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Q1. What are the concerns regarding performance and battery life while writing code
for embedded systems? (Nov-2018) (April-2023)
When it comes to writing code, performance and battery life tend to go hand in hand what is good
for one is usually good for the other. Whether either or both of these are things that you need to
optimise depends on your application. A device which is tethered to one place and powered by an
AC adaptor plugged into the wall isn’t as reliant on energy conservation, for example. However,
consuming less energy is something to which all devices should aspire.
Similarly, if you’re building something which doesn’t have to react instantly maybe an ambient
notifier for a weather forecast, which doesn’t have any ill effect if it updates a few seconds later or if
it doesn’t have an interactive user interface which needs to respond promptly to the user’s actions,
maximising performance might not be of much concern.
For items which run from a battery or which are powered by a solar cell, and those which need to
react instantaneously when the user pushes a button, it makes sense to pay some attention to
performance or power consumption. Although there is a lot of truth in the Donald Knuth.
A lot of the biggest power-consumption gains come from the hardware design. In particular, if your
device can turn off modules of the system when they’re not in use or put the entire processor into a
low-power sleep mode when the code is finished or waiting for something to happen, you have
already made a quick win. That said, it is still important to optimize the software, too! After all, the
quicker the main code finishes running, the sooner the hardware can go to sleep.
One of the easiest ways to make your code more efficient is to move to an event-driven model rather
than polling for changes. The reason for this is to allow your device to sit in a low power state for
longer and leap into action when required, instead of having to regularly do busywork to check
whether things have changed and it has real work to do. Setting up this model is trickier to do with
the networking code if you are acting as a client, rather than waiting as a server. On the hardware
side, look to use processor features such as comparators or hardware interrupts to wake up the
processor and invoke your processing code only when the relevant sensor conditions are met. If
your code needs to pause for a given amount of time to allow some effect to occur before
continuing, use calls which allow the processor to sleep rather than wait in a busy-loop.
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These days when developing software for server or desktop machines, you have huge array of
possible libraries and framework available to make your life easier.
In the embedded world task are often a little trickier as microcontroller are still too resource
constraints to just pull in main steam operation system libraries and code.
We don’t have space here to cover all the possible libraries that are available, and we’re by no
means aware of everything that’s available. However, here are a few which might be of interest:
lwIP: lwIP, or LightWeight IP is a full TCP/IP stack which runs in low-resource conditions. It
requires only tens of kilobytes of RAM and around 40KB of ROM/flash. The official Arduino
WiFi shield uses a version of this library.
uIP: uIP, or micro IP is a TCP/IP stack targeted at the smallest possible systems. It can even
run on systems with only a couple of kilobytes of RAM. It does this by not using any buffers to
store incoming packets or outgoing packets which haven’t been acknowledged. This means
that some of the retransmission logic for the TCP layer bleeds into the application code,
making your code more tightly coupled and more complex. It’s quite common on Arduino
systems which don’t use the standard Ethernet shield and library, such as the Nanode board,
using the Ethercard port for AVR.
uClibc: uClibc is a version of the standard GNU C library (glibc) targeted at embedded Linux
systems. It requires far fewer resources than glibc and should be an almost drop-in
replacement. Changing code to use it normally just involves recompiling the source code.
BusyBox: Although not really a library, BusyBox is a collection of a host of useful UNIX
utilities into a single, small executable and a common and useful package to provide a simple
shell environment and commands on your system.
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Q3. What is a business model? Who is the business for? Explain. (Nov-2018)
i) Business model
From the earliest times, and for the great majority of human existence, we have gathered in
tribes, with common property and shared resources. This is an almost universal pattern amongst
hunter-gatherers, as it means that every member of the tribe can find food and shelter even if
they have not been lucky foraging or hunting that day. We could describe this form of
collectivism as a basic gift economy.
Primarily, the reason to model your business is to have some kind of educated hypothesis about
whether it might deliver what you want from it. Even if you don’t use a semi-formal method like
the canvas we just discussed, anyone who starts up any business will have thought, at least
briefly, about whether she can afford to do it, what the business is, and whether she’ll get paid.
