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Seminar Report On IOT

Seminar project on internet of things
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0% found this document useful (0 votes)
18 views

Seminar Report On IOT

Seminar project on internet of things
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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INTERNET OF THINGS

A SEMINAR REPORT
MIET, BBSR
In partial fulfillment of the requirements
For the award of degree of
Bachelor of Technology
In
COMPUTER SCIENCE ENGINEERING
Submitted by
Hrithik Mahakud
University Regd. No: 2221259011

Under the guidance of

Prof. TARANUM ARA


DEPARTMENT OF COMPUTER SCIENCE
ENGINEERING

BHUBANESWAR, ODISHA
ABSTRACT

Present day computer applications require the


representation of huge amount of complex knowledge and data in
programs and thus require tremendous amount of work. Our
ability to code the computers falls short of the demand for
applications. If the computers are endowed with the learning
ability, then our burden of coding the machine is eased (or at least
reduced). This is particularly true for developing expert systems
where the "bottleneck" is to extract the expert’s knowledge and
feed the knowledge to computers. The present-day computer
programs in general (with the exception of some Machine
Learning programs) cannot correct their own errors or improve
from past mistakes or learn to perform a new task by analogy to a
previously seen task. In contrast, human beings are capable of all
the above. Machine Learning will produce smarter computers
capable of all the above intelligent behaviour.
The area of Machine Learning deals with the design of
programs that can learn rules from data, adapt to changes, and
improve performance with experience. In addition to being one of
the initial dreams of Computer Science, Machine Learning has
become crucial as computers are expected to solve increasingly
complex problems and become more integrated into our daily
lives. This is a hard problem, since making a machine learn from
its computational tasks requires work at several levels, and
complexities and ambiguities arise at each of those levels.
So, here we study how the Machine learning take place, what are
the methods, remedies associated, applications, present
DECLARATION

I declare that this written submission represents my ideas with


my own words and where others ideas or words have been
included. I have adequately cited and referenced the original
sources. I also declare that i have adhered to all principles of
academic honesty and integrity and have not misrepresented or
fabricated or falsified any idea/ data/ fact/ source in my
submission. I understand that any violation of the above will be
cause for disciplinary action by the institute and can also evoke
penal action from the sources which have thus not been properly
cited or from whom proper permission has not been taken when
needed.

Hrithik Mahakud
Regd. No. 2221259011
Table  of  Contents  
1.  Introduction ................................................................................................................................. 5  
2.  State  of  the  Art ............................................................................................................................. 8  
Academic  Perspective............................................................................................................... 9  
Industry  Perspective.............................................................................................................. 10  
Government  Perspective ...................................................................................................... 10  
Standardization ....................................................................................................................... 11  
3.  The  Finnish  View ..................................................................................................................... 11  
4.  Our  Vision  and  Mission  for  2017........................................................................................ 12  
5.  Breakthrough  Targets ........................................................................................................... 13  
6.    Challenges ................................................................................................................................. 14  
Technical  Challenges.............................................................................................................. 14  
Security,  Privacy  and  Trust  Challenges ........................................................................... 15  
Societal  Challenges ................................................................................................................. 17  
Business  Challenges ............................................................................................................... 17  
Challenges  in  Finland............................................................................................................. 18  
7.  Research  Strategy.................................................................................................................... 18  
8.  Research  Themes .................................................................................................................... 19  
Theme  1:  Network,  communications................................................................................ 20  
Scalability................................................................................................................................................. 21  
Networks  integration  and  network  architecture ................................................................... 21  
Security,  privacy  and  trust................................................................................................................ 23  
Large-­‐scale  simulation  and  testing  methodologies ............................................................... 24  
Theme  2:  Management  infrastructure ............................................................................. 24  
Energy  management ........................................................................................................................... 25  
Self-­‐*  properties .................................................................................................................................... 26  
Configuration  interfaces  and  mechanisms................................................................................ 26  
Identification  and  discovery ............................................................................................................ 27  
Theme  3:  Services  and  applications  development....................................................... 28  
Integration  with  Web.......................................................................................................................... 28  
Service  Enablement  Platforms  and  APIs .................................................................................... 29  
Data  processing  infrastructure....................................................................................................... 30  
Interoperability ..................................................................................................................................... 30  
Theme  4:  Human  interaction .............................................................................................. 31  
Interaction  tools  for  IoT .................................................................................................................... 31  
End-­‐user  adaptation............................................................................................................................ 32  
Theme  5:  IoT  ecosystem ....................................................................................................... 32  
9.  Integrating  Applications  and  Verticals ............................................................................ 35  
Automation  Systems............................................................................................................... 35  
Maintenance  Systems............................................................................................................. 36  
Environmental  Monitoring  Systems ................................................................................. 36  
Smart  Grids................................................................................................................................ 36  
Agricultural  Systems .............................................................................................................. 36  
Security  Systems...................................................................................................................... 37  
Wellbeing  Solutions................................................................................................................ 37  
Automotive,  Transport  and  Logistics  Applications ..................................................... 37  
Building  and  Home  Automation......................................................................................... 37  
SRA  Focus  and  Approach ...................................................................................................... 38  
10.  References............................................................................................................................... 38  
 
