, Internet technology, and people (via data and semantics)
converge to create a complete ecosystem for business innovation, reusabi-
lity, interoperability, that includes solving the security, privacy and trust
implications.
The IoT is the network of physical objects that contain embedded tech-
nology to communicate and sense or interact with their internal states or
the external environment. The confluence of efficient wireless protocols,
improved sensors, cheaper processors, and a bevy of startups and established
companies developing the necessary management and application software,
has finally made the concept of the IoT mainstream. The IoT makes use of
synergies that are generated by the convergence of Consumer, Business and
Industrial Internet customer, Business and Industrial Internet. The conver-
gence creates the open, global network connecting people, data, and things.
This convergence leverages the cloud to connect intelligent things that sense

Figure 3.1 IoT integration.

 3.1 Internet of Things Vision 17

and transmit a broad array of data, helping creating services that would not
be obvious without this level of connectivity and analytical intelligence. The
dynamics surrounding emerging IoT applications are very complex and issues
such as enablement, network connectivity, systems integration, value-added
services, and other management functions are all needs that generally must
be addressed when the end-users seek to connect intelligent edge devices into
complex IoT applications [59].
In this context, the research and development challenges to create a
smart world are enormous. IoT ecosystems offer solutions comprising of
large heterogeneous systems of systems beyond an IoT platform and solve
important technical challenges in the different industrial verticals and across
verticals.
IoT’s disruptive nature requires the assessment of the requirements for
the future deployment across the digital value chain in various industries and
in many application areas considering even better exchange of data, the use
of standardized interfaces, interoperability, security, privacy, safety, trust that
will generate transparency, and more integration in all areas of the Internet
(consumer/business/industrial).
IoT will generate even more data that needs to be processed and analysed,
and the IoT applications will require new business models and product-
service combinations to address and tackle the challenges in the Digital Single
Market (DSM).

Figure 3.2 IoT platforms interaction and federation.

18 IoT Digital Value Chain Connecting Research, Innovation and Deployment

The use of platforms is being driven by transformative technologies such

as cloud, things, and mobile. The IoT and services makes it possible to
create networks incorporating the entire manufacturing process that convert
factories into a smart environment. The cloud enables a global infrastructure
to generate new services, allowing anyone to create content and applications
for global users. Networks of things connect things globally and maintain their
identity online. Mobile networks allow connection to this global infrastructure
anytime, anywhere. The result is a globally accessible network of things, users,
and consumers, who are available to create businesses, contribute content,
generate and purchase new services.
Platforms also rely on the power of network effects, as they allow more
things, they become more valuable to the other things and to users that make
use of the services generated. The success of a platform strategy for IoT
can be determined by connection, attractiveness and knowledge/information/
data flow.
In this context, the Alliance for Internet of Things Innovation (AIOTI),
was initiated following the European and global IoT technology and market
developments.
The aim of AIOTI is to create and master sustainable innovative European
IoT ecosystems in the global context to address the challenges of IoT techno-
logy and applications deployment including standardisation, interoperability
and policy issues, in order to accelerate sustainable economic development and
growth in the new emerging European and global digital markets. The AIOTI
is connecting/integrating technologies and applications across the digital value
chain and has strong links with the other European initiatives (Private Public
Partnerships – PPPs, Joint Technology Initiatives – JTIs, European Innovation
Partnerships – EIPs, etc.). The positioning of AIOTI in relation with the other
initiatives is presented in Figure 3.3.
The members ofAIOTI jointly work on the creation of a dynamic European
IoT ecosystem. This ecosystem is building on the work of the IoT Research
Cluster (IERC) and spill over innovation across industries and business sectors
of IoT transforming ideas to IoT solutions.
The European Commission (EC) considers that IoT will be pivotal in
enabling the DSM, through new products and services. The IoT, big data,
cloud computing and their related business models will be the three most
important drivers of the digital economy, and in this context it is fundamental
for a fully functional single market in Europe to address aspects of ownership,
access, privacy and data flow – the new production factor.
Figure 3.3 AIOTI integration framework.
3.1 Internet of Things Vision 19
20 IoT Digital Value Chain Connecting Research, Innovation and Deployment

3.1.1 IoT Common Definition

The IoT is a key enabling technology for digital businesses and one of the
main drivers that is contributing to transform the Internet. IoT technologies
are deployed in different sectors, from agricultural in rural areas, health and
wellness to smart home and smart-X applications in cities.
The IoT is bridging the virtual, digital, physical worlds and mobile
networks need to scale to match the demands of billions of things, while
the processing capabilities require addressing the information provided by the
“digital shadow” of these real things. This need focusing on the developments
in the virtual world and the physical world for solving the challenges of IoT
applications. In the virtual world, network virtualization, software-defined
hardware/networks, device management platforms, edge computing and data
processing/analytics are developing fast and urgency to be endeavoured
as enabling technologies for IoT. Connecting the virtual, digital, physical
worlds generates knowledge through IoT applications and platforms, while
addressing security, privacy and trust issues across these dimensions.
Smart IoT applications modify the way people interact with the intelligent
spaces (called also cyber-spaces), from how remotely control appliances at
home to how the care for patients or elderly persons are performed. The
massive deployment of IoT devices represents a tremendous economic impact
and at the same time offers multiple opportunities. The IoT’s potential is
underexploited, the physical and intelligent are largely disconnected, requiring
a lot of manual effort to find, integrate, and use information in a meaningful
way. IoT and its advances in intelligent spaces advances can be categorised
along with the key technologies at the core of the Internet.
Intelligent spaces are created and enriched by IoT and they are environ-
ments in which ICTs, sensor and actuator systems become embedded into
physical objects, infrastructures, and the places embedded of technology
that facilitate physical-human-cyber communication named intelligent sur-
roundings or cyber places in which people live, (e.g. smart cities, industrial/
manufacturing plants, homes and buildings, automotive and entertainment).
The goal is to enable computers and smart edge devices to take part in activities
never previously involved and people to interact with computers and these
devices at the edge more naturally i.e. gesture, voice, movement, and context,
etc. The IoT developments in the various sectors has created IoT ecosystems
that are focusing on Internet of X technologies and applications that address
the specific needs of the respective sector with the goal to be interoperable
across various other sectors as presented in Figure 3.5.
3.1 Internet of Things Vision 21

Figure 3.4 Integration.

22 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.5 Internet of X developments in various industrial sectors.

The traditional distinction between network and device is starting to blur

as the functionalities of the two become indistinguishable. Shifting the focus
from the IoT network to the devices costs less, scales more gracefully, and
leads to immediate revenues.
As a result of this convergence, the IoT applications require that classical
industries are adapting and the technology will create opportunities for new
industries to emerge and to deliver enriched and new user experiences and
services.
In addition, to be able to handle the sheer number of things and objects that
will be connected in the IoT, cognitive technologies and contextual intelligence
are crucial. This also applies for the development of context aware applications
that need to be reaching to the edges of the network through smart devices
that are incorporated into our everyday life.
The Internet is not only a network of computers, but it has evolved into
a network of devices of all types and sizes, vehicles, smartphones, home
appliances, toys, cameras, medical instruments and industrial systems, all
connected, all communicating and sharing information all the time.
The IoT has different meanings at different levels of abstractions through
the value chain, from lower level semiconductor through the service providers.
IoT is a paradigm with different visions, and involving multidisciplinary
activities.
 3.1 Internet of Things Vision 23

The IoT as a “global concept” requires a common high-level definition.

Considering the wide background and required technologies, from sensing
device, communication subsystem, data aggregation and pre-processing to the
object instantiation and finally service provision, generating an unambiguous
definition of the “IoT” is non-trivial.
The IERC is actively involved in ITU-T Study Group 13, which leads
the work of the International Telecommunications Union (ITU) on standards
for next generation networks (NGN) and future networks and has been part
of the team which has formulated the following definition [42]: “Internet
of things (IoT): A global infrastructure for the information society, enabling
advanced services by interconnecting (physical and virtual) things based on
existing and evolving interoperable information and communication tech-
nologies. NOTE 1 – Through the exploitation of identification, data capture,
processing and communication capabilities, the IoT makes full use of things
to offer services to all kinds of applications, whilst ensuring that security
and privacy requirements are fulfilled. NOTE 2 – From a broader perspec-
tive, the IoT can be perceived as a vision with technological and societal
implications.
The IERC definition [45] states that IoT is “A dynamic global network
infrastructure with self-configuring capabilities based on standard and inter-
operable communication protocols where physical and virtual “things” have
identities, physical attributes, and virtual personalities and use intelligent
interfaces, and are seamlessly integrated into the information network”.

3.1.2 Artificial Intelligence and Cognitive IoT

IoT applications are generating data collected from various domains and
industrial sectors. The data generated provides insights from the environments
and applications that generated it. Artificial Intelligence (AI) techniques
provide the framework and tools to go beyond analytics of real time monitoring
and automation use cases for IoT and move to IoT platforms that use concepts
from artificial intelligence and apply them to specific IoT use cases to provide
smarter decision-making. AI-enabled IoT applications add a new layer of func-
tionality and access, creating the next generation of smart homes/buildings,
smart vehicles, and smart manufacturing by providing intelligent automation,
predictive analytics and proactive intervention.
In the IoT context, AI will support companies in finding the smart data and
analyse the trends and patterns for better decision-making based on defined
set of rules.
24 IoT Digital Value Chain Connecting Research, Innovation and Deployment

The AI techniques will enable cognitive systems to be integrated with IoT

applications creating optimized solutions for each individual applications.
Cognitive IoT technologies will allow embedding intelligence into systems
and processes, allowing businesses to increase efficiency, find new business
opportunities, and to anticipate risks and threats so they can better address
them. The IoT applications will gather and integrate data from many types of
sensors and other sources, reason over data, and learn from the interactions,
while creating communities of devices that share information. The information
collected can be interpreted and managed by people, IoT applications or IoT
platforms using cognitive systems in order to generate new and better services
and use cases.
The data generated by edge devices combined with the unstructured data
available from sources ranging from news Web sites and social networks
can be combined using cognitive IoT capabilities at the edge or at the
cloud level.
The use on artificial intelligence, swarm intelligence and cognitive tech-
nologies together with deep learning techniques for optimising the IoT services
provided by IoT applications in smart environments and collaboration spaces
will create solutions capable of transforming industries and professions.

3.1.3 IoT of Robotic Things

IoT, artificial intelligence, robotics, machine learning, swarm technologies
are the technologies that will provide the next phase of development of
IoT applications. Robotics provide the programmed machines designed to be
involved in labour intensive and repetitive work, while deep machine learning
is the science of allowing/empowering machines to function using learning
algorithms instead of programing. The combination of these disciplines opens
the developments of autonomous systems combining robotics and machine
learning for designing robotic systems to autonomous. Machine learning
is part of advance state of intelligence using statistical pattern recognition,
parametric/non-parametric algorithms, neural networks, recommender sys-
tems, swarm technologies etc. in order to perform autonomous tasks. The
industrial IoT is a subset of the IoT, where edge devices, processing units
and networks interact with their environments to generate data to improve
processes.
The IoT, the technologies, architectures, and services that allow massive
numbers of sensor enabled, uniquely addressable “things” to communicate
with each other and transfer data over pervasive networks using Internet
 3.1 Internet of Things Vision 25

protocols, is expected to be the next great technological innovation and

business opportunity. Many IoT initiatives are focused on using connected
devices with edge devices to manage, monitor and optimize systems and their
processes. Advanced and transformational aspects of ubiquitous connectivity
and communication include intelligent devices that monitor events, fuse sensor
data from a variety of sources, use local and distributed “intelligence” to
determine a best course of action, and then act to control or manipulate objects
in the physical world, and in some cases while physically moving through
that world. The concept called Internet of Robotic Things (IoRT), addresses
the many ways IoT technologies and robotic “devices” intersect to provide
advanced robotic capabilities, along with novel applications, and by extension,
new business, and investment opportunities [17].
The combination of advanced sensing, communication, local and dis-
tributed processing, and actuation take the original vision for the IoT to

Figure 3.6 Internet of Robotic Things (IoRT) pervasive technology.

26 IoT Digital Value Chain Connecting Research, Innovation and Deployment

a wholly different level, and one that opens up completely new classes of
opportunities for IoT and robotics solution providers, as well as users of their
products. The concept allows to:
• Define and describe the characteristics of robotics technologies that
distinguish them as a separate, unique class of IoT objects, and one that
differs considerably from the common understanding of IoT edge nodes
as simple, passive devices.
• Reveal how the key features of robotics technology, namely movement,
mobility, manipulation, intelligence and autonomy, are enhanced by the
IoT paradigm, and how, in turn, the IoT is augmented by robotic “objects”
as “intelligent” edge devices.
• Illustrate how IoT and robotics technologies combine to provide for
Ambient Sensing,Ambient Intelligence andAmbient Localization, which
can be utilised by new classes of applications to deliver value.
IoT, cognitive computing and artificial intelligence are very important to the
strategies for digital value chain integration addressing the implementation of
IoT applications in various smart environments.

3.2 IoT Strategic Research and Innovation Directions

The IERC is bringing together EU funded projects with the aim of defining
a common vision of IoT technology and addressing European research
challenges. The rationale is to target at the large potential for IoT-based
capabilities and promote the use of the results from the existing projects
to encourage convergence of ongoing work to tackle the most important
deployment issues and the transfer of research and knowledge to products and
services and apply these in real IoT applications. The vison is illustrated in
Figure 3.7 [59].
IoT is a new revolution of the Internet. Things make themselves recogniz-
able and they obtain intelligence thanks to the fact that they can communicate
information about themselves and they can access information that has been
aggregated by other things.
The technological trend is a move from systems where there are multiple
users/people per device, people in control loop of the system, and the system
providing the ability for people to interact with people. The IoT brings a new
paradigm where there are multiple devices per user; the devices are things that
are connected and communicating with other things. The interaction will be
with a heterogeneous continuum of users, things and real physical events
 3.2 IoT Strategic Research and Innovation Directions 27

Figure 3.7 IERC Vison for IoT integrated environment and ecosystems.

(e.g., move left/right/up/down, change humidity/temperature/light/sound,

etc.) and the Internet is the common convergence connectivity capability,
replacing the previous independent systems.
The objectives of IERC is to provide the research and innovation trends,
presenting the state of the art in terms of IoT technology and societal analysis
in order to apply the develop to the IoT funded projects and further into
the market applications and in the EU policies. The final goal is to test and
develop innovative and interoperable IoT solutions in areas of industrial and
public interest. The IERC objectives are addressed as an IoT continuum of
research, innovation, development, deployment and adoption as presented in
Figure 3.8 [59].
28 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.8 IoT continuum: research, innovation, deployment.

The IERC Strategic Research and Innovation Agenda (SRIA) is the result
of a discussion involving the projects and stakeholders involved in the IERC
activities, which gather the major players of the European ICT landscape
addressing IoT technology priorities that are crucial for the competitiveness
of European industry.
IERC SRIA covers the important issues and challenges for the IoT
technology. It provides the vision and the roadmap for coordinating and
rationalizing current and future research and development efforts in this field,
by addressing the different enabling technologies covered by the IoT concept
and paradigm.
The future IoT developments will address highly distributed IoT appli-
cations involving a high degree of distribution, and processing at the edge
of the network by using platforms that that provide compute, storage, and
networking services between edge devices and computing data centres. These
platforms will support emerging IoT applications that demand real-time
latency (i.e. mobility/transport, industrial automation, safety critical wireless
sensor networks, etc.). These developments will bring new challenges as
presented in Figure 3.9 [59].
The IoT value will come from the combination of edge computing and data
centre computing considering the optimal business model, the right location,
right timing, and efficient use of available network resources and bandwidth.
 3.2 IoT Strategic Research and Innovation Directions 29

Figure 3.9 IoT future challenges.

The IoT architecture, like the Internet, will grow in evolutionary fashion
from a variety of separate contributions and there are many current efforts
regarding architecture models under development. The challenges for the IoT
architecture are the complexity and cooperative work for developing, adopting
and maintaining an effective cross-industry technology reference architecture
that will allow for true interoperability and ease of deployment.
The IERC will work for providing the framework for the convergence
of the IoT architecture approaches considering the vertical definition of the
architectural layers end-to-end security and horizontal interoperability. IoT
technology is deployed globally, and supporting the activities for common
unified reference architecture would increase the coherence between various
IoT platforms. A common architectural approach will require focusing on the
reference model, specifications, requirements, features and functionality. In
particular, this issue would be important in preparation of the future IoT LSPs,
although time schedule might be difficult to synchronize.
The IERC SRIA is developed with the support of a European-led commu-
nity of interrelated projects and their stakeholders, dedicated to the innovation,
creation, development and use of the IoT technology.
Since the release of the first version of the IERC SRIA, we have witnessed
active research on several IoT topics. On the one hand this research filled
several of the gaps originally identified in the SRIA, whilst on the other it
30 IoT Digital Value Chain Connecting Research, Innovation and Deployment

created new challenges and research questions. Recent advances in areas such
as cloud computing, cyber-physical systems, robotics, autonomic computing,
and social networks have changed the scope of the Internet of Thing’s conver-
gence even more so. The Cluster has a goal to provide an updated document
each year that records the relevant changes and illustrates emerging challenges.
The updated release of this SRIA builds incrementally on previous versions
[45, 46, 73] and highlights the main research topics that are associated with
the development of IoT enabling technologies, infrastructures and applications
with an outlook towards 2020 [51].
The research activities include the IoT European Platforms Initiatives
(IoT-EPI) program that includes the research and innovation consortia that
are working together to deliver an IoT extended into a web of platforms for
connected devices and objects. The platforms support smart environments,
businesses, services and persons with dynamic and adaptive configuration
capabilities. The goal is to overcome the fragmentation of vertically-oriented
closed systems, architectures and application areas and move towards
open systems and platforms that support multiple applications. IoT-EPI
is funded by the European Commission (EC) with EUR 50 million over
three years.
The projects involved in the programs are listed in the Figure 3.10. The
projects are part of the IERC and are cooperating to define the research
and innovation mechanisms and identify opportunities for collaboration in
IoT ecosystems to maximise the opportunities for common approaches to
platform development, interoperability and information sharing. The common
activities are organised under six task forces (Figure 3.11) that are conceived
and developed under the IoT-EPI program.
The task forces are complementary to the IERC activity chains. The
activity chains are created to favour close cooperation between the IoT Cluster
projects, the IoT-EPI programme and the AIOTI working groups to form an
arena for exchange of ideas and open dialog on important research challenges.
The activity chains are defined as work streams that group together partners or
specific participants from partners around well-defined technical activities that
will result into at least one output or delivery that will be used in addressing
the IERC objectives.
The research and innovation items addressed and discussed in the task
forces of the IoT-EPI program, the IERC activity chains and the AIOTI
working groups for the basis of the IERC SRIA that addresses the roadmap of
IoT technologies and applications in line with the major economic and societal
challenges underlined in the EU 2020 Digital Agenda [52].
3.2 IoT Strategic Research and Innovation Directions 31

Figure 3.10 IoT-EPI program projects.

32 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.11 IoT-EPI task forces.

Figure 3.12 IERC activity chains.