Many great product ideas turn out to be impractical, ahead of their time, or unprofitable. Being
able to analyze how the related concepts mesh will help you challenge your product idea and
either make it stronger or know when to abandon it. The model is also useful if you want to get
other people involved. This could be an employee or a business partner...or an investor. In each
of these cases, the other parties will want to know that the business has potential, has been
thought out, and is likely to survive and perhaps even go places. With a new business startup,
you have no track record of success to point to. Although what will sell the business is primarily
the product itself, and of course your passion for it, being able to defend a well-thought-out
model of the business is an important secondary consideration for someone who is planning to
sink time and perhaps money into your business.
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Q4. Explain the following business models: Make Thing Sell Thing, Subscriptions,
Customisation. (Nov-2018) (April-2023)
SUBSCRIPTIONS:
A Thing would be a dumb object if it weren’t for the important Internet component which allows
the device to remain up to date with useful and current content. But, of course, this ongoing
service implies costs to the provider—development, maintenance of servers, hosting costs,
and in some cases even connection costs. A subscription model might be appropriate, allowing
you to recoup these costs and possibly make ongoing profit by charging fees for your service.
Many products could legitimately use this method, but perhaps the more complex, content-
driven services would find it more convincing. Paying Bubblino a monthly fee to blow bubbles
might seem steep, but the BERG Cloud, which delivers nicely formatted news and
entertainment to its Little Printer, might have seemed an ideal product for this model. As it
stands, content consumers do not pay for either BERG Cloud or for any content subscriptions.
CUSTOMIZATION:
We touched on the improvements to mass production whereby the process of buying a car can
be tweaked to the buyer’s requirements. For an Internet of Things device, at the intersection
between solid thing and software, there are options for customization that we believe may lead
to new business models.
For a mass-produced item, any customization must be strictly bounded to a defined menu: a
selection of different colours for the paintwork, options for fittings such as tyres, the trimmings
and upholstery inside, and for features like the onboard computer control and display. Fordian
logic dictates that all these components must be optimised for manufacture and fit well
together.
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Every Start-up requires funding at some or other point of time. Getting funding for a project from
an external investor presents its own work and risks. This funding process goes in 3 rounds, i.e.
Friends, Family, and Fools (FFF) rounds, Angels round, and Venture Capital round.
Friends, Family, and Fools (FFF) Rounds:
It is the most straight forward round, you try to get funds from family members or best
friends and even local business pitch into it.
This round totally depends on how strong your relationship is with the person you have
approach for funding.
Angels Round:
This is the next round for raising funds.
The angels here are the entrepreneurs who are willing to invest in the start-ups.
These entrepreneurs invest in such start-ups because of their similar background and
experience in this filed.
Ventures Capital Round:
Venture capital provides large amount of funds only if angels have already invested in your
company and have gained profit out of it.
Unlike angels, venture capital round would also demand to be board members and even a
significant amount of equity.
Government Funding:
Governments typically want to promote industry and technological development in their
country, and they may provide funds to help achieve particular aims.
Although governments can and do set up their own venture capital funds or collaborate
with existing funds in various ways, they generally manage the majority of their funds
differently.
For one thing, they also want to fund existing companies to do new research and
innovation.
Outputs:
This metric may simply be a test that you are managing the money well or may be related
to the goals that the body itself wishes to promote.
You might be required to write regular reports or pass certain defined milestones on
schedule.
If your funding is given in stages, the later payments may be conditional on successful
delivery of previous outputs.
Crowd Funding:
As the name suggests, it is getting funds from many people at a time.
We can think of crowd funding as the long tail of funding projects.
Getting many people to contribute to a project isn’t exactly a new phenomenon.
Over millennia many civic and religious monuments and constructions have been funded at
least partly by the public.
However, such projects have been mostly sponsored and given focus by some influential
person or body.
The main options for crowd funding are Kick-starter (www.kickstarter.com) and Indiegogo
(www.indiegogo.com).
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When you don’t have a lot of memory to play with, you need to be careful as to how you use it.
This is especially the case when you have no way to indicate that message to the user.
The computer user presented with one too many “low memory” warning dialog boxes.