 
 
 
 

1.  Introduction  
 
We  are  standing  on  the  brink  of  a  new  ubiquitous  computing  and  communication  
era,   one   that   will   radically   transform   our   corporate,   community,   and   personal  
environments.   Over   a   decade   ago,   the   late   Mark   Weiser   developed   a   seminal  
vision  of  future  technological  ubiquity  –  one  in  which  the  increasing  “availability”  
of  processing  power  would  be  accompanied  by  its  decreasing  “visibility”.  As  he  
observed,  “the  most  profound  technologies  are  those  that  disappear...  they  weave  
themselves  into  the  fabric  of  everyday  life  until  they  are  indistinguishable  from  it”  
(Weiser,   1991).   Early   forms   of   ubiquitous   information   and   communication  
networks   are   evident   in   the   widespread   use   of   mobile   phones:   the   number   of  
mobile  phones  worldwide  surpassed  2  billion  in  mid-­‐2005.  These  little  gadgets  
have  become  an  integral  and  intimate  part  of  everyday  life  for  many  millions  of  
people,  even  more  so  than  the  Internet.  
 
Today,   developments   are   rapidly   under   way   to   take   this   phenomenon   an  
important   step   further,   as   the   Wireless   World   Research   Forum   (WWRF)   has  
recently  predicted  7  trillion  wireless  devices  for  7  billion  people  by  2020,  which  
would   amount   to   around   a   thousand   devices   for   every   human   (WWRF   2009).  
This  will  add  a  new  dimension  to  the  world  of  information  and  communication  
technologies   (ICTs):   from   anytime,   any-­‐place   connectivity   for   anyone,   we   will  
now  have  connectivity  for  anything.  
 
In  these  new  environments,  connections  will  multiply  and  create  an  entirely  new  
dynamic   network   of   networks   –   an   Internet   of   Things.   For   the   purpose   of   this  
SRA,   we   will   rely   on   the   technical   definitions   of   IoT   given   by   the   International  
Telecommunication   Union   (ITU,   2011)   that   define   IoT   as   a   communication  
infrastructure,  although  with  some  minor  changes  based  on  the  vision  outlined  
in  this  document.  These  definitions  are  given  below.  
 
As   the   discussion   in   ITU   (2011)   notes,   however,   the   IoT   should   not   necessarily  
be  seen  as  a  technical  term,  but  rather  as  a  philosophy  and  a  social  phenomenon.  
IoT  can  be  seen  as  the  networked  interconnection  of  objects  per  se,  rather  than  
an  infrastructure  for  that  (Conner,  2010),  or  as  a  technological  revolution  (ITU,  
2005).   We   acknowledge   these   conceptual   definitions   as   they   stress   the  
paramount  importance  of  the  IoT  as  a  research  area.  
 
The  short  definition  of  IoT:  
A   dynamic   global   network   and   service   infrastructure   of   variable   density   and  
connectivity  enabling  services  by  interconnecting  things.  
 
The  long  definition  of  IoT:  
A  global  network  and  service  infrastructure  of  variable  density  and  connectivity  
with   self-­‐configuring   capabilities   based   on   standard   and   interoperable   protocols  
and  formats.    IoT  consists  of  heterogeneous  things  that  have  identities,  physical  
and   virtual   attributes,   and   are   seamlessly   and   securely   integrated   into   the  
Internet.  
 