The IERC SRIA is developed incrementally based on its previous versions

and focus on the new challenges being identified in the last period.
The updated release of the SRIA is highlighting the main research
topics that are associated with the development of IoT infrastructures and
applications, with an outlook towards 2020 [51].
 3.2 IoT Strategic Research and Innovation Directions 33

The timeline of the IERC IoT SRIA covers the current decade with respect
to research and the following years with respect to implementation of the
research results. As the Internet and its current key applications show, it is
anticipated that unexpected trends will emerge leading to unforeseen new
development paths.
The IERC has involved experts working in industry, research and academia
to provide their vision on IoT research challenges, enabling technologies and
the key applications, which are expected to arise from the current vision of
the IoT.
The multidisciplinary nature of IoT technologies and applications is
reflected in the IoT digital holistic view adapted from [32].
IoT demands an extensive range of new technologies and skills that many
organizations have yet to master and creates challenges for organizations
exploiting the IoT. The technologies and principles of IoT will have a very
broad impact on organizations, affecting business strategy, risk manage-
ment and a wide range of technical areas such as architecture and network
design. The top 10 IoT technologies for 2017 and 2018 as presented by
Gartner [21] are:
• IoT Security – due to hardware and software advances IoT security is a
fast-evolving area through 2021 and the skills shortage today will only
accelerate. Enterprises need to begin investing today in developing this
expertise in-house and begin recruitment efforts. Many security problems

Figure 3.13 IoT digital holistic view across various industrial segments.
34 IoT Digital Value Chain Connecting Research, Innovation and Deployment

today are the result of poor specification, design, implementation and lack
of knowledge/training. It is expected that the companies adopting IoT are
investing in these areas.
• IoTAnalytics – that require new algorithms, architectures, data structures
and approaches to machine learning if organizations are going to get
the full value of the data captured, and knowledge created. Distributed
analytics architectures to capitalize on pervasive, secure IoT network
architectures will evolve into become knowledge sharing networks.
• IoT Device Management – Significant innovation will result from the
challenges of enabling technologies that are context, location, and state-
aware while at the same time consistent with data and knowledge
taxonomies. IoT Device Management will probably break the boundaries
of traditional data management and create data structures capable of
learning and flexing to unique inbound data requirements over time.
• Low-Power, Short-Range IoT Networks – Low-power, short-range
networks will dominate wireless IoT connectivity through 2025, far
outnumbering connections using wide-area IoT networks.
• Low-Power, Wide-Area Networks – traditional cellular networks cannot
deliver a proper combination of technical features and operational cost
for those IoT applications that need wide-area coverage combined with
relatively low bandwidth, good battery life, low hardware and operating
cost, and high connection density. Wide-area IoT networks aim is to
deliver data rates from hundreds of bits per second (bps) to tens of
kilobits per second (kbps) with nationwide coverage, a battery life of up to
10 years, an endpoint hardware cost of around $5, and support for
hundreds of thousands of devices connected to a base station or its equiv-
alent. The first low-power wide-area networks (LPWANs) were based on
proprietary technologies, but in the long term, emerging standards such
as Narrowband IoT (NB-IoT) will likely dominate this space.
• IoT Processors – low-end 8-bit microcontrollers will dominate the IoT
through 2019 and shipments of 32-bit microcontrollers will overtake the
8-bit devices by 2020. The report does not mention the 16-bit processors
ever attaining critical mass in IoT applications.
• IoT Operating Systems – a wide range of IoT-specific operating systems
with minimal and small footprint will gain momentum in IoT through
2020 as traditional large-scale operating systems including Windows
and iOS are too complex and resource-intensive for the majority of IoT
applications.
 3.2 IoT Strategic Research and Innovation Directions 35

• Event Stream Processing – some IoT applications will generate extremely

high data rates that must be analysed in real time. Systems creating tens
of thousands of events per second are common, and millions of events per
second can occur in some telecom and telemetry situations. To address
such requirements, distributed stream computing platforms (DSCPs)
have emerged. They typically use parallel architectures to process very
high-rate data streams to perform tasks such as real-time analytics and
pattern identification.
• IoT Platforms – IoT platforms bundle infrastructure components of an
IoT system into a single product. The services provided by such platforms
fall into three core categories: (1) low-level device control and operations
such as communications, device monitoring and management, security,
and firmware updates; (2) IoT data acquisition, transformation and man-
agement; and (3) IoT application development, including event-driven
logic, application programming, visualization, analytics and adapters to
connect to enterprise systems.
• IoT Standards and Ecosystems – ecosystems and standards are not
precisely technologies, most eventually materialize as application pro-
gramming interfaces (APIs). Standards and their associated APIs will be
essential because IoT devices will need to interoperate and communicate,
and many IoT business models will rely on sharing data between multiple
devices and organizations.
Many IoT ecosystems will emerge, and commercial and technical battles
between these ecosystems will dominate areas such as the smart home, the
Smart City and healthcare. Organizations creating products may have to
develop variants to support multiple standards or ecosystems and be prepared
to update products during their life span as the standards evolve and new
standards and related APIs emerge.
The IERC IoT SRIA addresses these IoT technologies and covers in
a logical manner the vision, the technological trends, the applications, the
technology enablers, the research agenda, timelines, priorities, and finally
summarises in two tables the future technological developments and research
needs.
The field of the IoT is based on the paradigm of supporting the IP protocol
to all edges of the Internet and on the fact that at the edge of the network many
(very) small devices are still unable to support IP protocol stacks. This means
that solutions centred on minimum IoT devices are considered as an additional
IoT paradigm without IP to all access edges, due to their importance for the
development of the field.
36 IoT Digital Value Chain Connecting Research, Innovation and Deployment

3.3 IoT Smart Environments and Applications

The IERC vision is that “the major objectives for IoT are the creation of smart
environments/spaces and self-aware things (for example: smart transport,
products, cities, buildings, rural areas, energy, health, living, etc.) for climate,
food, energy, mobility, digital society and health applications” [45].
Today, there is a strong acceleration in the evolution of connected devices,
with accelerating scale and scope, as well as higher focus on interoperability.
IoT technologies and applications put more and more emphasis on integration
of sensors, devices and information systems across industry verticals and
organisations to transform operations and enable creation of new business
models. IoT technologies focus on gaining new insights from analytics
based on data from diverse sources to support decision-making, and improve
products, services and experiences for end users. It is envisaged that our
environment becomes increasingly “smart” by using this network of connected
sensors.
Increasingly complex IoT solutions require more advanced communica-
tion platforms and middleware that facilitate seamless integration of devices,
networks and applications. In this context, the emergence of IoT platforms with
multiple functionalities (i.e. connectivity management, device management,
application enablement, etc.) developed for the purpose of supporting and
enabling IoT solutions enables rapid development and lower costs by offering
standardised components that can be shared across multiple solutions in many
industry verticals.
The IoT applications however will gradually move from vertical, single
purpose solutions to multi-purpose and collaborative applications interacting
across industry verticals, organisations and people, being one of the essential
paradigms of the digital economy. Many of those applications still have to be
identified and involvement of end-users in this innovation is crucial.
Digital economy enables and conducts the trade of goods and services
through electronic commerce on the internet. The digital economy is based
on three pillars: supporting infrastructure (hardware, software, telecoms,
networks, etc.), e-business (processes that an organisation conducts over
computer-mediated networks) and e-commerce (transfer of goods online) [5].
This definition needs to be extended as IoT applications and technologies
are more and more embedded in our society. Economic activities classified
as “digital economy” are expanding their scale, and are becoming diversified
in their transaction forms with many companies in providing product and
service hybrids. Intelligent physical goods as part of IoT applications are
capable of connecting, capture and producing “smart” data and information
 3.3 IoT Smart Environments and Applications 37

for use in digital services without human interventions. In this context, physical
equipment has measuring and communication capabilities, data consciousness
and processing capabilities and the digital economy will be driven by IoT
“system of systems” interactions where new business models and product-
service combinations are aligned with customers that are integrating the
concept of product-as-a-service and product-as-an-experience.
IoT is expected to boom in many sectors, such as smart buildings and
cities, in the energy sector, in safety and security management, transportation,
healthcare, farming and many more, thereby bringing huge business oppor-
tunities and jobs in those sectors as well as in the enabling industries (data
centres, communications and information technology).
The IoT applications are addressing the societal needs and the advance-
ments to enabling technologies such as nanoelectronics and cyber-physical
systems continue to be challenged by a variety of technical (i.e., scientific and
engineering), institutional, and economical issues.
IERC is focusing on applications chosen as priorities for the next years
and the Cluster provides the research challenges for these applications. While
the applications themselves might be different, the research challenges are
often the same or similar.
Every industry is being disrupted by IoT, the universe of intelligent
devices, processes, services, tools and people communicating with each other
as part of a global ecosystem. As technology evolves, products, homes,
enterprises and entire cities will be continuously connected as presented
Figure 3.14. This represents fundamental change for the insurance industry:

Figure 3.14 The IoT is connecting homes, cars, people, organizations and even entire
cities [9].
38 IoT Digital Value Chain Connecting Research, Innovation and Deployment

How are things insured? With what partners? Which services and enabling
technologies? The answers to these questions are the first steps toward
the development of new and innovative business models. The IoT is driv-
ing a connected, as-a-service economy, and traditional insurers must adapt
quickly, deciding whether to move up or out. Insurers will need to dramat-
ically reshape their business model, combining insurance with technology,
ecosystem services and partners. Insurers are about to become “Insurers of
Things” [9].
This new dimension has to be consider for IoT use cases and applications
covering various domains and even more when we consider cross-domain
applications and implementations.

3.3.1 Wearables
Wearables are integrating key technologies (e.g. nanoelectronics, organic
electronics, sensing, actuating, communication, low power computing, visu-
alisation and embedded software) into intelligent systems to bring new
functionalities into clothes, fabrics, patches, watches and other body-mounted
devices.
These intelligent edge devices are more and more part of integrated IoT
solutions and assist humans in monitoring, situational awareness and decision-
making. They can provide actuating functions for fully automated closed-loop
solutions that are used in healthcare, well-being, safety, security, infotainment
applications and connected with smart buildings, energy, lighting, mobility or
smart cities IoT applications. Many people already use wearables to monitor
their activity level or as a fashion accessory. For example, many of us have a
fitbit or a smartwatch.
Creating a seamless user experience is essential for wearable applica-
tion success. In the future, wearable devices will be more pervasive (e.g.
embedded in clothes or pills) and more multifunctional (smartwatches that
open doors, start cars and so on) and will become an essential part of
people’s life.
The IoT applications market in Europe and in the world is moving very
fast towards industrial solutions, e.g. smart cities, homes, buildings. The IoT
markets have multiple shapes, from simple smart-X devices to complete
ecosystems with a full value chain for devices, applications, toolkits and
services. Wearables’ worldwide market has been identified as the opportunity
to materialize what the IoT area has not addressed yet in terms of business
creation and commercialization of devices “things”, software platforms,
 3.3 IoT Smart Environments and Applications 39

Figure 3.15 Wearables defining priorities for European market.

applications and complete IoT solutions. “Wearables will become the world’s
best-selling consumer electronics product after smartphones”, according to
Euromonitor [4]. In the same study the big estimation for sales of wearables
are projected to exceed 305 million units in 2020, with a compound annual
growth rate (CAGR) of 55 percent during the next five years. Following this big
estimation, yet at the Wearables area there is a need for a catalyst that looks for
the wider deployment and market uptake of novel/emergent wearables-based
IoT applications, technologies and platforms.
The market for wearable computing is expected to grow six-fold, from
46 million units in 2014 to 285 million units in 2018 [36].
Because of wearables are associated to daily life activities and the tendency
is to personalise them, following art and design influenced (user-centric)
approaches is also crucial. Wearables and its “wear” nature (mobility) will
transform diverse sectors such as the healthcare, wellbeing, work safety,
public safety and leisure. By involving end users in the creation, the design of
40 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.16 Common wearables on the market.

wearables and the identification of services needs, it is expected an exponential

growth in the ecosystem for wearables market application.
Wearable technology has been there since early 80’s, however the limita-
tion in technology and the high cost on materials and manufacturing generated
that wearable ecosystem(s) lost acceptance and stop its grow at that early
stage. In todays’ technology and economy conditions where technology has
evolved and manufacturing cost being reduced Wearable Technology is the
best channel for user acceptance and deployments in large user communities.
In wearables co-existence with IoT systems and deployed technologies will
mark the difference using today’s user experience and accelerating tomorrow’s
user acceptance that is reflected in return on investment by focusing in the most
common wearable devices.
Demands in technologies and platforms (supply side) require further
work to cope with interoperability, design and arts for user adoption, tech-
nology and management and business modelling. In the other hand from
users and communities (demand side) it is required to pay attention in
reliability of devices, cross-domain operation, and cost reduction and device
reusability.
Today’s biggest challenges for wearable technology is the reticence to
use wearables for privacy or data protection concerns, or the fatigue of using
a wearable. In addition, other operational issues also exist such as having
the necessary ecosystem in place to support wearable devices, which act as
a barrier to deployment, service development or take up. Creating products
which meet both end-users need and which create value for the suppliers
and users will ensure viable business cases. Wearable devices, which can
take or recommend an action based on real time data analysis and perform
more than one function (e.g. pain monitoring/treatment that also serves as a
security verification that open doors) are more likely to be taken up by different
groups of users. They are also more likely to consider them as essential part of
their life.
Fitness tracking is the biggest application today and this opens the
opportunities for watches that are capable of tracking blood pressure, glu-
cose, temperature, pulse rate and other vital parameters measured every few
 3.3 IoT Smart Environments and Applications 41

seconds for a long period of time to be integrated in new kinds of healthcare

applications. Glasses for augmented reality can be another future wearable
application.
Healthcare industry is taking huge advantage of smart technology for
mobile devices and smart wearables is looking to be a big and profitable
market. Smart technology that will be the key to the optimal operating of
our future society, especially when it comes to healthcare. Some of the smart
wearables, already on the market, or in progress engineered for the healthcare
industry have the following features [29]:
• Asthma monitoring and management device with companion app cur-
rently in design and production phase, offering real time data and
alerts when an asthma situation is experienced, offering journaling,
treatment plans, displays and tracking and information on the treating
of symptoms
• Device attached to a person’s back with a companion app, used to lower
back pain and treatment with video game like interactions and interface
that give the user exercises to do
• Knee brace with companion app giving stability and pain relief using an
electrode placed inside of the brace
• Reusable biosensor embedded in a disposable patch with ECG electrodes
and accelerometer monitoring heart rate, breathing, temperature, steps,
and body position
• Wearable, wireless ECG monitor under development, strapped around the
chest to monitor hearth health and health status, with activity tracking
monitoring, a companion app, and connection to a cloud based system
allowing a doctor to monitoring a patient in real time
• Pill with ingestible sensor technology to be swallowed, powered by
the stomach fluids and sending information of your body’s physiologic
responses and behaviours to a body-worn and disposable patch which
can detect heart rate, activity, and rest, and send information to a mobile
device. Information if a patient has taken his prescribed medicines at the
correct time and how the patient is responding to the therapies
• Smart device helping people to quit smoking by sensing a person’s
craving for cigarette/nicotine and then deliver medication to curtail the
craving, in addition to giving information about quitting and coaching
by a companion app
• Smart contact lenses measuring the glucose levels in the wearer’s tears,
transmitting this information wirelessly to connected smartphones
42 IoT Digital Value Chain Connecting Research, Innovation and Deployment

• Smart contact lenses under development helping restoring the eye’s

natural autofocus on near objects for people suffering from vision loss
occurring with age
• Smart bra and app under development with sensors embedded to sense
the conditions and rhythms in breast tissue to alert of the possibility of
cancer
• Diabetes sensors placed on the back of the upper arm for 14 days, reading
glucose information and transferring this to a companion app, which also
give information about the food people should eat, exercise and proper
dieting
• Hospital ulcer monitor put on a patient giving the caregiver an alert if
the patient is moving around wrong or if they may need some assistance
in moving the proper way to prevent ulcer
• Smart watch with medical grade sensors for kids with certain ailments
such as epilepsy with real time data sent to a companion app giving alerts
and other goals and health information.
The wearable technology market in Europe remains an emerging market that
is expanding across numerous sectors and promises to create new markets
and deliver important societal benefits. Research from CCS Insight shows
that, based on current trajectories, the Global Wearables market is expected to
triple by 2019. AIOTI WG07 [65] saw Europe’s natural strengths in privacy,
data protection as well as in ubiquitous broadband availability enabling
Europe to be a strong global competitor in the wearable technologies and
solutions sector. If we add Europe’s good brand name and talent in style
and fashion then we can claim that Europe can be a leader in the market of
wearables.

3.3.2 Smart Health, Wellness and Ageing Well

Healthcare and wellness offer unique opportunities for comprehensive IoT
implementation. Health care treatments, cost, and availability affect the society
and the citizens striving for longer, healthier lives. IoT is an enabler to achieve
improved care for patients and providers. It could drive better asset utilization,
new revenues, and reduced costs. In addition, it has the potential to change
how health care is delivered.
The emergence of Internet of Health (IoH) applications dedicated to citi-
zens health and wellness that spans care, monitoring, diagnostics, medication
administration, fitness, etc. will allow the citizens to be more involved with
 3.3 IoT Smart Environments and Applications 43

their healthcare. The end-users could access medical records, track the vitals
signals with wearable devices, get diagnostic lab tests conducted at home or
at the office building, and monitor the health-related habits with Web-based
applications on smart mobile devices. The application of IoT in healthcare
can improve the access of care to people in remote locations or to those who
are incapacitated to make frequent visits to the hospital. It can also enable
the prompt diagnosis of medical conditions by measuring and analysing a
person’s parameters. The medical treatment administered to the person under
care can be improved by studying the effect of a therapy and the medication
on the patients’ vitals.
The IoT healthcare applications require a careful balance between data
access and sharing of health information vs. security and privacy concerns.
Some information could be shared with a physician, while other type of infor-
mation, will be not accepted to be provided divulge. For these applications,
there is a need to have paradigm shift in human behaviour in order for patients
to evolve, adapt and ultimately embrace what the IoT technology can provide, a
secure Internet domain that can host all health information and push important
health data back to the patient and their healthcare providers [59]. The state
of health in a population can be best measured by focusing on metabolic
syndromes with a set of clear and staged health actions attached to it in
order to fight the consequences of such modern lifestyle. If not changed, this
lifestyle often results in an early progression of those diseases (as shown in
Figure 3.17) [63].
The population of people over 60 is growing at a faster rate than the
rest of the population. Unlike previous generations, more seniors will stay
at home. In the future IoT technology might allow older people to retain
independence with a choice to keep family informed when help is needed.
Silver Economy is defined as “an environment in which the over-60 interact
and thrive in the workplace, engage in innovative enterprise, help drive the
marketplace as consumers and lead healthy, active and productive lives”
[71]. There are three groups in the ageing population, depending on their
health, i.e. active, fragile and dependent while each of these groups have
their own need patterns. At country level differences in needs patterns exist,
i.e. depending on the local environment, with the existence of models for
care, governmental policy and needs at European geographical levels, i.e.
Nordic, Anglo-Saxon, Continental, South-European and Eastern-European.
The Silver Economy is related to concepts such as “active and health ageing”,
“ambient assisted living”, “e-health”, “age management”, “smart care” etc.
44 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.17 Chronic quadrangle.

and depends on the perspective taken or challenge/solution emphasised, using

different taxonomies.
Demographic change, the rising incidence of chronic disease, unmet
demand for more personalised care, and cost pressure are trends requiring
a new, integrated approach to health and social care. Such integration –
if brought about in the right manner – has the potential to improve both
the quality, security and the efficiency of care service delivery. Potentially
this can be to the benefit of all: beginning with elder people in need of
care and their family and friends, and including care professionals, service
provider organisations, payers and other governance bodies. Within this
ongoing change process, the challenge is how to adopt relevant and secure
IoT technologies to realise care integration and avoid that telecare, telehealth
and other IoT applications in this field remain locked up in segregated
silos, mirroring the overall situation of today. In order to capture all the
complexity of the ambient assisted living (AAL) market scenario, the previous
definition was taken into account as a starting point but have also taken into
account a technology view, based on the technology stack supporting the
AAL solutions.
 3.3 IoT Smart Environments and Applications 45