On the other hand, an embedded platform with no screen or other indicators will usually
continue blindly until it runs out of memory completely.
Even while you are developing software for a constrained device, trying to debug these issues
can be difficult.
Something that worked perfectly a minute ago now stops.
1) RAM:
Random-access memory trade’s persistence for speed of access.
It requires power to retain its contents, but the speed of update is comparable with the time
taken to read from it (particularly when compared to flash memory).
As a result it is used as the working memory for the system the place where things are
stored while being processed.
2) ROM:
Read-only memory refers to memory where the information stored in the chips is hard
coded at the chips’ creation and can only be read afterwards.
This memory type is the least flexible and is generally used to store only the executable
program code and any data which is fixed and never changes.
3) Flash:
Flash is a semi-permanent type of memory which provides all the advantages of ROM and
RAM.
The contents of flash memory can be rewritten a maximum number of times.
Reading from flash memory isn’t much different in speed as from ROM or RAM.
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It is one of the most important parts of any software development lifecycle, the most irritating
part of writing a code is knowing your code has an error after debugging.
With embedded environment it is far more frustrating, as it becomes difficult to understand
whether the problem is with software or hardware.
Modern IDE’s have a good support for understanding where and in which part there is a
problem.
It allows setting breakpoints, performing memory management, and interpreting the code line
by line. The debugging environment for embedded systems is usually more primitive.
Following are some examples of debugging tools:
1) Simulators:
Software instruction simulators provide simulated program execution with read and write
access to the internal processor registers.
2) Burn-and-learn method:
A chip is burned with a device programmer; and after plugging it into the hardware, the
system crashes. At this point, an attempt is made to figure out what went wrong; the
source code is changed, the executable is rebuilt, and another chip is burned. This cycle
is repeated until the chip works properly.
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From Tim Berners-Lee’s first demonstration of the World Wide Web in 1990, it took only five
years for eBay and Amazon to open up shop and emerge another five years later as not only
survivors but victors of the dot-com bubble. Both companies changed the way we buy and sell
things.
A physical bricks shop has to pay rent and maintain inventory, all of which takes valuable
space in the shop; therefore, it concentrates on providing what will sell to the customers who
frequent it: the most popular goods.
In comparison, an Internet storefront exposes only bits, which are effectively free. Of course,
Amazon has to Maintain warehouses and stock, but these can be much more efficiently
managed than a public-facing shop.
Long tail Internet giants help this process by aggregating products from smaller providers, as
with Amazon Marketplace or eBay’s sellers.
This helps thousands of small third-party traders exist, but also makes money for the
aggregator, who don’t have to handle the inventory or delivery at all, having outsourced it to
the long tail.
Yet although Google’s stated goal is “to organize the world’s information and make it universally
accessible and useful”, it makes money primarily through exploiting the long tail of advertising,
making it easy for small producers to advertise effectively alongside giant corporations.
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Q9. Discuss the business model canvas for Internet of Things. (April-2019)
OR
With the help of a diagram, explain business model canvas
(Nov-2019) (Nov-2022)
The Business Model looks like a nine-point checklist. Each point of the checklist is described below:
1) Revenue Streams: This point describes how the company generates its revenue.
2) Value Propositions: It describes about what value the company brings to the customers.
3) Customer Segment: It describes about the targeted customers to whom the product needs to
be delivered.
4) Customer Relationship: It discusses about how the company retains its relationship with its
customers. Though it is beneficial from the business point of view but is costly to maintain such
communities which connect the company to its customers.
5) Channels: It tells about by what means does the company reaches out to its customer.
6) Key Activities: It describes about the activities that needs to be carried out in order to make
the company successful.
7) Key Resources: It describes about how the company gets its resources for fulfilling the
customer demands.
8) Key Partners: Every new company invest money to do the key activities themselves but at
same time for its product to be launched successfully in the market, it requires key partners
who can do some of these key activities in a much better manner as they are experienced in
that particular activity and that they have their own business model for it.
9) Cost Structure: In Cost structure, one has to discuss about what cost does the company incur? i.e.