 
The   Internet   of   Things   holds   many   promises:   it   will   create   a   plethora   of  
innovative   applications   and   services,   which   enhance   quality   of   life   and   reduce  
inequalities   whilst   providing   new   revenue   opportunities   for   a   host   of  
enterprising  businesses.  However,  first  and  foremost  the  Internet  of  Things  is  a  
technological   revolution,   the   nature   of   which   can   be   seen   from   three   different  
perspectives:  telecommunications,  the  Web,  and  cyber-­‐physical  interaction.  The  
IoT  holds  the  premise  to  revolutionize  our  environment  through  global  machine-­‐
to-­‐machine  interactions  that  enable  both  global  as  well  as  local  applications  and  
services  for  users:  
 
• Global   connectivity   between   physical   objects:   IoT   will   revolutionize   the  
telecommunications   sector   by   enabling   global   connectivity   between  
physical   objects,   i.e.,   global   machine-­to-­machine   (M2M)   interactions.  
Telecommunication   technology   was   born   as   wired   telegraphy   and  
telephony,   as   Connecting   Places,   achieving   0.5   billion   communication  
endpoints.   A   major   revolution   was   the   introduction   of   mobile  
communications,   which   resulted   in   Connecting   People,   achieving   over   5  
billion   communication   endpoints.   Now,   IoT   will   be   the   next   major   step,  
resulting   in   Connecting   Things   and   achieving   at   least   50   billion  
communication   endpoints.   Some   even   say   that   this   number   is   greatly  
underestimated.  
• Real-­‐time   machine-­‐published   information   for   the   Web:   IoT   will  
revolutionize   the   World   Wide   Web   by   bringing   real-­‐time   machine-­‐
published   information   to   the   Web.   This   enables   new   global   applications  
and   services   for   users.   The   Web   is   accessed   by   billions   and   is   vital   for  
information   sharing,   entertainment,   education,   and   commerce.   It   is  
widely   used   by   developers   as   the   main   platform   for   the   development   of  
applications   and   services.   The   information   in   the   present   Web   is   mostly  
published  by  people.  It  may  also  originate  from  databases,  data  which  is  
automatically   collected   from   the   real   world   through   sensors   –   but   this  
data   is   inherently   delayed   and   limited   to   specific   systems.   IoT   will   change  
the  Web  by  extending  it  to  a  vast  amount  of  real-­‐time  information  coming  
directly   from   real-­‐world   things,   enabling   new   applications   and   services.  
As  a  simplest  example,  imagine  a  Web-­‐based  mapping  system,  like  Google  
Maps,   that   provides   a   view   on   things   located   and   events   occurring   right  
here,  right  now.  
• Embedded   Intelligence   on   the   edges   of   the   network:   IoT   will   be   a  
revolution   in   cyber-­‐physical   systems   (CPS),   which   combine  
computational  and  physical  elements,  in  that  it  will,  finally,  meet  the  goals  
set   by   Mark   Weiser   for   computing   in   the   21st   century   (Weiser,   1991).  
Mark  Weiser’s  vision  has  two  goals:  (1)  better  interaction  of  people  with  
the  physical  environment,  and  (2)  less  of  the  “personal  computing”  where  
people   have   to   carry   the   processing   power   with   them.   Such   technology  
would   enable   new   local   applications   and   services   for   the   users.   IoT   will  
achieve  these  goals,  but  the  solution  is  going  to  be  different  from  the  one  
proposed   by   Weiser   himself,   which   was   migrating   the   computing   power  
from   personal   devices   into   the   environment   itself.   In   IoT,   the   physical  
objects  are  extended  with  connectors  like  RFIDs,  sensors,  and  actuators,  
but   the   computational   power   is   concentrated   to   the   servers,   not  
ubiquitously   present   in   the   environment.   IoT   is   a   technology   that   will  
enable  the  achievement  of  the  first  goal  above,  while  following  the  trend  
of   cloud   computing,   which   appears   to   be   the   winning   solution   for   the  
second  goal  above.  
 
The  “things”  on  the  Internet  of  Things  are  various  physical  entities  that  present  
some   interest   to   humans,   such   as   a   package   to   track,   an   industrial   machine   to  
monitor,   an   electrical   current   to   measure,   the   temperature   in   an   engine,   etc.  
Depending   on   the   nature   of   things,   different   ways   of   connecting   them   to   IoT   will  
be  used.  The  three  major  options  for  this  come  from  the  three  major  technology  
areas  related  to  IoT.  As  they  rely  on  different  technologies  and  are  prevailing  in  
different   industry   sectors,   they   all   are   parts   of   the   IoT   vision   and   have   to   be  
integrated:  
• The   RFID   world.   It   is   about  Identifying   things.   Identifiers   such   as   RFIDs  
are   attached   to   things,   e.g.   packages,   to   enable   their   automatic  
identification   and   tracking.   Based   on   ID,   the   information   about   things   can  
be  accessed  from  a  database  or  from  the  Web.    
• The  sensors  world.  It  is  about  Sensing  things,  that  is,  “second-­‐hand”  access  
to  properties  of  things,  which  can  be  perceived  from  the  outside  using  a  
variety  of  available  sensors.    
• The   embedded   systems   world.   It   is   about  Reading  things,   that   is,   “first  
hand”   access   to   data   possessed   by   things,   e.g.   industrial   machines   or  
home   electronics,   already   embedded   with   some   processing   and   data  
storage  capabilities.    
 