IoT applications are pushing the development of platforms for implemen-

ting AAL systems that will offer services in the areas of assistance to carry out
daily activities, health and activity monitoring, enhancing safety and security,
getting access to medical and emergency systems, and facilitating rapid health
support.
The main objective is to enhance life quality for people who need per-
manent support or monitoring, to decrease barriers for monitoring important
health parameters, to avoid unnecessary healthcare costs and efforts, and to
provide the right medical support at the right time.
The IoT plays an important role in healthcare applications, from managing
chronic diseases at one end of the spectrum to preventing disease at the other.
The smart living environments at home, at work, in public spaces should
be based upon integrated systems of a range of IoT-based technologies
and services with user-friendly configuration and management of connected
technologies for indoors and outdoors.
These systems can provide seamless services and handle flexible con-
nectivity while users are switching contexts and moving in their living
environments and be integrated with other application domains such as
energy, transport, or smart cities. The advanced IoT technologies, using
and extending available open service platforms, standardised ontologies
and open standardised APIs can offer many of such smart environment
developments.
The IoT technology not only overcomes the inconvenience of distance,
but also provides people with greater choice and control over the time
and the place for monitoring their condition, increasing convenience and
making their conditions more manageable. At the same time, it also reduces
some of the pressures on clinics and acute hospitals. IoT could make a
significant contribution to the management of a number of chronic conditions,
heart failure, hypertension, asthma, diabetes and can be integrated with
other living environments domains such as mobility, home/buildings, energy,
lighting, cities.
Many elderly people are adopting technology more than ever, and in the
process, they face unique barriers to usage because they previously had not
used them in work situations and commonly have physical limitations that
make using computer and the Internet more difficult. The improvement in the
IoT technology and user interfaces can lower the barriers and help the elderly
people to adopt the technology since many of these people are enthusiastic
and express strong openness to learning.
46 IoT Digital Value Chain Connecting Research, Innovation and Deployment

As the population ages, and as the digital health field expands, IoT
technologies addressing the unique challenges of aging in place is becoming
a reality.
Many elderly people want to age in place and need to be as independent
as possible, while the IoT technology provides cognitive aids for independent
living. Old people with Alzheimer’s, dementia, or memory loss receive help
with tasks through cueing, scheduling assistance and finance safety for seniors
by on and off switches for caregivers or relatives to help aging people manage
their money by blocking purchases, setting spending limits, sending alerts
about suspect charges, etc. IoT activity sensors monitor movements in the
home and medicine boxes give medication reminders, keep track of steps, and
include an emergency button.
The IoT allows building up an archive of patient behaviour in their own
home that will enable local analytics to produce probability curves to predict
usual and unusual behaviour. Using this, a more accurate prediction of unusual
behaviour can be detected that is used to trigger alerts to patients, family and
carers, while helping elderly patients stay out of hospital (and thus significantly
reduce the cost of hospital admissions).
In this context, there is a need for fundamental shift in the way we think
about older people, from dependency and deficit towards independence and
well-being. Older people value having choice and control over how they
live their lives and interdependence is a central component of older people’s
well-being. They require comfortable, secure homes, safe neighbourhoods,
friendships and opportunities for learning and leisure, the ability to get out
and about, an adequate income, good, relevant information and the ability to
keep active and healthy. They want to be involved in making decisions about
the questions that affect their lives and the communities in which they live.
They also want services to be delivered not as isolated elements, but as joined-
up provision, which recognises the collective impact of public services on their
lives. Public services have a critical role to play in responding to the agenda
for older people.
Within this ongoing change process, advanced IoT technologies provide
a major opportunity to realise care integration. At the same time, telecare,
telehealth and other IoT applications in this field also remain locked up in
segregated silos, mirroring the overall situation.
These IoT technologies can propose user-centric multi-disciplinary solu-
tions that take into account the specific requirements for accessibility, usability,
cost efficiency, personalisation and adaptation arising from the application
requirements.
 3.3 IoT Smart Environments and Applications 47

3.3.3 Smart Clothing

Smart textile, e-fabrics, smart clothing will be produced in all kinds of types
and with different features and outlooks and in many cases will embed the
features and functionalities of wearable devices of today. The common factor
is that smart textiles are made to observe to the wearer, and to react to environ-
mental conditions including chemical, mechanical, electrical, chemical, and
magnetic, etc. Intelligent fabrics have digital components, sensors, actuators,
circuits, and computers embedded in them to collect process and output data
in different ways.
Smart clothing will include many features and different smart solutions
are expected on the market in the next years [30, 31]:
• Smart shirt with app, keeping information in 3D showing if too much
pressure is put on a certain part of the body, keeping track of your per-
formance, giving information to prevent getting injured while training,
with real time feedback
• Health related smart shirt measuring heart rate, breathing rate, sleep
monitoring, workout intensity measurements
• Bio sensing silver fibres woven into the shirt
• Clothing to track the amount of calories burned
• Clothing to track movement intensity during workout
• Compression fabric that aids in blood circulation and with muscle
recovery
• Body monitor sensors – embedded micro sensors throughout the shirt
keeping track of temperature, heart beat and heart rate, and the speed and
intensity of your workouts
• Shirt able to keep the measured biometrics information by using a small
black box woven into the shirt
• Clothing with moisture control and odour control
• Smart shirts can be used in hospitals for monitoring heart beat and
breathing in patients
• Baby monitoring – baby garment telling if the baby is sleeping and
monitoring the baby’s vital signs
• Baby outfit with sensors and a small monitor on it
• Smart socks for baby, monitoring the baby’s breath with alert
features
• Eco-friendly solar garments as it harnesses the energy of the sun and
enables the wearer to charge the owner’s phone, music players, and other
powered electronic devices
48 IoT Digital Value Chain Connecting Research, Innovation and Deployment

• Adaptive survival clothing that uses moisture and temperature regulation

properties of wool to adapt the human body to normal, non-threatening
conditions.
The combination of these “devices” embedded in the clothing with other IoT
devices that are monitoring the environment will create new opportunities,
new use cases, and business models across various sectors.

3.3.4 Smart Buildings and Architecture

Buildings consume 33% of world energy, this figure grows to 53% of world
electricity, and it will continue to grow in the future. As a result, buildings
have an important weight in regards to the energy challenge.
Improving life of the occupants implies many aspects including comfort
with light, temperature, air quality, having access to services facilitating life
inside the building, adapting the behaviour to the needs of the occupants. There
is also a direct economic interest to do it as it is recognized that productivity
level is connected to the comfort level.
For being energy efficient, the consumption can be optimized locally while
taking into account the needs of the occupants and the hosted processes.
Buildings can also produce energy from different sources such as Photovoltaic
panels and store energy for future usage. This energy can be used internally or
given back to the grid. In addition, buildings are not isolated islands but part of
larger ecosystem at the district or even city level. The energy price can change
over time and have an impact on the energy optimization. It could happen also
that the optimization is better driven at a more global level, set of buildings
or district for instance. In the smart building implementations, it is necessary
to simplify the management, control and maintenance of buildings during the
whole life cycle, starting from the design phase. This should lead to much
better process efficiency while driving down the operation costs (OPEX).
As a result there is a strong need to leverage on technology and IoT for
making buildings smarter, improve life of the occupants (personal or at work),
make the buildings more energy efficient, and facilitate the management
and maintenance of the building during its whole life cycle. This has to be
done not only with the new constructed buildings but also with the existing
ones through adequate retrofit solutions. It is important to keep in mind that
new construction represents only 2% of the total installed base each year.
The different ingredients of IoT, connectivity, control, cloud computing,
data analytics, can all contribute to make smarter buildings (offices, industrial,
residential, tertiary, hotels, hospitals, etc.):
 3.3 IoT Smart Environments and Applications 49

Figure 3.18 Smart building implementation [72].

• Connected to the grid (“smart grid ready”)

• Connected to the Smart City
• Energy efficient while taking care of the comfort of the occupants
• Adaptable to the changing needs of the occupants over time
• Providing services for a better life of the occupants
• Easy to maintain during the whole life cycle at minimal cost
The solutions focus primarily on environmental monitoring, energy man-
agement, assisted living, comfort, and convenience. The solutions are based
on open platforms that employ a network of intelligent sensors to provide
information about the state of the home. These sensors monitor systems such
50 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.19 Home equipment and appliances [59].

 3.3 IoT Smart Environments and Applications 51

as energy generation and metering; heating, ventilation, and air-conditioning

(HVAC); lighting; security; and environmental key performance indicators.
The networking aspects are bringing online streaming services or network
playback, while becoming a mean to control of the device functionality over
the network.
Integration of cyber-physical systems (CPS) both within the building
and with external entities, such as the electrical grid, requires stakeholder
cooperation to achieve true interoperability. Maintaining security will be a
critical challenge to overcome in smart buildings IoT applications [71].
In the IoT ecosystems, the collaboration among various stakeholders to
optimise the smart buildings allow operators of buildings to find ways to con-
serve energy for both environmental and economic reasons, while architects
and builders, are trying to make new buildings as “green” as possible.
IoT technologies are extending today’s building automation and transform-
ing the smart buildings and facilities through IoT platforms providing intel-
ligence, security, modularity, and intuitive interfaces that allow autonomous
operations. The evolution of building system architectures includes an adap-
tation level that will dynamically feed the automation level with control logic,
i.e. rules, using algorithms and rules as Web resources in a similar way as for
sensors and actuators.
The market sizing and opportunities for smart commercial buildings; is
increasing and Memoori report “The Internet of Things in Smart Buildings
2014 to 2020” [33] makes an objective assessment of the market for IoT
Technologies, Networks and Services in Buildings 2014 to 2020. Market
figures indicate that the overall market for systems in buildings will grow
from $110.9Bn in 2014 to $181.1Bn in 2020, with Physical Security, Lighting
Control and Fire Detection and Safety representing the three largest segments.
In order to calculate the technical market potential for the IoT in Buildings.
The report has assessed the additional cost requirement of adding connec-
tivity through sensors to existing or newly installed building systems, as well
as projecting the growth in related network hardware and IoT data services that
the IoT in Buildings would enable to generate. The report therefore projects
that the global market for the IoT in Buildings will rise from $22.93Bn in 2014
to over $85Bn in 2020. In this context, the following estimates are made:
• Overall connectivity penetration rates across all building systems are at
only around 16%. This connectivity penetration rate will rise steadily over
the coming years, but mainstream penetration, i.e. 50% of all building
systems devices connected, is unlikely to be achieved before 2025.
52 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.20 IoT in commercial buildings [33].

 3.3 IoT Smart Environments and Applications 53

• The networking and related services segment of the market will show a
steady growth of 22.6% CAGR rising from $9.53Bn in 2014 to $32.43Bn
in 2020 which represents 37% of overall revenues by 2020. Similar to
the market for connectivity hardware, effective network deployment to
keep up with the rising bandwidth demands of the IoT in Buildings will
be crucial to the effective delivery of services and the management of
data flows.
The concept of “Internet of Building” that integrates the information from
multiple intelligent building management systems and optimise the behaviour
of individual buildings as part of a larger information system. These systems
are used by facilities managers in buildings to manage energy use and energy
procurement and to maintain buildings. It is based on the infrastructure of the
existing Intranets and the Internet, and therefore utilises the same standards
as other IT devices. Reductions in the cost and increased reliability of IoT
applications using wireless technologies for monitoring and control are trans-
forming building automation, by making the maintenance of energy efficient
healthy productive workspaces in buildings increasingly cost effective [50].
IoT technologies and applications used across the buildings and architec-
ture sector need to be integrated with applications in other sectors. The value
in “Internet of Buildings” is as much in the edge devices and the data collected,
exchanged and processed. Collecting, exchanging and processing data from
building services and equipment provides a granular view of how each building
is performing, allowing the development of building systems that collect, store
and analyse data at the edge and in the cloud, providing better operational
efficiency and integration with IoT platforms and applications across various
sectors. These efforts will cover the following domains of research.
• IoT architecture and IoT platforms to address smart buildings and archi-
tecture monitoring and control strategies and integrate monitors/controls
from edge sensors/actuators devices to the data exchange and processing.
• Communication technologies and infrastructures required for IoT build-
ings applications and their integration with applications and IoT plat-
forms across various consumer and industrial sectors.
• Hardware/software, machine learning and analytics approaches support-
ing real-time interoperable distributed decision support monitoring and
control in heterogeneous environments.
• New developments in the smart buildings addressing business mod-
els, applications, IoT technology, interoperability at various levels and
frameworks, regulation and law, etc.
54 IoT Digital Value Chain Connecting Research, Innovation and Deployment

3.3.5 Smart Energy

Future energy supply will be largely based on various renewable resources
and this source of energy will influence the energy consumption behaviour,
demanding an intelligent and flexible electrical grid which is able to react
to power fluctuations by controlling electrical energy sources (generation,
storage) and sinks (load, storage) and by suitable reconfiguration. The func-
tions are based on networked intelligent devices (appliances, micro-generation
equipment, infrastructure, consumer products) and grid infrastructure ele-
ments, largely based on IoT concepts.
The energy grid development requires a number of features as listed below
in order to implement the vison of the smart grid concept.
• It will integrate traditional and emerging power sources and make the
delivery of energy cleaner, safer, and more economical.
• Operators will have the transparency and visibility to monitor and analyse
the flow of energy, and two-way communication with consumers’ smart
meters to analyse consumption patterns.
• Intelligent devices that collect and analyse massive volumes of data will
enable operators to plan for contingencies for variable resources.
• Smart IoT devices will manage the distribution of energy based on real-
time data and situational awareness, as opposed to historical data patterns.
• Predictive maintenance capabilities will alert operators when a compo-
nent needs attention or repair, reducing the need for ongoing inspections.
• Adaptive analytics will enable systems to automatically balance energy
loads to reduce stress and prevent overheating.
The high number of distributed small and medium sized energy sources and
power plants can be combined virtually ad hoc to virtual power plants. Using
this concept, areas of the grid can be isolated from the central grid and supplied
from within by internal energy sources such as photovoltaics on the roofs,
block heat and power plants or energy storages of a residential area.
IoT is expected to facilitate the deployment of new smart energy apps
within energy stakeholders ICT (generation and retail companies, Grid and
market operators, new load aggregators) bringing new options for real-
time control strategies across energy asset portfolios for faster reactions to
power fluctuations. These new technologies should combine both centralised
and decentralised approaches integrating all energy generation (generation,
storage) and load (demand responsive loads in residential, buildings and
industries as well as storage and electrical vehicles) through interconnected
real-time energy markets. IoT should also improve the management of asset
 3.3 IoT Smart Environments and Applications 55

Figure 3.21 Smart grid concept [49, 79].

performance through more accurate estimations of asset health conditions and

deployment of fact based preventive maintenance.
These new smart energy apps will largely be based on the networking
of IoT intelligent devices embedded within Distributed Energy Resources
(DER) spread across the energy system such as consumer appliances, heating
and air conditioning, lighting, distributed generation and associated inverters,
grid edge and feeder automation, storage and EV charging infrastructures.
While energy systems have historically been controlled through single cen-
tral dispatch strategies with limited information on grid edge and con-
sumers behaviours, energy systems are now characterized by rapidly growing
portfolios of DER structured through several layers of control hierarchies
interconnecting the main grid down to microgrids within industries and
communities, nanogrids at building level and picogrids at residential scale.
Moreover as most of DER have diffused within end-user premises, new
transactive control approaches are required to facilitate their coordination
at various scales of the Grid system through real-time pricing strategies.
Furthermore aggregators and energy supply companies have started to develop
new flexibility offers to facilitate DER coordination virtually through ad hoc
virtual power plants raising new connectivity, security and data ownership
challenges.
Meanwhile climate change has also recently exposed grids to new
extreme weather conditions requiring reconsidering Grid physical and ICT
56 IoT Digital Value Chain Connecting Research, Innovation and Deployment

architectures to allow self-healing during significant disasters while taking

advantage of distributed generation and storage to island critical grid areas
(hospital, large public campus) and maintain safe city areas during emergency
weather conditions.
Integration of cyber-physical systems engineering and technology to the
existing electric grid and other utility systems is a challenge. The increased
system complexity poses technical challenges that must be considered as
the system is operated in ways that were not intended when the infras-
tructure was originally built. As technologies and systems are incorporated,
security remains a paramount concern to lower system vulnerability and
protect stakeholder data [71]. These challenges will need to be address as
well by the IoT applications that integrate heterogeneous cyber-physical
systems.
A new report by Mercom Capital Group indicates that smart grid, battery
and storage, as well as energy efficiency companies raised up to US$1.7bn in
VC funding in 2015. The report which examines mergers and acquisition
activity in the smart grid, battery/storage, and energy efficiency sectors,
revealed that the smart grid sector raised US$425 million across 57 deals
in 2015, in comparison to US$384 million over 74 deals in the previous year
(2014) [79].
The energy grid is expected to be the implementation of a kind of “Internet”
in which the energy packet is managed similarly to the data packet – across
routers and gateways, which autonomously can decide the best pathway for
the packet to reach its destination with the best integrity levels. In this respect,
the “Internet of Energy” concept is defined as a network infrastructure based
on standard and interoperable communication transceivers, gateways and
protocols that will allow a real time balance between the local and the global
generation and storage capability with the energy demand.
The Internet of Energy (IoE) concept is defined as a network infrastructure
based on standard and interoperable communication nodes that will allow
the end-to-end real time balance between the local and the central gener-
ation, responsive demand and storage. It will allow units of energy to be
transferred when and where it is needed. Power consumption monitoring will
be performed on all levels, from local individual devices up to national and
international level [78].
Considering the fast diffusion of energy resources on end user premises –
becoming prosumers-, the new IoT platform considered will also allow
a high level of consumer awareness and involvement through community
benchmarking.
 3.3 IoT Smart Environments and Applications 57

Electro mobility requiring the rapid deployment of charging infra-

structures adding significant constraints to power grids; EVs will be considered
as integral element of future smart energy systems acting as a power load as
well as moveable energy storage linked through IoT technologies. EVs will
require to transact with the Energy system according to their charge status,
usage schedule and energy price which itself will depend on abundance of
renewable energy available at a certain time in the energy system. This should
ultimately allow monitoring the carbon footprint of all mobility services from
wells to wheels.
Latencies are critical when talking about electrical control loops. Even
though not being a critical feature, low energy dissipation should be manda-
tory. In order to facilitate interaction between different vendors’ products the
technology should be based on a standardized communication protocol stack.
When dealing with a critical part of the public infrastructure, data security
is of the highest importance. In order to satisfy the extremely high requirements
on reliability of energy grids, the components as well as their interaction must
feature the highest reliability performance.
IoT applications in the energy sector go beyond one industrial sector.
Energy, mobility and home/buildings sectors will have to share data through
energy gateways that will control the transfer of energy and information.
Flexible data filtering, data mining and machine learning procedures as
well as new generation IoT platforms are necessary to handle the high amount
of raw data provided by billions of data sources while guaranteeing resiliency,
security as well as end user data protection. System and data models need to
support the design of real-time decision support systems, which guarantee a
reliable and secure operation of vital energy infrastructures.
The future research challenges will cover the following areas:
• ICT/IoT architectures and IoT platforms to revisit grid control strategies
and integrate hierarchical controls from energy nodes with sensors
through ranges of aggregation structures (pico, nano and micro energy
systems).
• Novel communication infrastructures required at each level of these
grid nodes to meet necessary Service level agreements for each of the
energy service considered (energy efficiency, grid ancillary services, grid
resiliency, etc. . .).
• New software/smart data and machine learning approaches support-
ing real-time distributed decision support/transactive controls in highly
volatile environments.
58 IoT Digital Value Chain Connecting Research, Innovation and Deployment

• New apps for energy prosumer feedback facilitating smooth real-time

energy transactive controls in daily lives leveraging consumer ICT
(mobile, TVs, vehicle, IoT, etc. . .).
• IoT end-to-end security framework approach and privacy, trust and safety
in order to secure the grid from hackers and acts of cyber-sabotage.
Security needs to be built into every device starting at the base of the
software stack.
• Providing intelligent solution for connecting and protecting legacy sys-
tems (the older, aging parts of the existing energy infrastructure) by
building secure Internet gateways that enable cloud-based central control
systems to collect local intelligence data from the systems while blocking
attacks.
• Embedding intelligence into the energy systems with smart energy
devices that deliver manageability, security, and connectivity, while
driving down the cost of development and deployment.
• Privacy by design of the energy systems that will assure that the data
generated by using the monitoring systems will not expose sensitive
customer information. This requires that the same security principals that
apply to the energy enterprise will also be applied at the consumer level.