Whether the product is cost driven (selling large number of products at cheaper rate) or value driven
(selling limited number of products but at a higher rate).
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1) For an Internet of Things device, at the intersection between solid thing and software, there are
options for customisation that we believe may lead to new business models. I
2) For a mass-produced item, any customisation must be strictly bounded to a defined menu: a
selection of different colours for the paintwork, options for fittings such as tyres, the trimmings
and upholstery inside, and for features like the onboard computer control and display. Fordian
logic dictates that all these components must be optimised for manufacture and fit well together.
3) Early websites explored the new medium of HTML to its garish extremes, with tags and
animated .gif images. Yet today’s equivalent of home pages, offered by incumbents such as
Facebook, Twitter, and Pinterest, offer small degrees of customisation within strictly defined
boundaries: a selection of (tasteful) colour schemes and a choice of image to use as your avatar.
4) Many Internet of Things products have some possibility of customisation: Every Bubblino has a
name (given to it by Adrian), but the user can also change which phrases he listens to on
Twitter. BERG’s Little Printer offers a selection of content to be printed but also an option of
which smiley face it will print for display while waiting for a new delivery. (Of course, only a
limited number of choices are available currently.)
5) Although printer output is as flexible as the software that feeds it, BERG has limited the options
to fit into its product aesthetic.
6) The new manufacturing techniques, such as laser cutting and 3D printing, should allow great
possibilities for customising even the physical devices.
7) MakieLab (http://makie.me) make dolls that can be designed online. Built to your specification,
they are therefore unique and entirely yours in a way that a mass-produced doll.
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1. Venture capital is finance that investors provide to startup companies and small businesses
that are believed to have long-term growth potential. However, it does not always take just a
monetary form, it can be provided in the form of technical or managerial expertise.
2. Venture capital means risk capital. The risk visualized may be very high, may be so high as to
result in loss or very loss so as to result in high gains.
3. The main objective of venture capital is not to gain interest but capital gain.
4. The venture capital investment is made when a venture capitalist buys shares of such a
company and becomes a financial partner in the business.
5. The Venture capital typically comes from institutional investors and high net worth individuals
and is pooled together by dedicated investment firms.
6. It is the money provided by an external investor to finance a new, growing, or troubled
business.
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You do an IPO (Initial Public Offering)-that is, float on the stock market: This involves new
shares being issued and sold to the stock market. Although this option ”dilutes” the value of the
shares already issued, the existing holders are able to the sell their shares on the market too, to get
back their investment, or to retain the shares if they believe that the shares will grow in value.
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Memory management in embedded devices presents several challenges and limitations due to the
constrained resources and specialized nature of these devices. Here are some key limitations and
strategies for managing memory in embedded systems:
Embedded devices typically have a small amount of physical memory (RAM) compared to desktop
or server systems. This limitation restricts the size of programs and data that can be stored in
memory simultaneously.
Many embedded systems allocate memory statically at compile time. This means that the memory
layout is predetermined, and it may not be easy to adapt to changing runtime requirements. This can
lead to inefficient memory utilization.
Fragmentation:
Memory fragmentation can occur in embedded systems, particularly in systems with dynamic
memory allocation. Fragmentation can lead to memory wastage as it becomes challenging to
allocate contiguous blocks of memory.
Lack of Virtual Memory:
Most embedded systems do not support virtual memory, which allows processes to use more
memory than physically available by using a portion of storage (usually disk) as an extension.
Without virtual memory, running out of physical memory can cause applications to crash or behave
unpredictably.
Real-time Constraints:
Many embedded systems are real-time systems, where tasks must meet strict deadlines. Memory
management must be deterministic to ensure that memory allocation and deallocation do not
introduce unpredictable delays.
The processing power of embedded devices is often limited, making complex memory management
algorithms impractical. Simplicity and efficiency are critical.
To manage memory efficiently in embedded systems, several strategies are
commonly employed
Allocate memory statically during compilation. This strategy reduces memory fragmentation and
ensures deterministic memory usage but may limit flexibility.
Use dynamic memory allocation (e.g., malloc and free in C/C++) when necessary. However, be
cautious about potential fragmentation and allocate memory only when needed.