3.3.6 Smart Mobility and Transport

The connection of vehicles to the Internet gives rise to a wealth of new pos-
sibilities and applications which bring new functionalities to the individuals
and/or the making of transport easier and safer. In this context the concept
of Internet of Vehicles (IoV) [78] connected with the concept of Internet of
Energy (IoE) represent future trends for smart transportation and mobility
applications.
At the same time creating new mobile ecosystems based on trust, security
and convenience to mobile/contactless services and transportation applica-
tions will ensure security, mobility and convenience to consumer-centric
transactions and services.
Representing human behaviour in the design, development, and operation
of cyber-physical systems in autonomous vehicles is a challenge. Incorpo-
rating human-in-the-loop considerations is critical to safety, dependability,
and predictability. There is currently limited understanding of how driver
behaviour will be affected by adaptive traffic control cyber-physical systems.
In addition, it is difficult to account for the stochastic effects of the human
driver in a mixed traffic environment (i.e., human and autonomous vehicle
 3.3 IoT Smart Environments and Applications 59

drivers) such as that found in traffic control cyber-physical systems. Increas-

ing integration calls for security measures that are not physical, but more
logical while still ensuring there will be no security compromise. As cyber-
physical systems become more complex and interactions between components
increases, safety and security will continue to be of paramount importance
[71]. All these elements are of the paramount importance for the IoT
ecosystems developed based on these enabling technologies.
Self-driving vehicles today are in the prototype phase and the idea is
becoming just another technology on the computing industry’s parts list. By
using automotive vision chips that can be used to help vehicles understand the
environment around them by detecting pedestrians, traffic lights, collisions,
drowsy drivers, and road lane markings. Those tasks initially are more the
sort of thing that would help a driver in unusual circumstances rather than
take over full time. But they’re a significant step in the gradual shift toward
the computer-controlled vehicles that Google, Volvo, and other companies are
working on [56].
These scenarios are, not independent from each other and show their full
potential when combined and used for different applications.
Technical elements of such systems are smart phones and smart vehicle on-
board units, which acquire information from the user (e.g. position, destination
and schedule) and from on-board systems (e.g. vehicle status, position, energy
usage profile, driving profile). They interact with external systems (e.g. traffic
control systems, parking management, vehicle sharing managements, electric
vehicle charging infrastructure).
The concept of Internet of Vehicles (IoV) is the next step for future smart
transportation and mobility applications and requires creating new mobile
ecosystems based on trust, security and convenience to mobile/contactless
services and transportation applications in order to ensure security, mobility
and convenience to consumer-centric transactions and services.
Smart sensors in the road and traffic control infrastructures need to collect
information about road and traffic status, weather conditions, etc. This requires
robust sensors (and actuators) which are able to reliably deliver information
to the systems mentioned above. Such reliable communication needs to be
based on IoT communication, which consider the timing, safety, and security
constraints. The integration of the communication gateway into vehicles is
presented in Figure 3.23. The expected high amount of data will require
sophisticated data mining strategies. Overall optimisation of traffic flow and
energy usage may be achieved by collective organisation among the individual
vehicles.
60 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.22 Home and vehicle IoT solutions [55].

Figure 3.23 Vehicle integrated IoT communication platform.
3.3 IoT Smart Environments and Applications 61
62 IoT Digital Value Chain Connecting Research, Innovation and Deployment

When dealing with information related to individuals’ positions, desti-

nations, schedules, and user habits, privacy concerns gain highest priority.
They even might become road blockers for such technologies. Consequently,
not only secure communication paths but also procedures which guarantee
anonymity and de-personalization of sensible data are of interest.
Connectivity will revolutionize the environment and economics of vehi-
cles in the future: first through connection among vehicles and intelligent
infrastructures, second through the emergence of an ecosystem of services
around smarter and more autonomous vehicles.
In this context the successful deployment of safe and autonomous vehicles
(SAE1 international level 5, full automation) in different use case scenarios,
using local and distributed information and intelligence is an important
achievement. This is based on real-time reliable platforms managing mixed
mission and safety critical vehicle services, advanced sensors/actuators, nav-
igation and cognitive decision-making technology, interconnectivity between
vehicles (V2V) and vehicle to infrastructure (V2I) communication. There is a
need to demonstrate in real life environments (i.e. highways, congested urban
environment, and/or dedicated lanes), mixing autonomous connected vehicles
and legacy vehicles the functionalities in order to evaluate and demonstrate
dependability, robustness and resilience of the technology over longer period
of time and under a large variety of conditions.
The introduction of the autonomous vehicles enables the development
of service ecosystems around vehicles and multi-modal mobility, considering
that the vehicle includes multiple embedded information sources around which
information services may be constructed. The information may be used for
other services (i.e. maintenance, personalised insurance, vehicle behaviour
monitoring and diagnostic, security and autonomous cruise, etc.).
The emergence of these services will be supported by open service plat-
forms that communicate and exchange information with the vehicle embedded
information sources and to vehicle surrounding information, with the goal of
providing personalised services to drivers. Possible barriers to the deployment
of autonomous vehicles and ecosystems are the robustness sensing/actuating
the environment, overall user acceptance, the economic, ethical, legal and
regulatory issues.
The integration of the interconnected and intelligent intra vehicle com-
munication systems and the vehicle to infrastructure into the overall IoT
service platforms will offer the possibility to develop new applications and

1
Society of Automotive Engineers, J3016 standard.
 3.3 IoT Smart Environments and Applications 63

services it is expected that 80% of vehicles in Europe will be two-way

connected by 2018. This offer the possibility to combine the vehicle to
infrastructure communication and integration with service providers with
intermodal vehicle navigation applications and navigation routes based on
real-time information. IoT applications for vehicle sharing and the use of
transport city fleets (EVs for transport of goods and persons) are part of the
deployment of new IoT technologies and related IoT ecosystems. These will
open the stepwise rollout of autonomous driving technologies and the linkages
of these technologies with shared-use business models and issues relating to
the regulatory framework and consumer trust.
For autonomous vehicle applications, computing at the edge of the mobile
network will be used for processing the data locally and provide services in
real time.
Data transmission costs and the latency limitations of mobile connectivity
pose challenges to autonomous vehicle IoT applications that cannot rely only
on cloud computing.
Mobile edge computing enables IoT applications to deliver real-time and
context-based mobile moments to users of IoT solutions.
In IoT applications involving autonomous vehicles a combination of cloud
and mobile edge computing technologies have to be consider by analysing the
following:
• Cloud, mobile edge and IoT are increasingly intertwined and used
together to improve IoT application experiences. IoT solutions gain func-
tionality through cloud services, which in turn open access to third-party
companies and up-to-date information.
• Mobile connectivity for real time autonomous systems create challenges
for cloud-enabled IoT solutions since latency limitations affects user
experiences in the IoT real time applications context.
• Mobile edge computing assure the real time network connectivity, loca-
tion and context information. The technology gives access to “near edge”
computing capabilities and a cloud like service environment close to the
users and edge devices.
• Mobile edge computing is a component of the network infrastructure
for blockchain, since the replication of “blocks” via devices can be
implemented at the edge.
3.3.7 Industrial IoT and Smart Manufacturing
The role of the IoT is becoming more prominent in enabling access to devices
and machines, which in manufacturing systems, were hidden in well-designed
64 IoT Digital Value Chain Connecting Research, Innovation and Deployment

silos. This evolution will allow the IT to penetrate further the digitized
manufacturing systems. The IoT will connect the factory to a completely new
range of applications, which run around the production. This could range from
connecting the factory to the smart grid, sharing the production facility as a
service or allowing more agility and flexibility within the production systems
themselves. In this sense, the production system could be considered one of
the many Internets of Things (IoT), where a new ecosystem for smarter and
more efficient production could be defined.
The evolutionary steps towards smart factory require enabling access to
external stakeholders in order to interact with an IoT-enabled manufacturing
system that is formed of connected industrial systems that communicate
and coordinate their data analytics and actions to improve performance and
efficiency and reduce or eliminate downtime. These stakeholders could include
the suppliers of the productions tools (e.g. machines, robots), as well as the
production logistics (e.g. material flow, supply chain management), and main-
tenance and re-tooling actors. The manufacturing services and applications
do not need to be defined in an intertwined and strictly linked manner to
the physical system, but rather run as services in a shared physical world.
Adopting the industrial IoT requires a change in the way stakeholders design
and augment their industrial systems in order that the IoT industrial systems are
adaptive and scalable through software or added functionality that integrates
with the overall solution.
Industrial IoT applications are using of the data available, business ana-
lytics, cloud services, enterprise mobility and many others to improve the
industrial processes. These technologies include big data and business analyt-
ics software, cloud services, embedded technology, sensor networks/sensing
technology, wireless communication, mobility, security and ID recognition
technology, wireless network and standardisation. Security is very important
in industrial IoT applications that are processing the information from tens of
thousands of edge devices nodes. Faulty data injected into the system has the
potential to be as damaging as data extracted from the systems via data breach.
The convergence of microelectronics and micromechanical parts within a
sensing device, the ubiquity of communications, the rise of micro-robotics, the
customization made possible by software will significantly change the world
of manufacturing. In addition, broader pervasiveness of telecommunications
in many environments is one of the reasons why these environments take the
shape of ecosystems.
The future IoT developments integrated into the digital economy will
address highly distributed IoT applications involving a high degree of
 3.3 IoT Smart Environments and Applications 65

distribution, and processing at the edge of the network by using platforms

that that provide compute, storage, and networking services between edge
devices and computing data centres.
IoT applications integrate sensors/actuators and cyber-physical systems
offering new opportunities for new combinations of virtual, digital, physical
and mechanical work. The IoT and Industrial IoT are currently underlying the
far-reaching integration of Information Technology (IT: conventional com-
puters, operating systems, networking components and software platforms.)
and Operational Technology (OT: industrial control system and networks,
hardware and software that detects or causes a change through the direct
monitoring and/or control of physical devices, processes and events in the
enterprise) [12, 13].
Some of the main challenges associated with the implementation of
cyber-physical systems in include affordability, network integration, and the
interoperability of engineering systems.
Most companies have a difficult time justifying risky, expensive, and
uncertain investments for smart manufacturing across the company and factory
level. Changes to the structure, organization, and culture of manufacturing
occur slowly, which hinders technology integration. Pre-digital age con-
trol systems are infrequently replaced because they are still serviceable.
Retrofitting these existing plants with cyber-physical systems is difficult

Figure 3.24 IoT providing the core structure for integration of IT and OT.
66 IoT Digital Value Chain Connecting Research, Innovation and Deployment

and expensive. The lack of a standard industry approach to production

management results in customized software or use of a manual approach.
There is also a need for a unifying theory of non-homogeneous control and
communication systems [71].
The industrial IoT is implemented in various forms, one is called Internet
of Things, Services and People (IoTSP) [27] were the focus is to develop
and enhance process control systems, communications solutions, sensors
and software for the IoTSP. These technologies enable the customers in
industries, utilities and infrastructure to analyse their data more intelligently,
optimize their operations, boost their productivity, and their flexibility. IoTSP
is advancing by helping the IoT stakeholders and customers to develop their
existing technologies, while keeping sight of our enduring commitment to
safety, reliability, cyber security and data privacy. Developing and improving
process control system, communication solutions, sensors and software used
in IoTSP provide new value for the customers. With these technologies, the
customers in industry, utility, transportation and infrastructure can benefit
from smart data analysis, optimized operation, and higher productivity and
flexibility.

3.3.8 Smart Cities

Cities all over the world, from small regional communities to global mega hubs
and from cities with an ancient core to brand new developments, are currently
working on ‘Smart City’ initiatives to make them more efficient, sustainable,
and more attractive to citizens and businesses and to encourage economic
growth. There are many obstacles to successful implementation of these plans,
and translating solutions from one place to another is difficult. While every city
on earth is unique and has its own characteristics that will impact why, how
and which Smart City solutions may emerge, there are enough similarities
for it to be worth investigating how best practices for financing, design,
implementation and operation can be shared and how industry can re-use
experience gained from earlier projects, for example. Key elements include
interoperability of data between devices and subsystems, information flows
between project partners, financing, risk management, etc. [57].
A Smart City is defined as a city that monitors and integrates condi-
tions of all of its critical infrastructures, including roads, bridges, tunnels,
rail/subways, airports, seaports, communications, water, power, even major
buildings, can better optimize its resources, plan its preventive maintenance
activities, and monitor security aspects while maximizing services to its
 3.3 IoT Smart Environments and Applications 67

citizens. Emergency response management to both natural as well as man-

made challenges to the system can be focused and rapid. With advanced
monitoring systems and built-in smart sensors, data can be collected and
evaluated in real time, enhancing city management’s decision-making [69].
There are a number of key elements needed to form a Smart City, and some
of these are smart society, smart buildings, smart energy, smart lighting, smart
mobility, smart water management etc. ICT forms the basic infrastructure;
varying from sensors, actuators and electronic systems to software, Data,
Internet and Cloud, Edge/fog and Mobile Edge computing. ICT is applied
to improve these systems of systems building up a Smart City, making them
autonomous and interoperable, secure and trusted. The interaction of the
systems and the connectivity strongly depend on the communication gateway
connecting the edge element data from sensors, actuators, and electronic
systems to the Internet, managing- and control systems and decision programs.
An illustrative example of a Smart City model is presented in Figure 3.25
[57]. This model has a mostly technical view, concentrating on how (sub)
systems interact with each other supported by telecommunications and infor-
mation technology. The city is divided into the built environment (including
homes, offices and shops and the devices within them), infrastructure-based
sectors (e.g. energy and waste) and service-based sectors (e.g. healthcare and
education). There is possible interaction between elements within any of these
subsystems as well as between subsystems. Smart city infrastructure sectors,
such as telecommunications, information technology and electronics, enable
and support this interaction. A common theme in the example Smart City
models is the use of sensors to collect data from the city, which, through
platforms, can be combined, stored, analysed and displayed. This provides
decision support for actors in the city who can then act and make changes,
the effect of which can in turn be measured [57]. The Smart City is not
only the integration and interconnection of intelligent applications, but also a
people-centric and sustainable innovation model that is using communication
and information technology and takes advantage of the open innovation
ecology of the city and the new technologies such as IoT, cloud comput-
ing, data analytics, human-human, human-machine, machine-infrastructure,
machine-environment interaction.
A Smart City is a developed urban area that creates sustainable economic
development and high quality of life by excelling in multiple key areas:
economy, mobility, environment, people, living, and government [77].
Identifying or developing sets of Key Performance (KPI) and other indi-
cators to gauge the success of Smart City ICT deployments. KPIs are required
68 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.25 Smart City model – technical view [57].

to provide performance as seen from different viewpoints, such as those: of

residents/citizens (reliability, availability, quality and safety of services, etc.);
of community and city managers (operational efficiency, resilience, scalability,
security, etc.); and of the environment (climate change, biodiversity, resource
efficiency, pollution, recycling rates/returns). The indicators appropriate for
 3.3 IoT Smart Environments and Applications 69

one city or context may not be the same for others. As such, there should
also be standardized guidance for city managers on selecting and using
KPIs appropriate to their particular situation. Requirements for standardized
risk assessment methodologies for critical infrastructure dependencies across
organisations and sectors [58].

3.3.8.1 Open Data and Ecosystem for Smart Cities

As main areas of application, smarter cities plays a relevant role, not only
because the impact in re-using and re-purposing technology that is neces-
sary (the number of deployed sensors) but also the increasing demand of
new services (by citizens). IoT applications are currently based on multiple
architectures, technology standards and seamless software platforms, which
have led to a highly fragmented IoT landscape. This fragmentation impacts
directly the area of smart cities, which typically comprise several technological
silos (i.e. IoT systems that have been developed and deployed independently
for smart homes, smart industrial automation, smart transport, and smart
buildings etc.).
The operation of IoT applications for Smart Cities will be supported by the
introduction of an abstract virtualized digital layer that operate across multiple
IoT architectures, platforms (e.g. FI-WARE) and business contexts is required.
Smart cities soon will face up the need for an integrated solution(s) (SmartCity-
OS) that globally can monitor, visualise and control the uncountable integrated
number of operations executed by diverse (and every day increasing) services
platforms using the sensor technology deployed in the cities.
The term “Open Data” in the context of Smart Cities generally refers
to a public policy that requires public sector agencies and their contractors
to release key sets of government data (relating to many public activities
of the agency) to the public for any use, or re-use, in an easily accessible
manner. In many cases, this policy encourages this data to be freely available
and distributable. The value of releasing such data is presumed to lie in
the combination of this and other data from various sources. This value can
be dramatically increased when the data is discoverable, actionable and
available in standard formats for machine readability. The data is then usable
by other public agencies, third parties and the general public for new services,
and for ever richer insight into the performance of key areas like transport,
energy, health and environment. In this context there is a need to ensure that any
standards or guidance in this area should not be prescriptive about particular
models, but encourage innovation in data re-use [58].
 70 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.26 Smart City – integration of heterogeneous systems and open data.
 3.3 IoT Smart Environments and Applications 71

The quality of IoT Data and the numerous IoT Data source provisioning
are important issues as there is an inherent need to generate semantic-driven
business platforms, o address the enabling business-driven IoT ecosystems.
These systems have to address functionalities for operating across multi-
ple IoT architectures, platforms and business contexts, to enable a more
connected/integrated approach to Smart City applications development.
Smart Cities are becoming one of the biggest fields of application for
IoT technologies. Cities are more and more full of devices equipped with
sensors, actuators and other appliances providing information that in the past
was either impossible or relatively difficult to gather. Their main purpose,
among other functionalities, is to gather information about various parameters
of importance for management of day-to-day activities in the city as well
as for longer term development planning. Examples of such parameters are
information about public transport (real-time location, utilization), traffic
intensity, environmental data (air quality), occupancy of parking spaces, noise,
monitoring of waste bins, energy consumption in public buildings, etc. [66].
Integrated IoT solutions deployed in the cities require addressing inter-
operability, security, privacy, and trust for all of the suppliers in the

Figure 3.27 Smart City communication technologies landscape.

72 IoT Digital Value Chain Connecting Research, Innovation and Deployment

ecosystem also have policies and safeguards that align to those of the
citizens.
The research priorities need to focus on common IoT architecture
approaches, IoT data modelling and schema representations, intra-domain
and CPS extensions that allows more robustness and extensible IoT plat-
forms with embedded software and applications enabling heterogeneous
systems to interact (systems of systems integration) across various verticals in
the city.

3.3.8.2 Citizen Centric Smart Cities IoT Applications

and Deployments
Public city environments are complex and large. The only possibility to
address these largescale, multi-subsystem projects is in a collaborative, open-
innovation context, where effort is required to align interests, shape opinions,
develop business models and provide a common, interoperable IoT technology
ecosystem. Cities are “used” by people, which play different roles on the
city (resident citizens, visitors and tourists, businesses, municipal services
employees, etc.). The focus on users and citizens can be orchestrated in
various dimensions: problems, awareness, participation, culture and digital
transformation [66].
In this context, there are numerous important research challenges for
smarty city IoT applications:
• Design and implementation of modular architectures enabling easy ways
to interface with already existing infrastructures by using standards,
protocol wrappers or other innovative means.
• Overcoming traditional silo based organization of the cities, with each
utility responsible for their own closed world. Although not technologi-
cal, this is one of the main barriers.
• Creating algorithms and schemes to describe information created by
sensors in different applications to enable useful exchange of information
between different city services.
• Mechanisms for cost efficient deployment and even more important
maintenance of such installations, including energy scavenging.
• Ensuring reliable readings from a plethora of sensors and efficient
calibration of a large number of sensors deployed everywhere from
lampposts to waste bins.
• Increasing the intelligence and flexibility on end devices to support them
to take autonomous decisions, decreasing resource overloads such as
bandwidth and improving their management.
 3.3 IoT Smart Environments and Applications 73

• Provide interoperability solutions that allows that interoperability can be

achieved at different levels with the goal of reaching fully interoperability
at data level for IoT platforms that operate inside the city and allows the
replicability of solutions among cities.
• Design and development of unifiedAPIs for accessing data independently
of the protocols, APIs and models supported in the underlying IoT
platform in a machine readable way.
• Algorithms for analysis and processing of data acquired in the city and
making “sense” out of it.
• IoT large-scale deployment and integration.

3.3.9 Smart Farming and Food Security

Food and fresh water are the most important natural resources in the world.
Farming is a major economic activity in Europe [70], with about 12 million
farms in the EU-28 in 2010, 40% of the land area and 25 million people
dedicated to farming activities. In a European context with its popula-
tion increasing, achieving higher efficiency in food production is a top
priority.
Sustainable farming, producing more with less and with a smaller environ-
mental footprint, is an unstoppable trend that demands new technologies. ICT
technologies, and IoT in particular, will be crucial elements for meeting the
challenges of tomorrow’s sustainable farming, supporting the implementation
of smart/precision farming techniques aimed at improving the processes of
food production. Indeed, a lot of ICT research and innovation in farming is
happening nowadays around precision farming, although the benefits of the
application of ICT technologies encompass the whole agri-food value chain
as presented in Figure 3.28: food processing, food logistics, wholesale/retail,
and finally the consumers.
One crucial aspect that cannot be overlooked, and which is transversal
to the whole agri-food value chain, is food safety and traceability: the
mechanisms to ensure and monitor those food products are healthy and safe, at
their highest possible quality specifications, throughout their whole lifecycle,
from farm to fork. Again, food safety can greatly benefit from the application
of IoT technologies.
Farming 4.0, or IoT-based innovations applied to farming, has the potential
to boost rural areas and EU economy. The AIOTI WG06 Recommendations
Report [64], recently published, highlights the benefits that the application of
IoT technologies can bring into the agri-food sector, along with the numerous
74 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Figure 3.28 Smart farming and food security stakeholders + agri-food value chain.

challenges that must be overcome to unleash their full potential in large scale
implementations.
Final IoT-based applications or solutions are enabled by the combination
of a number of technology building blocks or layers. Each of those layers
faces particular R&I challenges.
IoT applications in the farming sector are dependent on a number of
enabling technologies covering hardware (i.e. smart devices that may embed
sensors, actuators, communication gateways and other appliances), software
(which, embedded in the device, provides it with intelligence, autonomous
decision-making, etc.), network/cloud/communication technologies (includ-
ing the need of reliable, possibly broadband, data coverage in rural or remote
areas, and the growing trend of softwarisation/de-hardwarisation and locali-
sation of networks), and services for providing the functionalities needed by
the sector. In addition interoperability, standardisation and data management
(considering the value and the sensitivity of data generated at farms and
other parts of the food chain, but also the added value that comes from data
aggregation) are key R&I drivers that are applicable to all technology layers.
A report on smart farming [53] defines seven applications:
• Fleet management – tracking of farm vehicles
• Arable farming, large and small field farming
 3.3 IoT Smart Environments and Applications 75

• Livestock monitoring
• Indoor farming – greenhouses and stables
• Fish farming
• Forestry
• Storage monitoring – water tanks, fuel tanks
Smart farming will allow farmers and growers to improve productivity and
reduce waste, ranging from the quantity of fertiliser used to the number of jour-
neys made by farm vehicles. The complexity of smart farming is also reflected
into the ecosystem of players. They can be classified in the following way:
• Technology providers – these include providers of wireless connectivity,
sensors, M2M solutions, decision support systems at the back office, big
data analytical systems, geo-mapping applications, smartphone apps
• Providers of agricultural equipment and machinery (combines, tractors,
robots), farm buildings, as well as providers of specialist products (e.g.
seeds, feeds) and expertise in crop management and animal husbandry
• Customers: farmers, farming associations and cooperatives
• Influencers – those that set prices, influence the market into which farmers
and growers sell their products.
The range of stakeholders in agriculture is broad, ranging from big business,
finance, engineering, chemical companies, food retailers to industry associa-
tions and groupings through small suppliers of expertise in all the specialist
areas of farming.
The end users of precision farming solutions include not only the growers
but also farm managers, users of back office IT systems. Not to be forgotten is
the role of the veterinary in understanding animal health. Also to be considered
are farmers co-operatives, which can help smaller farmers with advice and
funding.
The following table provides an overview of the most relevant challenges
across the technology layers.

Table 3.1 Technological challenges for IoT applications in the farming sector
Development 2016–2020 Beyond 2020
Enabling • Improve the ratio computational • Implementation of
hardware power-to-energy consumption of more efficient hardware
devices, possibly combined with cryptographic
energy harvesting or local renewable primitives embedded in
generation. hardware devices

(Continued )
76 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.1 Continued

Development 2016–2020 Beyond 2020
• Increase hardware robustness: longer
lifetime and calibration cycles
• Development of cost-effective
near-field communication
technologies suitable for massive use
in food products
Enabling • Development of flexible real-time • Self-configurable,
software and embedded micro operating remotely attestable
systems devices
• Self-configurable, remotely
attestable devices
• Large-scale device management and
orchestration software and
middleware, including SW

Enabling • SDN/NFV for telcos targeted to • SDN/NFV for telcos

network, cloud, smart agriculture applications targeted to smart
communication • Edge analytics to promote local data agriculture applications
technologies circulation • Distributed
• Definition and application of communication
protocols with bounded message architectures (e.g. Edge
delivery times (for real-time Computing) to treat
applications) smart farming as
• Federated/orchestrated hybrid clouds critical industries in
and transition to communal terms of time latencies
equipment/infrastructure
• Level playing field facilitating
competition among service providers
• Increase the range of communication
and reliability of deployed devices
• Adapt communications architecture
for supporting low individual device
throughput and high aggregated
network throughput (i.e. few short
messages from each device, but a
high amount of individual data
sources)
• Automatic deployment (no need for
configuration of the
communications)
Service layer • Data analytics and predictive • Data analytics and
modelling for decision-support predictive modelling
systems for decision-support
systems
 3.3 IoT Smart Environments and Applications 77

• High accuracy (indoor and outdoor) • Farm management

positioning and mapping solutions systems satisfying
cost-effective enough for smaller energy efficiency
farms to adopted precision farming objectives, related to
• Farm management systems and cultivation and farm
precision farming solutions easily management processes
adaptable to holdings of different
sizes
• Service providing infrastructure for
3rd parties allowing the integration
of external service providers that use
internal data (for example, a
company that provides irrigation
optimization analysis)
• Farm management systems
satisfying energy efficiency
objectives, related to cultivation and
farm management processes
• User interfaces with high usability
and low learning curve
• Stimulate innovation in targeting
cross-sectorial IoT applications such
as smart energy management for
farms, smart nutrition management
for end-consumers
Interoperability • Specification and implementation of • Development of open
and protocols for agricultural machinery reference vocabularies,
standardisation information exchange, including formats and protocols
fleet management for data storage and
• Development of open reference exchange allowing
vocabularies, formats and protocols flexible interaction
for data storage and exchange between arbitrary
allowing flexible interaction between actors across the food
arbitrary actors across the food chain chain
• Specification of universal
identification standards and
technologies inter-linking among
different addressing techniques, to
make sure those different parts in
food traceability scenarios can be
properly referred to and logically
interrelated.
Data • Digital Rights Management in the • Trusted data: integrity
management farming domain, including scenarios and authenticity of the
and protection of data aggregation and data sharing data generated/stored.
(Continued )
78 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.1 Continued

Development 2016–2020 Beyond 2020
• Trusted data: integrity and The origin of the
authenticity of the data product, the processing
generated/stored. The origin of the stages it passed through
product, the processing stages it and other sensitive
passed through and other sensitive information must be
information must be known. known. Guarantee the
Guarantee the trustworthiness of the trustworthiness of the
source is a crucial requirement. source is a crucial
• Low cost authentication mechanisms requirement.
for devices/machines • Low cost authentication
• Access control policies and access mechanisms for
control mechanisms for individual devices/machines
users and individual pieces of
information
• Develop hybrid cloud storage and
interaction models which unite the
universal data availability of cloud
solutions with the individual, local
control of data owners and the
resilience against disruptive crisis
provided by de-centralized island
networks and individualized
peer-to-peer communication

3.3.9.1 Business Models and Innovation Ecosystems

The deployment and adoption of IoT technologies and applications in the
farming sector need to address the different challenges and opportunities
created by the new business models introduced. A number of issues that have
to be considered are presented below:
• Provide evidence of the sustainability of the IoT-based business, both for
the supply (ICT) and demand (agri-food) sides. From the point of view
of the users, the quantifiable benefit and profitability must compensate
for the cost of the IoT solutions.
• A challenge, and at the same time an opportunity, is the possibility of
devising new, disruptive business models. Some traditional companies,
for instance, are already shifting their business to data-driven models.
• Stimulate and empower the role of consumers as key element/
beneficiaries of the IoT-enabled food supply chain
 3.3 IoT Smart Environments and Applications 79

• Build trust around the smart farming technology made in the EU (for
example through a IoT trust label)
• Analyse the important role of farm advisory services in the context of
data-driven farming
• Foster the creation of digital farming innovation hubs, not only in EU, but
at regional/national level, to accelerate innovation and adoption, facilitate
the early exchange of best practice.

3.3.9.2 Societal Aspects

The complexity of smart farming and the proliferation of IoT technolo-
gies provided by various stakeholders or ecosystems requires consider-
ing the following social aspects when addressing the implementation and
deployments:
• Identify the lack of digital skills preventing the adoption of digital
agriculture in some EU regions, and take corrective action involving the
necessary stakeholders (cooperatives, regional administrations) in order
to prevent a digital divide in EU’s agriculture.
• Provide evidence of the positive impact of the digitisation of farming in
the EU’s rural economy. Analyse new potential relationships between the
rural and urban economies.
• Stimulate and empower the role of consumers as key element/
beneficiaries of the IoT-enabled food supply chain
• Promote transparency of the food production process and encourage data
sharing by farmers along agri-food value chain
• Take action to ensure that the benefits of IoT reach all types of farms,
especially smaller and family-owned holdings, which constitute the vast
majority in Europe, and thus are of utmost socioeconomic importance

3.3.9.3 Coordination among Different DGs, Programmes

and Member States
Although H2020 can help by providing a spearhead or lighthouse in the
form of a Large Scale Pilot, a large amount of IoT take-up in the farming
sector will be happening in parallel under national or regional initiatives (and
thus in a smaller, more fragmented scale). Much of this technology take-
up can or will be facilitated by public investments of Structural Funds or
other funding sources managed at a national or even regional level, such as
EAFRD (European Agricultural Fund for Rural Development, implementing
the Common Agricultural Policy 2014–2020, CAP) and ERDF (European
80 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Regional Development Fund), the latter in regions with Smart Specialization

Strategies.
The active coordination of the different Administrations involved (EU,
national and regional) towards streamlining efforts and generating opera-
tional efficiencies can only contribute to maximize the chances of hav-
ing a vibrant smart farming ecosystem in the EU benefitting users and
providers alike, as well as consumers and the European society and
economy.
National, regional and cities’Public Administrations can play an important
role as either users, infrastructure managers, procurers, initial demand facili-
tators or subsidizers. In this sense, it is important to consider the aggregation
of national and regional initiatives related to IoT for pre-commercial procure-
ment, deployment, coordination of R&I programmes, etc, and the exchange
of best-practices among leading Member States/Regions and followers/
laggards.
Following the IoT cross-cutting actions implemented in the H2020
Work Programme 2016–17, further collaboration in the design of new work
programmes is highly desirable among DG CONNECT, DG AGRI, DG
RESEARCH, DG MARE (to include aquaculture in the future actions), as
well as DG ENER and DG Health and Food Safety.

3.3.9.4 Policy and Regulations

In the context of the DSM, the barriers blocking widespread deployment
of IoT-based innovations in farming (including interoperability, connec-
tivity, and security) must be lowered. The agrifood sector should be no
exception in benefitting from the more agile digital economy. In this vein,
policy makers could benefit from a sound analysis of major threats: data
management and trust (ownership, rules for access, security, and, where
applicable, privacy), connectivity and internet access in rural areas, cost of
high accuracy positioning services, and digital literacy and skills, among
others.
In the context of the EU Common Agricultural Policy (CAP), whose
primary objective nowadays is market-oriented sustainable food produc-
tion, mechanisms could be designed to supporting the adoption of digital
technologies in farming uniformly across the EU.
Regulations regarding traceability and labelling should be addressed
to facilitate adoption of new IoT solutions for traceability at EU-wide
level.
 3.4 IoT and Related Future Internet Technologies 81

3.4 IoT and Related Future Internet Technologies

3.4.1 Cloud Computing
The Cloud computing definition provided by the National Institute of Standard
and Technologies (NIST) covers the main features of the technology. The
definition states that the cloud computing is a model for enabling ubiquitous,
convenient, on-demand network access to a shared pool of configurable com-
puting resources (e.g., networks, servers, storage, applications, and services)
that can be rapidly provisioned and released with minimal management effort
or service provider interaction [25].
Figure 3.29 summarises the main aspects of cloud, characteristics, the
layered architecture and the standard service models. In the following, we
describe a few important aspects of Cloud. The architecture of Cloud can
be split into several layers: datacentre (hardware), infrastructure, platform,
and application. Each of them can be seen as a service for the layer above
and as a consumer for the layer below. Cloud services can be grouped in
three main categories: Software as a Service (SaaS), Platform as a Service
(PaaS), and Infrastructure as a Service (IaaS). SaaS refers to the provisioning
of applications running on Cloud environments. Applications are typically
accessible through a thin client or a web browser. PaaS refers to platform-layer

Figure 3.29 Cloud paradigm [24].

82 IoT Digital Value Chain Connecting Research, Innovation and Deployment

resources (e.g., operating system support, software development frameworks,

etc.). IaaS refers to providing processing, storage, and network resources,
allowing the consumer to control the operating system, storage and applica-
tions [24]. IoT can benefit from the capabilities and resources of cloud to
compensate its technological constraints (e.g., storage, processing, communi-
cation, etc.). Cloud can offer an effective solution for IoT service management
and composition as well as for implementing applications and services that
exploit the things or the data generated by the things. Cloud can benefit from
IoT by extending its usage to deal with real world things in a more distributed
and dynamic manner, and for delivering new services in a large number of
real life scenarios.
Cloud computing provide a unique opportunity to unify the real, digital and
the virtual worlds. IoT enables the building of very large infrastructures that
facilitate the information-driven real-time integration of the physical world,
sensing/actuating, processing, analytics, with the digital, cyber and virtual
worlds on a global scale.

3.4.2 Edge Computing

Virtualisation of objects will push for the convergence of cloud computing
and IoT will enable unprecedented opportunities in the IoT services arena
[80]. The central idea is that IoT’s biggest transformation will be in shifting
power in a network from the center to the edge. Rather than devices and
users communicating through central hubs – mainframes or cloud based
management servers, IoT will allow devices to communicate directly with
each other, which is the implementation of the “democratic” vision of a
decentralized Internet [82].
The IoT layered architecture include the edge intelligence into the edge
computing/processing where all the data capture, processing is done at the
device level among all the physical sensor/actuators/devices that include
controllers based on microprocessors/microcontrollers to compute/process
and wireless modules to communicate. The intelligence at the edge sup-
ports devices to use their data sharing and decision-making capabilities to
interact and cooperate in order to process the data at the edge, filter it and
select/prioritize what is important.
This intelligent processing at the edge select the “smart data” that is
transferred to the central data stores for further processing in the cloud.
This allows including the Edge Cloud for processing data and addressing
the challenges of response-time, reliability and security. For real time fast
Figure 3.30 Evolution of IoT from centralised networks to distributed cloud [82].
3.4 IoT and Related Future Internet Technologies 83
84 IoT Digital Value Chain Connecting Research, Innovation and Deployment

processes, the sensor/actuator edge devices could generate data much faster
than the cloud-based apps can process it.
The use of intelligent edge devices require to reduce the amount of data
sent to the cloud through quality filtering and aggregation and the integration
of more functions into intelligent devices and gateways closer to the edge
reduces latency. By moving the intelligence to the edge, the local devices can
generate value when there are challenges related to transferring data to the
cloud. This will allow as well for protocol consolidation by controlling the
various ways devices can communicate with each other.
As part of this convergence, IoT applications (such as sensor-based
services) will be delivered on-demand through a cloud environment [81]. This
extends beyond the need to virtualize sensor data stores in a scalable fashion. It
asks for virtualization of Internet-connected objects and their ability to become
orchestrated into on-demand services (such as Sensing-as-a-Service).
Computing at the edge of the mobile network defines the IoT-enabled
customer experiences and require a resilient and robust underlying network
infrastructures to drive business success. IoT assets and devices are connected
via mobile infrastructure, and cloud services are provided to IoT platforms to
deliver real-time and context-based services.
Data transmission costs and the latency limitations of mobile connectivity
pose challenges to many IoT applications that rely on cloud computing. Mobile
edge computing will enable businesses to deliver real-time and context-based
mobile moments to users of IoT solutions, while managing the cost base
for mobile infrastructure. A number of challenges listed below have to be
addressed when considering edge-computing implementation [83]:
• Cloud computing and IoT applications are closely connected and improve
IoT experiences. IoT applications gain functionality through cloud ser-
vices, which in turn open access to third-party expertise and up-to-date
information.
• Mobile connectivity can create challenges for cloud-enabled IoT envi-
ronments. Latency affects user experiences, so poor mobile connectivity
can limit cloud-computing deployments in the IoT context.
• Mobile edge computing provides real-time network and context infor-
mation, including location, while giving application developers and
business leaders access to cloud computing capabilities and a cloud
service environment that’s closer to their actual users.
• Mobile edge computing is an important network infrastructure compo-
nent for block chain. The continuous replication of “blocks” via devices
 3.5 Networks and Communication 85

on this distributed data centre poses a tremendous technological chal-

lenge. Mobile edge computing reveals one opportunity to address this
challenge.
Edge computing refers to data processing power at the edge of a network
and in industrial IoT applications (i.e. power production, smart traffic lights,
manufacturing, etc.) the edge networked devices capture data and process date
close to the source of performing “edge analytics” on the data. Edge computing
complement cloud computing, since an analytic model or rules are created in
the cloud then pushed out to edge devices. Edge computing is closely related
to fog computing, that entails data processing from the edge of the network to
the cloud.
For the future IoT applications it is expected that more of the network
intelligence to reside closer to the source. This will push for the rise of Edge
Cloud/Fog, Mobile Edge computing architectures, as most data will be too
noisy or latency-sensitive or expensive to be transfer to the cloud.
The previous IERC SRIAs have identified the importance of interoper-
ability semantic technologies towards discovering devices, as well as towards
achieving semantic interoperability.