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Memory Pools:
Create memory pools with fixed-size blocks to mitigate fragmentation. Allocate and deallocate
memory from these pools, ensuring that blocks are of the same size.
Memory Fragmentation Mitigation:
Employ techniques like memory compaction to reduce fragmentation. This involves rearranging
memory to create larger contiguous blocks.
Real-time Memory Management:
Use real-time memory allocation algorithms that guarantee deterministic behavior. For example,
fixed-size memory buffers can be used for real-time tasks.
Memory Protection:
Memory-Mapped I/O:
In some cases, memory-mapped I/O can be used to access hardware peripherals, treating them as
memory locations, which can simplify memory management for device drivers.
Optimize code and data structures to minimize memory usage. Techniques like code and data
compression can also be employed where applicable.
In summary, managing memory in embedded devices involves working within the constraints of
limited resources and real-time requirements. Developers must carefully choose memory allocation
strategies and implement them efficiently to ensure reliable and predictable operation of embedded
systems.
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Q13. With the help of examples, compare stack and heap. (Nov-2019)
1. Stack:
i) New items which are added to the stack go on the top, and items can be
removed only in strict reverse order, so the first thing to be removed is the last
item that was placed onto the stack.
ii) This arrangement makes it easy for the processor to keep track of where things
are and how much space is being used because it has to track only the top of
the stack.
iii) Consequently, the stack is really only useful for
(1) Items that aren’t going to survive for long periods of time.
(2) Items that remain in constant use, from the beginning to the end of the
program.
iv) The downside to this approach is that if you’re finished with a particular
variable, you can release the memory used for it only when you can remove
it from the stack, and you can do that only when everything added since it was
allocated is removed from the stack, too.
v) Global variables, which are always available, are allocated first on the stack.
After that, whenever the path of execution enters a function, variables
declared within it are added. The parameters to the function get pushed onto
the stack immediately, while the other variables are pushed as they are
encountered. Because all the variables within a function are available only to
code inside it, when you reach the end of that function, all those parameters
and variables are ready to be discarded. So, the stack gets unwound back to
the same size it was just before control passed to the function.
vi) Example,
// global variables
function A {
variable A1;
variable A2;
call B();
}
function B {
variable B1;
variable B2;
variable B3;
call C();
call D();
}
function C {
variable C1;
}
function D {
variable D1;
variable D2;}
call A();
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d) When execution returns from function C, its variables are removed from the
stack, taking you back to stack (iii).
e) Then function D is called, so its variables are pushed onto the stack instead (v).
f) Then execution returns to function B, with D’s variables removed (iii).
g) And back to A, removing B’s variables (ii).
h) And, finally, you leave function A, dropping back to just the global variables
being defined (i).
2. Heap:
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Q14. Define business model. Explain different factors in the definition. (Nov-2019)
(Nov-2022)
A business model is a comprehensive framework that outlines the fundamental aspects of how
an organization operates, creates value, delivers products or services to customers, and captures
value in various contexts, including economic, social, cultural, or others. Business model innovation
refers to the process of developing, refining, or modifying these frameworks to adapt to changing
circumstances and to improve the organization's overall performance.
Let's elaborate on the different factors included in this definition of a business model:
At the core of any business model are the customers or target audience. Understanding the needs,
preferences, and behaviors of these customers is essential for creating a successful business
model.
Identifying and addressing the needs, problems, or desires of customers is a fundamental element.
A business model should align with the specific needs it aims to fulfill.
This factor involves defining the products, services, or solutions that the business offers to satisfy
customer needs. It could be a physical product, a digital service, expertise, or any other value
proposition.
Business models typically have specific goals or success criteria, which can vary depending on the
organization's mission and context. Profitability is a common success criterion, but it can also
include metrics like market share, customer satisfaction, or social impact.
To achieve success, a business model encompasses the strategies, processes, and operations that
the organization uses. This includes aspects such as marketing, sales, distribution, production, and
customer support.
Sustainability is a critical consideration in modern business models. It involves ensuring that the
organization can continue to create and capture value over the long term while considering
environmental, social, and economic impacts.