3.5 Networks and Communication

The IERC SRIA intends to lay the foundations for the IoT to be developed by
research through to the end of this decade and for subsequent innovations to be
realised even after this research period. Within this timeframe, the number of
connected devices, their features, their distribution and implied communica-
tion requirements will develop, as will the communication infrastructure and
it is predicted that low-power short-range networks will dominate wireless
IoT connectivity through 2025, far outnumbering connections using wide-
area IoT networks [21]. IoT technologies are extending the known business
models and leading to the proliferation of different ones as companies push
beyond the data, analytics and intelligence boundaries, while everything will
change significantly. IoT devices will be contributing to and strongly driving
this development.
Changes will first be embedded in given communication standards and
networks and subsequently in the communication and network structures
defined by these standards.
Further developments of networks and communication technologies are
required by the emergence of the Tactile Internet, in which ultra-responsive
86 IoT Digital Value Chain Connecting Research, Innovation and Deployment

and ultra-reliable network connectivity will enable it to deliver physical

haptic experiences remotely for different IoT applications. The Tactile Internet
will add a new dimension to human-machine interaction through building
real-time interactive systems. The combination of Tactile Internet and IoT
applications will enable haptic communications at the edge and in the inter-
action between humans and machines, infrastructure and environment by
providing the medium for transporting touch and actuation in real-time i.e., the
ability of haptic control through the Internet, in addition to no haptic control
and data.

3.5.1 Network Technology

The development in cloud and mobile edge computing requires network
strategies for fifth evolution of mobile the 5G, which represents clearly
a convergence of network access technologies. The architecture of such
network has to integrate the needs for IoT applications and to offer seamless
integration and optimise the access to Cloud or mobile edge computing
resources. IoT is estimated that will connect 30 billion devices. All these
devices are connecting humans, things, information and content, which is
changing the performance characteristics of the network. Low latency is
becoming crucial (connected vehicles or industrial equipment must react in
ms), there is a need to extend network coverage even in non-urban areas,
a better indoor coverage is required, ultra-low power as many of the devices
will be battery operated is needed and a much higher reliability and robustness
is requested.
5G networks will deliver 1,000 to 5,000 times more capacity than 3G
and 4G networks today and will be made up of cells that support peak rates
of between 10 and 100 Gbps. They need to be ultra-low latency, meaning
it will take data 1–10 milliseconds to get from one designated point to
another, compared to 40–60 milliseconds today. Another goal is to separate
communications infrastructure and allow mobile users to move seamlessly
between 5G, 4G, and WiFi, which will be fully integrated with the cellular
network. To support the increasing data rates and number of connected
devices in urban environments, mobile networks are increasingly dense and
heterogeneous in cell-size and radio access technologies (multi-RATs).
Applications making use of cloud computing, and those using edge
computing will have to co-exist and will have to securely share data. The
right balance needs to be found between cloud/mobile edge computing to
 3.5 Networks and Communication 87

optimize overall network traffic and optimize the latency. Facilitating optimal
use of both mobile edge and cloud computing, while bringing the computing
processing capabilities to the end user. Local gateways can be involved in this
optimization to maximize utility, reliability, and privacy and minimize latency
and energy expenditures of the entire networks.
Future networks have to address the interference between the different cells
and radiations and develop new management models control roaming, while
exploiting the co-existence of the different cells and radio access technologies.
New management protocols controlling the user assignment to cells and
technology will have to be deployed in the mobile core network for a better
efficiency in accessing the network resource. Satellite communications need
to be considered as a potential radio access technology, especially in remote
areas. With the emerging of safety applications, minimizing the latency and
the various protocol translation will benefit to the end-to-end latency. Den-
sification of the mobile network strongly challenges the connection with the
core network. Future networks should however implement cloud utilization
mechanisms to maximize the efficiency in terms of latency, security, energy
efficiency and accessibility.
In this context, there is a need for higher network flexibility com-
bining Cloud technologies with Software Defined Networks (SDN) and
Network Functions Virtualisation (NFV), that will enable network flexibility
to integrate new applications and to configure network resources adequately
(sharing computing resources, split data traffic, security rules, QoS parameters,
mobility, etc.).
The evolution and pervasiveness of present communication technologies
has the potential to grow to unprecedented levels in the near future by including
the world of things into the developing IoT. Network users will be humans,
machines, things and groups of them.

3.5.2 Communication Technology

The growth in mobile device market is pushing the deployment of IoT
applications where these mobile devices (smart phones, tablets, etc. are seen
as gateways for wireless sensors and actuators.
Communications technologies for the Future Internet and the IoT will
have to avoid such bottlenecks by construction not only for a given status
of development, but also for the whole path to fully developed and still
growing nets.
88 IoT Digital Value Chain Connecting Research, Innovation and Deployment

The inherent trend to higher complexity of solutions on all levels will be

seriously questioned – at least with regard to minimum energy IoT devices
and services.
Their communication with the access edges of the IoT network shall
be optimized cross domain with their implementation space and it shall be
compatible with the correctness of the construction approach.
These trends require the extension of the spectrum in to the 10–100 GHz
and unlicensed band and technologies like WiGig or 802.11ad that are
mature enough for massive deployment, can be used for cell backhaul,
point-to-point or point-to-multipoint communication. The use of advanced
multi-/massive-MIMO technologies have the capability to address both cov-
erage and bandwidth increase, while contributing to optimize the usage of the
network resources adequately to real need.
The IoT applications will embed the devices in various forms of commu-
nication models that will coexist in heterogeneous environments. The models
will range from device to device, device to cloud and device to gateway
communications that will bring various requirements to the development of
electronic components and systems for IoT applications. The first approach
considers the case of devices that directly connect and communicate between
each another (i.e. using Bluetooth, Z-Wave, ZigBee, etc.) not necessarily
using an intermediary application server to establish direct device-to-device
communications. The second approach considers that the IoT device connect
(i.e. using wired Ethernet or Wi-Fi connections) directly to Internet cloud/fog
service of various service providers to exchange data and control message
traffic. The third approach, the IoT devices connect to an application layer
gateway running an application software operating on the gateway device,
providing the “bridge” between the device and the cloud service while
providing security, data protocol translation and other functionalities.
The deployment of billions of devices requires network agnostic solu-
tions that integrate mobile, narrow band IoT (NB IoT), LPWA networks,
(LoRA, Sigfox, Weightless, etc), and high speed wireless networks (Wi-Fi),
particularly for applications spanning multiple jurisdictions.
LPWA networks have several features that make them particularly attrac-
tive for IoT devices and applications that require low mobility and low levels
of data transfer:
• Low power consumption that enable devices to last up to 10 years on a
single charge
• Optimised data transfer that supports small, intermittent blocks of data
 Table 3.2 LPWA network protocols
IEEE Dash7
P802.11ah Alliance
Name of Weightless LTE- (LP Protocol Ingenu
Standard –W –N –P SigFox LoRaWAN Cat M WiFi) 1.0 RPMA nWave
Frequency TV white- Sub-GHZ Sub-GHZ 868 MHz/ 433/868/ Cellular License- 433, 868, 2.4 GHz Sub-GHz
Band space ISM ISM 902 MHz 780/915 exempt 915 MHz ISM ISM
(400–800 ISM MHz ISM bands ISM/SRD
MHz) below
1 GHz,
excluding
the TV
White
Spaces
Channel 5 MHz Ultra 12.5 kHz Ultra EU: 1.4 MHz 1/2/4/8/16 25 KHz 1 MHz Ultra
Width narrow narrow 8×125 kHz, MHz or 200 (40 narrow
band band US KHz channels band
(200 Hz) 64×125 kHz/ available)
8×125 kHz,
Modulation:
Chirp
Spread
Spectrum
Range 5 km 3 km 2 km 30–50 km 2–5 k 2.5–5 km Up to 0–5 km >500 km 10 km
(urban) (urban) (urban) (rural), (urban), 1 km LoS (urban),
3–10 km 15 k (rural) (outdoor) 20–30 km
(urban), (rural)
1000 km
LoS
3.5 Networks and Communication 89

(Continued )
 Table 3.2 Continued
IEEE Dash7
P802.11ah Alliance
Name of Weightless LTE- (LP Protocol Ingenu
Standard –W –N –P SigFox LoRaWAN Cat M WiFi) 1.0 RPMA nWave
End 17 dBm 17 dBm 17 dBm 10 µW to EU: 100 mW Dependent Depending to 25–100
Node 100 mW < + 14 dBm, on on 20 dBm mW
Transmit US: Regional FCC/ETSI
Power < + 27 dBm Regula- regula-
tions tions
(from
1 mW to
1 W)
Packet 10 byte Up to 10 byte 12 bytes Defined by ∼100– Up to 256 bytes Flexible 12 byte
Size min. 20 bytes min. user 1000 7,991 max/packet (6 bytes header,
bytes Bytes to 10 2–20 byte
typical (w/o kbytes) payload
aggrega-
tion), up
to 65,535
Bytes
(with
aggrega-
tion)
90 IoT Digital Value Chain Connecting Research, Innovation and Deployment
Uplink 1 kbps to 100 bps 200 bps 100 bps EU: ∼200 kbps 150 Kbps 9.6 kb/s, AP aggre- 100 bps
Data 10 Mbps to 100 to 140 300 bps ∼ 346.666 55.55 gates to
Rate kbps messages/ to Mbps kbps or 624 kbps
day 50 kbps, 166.667 per
US: kb/s Sector
900–100 kbps (Assumes
8 channel
Access
Point)
Downlink 1 kbps to No 200 bps Max. 4 EU: ∼200 kbps 150 Kbps 9.6 kb/s, AP aggre- –
Data 10 Mbps downlink to 100 messages 300 bps ∼ 346.666 55.55 gates to
Rate kbps of 8 to Mbps kbps or 156 kbps
bytes/day 50 kbps, 166.667 per
US: kb/s Sector
900–100 kbps (Assumes
8 channel
Access
Point)
Devices Unlimited Unlimited Unlimited 1 M Uplink: > 1, 20k+ 8191 NA Up to 1M
per Downlink: (connec- 384,000
Access < 100 k tionless per sector
Point commu-
nication)
(Continued )
3.5 Networks and Communication 91
 Table 3.2 Continued
IEEE Dash7
P802.11ah Alliance
Name of Weightless LTE- (LP Protocol Ingenu
Standard –W –N –P SigFox LoRaWAN Cat M WiFi) 1.0 RPMA nWave
Topology Star Star Star Star Star on Star Star Star, Tree Node-to- Typically Star
node, Star. Tree
Star, Tree supported
with an
RPMA
extender
End Yes Yes Yes Yes Yes Yes Allowed Yes Yes Yes
node by IEEE
roaming 802.11
allowed amend-
ments
(e.g.,
IEEE
802.11r)
Governing Weightless Sigfox LoRa 3GPP IEEE Dash7 Ingenu Weightless
Body SIG Alliance 802.11 Alliance (OnRamp) SIG
working
group
92 IoT Digital Value Chain Connecting Research, Innovation and Deployment
 3.6 IoT Standardisation 93

• Low device unit cost

• Few base stations required to provide coverage
• Easy installation of the network
• Dedicated network authentication
• Optimised for low throughput, long or short distance
• Sufficient indoor penetration and coverage
These different types of networks are needed to address IoT product, services
and techniques to improve the Grade of Service (GoS), Quality of Service
and Quality of Experience (QoE) for the end users. Customization-based
solutions, are addressing industrial IoT while moving to a managed wide-area
communications system and, ecosystem collaboration.
Intelligent gateways will be needed at lower cost to simplify the infras-
tructure complexity for end consumers, enterprises, and industrial environ-
ments. Multi-functional, multi-protocol, processing gateways are likely to be
deployed for IoT devices and combined with Internet protocols and different
communication protocols.
These different approaches show that device interoperability and open
standards are key considerations in the design and development of internet-
worked IoT systems.
Ensuring the security, reliability, resilience, and stability of Internet appli-
cations and services is critical to promoting the concept of trusted IoT based
on the features and security provided of the devices at various levels of the
digital value chain.

3.6 IoT Standardisation

In recent publications mapping emerging technologies to their Hype Cycle,
Gartner positions the IoT at the top of the “Peak of Inflated Expectations” [14].
The assessment is widely shared and is reflected by significant IoT related
activities in companies of all sizes, in industry standards groups, consortia,
alliances and in the press and media. Many observers also remark on the
number of technologies, alliances and consortia across the IoT landscape and
agree that a consolidation is imminent. These expectations broadly align with
the lifecycle phases that Gartner’s model predicts for IoT. Gartner’s view is
that IoT will reach the “Plateau of Productivity” in 5–10 years – somewhere
around 2020–2025. On that basis, they anticipate that the period 2015–2019
will see a consolidation phase with a corresponding reduction in hype, a period
of intense development of standards, and a transition into a period of real
product development.
94 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.3 Standardisation key challenges addressed by AIOTI

Domain Activities
Architecture • Guidelines and recommendations, which contribute to the
consolidation of architectural frameworks, reference
architectures, and architectural styles in the IoT space.
Semantic • Guidelines and recommendations, which contribute to the
Interoperability consolidation of semantic interoperability approaches in the
IoT space.
Privacy • Guidelines and recommendations regarding personal data
and personal data protection to the various categories of
stakeholders in the IoT space.

Standardisation will play a key role in the consolidation of IoT landscape;

since many of the benefits of IoT will occur based on widespread adoption,
the development of global standards is pivotal to ensuring economies of scale
and impact.
The standardisation priorities for AIOTI WG03 [61] will be a focus
of European engagement and steering in the standardization process. In
collaboration with other AIOTI working groups, the focus will be to:
• Maintain a view on the landscape of IoT standards-relevant activities
being driven by SDOs, Consortia, Alliances and OSS projects.
• Provide a forum for analysis, discussion and alignment of strategic, cross-
domain, technical themes and shared concerns across landscape activities
• Develop recommendations and guidelines addressing those concerns
• Engage the IoT community in disseminating and promoting the results
and steering emerging standards
In collaboration with ST505, AIOTI WG03 will build an understanding of
SDOs, Alliances, and Consortia; their respective specifications, technologies,
and spheres of influence; and the breadth, depth and sustainability of any Open
Source Software, which has established a usage profile.
The outputs of the landscape work will drive the WG03 program. Analysis
of gaps, divergences, common concerns, and major players will inform the
agenda of challenges to be addressed, guidelines and recommendations to be
developed and groups to be engaged with.
The following table provides the three key challenges the workgroup is
currently responding to.
AIOTI WG03 will support the implementation of the goals set by the EC
[16] and promote the use of open standards through actions that: (1) support
the entire value chain, (2) apply within IoT domains and cross-IoT domains
Figure 3.31 Hype Cycle of emerging technologies [14].
3.6 IoT Standardisation 95
96 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.4 Standardisation challenges for IoT

Specific IoT Standardisation Challenges
2016–2020 Beyond 2020
• Recommendations of reference
architectures, both for experimentation and
deployments within IoT domains and cross
IoT domains
• Identification of missing (semantic)
interoperability standards and technologies
within IoT domains and cross IoT domains
and recommendations on solving them
• Recommendations and guidelines on • Further work on recommendations and
solving protocol and interface gaps needed guidelines on solving protocol and
to support new IoT features within IoT interface gaps needed to support new
domains and cross IoT domains. Promote IoT features within IoT domains and
the uptake of IoT standards in public cross IoT domains. Promote the uptake
procurement to avoid lock-in of IoT standards in public procurement
to avoid lock-in
• Promoting the use and development of • Further development and promotion of
Open Reference Vocabularies and Open the use and development of Open
Application Programming Interfaces to Reference Vocabularies and Open
allow for flexible ad-hoc communication Application Programming Interfaces to
and interaction between different actors allow for flexible ad-hoc
within IoT domains and cross IoT domains communication and interaction between
different actors within IoT domains and
cross IoT domains
• Provide guidelines on how to translate the
Digital Rights Management
recommendations within IoT domains and
cross IoT domains
• Recommendation of an interoperable IoT
numbering space that transcends
geographical limits, and an open system for
object identification and authentication,
which can be applied within IoT domains
and cross IoT domains
• Explore options and recommend guiding • Explore options and recommend
principles, including guidelines for the guiding principles, including guidelines
support of developing standards, for trust, for the support of developing standards,
privacy and end-to-end security, e.g. for trust, privacy and end-to-end
through a ‘trusted IoT label’ that can be security, e.g. through a ‘trusted IoT
applied within IoT domains and cross IoT label’ that can be applied within IoT
domains domains and cross IoT domains
 3.7 IoT Security 97

and (3) are integrating multiple technologies. This is done based on streamlined
international cooperation, which enables easy and fair access to standard
essential patents (SEPs). In order to accomplish this goal several potential
challenges can be foreseen, which are presented in the following table.

3.7 IoT Security

Security needs to be designed into IoT solutions from the concept phase and
integrated at the hardware level, the firmware level, the software level and the
service level. IoT applications need to embed mechanisms to continuously
monitor security and stay ahead of the threats posed by interactions with other
IoT applications and environments. Trust is based on the ability to maintain
the security of the IoT system and the ability to protect application/customer
information, and as well as being able to respond to unintended security or
privacy breaches. In the IoT it is important to drive security, privacy, data
protection and trust across the whole IoT ecosystem and no company can
“do it alone” in the loT space; success will require organizations to partner,
value chains to be created and ecosystems to flourish. Yet as loT users start to
bring more players, service providers and third party suppliers into their value
chain, tech firms and loT solutions providers will face increasing pressure to
demonstrate their security capabilities [10].
The worlds of IT and operational technology (OT) are converging, and IT
leaders must manage their transition to converging, aligning and integrating IT
and OT environments [12]. The benefits that come from managing IT and OT
convergence, alignment and integration include optimized business processes,
enhanced information for better decisions, reduced costs, lower risks and
shortened project timelines. IT and OT are converging in numerous important
industries, such as healthcare, transportation, defence, energy, aviation, man-
ufacturing, engineering, mining, oil and gas, natural resources and utilities. IT
leaders who are impacted by the convergence of IT and OT platforms should
consider the value and risk of pursuing alignment between IT and OT, as well
as the potential to integrate people, tools and resources used to manage and
support both technology areas. A shared set of standards and platforms across
IT and OT will reduce costs in many areas of software management, while the
reduction in risks that will come from reducing malware intrusion, internal
errors and cybersecurity can be enhanced if IT security teams are shared,
seconded or combined with OT staff to plan and implement holistic IT-OT
security [12].
98 IoT Digital Value Chain Connecting Research, Innovation and Deployment

The evolution of connected devices as nodes to the IoT brings limitless

possibilities. As more and more everyday things are connected to the Internet –
medical devices, automobiles, homes, etc. – the long-term forecast for the IoT
is staggering: by 2020, there will be 212 billion installed things, 30 billion
autonomously connected things and approximately three million petabytes
of embedded system data, all of which combined are expected to generate
nearly $9 trillion in business value. IoT applications fall into three basic
categories [11]:
• Mobile or desktop applications that control IoT devices;
• IoT firmware and embedded applications;
• Applications on open IoT platforms (for example, apps built for Apple
Watch).
All of these applications need to be protected or they run the risk of undesirable
outcomes such as:
• Improper or unsafe operation of IoT devices;
• Theft of confidential data, private user information or application-related
intellectual property;
• Fraud and unauthorized access to payment processing channels;
• Damage to companies brand image and deterioration of customer,
prospect and partner trust.
In the case of IoT, applications can be attacked in many ways, often involving
apps that first obtain access to the IoT application, then start monitoring,
controlling, and tampering with the device.
A holistic approach that involves the device, data, network and application
layers is required and the following chart summarizes key IoT security
components that must be considered [11]:
The following policy recommendations on net neutrality and IoT, given
the current relevance of net neutrality to the European policy debate, following
agreement of the Telecoms Single Market legislative package are given in [62]
and summarised below:
• Embed “safe and secure software” design and development methodolo-
gies across all levels of device/application design and development and
implement security into that life cycle at the same time.
• Design, deliver and operate adaptive and dynamic end-to-end security
over heterogeneous infrastructures integrating IoT, networks and cloud
infrastructures. It is recommended to use underlying standardised OS and
hardware security features where architecture permits. The deployment
Figure 3.32 IoT security challenges for IT and OT technologies (Adapted from [11]).
3.7 IoT Security
99
100 IoT Digital Value Chain Connecting Research, Innovation and Deployment

should not be specific or propose a modification of existing OS and

hardware already integrated by IoT.
• Develop best practices confirming minimum requirements for pro-
vision of secure, encrypted and integrity-protected channel, mutual
authentication processes between devices and measures securing that
only authorised agents can change settings on communication and
functionality.
• Develop a “New Identity for Things” – To date, Identity and Access
Management (IAM) processes and infrastructures have been primarily
focused on managing the identities of people. IAM processes and infras-
tructure must now be re-envisioned to encompass the amazing variety of
the virtualized infrastructure components. For example, authentication
and authorization functions will be expanded and enhanced to address
people, software and devices as a single converged framework.
• Develop a Common Authentication architecture – by investigation of
a Secure Identity and Trusted Authentication mechanism, for example
one which takes into account different authentication standards and will
provide a single-sign-on solution for IoT applications moving between
different systems.
• Certification – the certification framework and self-certification solu-
tions for IoT applications have not been developed yet. The challenge
will be to have generic and common framework, while developing
business specific provisions. This framework should provide evaluation
assurance levels similar to the Common Criteria for Information Tech-
nology Security Evaluation (IS0/IEC 15408), which should serve as the
reference.

3.7.1 IoT Security Framework based on Artificial Intelligence

Concepts
Large-scale applications and services based on the IoT are increasingly
vulnerable to disruption from attack or information theft. Vulnerability in
general terms is defined as the opportunity for a threat to cause loss. A threat
is any potential danger to a resource, originating from anything or anyone
that has the potential to cause a threat. Clearly, specific and more intelligent
security solutions are required to cope with these issues, which if not addressed
may become barriers for the IoT deployment on a broad scale.
Swarm intelligence (SI) is such a technological area, which can inspire
the design of new IoT security solutions. A subfield of artificial intelligence,
 3.7 IoT Security 101

SI studies the emergent collective intelligence of groups of agents based on

social behaviour that can be observed in nature, such as ant colonies, flocks of
birds, fish schools and bee hives, where a number of individuals with limited
capabilities are able to produce intelligent solutions for complex problems.
Vulnerability and reaction to threats seem to be a common thread and IoT can
take inspiration from ant colonies, flocks of birds, fish schools and bee hives
on how to react to threats.
IoT objects have more capabilities than the above examples; in fact, the
trend is towards distributed models, meaning that objects are becoming more
intelligent, capable of making their own authentication, authorization and
other trust management decisions. Nevertheless, by embracing principles of
swarm intelligence, IoT systems can react more effectively to threats. Clearly,
a group of IoT objects has more abilities and resources to process large
amounts of information in real time in order to prevent, detect and react to
perceived or real threats, as well as make decisions based on the acquired
information.
The idea is not to make the IoT objects mobile in order to physically group
objects when threats occur but to augment the intelligence internalized in each
object, with new kind of intelligence that allow the individual resources and
intelligence in objects to group. Not all objects need to group at all times.
Objects can group around one object identified as a point of attack or around
a path of objects.
Clustering is therefore an important area and has been applied in many
domains, such as spatial data analysis, image processing, marketing and pat-
tern recognition, etc. For example, ant-based clustering is a type of clustering
algorithm that imitates the behaviour of ants, with a perfect social organization
where each type of individual specializes in a specific activity within the
colony.
In IoT security, the purpose of clustering is to cluster IoT objects into
groups according to some predefined rules addressing the issues inherent in
detecting and dealing with threats.
The essence of this concept can be best illustrated by the following rules of
separation, alignment, cohesion of the first multi-agent algorithm developed
by Craig Reynolds in 1986 simulating swarm behaviour.
• Separation: going away from other agents. In the IoT context, this rule
would become preserving the distributed nature of the IoT system in
the absence of threats, so that individual resources can be focused on
the functions to be performed by each object. Unnecessary clustering
102 IoT Digital Value Chain Connecting Research, Innovation and Deployment

would consume resources and would even expose intelligence crowding

to attack.
• Cohesion: going to the centre of the surrounding agents. In the IoT
context, this rule would become steering resources and intelligence
towards one or several points of attack.
• Alignment: heading towards the same direction of other agents. In the
IoT context, this rule would become steering along a path of attack.
Complex behaviour can be programmed as rules, based on self-organization.
The basic concept is to define rules and constraints and let the IoT system
self-organize in the presence of threats. The self-organization properties may
help security architects and other professionals to discover new security
solutions.

3.7.2 Self-protecting, Self-optimizing and Self-healing

IoT Concepts
Self-protecting capability features opens up the possibility for IoT to be used
in systems that need to protect themselves from malicious attacks, because
security, privacy and data protection are at stake.
IoT may offer other capabilities in addition to self-protection, such as
self-optimization and self-healing. With enhanced swarm intelligence, IoT
objects are capable of cooperating and sharing resources efficiently. This
allows for solving numerous optimization problems, which are otherwise
difficult to implement due to the large resources required. Self-optimization
capabilities mean that SI can be used in many IoT applications, such as optimal
node localization, optimal coverage control, and a wide variety of intelligent
routings: shortest transportation path, best available channel at a point in time,
minimum energy consumption.
The use of swarm intelligence supported by edge technologies (such
as WSN), makes it possible to add more and more cognitive intelligence
to the IoT objects, and at the same time add increasing swarm intelligence to the
collaborative and connectivity space. Thus, IoT objects strive to improve to a
higher level of local intelligence, close to human intelligence, in order to
fulfil their function in a distributed manner, while the collective intelligence
is centralized in order to solve problems that are more complex.
Swarm intelligence allows IoT to adopt a wide range of solutions already
found in AI, data mining and robotics, so that IoT applications become more
robust, flexible, adaptable, scalable and self-organized. The self-organization
property allows for the formation of swarms of various shapes and sizes.
 3.7 IoT Security 103

Each IoT object, which is part of the swarm has an agent with just enough
knowledge about its object (such as position, speed) in order to engage the
object in collaborative tasks with other objects in the swarm. Thus, IoT objects
may be fixed or mobile and the IoT objects may enter and leave the swarm as
necessary, without disturbing the meshing architecture of the IoT system. Self-
healing systems are another application of IoT. The self-healing property is
found in systems that detect and diagnose problems, and thus must embed some
form of fault tolerance. Fault-tolerance based on SI implies the generation of
alternative transportation paths and the recovery of faulty paths, so that the
information is not lost and need not be retransmitted.

3.7.3 IoT Trust Framework

Common IoT threats are presented in [47] together with requirements to make
the IoT secure, involving several technological areas. The common thread
seems to be the need for end-to-end security.
Trust and usability are very important success factors for IoT, the security
and privacy of which need to be addressed across all the IoT architectural
layers and across domain applications. Performance, complexity and costs
are all factors, which influence adoption in addition to those that engender
trust. While important progress has been made and actions have been planned
to address usability, there nevertheless remain a number of potential gaps in
the overall “trust” framework.
The adoption of fine-grained authorization mechanisms allows for more
flexible resource control and enables tolerance when fronting unknown risks.
In addition, IP security protocol variants for the IoT with public-key-based
cryptographic primitives in their protocol design such as Datagram TLS
(DTLS), the HIP Diet EXchange (DEX), and minimal IKEv2, can fulfil the
requirements of the IoT regarding scalability and interoperability. End-to-end
authentication, integrity confidentiality and privacy are essential.
It is very important for all IoT objects to collaborate with each other and
with the environment in order to generate the most appropriate clustering for
the task at hand, whether that be optimizing functions, locating and isolating
attacked objects, alleviating damage, or healing. Objects’ trustworthiness is
therefore an important feature, which must involve addressing issues such as
security, user access, user credentials/authentication, privacy, disclosure, and
transparency. Developing an IoT trust framework addressing security, privacy,
and sustainability in IoT products and services, as well as emphasising,
“security and privacy by design” as part of IoT product and application
104 IoT Digital Value Chain Connecting Research, Innovation and Deployment

development and deployment, is an important research priority for IoT

activities.
It is important to keep in mind that all the technologies must be tai-
lored to the constraints of IoT scenarios and to the characteristics of IoT
devices, including limited memory, computing resources, security and backup
connectivity.
Block chain technology is useful as a transaction-processing tool that
can address trust and security issues and move towards open source and
security based on transparency allowing the democratization of trust. This is
done by holding a record of every transaction made by every participant and
having many participants verify each transaction, providing highly redundant
verification and eliminating the need for centralized trust authorities.

3.8 IoT Enabling the Digital Transformation of Industry

IoT refers to an ecosystem in which applications and services are driven by
data collected from devices that sense and interface with the physical world.
Important IoT application domains span almost all major economic sectors:
health, education, agriculture, transportation, manufacturing, electric grids,
and many more. Proponents of IoT techniques see a world in which a bridge’s
structural weaknesses are detected before it collapses, in which intelligent
transportation and resilient electrical grids offer pleasant and efficient cities
for people to live and work in, and in which IoT-supported e-applications
transform medicine, education, and business. The combination of network
connectivity, widespread sensor placement, and sophisticated data analysis
techniques now enables applications to aggregate and act on large amounts of
data generated by IoT devices in homes, public spaces, industry and the natural
world. This aggregated data can drive innovation, research, and marketing, as
well as optimise the services that generated it. IoT techniques will effect large-
scale change in how people live and work. A thing in IoT can be an inanimate
object that has been digitised or fitted with digital technology, interconnected
machines or even, in the case of health and fitness, people’s bodies. Such
data can then be used to analyse patterns, to anticipate changes and to alter
an object or environment to realise the desired outcome, often autonomously.
IoT allows for tailored solutions, both in terms of production and services, in
all industry areas. IoT data analytics can enable targeted medical treatment
or can determine what the lot-size for certain products should be, effectively
enabling the adaptation of production processes as required. In the context
 3.8 IoT Enabling the Digital Transformation of Industry 105

of manufacturing this would enable greater use of customised outcomes

rather than trying to predict mass market demand. The IoT can empower
people in ways that would otherwise not be possible, for example by enabling
independence for people with disabilities and specific needs, in an area such
as transport, or helping meet the challenges associated with an ageing society.
Those countries that anticipate the challenges while fostering greater use will
be best placed to seize the benefits [6].
In order to address the totality of interrelated technologies the IoT
technology ecosystem is essential and the enabling technologies will have
different roles such as components, products/applications, and support and
infrastructure in these ecosystems. The technologies will interact through these
roles and impact the IoT technological deployment [35].
IoT ecosystems offer solutions comprising a large system beyond a
platform and solve important technical challenges in the different verticals
and across verticals. These IoT technology ecosystems are instrumental for
the deployment of large pilots and can easily be connected to or build upon
the core IoT solutions for different applications in order to expand the system
of use and allow new and even unanticipated IoT end uses.
There is a need to adapt research and innovation policies across a broad
range of sectors and applications with focus on exchanging the data from and
among the things and IoT platforms in an interoperable format. This requires
creating systems that cross vertical silos and harvest the data across domains,
which unleashes useful IoT applications that are user centric, context aware,
and are able to create new services and providing gains from improvements
in the base components of IoT, such as optimised wireless communications,
data processing, analytics, etc.
Swarm intelligence can inspire the design of new IoT security solutions.
In order to render this technology for IoT, it has to be fitted according to
the IoT needs and as such more work is needed to understand limitations as
well as an effective and interactive way to promote the development of these
designs.
In applying the research and innovation, recommendations is important to
consider the good practices developed to help policy makers move ahead and
promote the positive elements of the IoT while minimising challenges and
ensuring broader goals, including the following [6]:
• Evaluate and assess the existing policies and practices to determine that
are suitably supportive of the IoT, and do not constitute unintentional
barriers to potential IoT benefits.
106 IoT Digital Value Chain Connecting Research, Innovation and Deployment

• Promote the use of global technical standards for the IoT developed
by standards setting bodies or industry consortia in order to support
the development of an interoperable IoT ecosystem, while stimulating
the emergence of new systems, boosting innovation and reinforcing
competitiveness.
• As the communication technologies evolve, evaluate spectrum resources
to satisfy IoT needs, both current and future, as different elements of the
IoT, from machines to edge devices, need a variety of spectrum resources
that is fit for purpose.
• Promote skills to maximise opportunities in the labour market and
support workers whose tasks become displaced by IoT-enabled and IoT
Robotic Things and systems, with adjustment assistance and re-skilling
programmes.
• Build trust in the IoT by managing digital security and privacy risks
in line with the global and European regulations and practices and by
developing a Trust IoT framework based on cross-border and cross-sector
interoperability of policy frameworks in the context of DSM.
• Support and further develop open data frameworks that enable the
reuse of government data sets and encourage industry to share their
non-sensitive data for public benefit.
• Promote and support the development of identity for things to address
numbering, discovery, identity and access management. Flexibility is
needed for numbering as different services or IoT users may have
different requirements.
• Encourage the exploitation of the project results, support the private
sector innovation taking advantage of the IoT, and improve the conditions
for the creation of start-ups and IoT business models that are built around
the opportunities created by the IoT applications and large scale pilots.

Internet of Things Timelines

Table 3.5 Future technological developments

Development 2016–2020 Beyond 2020
Identification • Identity management • “Thing/Object DNA”
Technology • Open framework for the identifier
IoT • Context aware
• Soft Identities identification
• Semantics • Context aware
• Privacy awareness anonymity
 3.8 IoT Enabling the Digital Transformation of Industry 107

IoT Architecture • Network of networks • Cognitive architectures

Technology architectures • Distributed context,
• IoT reference architecture location, and
developments state-aware
• IoT reference architecture architectures
standardization
• Adaptive, context based
architectures
• Self-X properties
IoT Infrastructure • Cross domain application • Global, general purpose
deployment IoT infrastructures
• Integrated IoT • Global discovery
infrastructures mechanism
• Multi-application
infrastructures
• Multi provider
infrastructures
IoT Applications • Configurable IoT devices • IoT information open
• IoT in farming/water market
production and tracing • Autonomous and
• IoT in manufacturing Connected Vehicles
industry • Internet of Buildings
• IoT in industrial lifelong • Internet of Energy
service and maintenance • Internet of Vehicles
• IoT device with strong • Internet of Lighting
processing and analytics • Internet of Health
capabilities • Internet of Robotic
• Application capable of Things
handling heterogeneous • Internet of Farming
high capability data • Internet of Industrial
collection and processing Things
infrastructures • Cognitive Internet
• IoT wearables • Tactile Internet
• IoT in smart cities
• IoT and arts
Communication • Wide spectrum and • Unified protocol over
Technology spectrum aware protocols wide spectrum
• Ultra-low power chip sets • Multi-functional
• On chip antennas reconfigurable chips
• Millimetre wave single • Ultra-low power, short
chips range IoT networks
• Ultra-low power single
chip radios
• Ultra-low power system on
chip
(Continued )
108 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.5 Continued

Development 2016–2020 Beyond 2020
• Low-power wide-area
networks (LPWANs)
• Narrowband IoT (NB-IoT)
Network Technology • Network context • Network cognition
awareness • Self-learning,
• Self-aware and self-repairing networks
self-organizing networks • Ubiquitous IPv6-based
• Sensor network location IoT deployment
transparency
• IPv6-enabled scalability
Software and algorithms • Goal oriented software • User oriented software
• Distributed intelligence, • The invisible IoT
problem solving • Easy-to-deploy IoT SW
• Things-to-Things • Things-to-Humans
collaboration collaboration
environments • IoT 4 All
• IoT complex data analysis • User-centric IoT
• IoT intelligent data
visualization
• Hybrid IoT and industrial
automation systems
• IoT devices over-the-air
(OTA) firmware and
software updates
Hardware • Smart sensors • Nano-technology and
(bio-chemical) new materials
• More sensors and actuators
(tiny sensors)
• Sensor integration with
NFC
• Home printable RFID tags
Data and Signal • Context aware data • Cognitive processing
Processing Technology processing and data and optimisation
responses
• Energy, frequency
spectrum aware data
processing
Discovery and Search • Automatic route tagging • Cognitive search
Engine Technologies and identification engines
management centres • Autonomous search
• Semantic discovery of engines
sensors and sensor data
 3.8 IoT Enabling the Digital Transformation of Industry 109

Power and Energy • Energy harvesting • Biodegradable batteries

Storage Technologies (biological, chemical, • Nano-power processing
induction) unit
• Power generation in harsh
environments
• Energy recycling
• Long range wireless power
Wireless power
• Zero Power Listen-Mode
mechanisms
Security, Privacy • User centric context-aware • Self-adaptive security
and Trust privacy and privacy mechanisms and
Technologies policies protocols
• Privacy aware data • Self-managed secure
processing IoT
• Security and privacy • Swarm intelligence
profiles selection based on • Artificial intelligence
security and privacy needs • Deep learning security
• Privacy needs automatic mechanisms
evaluation
• Context centric security
• Homomorphic Encryption
• Searchable Encryption
• Protection mechanisms for
IoT DoS/DdoS attacks
Interoperability • Optimized and market • Automated
proof interoperability self-adaptable and agile
approaches used interoperability
• Interoperability under • Plug‘n’Play
stress as market grows Interoperability
• Cost of interoperability
reduced
• Several successful
certification programmes
in place
Standardisation • IoT standardization • Standards for
refinement autonomic
• M2M standardization as communication
part of IoT standardisation protocols
• Standards for cross
interoperability with
heterogeneous networks
• IoT data and information
sharing
110 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.6 Internet of Things research needs