In summary, a business model is a holistic concept that integrates various elements, starting from
understanding customer needs to delivering value through products or services and ensuring the
sustainability and profitability of the organization. Business model innovation is the process of
evolving these elements to remain competitive, relevant, and adaptable in a dynamic business
environment. Successful business models align these factors effectively, creating a blueprint for an
organization's activities and growth.
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The main reasons why the government gives funds for IOT Projects are as follows:
a. For Economic Growth and Job Creation : It helps in promoting pfsmall-scale startups , small
businesses and in research institutions. Thus, this things turns out as an job creating oppourtunity
for IOT-related industries.
b. Infrastructure and Security : Government mostly invests in IOT projects to strengthen
infrastructure such as communication systems, transportation and such more interconnected
devices.
c. Advancement of Technology : Now days, the government finds a good scope and potential in
IOT which can take India’s technological activities and economical growth to the next level. Thus it
creates an drive of creation of new technologies, products and services.
d. Department of Electronics and Information Technology : It started with the initial of
Electronics Development Fund (EDF) whose main objective is to support the IOT device with its
innovation , system development , upgradations , etc. This has been done in various schemes and
programs.
e. Make in India : This is one the latest and greatest campain introduced by the government of India
which fully focuses on to promote entrepreneurship. It icludes with funding support, tax incentives ,
and access to such centres with pecific locations so that they can carry on this intitative and
motivate others to join this campain for an speedy growth in the field of IOT.
Example : According to the latest reports, India in the field of IOT might capture 20% of share in
the global market in the next five years. The IOT market of India is projected to grow at CAGR
more than 28.2% during the time period of 2018-2023
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Q16. How can we make optimum use of RAM while writing code for embedded
devices? (Nov-2022)
RAM provides the working memory for the system. If you have more RAM, you may be able to
do more things or have more flexibility over your choice of coding algorithm.
• With respect to RAM very embedded system is unique, so the optimization techniques you apply
will depend on the specific requirements and constraints. Some points while writing
code on embedded devices are as follows :-
✓ Choose right data data types as it will consume a bit less amount of memory and shows
your data and presents it much accurately.
✓ Analyze your tools in order to monitor your RAM’s usage and identify the areas for
improvement.
✓ Reducing up of the code’s size which directly helps in RAM’s optimization, i.e. smaller the
code the lesser resources it requires to run.
✓ Avoid recursion as it uses RAM and uses it without any reason and becomes an reason for
slow running of the RAM been used.
✓ Methods like memory pooling, and efficient data structures are employed to make the best
use of the limited resources.
✓ Code for embedded devices should be written with portability in mind, allowing it to be
easily adapted to different hardware platforms or configurations.
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Q17. Explain in detail the process of debugging the code for embedded devices.
(Nov-2022)
Debugging code for embedded devices is a crucial process to identify and resolve software
issues and errors in the embedded system. Debugging in the embedded context can be more
challenging compared to traditional software due to limited resources, real-time constraints, and the
lack of a standard user interface. Here's a step-by-step explanation of the process of debugging
code for embedded devices:
Step 1: Set Up a Debugging Environment : To begin debugging, you need a development
environment specifically tailored for embedded systems. This environment typically includes an
Integrated Development Environment (IDE) that supports debugging features
Step 2: Use Logging and Print Statements : Embedded devices might not have a display screen
or a standard user interface, making traditional debugging challenging. A common practice in
embedded systems is to use logging and print statements to output diagnostic messages to a serial
port or a debugging interface. These messages provide insight into the program flow, variable
values, and important events, helping developers identify potential issues. MUQuestionPapers.com
Step 3: Use Debugging Tools :Modern debugging tools designed for embedded systems offer
valuable features to aid the debugging process. These tools include Hardware
Debuggers/Emulators Real - Time Debugging/Emulators and Code Profilers
Step 4: Reproduce the Issue : To effectively debug, it's crucial to reproduce the issue or error
consistently. This might involve setting specific conditions or using test scenarios that trigger the
problem reliably. Reproducibility is essential for isolating the cause of the issue.