Research Needs 2016–2020 Beyond 2020
Identification • Convergence of IP and IDs and • Multi methods – one ID
Technology addressing scheme
• Unique ID
• Multiple IDs for specific cases
• Extend the ID concept (more than ID
number)
• Electro Magnetic Identification – EMID
IoT Architecture • IoT layered architecture based on use • New algorithms,
cases from global scale applications, architectures, data
global interoperability, and structures and
interconnections of many trillions of approaches to machine
things learning
• Pervasive, secure IoT
network architectures
• Knowledge sharing IoT
networks
IoT • Application domain-independent • Self-management and
Infrastructure abstractions and functionality configuration
• Cross-domain integration and • Self-healing
management • Swarm intelligence and
• Large-scale deployment of infrastructure adaptation mechanisms
• Context-aware adaptation of operation
IoT • IoT information open market • Building and
Applications • Standardization of APIs deployment of public
• IoT device with strong processing and IoT infrastructure with
analytics capabilities open APIs and
• Ad-hoc deployable and configurable underlying business
networks for industrial use models
• Mobile IoT applications for IoT • Mobile applications
industrial operation and with bio-IoT-human
service/maintenance interaction
• Fully integrated and interacting IoT • Tactile Internet of
applications for industrial use Things
• Internet of Robotic
Things
• Virtual reality things
• Augmented Things
Reality
IoT Platforms • IoT Platforms • Fully autonomous IoT
and Software • Low-level device control and operations devices
Services
for IoT
 3.8 IoT Enabling the Digital Transformation of Industry 111

• IoT data acquisition, • Integrated IoT

transformation and management cognitive platforms
• IoT application development based on artificial
• IoT Operating Systems intelligence including
• Quality of Information and IoT device monitoring,
service reliability management, security,
• Highly distributed IoT processes IoT data acquisition,
• Semi-automatic process analysis event-driven logic,
and distribution application
programming,
visualization, analytics
IoT Architecture • Code in tags to be executed in the • Intelligent and
Technology tag or in trusted readers collaborative functions
• Global applications • Object intelligence
• Adaptive coverage • Context awareness
• Universal authentication of • Cooperative position
objects cyber-physical systems
• Graceful recovery of tags
following power loss
• More memory
• Less energy consumption
• 3-D real time location/position
embedded systems
Communication • Longer range (higher • Self-configuring,
Technology frequencies – tenths of GHz) protocol seamless
• Protocols for interoperability networks
• On chip networks and multi • Wide-area IoT
standard RF architectures networks
• Multi-protocol chips
• Gateway convergence
• Hybrid network technologies
convergence
• 5G developments
• Collision-resistant algorithms
• Plug and play tags
• Self-repairing tags
Network • Grid/Cloud network • Need based network
Technology • Software defined networks • Internet of Everything
• Service based network • Robust security based
• Multi authentication on a combination of ID
• Integrated/universal metrics
authentication
(Continued )
112 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.6 Continued

Research Needs 2016–2020 Beyond 2020
• Brokering of data through market • Autonomous systems
mechanisms for nonstop information
• Scalability enablers technology service
• IPv6-based networks for smart • Global European
cities IPv6-based
Internet of
Everything
Software and • Self-management and control • Self-generating
algorithms • Micro operating systems “molecular” software
and IoT operating • Context aware software
systems • Event stream
• Context aware business event processing
generation • Distributed stream
• Interoperable ontologies of computing platforms
business events (DSCPs)
• Scalable autonomous software • Cognitive application
• Evolving software programming interfaces
• Self-reusable software • Data structures capable
• Autonomous things: of learning and
◦ Self-configurable adapting to unique
◦ Self-healing inbound data
◦ Self-management requirements over time

• Platform for object intelligence

• New application programming
interfaces
Hardware • Polymer based memory • Biodegradable circuits
Devices • IoT Processors • Autonomous “bee” and
• Ultra-low power EPROM/FRAM “ant” type devices
• Molecular sensors • Zero Power tags and
• Autonomous circuits sensors
• Transparent displays
• Interacting tags
• Collaborative tags
• Zero Power Listen-Mode tags
and sensors
• Heterogeneous integration
• Self-powering sensors
• Low cost modular devices
• Ultra-low power circuits
• Electronic paper
• Nano power processing units
• Silent Tags
• Biodegradable antennae
 3.8 IoT Enabling the Digital Transformation of Industry 113

Hardware • Multi-protocol front ends • Heterogeneous

Systems, Circuits • Ultra-low cost chips with security architectures
and Architectures • Collision free air to air protocol • “Fluid” systems,
• Minimum energy protocols continuously changing
• Multi-band, multi-mode wireless and adapting
sensor architectures
implementations
• Adaptive architectures
• Reconfigurable wireless systems
• Changing and adapting
functionalities to the
environments
• Micro readers with multi standard
protocols for reading sensor and
actuator data
• Distributed memory and
processing
• Low cost modular devices
• Protocols correct by construction
• IoT Device Management
Data and Signal • Common sensor ontologies (cross • Cognitive computing
Processing domain) Cognitive,
Technology • Distributed energy efficient data software-defined
processing gateways
• Autonomous computing
• Tera scale computing
• Micro servers
• Multi-functional gateways
Discovery and • Scalable Discovery services for • Cognitive registries
Search Engine connecting things with services • Global IoT context
Technologies while respecting security, privacy aware and cognitive
and confidentiality registry
• “Search Engine” for Things • Learning algorithms for
• IoT Browser search and discovery
• Multiple identities per object
• On demand service
discovery/integration
• Universal authentication
Power and Energy • Paper based batteries • Biodegradable batteries
Storage • Wireless power everywhere,
Technologies anytime
• Photovoltaic cells everywhere
• Energy harvesting
• Power generation for harsh
environments
(Continued )
114 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Table 3.6 Continued

Research Needs 2016–2020 Beyond 2020
Interoperability • Dynamic and adaptable • Self-adaptable and
interoperability for technical agile interoperability
and semantic areas approaches
• Open platform for IoT
validation
Security, • Low cost, secure and high • Cognitive security
Privacy and Trust performance systems
Technologies identification/authentication • Self-managed secure
devices IoT
• Access control and accounting • Decentralised
schemes for IoT approaches to privacy
• General attack detection and by information
recovery/resilience for IoT localisation
• Cyber Security Situation • Swarm intelligence
Awareness for IoT • Trusted IoT framework
• Context based security activation
algorithms
• Service triggered security
• Context-aware devices
• Object intelligence
• Decentralised self-configuring
methods for trust establishment
• Novel methods to assess trust in
people, devices and data
• Location privacy preservation
• Personal information protection
from inference and observation
• Trust Negotiation
Governance (legal • Legal framework for • Adoption of clear
aspects) transparency of IoT bodies European
and organizations norms/standards
• Privacy knowledge base regarding Privacy and
and development privacy Security for IoT
standards • Context aware
• Trusted IoT concept and governance
principle
• Governance by design
Economic • Business cases and value chains • Integrated platforms
for IoT • IoT ecosystems
• Emergence of IoT in different • Emergence of IoT
industrial sectors across industrial sectors
• Emergence of IoT
ecosystems
 List of Contributors 115

Acknowledgments
The IoT European Research Cluster – European Research Cluster on the
Internet of Things (IERC) maintains its Strategic Research and Innovation
Agenda (SRIA), taking into account its experiences and the results from the
on-going exchange among European and international experts.
The present document builds on the 2010, 2011, 2012, 2013, 2014 and
2015 Strategic Research and Innovation Agendas and presents the research
fields and an updated roadmap on future R&D from 2016 to 2020 and
beyond 2020.
The IoT European Research Cluster SRIA is part of a continuous IoT
community dialogue supported by the EC DG Connect – Communications
Networks, Content and Technology and international IoT stakeholders. The
result is a lively document that is updated every year with expert feedback
from on-going and future projects financed by the EC. Many colleagues
have assisted over the last few years with their views on the IoT Strategic
Research and Innovation agenda document. Their contributions are gratefully
acknowledged.

List of Contributors
Abdur Rahim Biswas, IT, CREATE-NET, WAZIUP
Alessandro Bassi, FR, Bassi Consulting, IoT-A, INTER-IoT
Alexander Gluhak, UK, Digital Catapult, UNIFY-IoT
Amados Daffe, SN/KE/US, Coders4Africa, WAZIUP
Antonio Skarmeta, ES, University of Murcia, IoT6
Arkady Zaslavsky, AU, CSIRO, bIoTope
Arne Broering, DE, Siemens, BIG-IoT
Bruno Almeida, PT, UNPARALLEL Innovation, FIESTA-IoT, ARMOUR,
WAZIUP
Carlos E. Palau, ES, Universitat Politècnica de Valencia, INTER-IoT
Charalampos Doukas, IT, CREATE-NET, AGILE
Christoph Grimm, DE, University of Kaiserslautern, VICINITY
Claudio Pastrone, IT, ISMB, ebbits, ALMANAC
Congduc Pham, FR, Université de Pau et des Pays de l’Adour, WAZIUP
Elias Tragos, GR, FORTH, RERUM
Eneko Olivares, ES, Universitat Politècnica de Valencia, INTER-IoT
Fabrice Clari, FR, inno TSD, UNIFY-IoT
Franck Le Gall, FR, Easy Global Market, WISE IoT, FIESTA-IoT, FESTIVAL
116 IoT Digital Value Chain Connecting Research, Innovation and Deployment

Frank Boesenberg, DE, Silicon Saxony Management, UNIFY-IoT

François Carrez, UK, University of Surrey, FIESTA-IoT
Friedbert Berens, LU, FB Consulting S.à r.l, BUTLER
Gabriel Marão, BR, Perception, Brazilian IoT Forum
Gert Guri, IT, HIT, UNIFY-IoT
Gianmarco Baldini, IT, EC, JRC
Giovanni Di Orio, PT, UNINOVA, ProaSense, MANTIS
Harald Sundmaeker, DE, ATB GmbH, SmartAgriFood, CuteLoop
Henri Barthel, BE, GS1 Global
Ivana Podnar, HR, University of Zagreb, symbIoTe
JaeSeung Song, KR, Sejong University, WISE IoT
Jan Höller, SE, EAB
Jelena Mitic DE, Siemens, BIG-IoT
Jens-Matthias Bohli, DE, NEC
John Soldatos, GR, Athens Information Technology, FIESTA-IoT
José Amazonas, BR, Universidade de São Paulo, Brazilian IoT Forum
Jose-Antonio, Jimenez Holgado, ES, TID
Jun Li, CN, China Academy of Information and Communications Technology,
EU-China Expert Group
Kary Främling, FI, Aalto University, bIoTope
Klaus Moessner, UK, UNIS, IoT.est, iKaaS
Kostas Kalaboukas, GR, SingularLogic, EURIDICE
Latif Ladid, LU, UL, IPv6 Forum
Levent Gürgen, FR, CEA-Leti, FESTIVAL, ClouT
Luis Muñoz, ES, Universidad De Cantabria
Manfred Hauswirth, IE, DERI, OpenIoT, VITAL
Marco Carugi, IT, ITU-T, ZTE
Marilyn Arndt, FR, Orange
Markus Eisenhauer, DE, Fraunhofer-FIT, HYDRA, ebbits
Martin Bauer, DE, NEC, IoT-A
Martin Serrano, IE, DERI, OpenIoT, VITAL, FIESTA-IoT
Martino Maggio, IT, Engineering - Ingegneria Informatica Spa, FESTIVAL,
ClouT
Maurizio Spirito, IT, Istituto Superiore Mario Boella, ebbits, ALMANAC,
UNIFY-IoT
Maarten Botterman, NL, GNKS, SMART-ACTION
Ousmane Thiare, SN, Université Gaston Berger, WAZIUP
Payam Barnaghi, UK, UNIS, IoT.est
 List of Abbreviations and Acronyms 117

Philippe Cousin, FR, FR, Easy Global Market, WISE IoT, FIESTA-IoT,
EU-China Expert Group
Philippe Moretto, FR, ENCADRE, UNIFY-IoT, ESPRESSO, Sat4m2m
Raffaele Giaffreda, IT, CNET, iCore
Roy Bahr, NO, SINTEF, UNIFY-IoT
Sébastien Ziegler, CH, Mandat International, IoT6
Sergio Gusmeroli, IT, Engineering, POLIMI, OSMOSE, BeInCPPS
Sergio Kofuji, BR, Universidade de São Paulo, Brazilian IoT Forum
Sergios Soursos, GR, Intracom SA Telecom Solutions, symbIoTe
Sophie Vallet Chevillard, FR, inno TSD, UNIFY-IoT
Srdjan Krco, RS, DunavNET, IoT-I, SOCIOTAL, TagItSmart
Steffen Lohmann, DE, Fraunhofer IAIS, Be-IoT
Sylvain Kubler, LU, University of Luxembourg, bIoTope
Takuro Yonezawa, JP, Keio University, ClouT
Toyokazu Akiyama, JP, Kyoto Sangyo University, FESTIVAL
Veronica Barchetti, IT, HIT, UNIFY-IoT
Veronica Gutierrez Polidura, ES, Universidad De Cantabria
Xiaohui Yu, CN, China Academy of Information and Communications
Technology, EU-China Expert Group

Contributing Projects and Initiatives

IoT6, iCore, EURIDICE, IoT.est, OpenIoT, CuteLoop, BUTLER, IoT-A,
SmartAgriFood, EAR-IT, ALMANAC, CITYPULSE, COSMOS, CLOUT,
RERUM, SMARTIE, SMART-ACTION, SOCIOTAL, VITAL, WAZIUP,
FESTIVAL, BeInCPPS, ESPRESSO, WISE IoT, FIESTA-IoT, iKaaS,
ProaSense, MANTIS, ARMOUR, BIG IoT, VICINITY, INTER-IoT, sym-
bIoTe, TAGITSMART, bIoTope, AGILE, Be- IoT, UNIFY-IoT.

List of Abbreviations and Acronyms

Acronym Meaning
3GPP 3rd Generation Partnership Project
AAL Ambient Assisted Living
AMR Automatic Meter Reading Technology
API Application Programming Interface
ARM Architecture Reference Model
AWARENESS EU FP7 coordination action Self-Awareness in
Autonomic Systems
118 IoT Digital Value Chain Connecting Research, Innovation and Deployment

BACnet Communications protocol for building

automation and control networks
BAN Body Area Network
BDI Belief-Desire-Intention architecture or approach
Bluetooth Proprietary short range open wireless technology
standard
BUTLER EU FP7 research project uBiquitous, secUre
inTernet of things with Location and
contExt-awaReness
CAGR Compound annual growth rate
CE Council of Europe
CEN Comité Européen de Normalisation
CENELEC Comité Européen de Normalisation
Électrotechnique
CEP Complex Event Processing
DNS Domain Name System
DoS/DDOS Denial of service attack Distributed denial of
service attack
EC European Commission
eCall eCall – eSafety Support A European Commission
funded project, coordinated by ERTICO-ITS
Europe
EDA Event Driven Architecture
EH Energy harvesting
EMF Electromagnetic Field
ERTICO-ITS Multi-sector, public/private partnership for
intelligent transport systems and services for
Europe
ESOs European Standards Organisations
ESP Event Stream Processing
ETSI European Telecommunications Standards
Institute
EU European Union
Exabytes 1018 bytes
FI Future Internet
FI PPP Future Internet Public Private Partnership
programme
FIA Future Internet Assembly
FIS 2008 Future Internet Symposium 2008
 List of Abbreviations and Acronyms 119

F-ONS Federated Object Naming Service

FP7 Framework Programme 7
FTP File Transfer Protocol
GS1 Global Standards Organization
Hadoop Project developing open-source software for
reliable, scalable, distributed computing
HC Haptic Control
IAB Internet Architecture Board
IBM International Business Machines Corporation
ICANN Internet Corporation for Assigned Name and
Numbers
ICT Information and Communication Technologies
iCore EU research project Empowering IoT through
cognitive technologies
IERC European Research Cluster for the Internet of
Things
IETF Internet Engineering Task Force
INSPIRE Infrastructure for Spatial Information in the
European Community
IIoT Industrial Internet of Things
IoB Internet of Buildings
IoC Internet of Cities
IoE Internet of Energy
IoE Internet of Everything
IoL Internet of Lighting
IoM Internet of Media
IoP Internet of Persons, Internet of People
IoRT Internet of Robotic Things
IoS Internet of Services
IoT Internet of Things
IoT6 EU FP7 research project Universal integration of
the Internet of Things through an IPv6-based
service oriented architecture enabling
heterogeneous components interoperability
IoT-A Internet of Things Architecture
IoT-est EU ICT FP7 research project Internet of Things
environment for service creation and testing
IoT-I Internet of Things Initiative
IoV Internet of Vehicles
IP Internet Protocol
120 IoT Digital Value Chain Connecting Research, Innovation and Deployment

IPSO Alliance Organization promoting the Internet Protocol

(IP) for Smart Object communications
IPv6 Internet Protocol version 6
ITS Intelligent Transportation System
KNX Standardized, OSI-based network
communications protocol for intelligent
buildings
LOD Linked Open Data Cloud
LTE Long Term Evolution
M2M Machine to Machine
MAC Media Access Control data communication
protocol sub-layer
makeSense EU FP7 research project on Easy Programming
of Integrated Wireless Sensors
MB Megabyte
MIT Massachusetts Institute of Technology
MPP Massively parallel processing
NIEHS National Institute of Environmental Health
Sciences
NFC Near Field Communication
NoSQL not only SQL – a broad class of database
management systems
OASIS Organisation for the Advancement of Structured
Information Standards
OEM Original equipment manufacturer
OGC Open Geospatial Consortium
OMG Object Management Group
OpenIoT EU FP7 research project Part of the Future
Internet public private partnership Open source
blueprint for large scale self-organizing cloud
environments for IoT applications
Outsmart EU project Provisioning of urban/regional smart
services and business models enabled by the
Future Internet
PAN Personal Area Network
PET Privacy Enhancing Technologies
Petabytes 1015 byte
PHY Physical layer of the OSI model
PKI Public key infrastructure
 List of Abbreviations and Acronyms 121

PPP Public-private partnership

Probe-IT EU ICT-FP7 research project Pursuing roadmaps
and benchmarks for the Internet of Things
PSI Public Sector Information
PV Photo Voltaic
QoI Quality of Information
RFID Radio-frequency identification
SASO IEEE international conferences on Self-Adaptive
and Self-Organizing Systems
SDO Standard Developing Organization
SEAMS International Symposium on Software
Engineering for Adaptive and Self-Managing
Systems
SENSEI EU FP7 research project Integrating the physical
with the digital world of the network of the future
SIG Special Interest Group
SLA Service-level agreement/Software license
agreement
SmartAgriFood EU ICT FP7 research project Smart Food and
Agribusiness: Future Internet for safe and healthy
food from farm to fork
SmartSantander EU ICT FP7 research project Future Internet
research and experimentation
SOA Service Oriented Approach
SON Self-Organising Networks
SRIA Strategic Research and Innovation Agenda
SI Swarm Intelligence
SWE Sensor Web Enablement
TC Technical Committee
TI Tactile Internet
USDL Unified Service Description Language
UWB Ultra-wideband
VR Virtual Reality
W3C World Wide Web Consortium
WSN Wireless sensor network
Zettabytes 1021 byte
ZigBee Low-cost, low-power wireless mesh network
standard based on IEEE 802.15.4
Z-Wave Wireless, RF-based communications technology
protocol
122 IoT Digital Value Chain Connecting Research, Innovation and Deployment

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