Step 5: Analyse the Code : Once the issue is reproduced, developers use the debugging tools to
step through the code, inspect variable values, and examine program flow. By analysing the code
execution in the context of the specific issue, developers can identify where the problem occurs and
understand why it happens.
Step 6: Fix the Issue : With a clear understanding of the problem, developers can now fix the issue.
This might involve modifying the code, adjusting configurations, or changing hardware settings.
Step 7: Test the Fix After making the changes, it's essential to thoroughly test the fix to ensure it
resolves the issue without introducing new problems. Debugging embedded code requires a
combination of skills, tools, and attention to detail. It involves a systematic approach to identify and
fix issues to ensure the embedded device operates reliably and as intended.
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Q18. What are the various options available for funding an internet of things
startup? Explain any two. (April-2023)
Venture capital firms invest in early-stage companies with high growth potential, including IoT
startups. To secure VC funding, IoT entrepreneurs typically need a compelling business idea, a well-
defined market, and a strong team. VC funding can provide substantial capital to help with product
development, marketing, and scaling the business.
VC firms often seek equity in return for their investment and may also offer guidance and
connections to help the startup succeed. IoT startups should be prepared to pitch their business
plan and demonstrate a clear path to profitability to attract VC investors.
Crowdfunding:
Crowdfunding platforms like Kickstarter, Indiegogo, and Crowdfunder offer IoT startups a way to
raise funds by soliciting small contributions from a large number of individuals. This approach can be
particularly effective for hardware-based IoT projects, as it allows entrepreneurs to gauge interest
and secure pre-orders before production.
IoT startups can create compelling crowdfunding campaigns that showcase their product's features,
benefits, and potential impact. Successful campaigns not only provide funding but also help build a
customer base and generate buzz around the product.
While the government's support and funding for IoT projects, as mentioned in your provided
information, can be valuable, it's important to consider a range of funding sources, including private
investors, crowdfunding, grants, and competitions, when launching an IoT startup. Each funding
option has its own requirements and advantages, and the choice will depend on the specific needs
and goals of the startup.
Angel Investors:
Angel investors are wealthy individuals who provide capital to startups in exchange for equity or
convertible debt. They often have industry experience and can offer valuable mentorship and
connections in addition to funding. IoT entrepreneurs can seek out angel investors who have a
particular interest in technology and innovation.
Corporate Partnerships and Accelerators:
Many large corporations run accelerator programs or offer partnership opportunities for startups in
specific industries, including IoT. These programs often provide funding, mentorship, access to
resources, and opportunities for collaboration. For example, companies in the IoT space may
partner with major tech corporations to gain funding and access to their customer networks.
Various government agencies, foundations, and organizations offer grants and participate in startup
competitions focused on technology and innovation. IoT startups can apply for grants that align with
their objectives and may not require repayment. Additionally, participating in startup competitions
can provide funding and exposure. For instance, the National Science Foundation (NSF) in the
United States offers grants for IoT research and development.
Bootstrapping:
While not external funding, bootstrapping involves using personal savings and revenue generated
by the business to fund its growth. IoT entrepreneurs can choose to self-fund their startups to
maintain full ownership and control. This approach requires careful financial management and may
result in slower growth compared to seeking external investors.
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Debt Financing:
Startups can also consider debt financing options such as bank loans, lines of credit, or peer-to-peer
lending platforms. These options involve borrowing money that must be repaid with interest. IoT
startups with a solid business plan and revenue stream may qualify for loans to finance their
operations and growth.
IoT startups can explore partnerships with established companies in their industry. These
partnerships can involve joint development, marketing agreements, or licensing of the startup's
technology. In some cases, established companies may provide upfront funding or royalties in
exchange for access to the startup's innovative IoT solutions.
Some entrepreneurs turn to personal networks, including family and friends, for initial funding. While
this can be a source of capital, it should be approached cautiously to avoid straining personal
relationships. Clear terms and expectations should be established when accepting funds from close
acquaintances.
IoT startups should carefully evaluate their funding needs, long-term goals, and the alignment
between their business model and potential funding sources to determine the most suitable
financing options for their specific circumstances.
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