As   a   result,   the   IoT   consists   of   heterogeneous   set   devices   and   heterogeneous  
communication   strategies   between   the   devices.   Examples   include   personal  
devices   such   as   wearable   wireless   sensors   or   wireless   sensors   integrated   in  
homes,   cars,   or   home   appliances;   autonomic   devices   such   as   robots   with  
communication   abilities;   medium-­‐specific   devices   such   as   underwater   wireless  
acoustic  sensors  or  in-­‐body  sensors  for  health  monitoring;  location  or  position-­‐
specific  devices  such  as  manned  and  unmanned  terrestrial  and  aerial  vehicles  for  
surveillance   and   rescue   scenarios;   and   all   other   mixed-­‐type   devices   forming   an  
environment  possibly  with  unique  highly  dynamic  and  agile  requirements.    
 
Therefore,   the   Internet   of   the   Things   (IoT)   needs   to   support   a   large   number   of  
diversified   objects,   based   on   different   types   of   radio   interfaces   with   very  
different  requirements  in  terms  of  available  resources.  Such  diversity  in  terms  of  
connected   moving   objects   would   facilitate   a   variety   of   information   for   Internet  
users,   resulting   in   new   applications   and   services.   It   is   clear   that   such   a  
heterogeneous   system   should   evolve   into   a   more   structured   set   of   solutions.   It  
can   be   expected   that   IoT   will   provide   a   set   of   solutions   at   different   levels   and  
instances   where   things   (e.g.   everyday   objects,   locations,   vehicles,   meters,   etc.)  
are   extended   with   sensors,   RFIDs,   actuators,   or   processors,   made   discoverable  
and  enabled  to  communicate  with  other  entities,  and  are  closely  integrated  with  
future  Internet  infrastructure  and  services.    
 
Thus   one   of   the   key   challenges   for   IoT   research   and   development   is   to   realize  
this   backbone   that   supports   the   different   deployment   scenarios   (verticals)   and  
meets   the   functional   and   non-­‐functional   requirements.   The   nature   of   the   IoT  
environment  calls  for  protocols,  network  designs,  and  service  architectures  that  
can   cope   with   billions   of   IoT   entities,   and   connects   the   suppliers   of   the   data   with  
the  consumers.  

2.  State  of  the  Art  


 
In   this   section   we   briefly   consider   the   state   of   the   art   in   IoT   from   differing  
viewpoints.    In  the  subsequent  sections,  we  first  give  a  short  history  of  IoT,  and  
then   describe   the   Finnish   background   and   position   towards   IoT,   and   finally  
present  the  state  of  the  art  of  IoT  from  the  academic,  industry,  government,  and  
standardization  perspective,  respectively.  
 
The  phrase  "Internet  of  Things"  was  coined  some  10  years  ago  by  the  founders  of  
the   original   MIT   Auto-­‐ID   Center,   with   special   mention   to   Kevin   Ashton   in   1999  
and   David   L.   Brock   in   2001.   The   term   "Auto-­‐ID"   refers   to   any   broad   class   of  
identification   technologies   used   in   industry   to   automate,   reduce   errors,   and  
increase   efficiency.   These   technologies   include   bar   codes,   smart   cards,   sensors,  
voice  recognition,  and  biometrics  (Brock  2001).    
 
A   2005   report   from   the   International   Telecommunications   Union   (ITU)  
publicized   the   phrase   further   (ITU   2005).   The   ITU   report   adopted   a  
comprehensive  and  holistic  approach  by  suggesting  that  the  IoT  would  connect  
the  world's  objects  in  both  a  sensory  and  intelligent  manner  through  combining  
technological  developments  in  item  identification  ("tagging  things"),  sensors  and  
wireless   sensor   networks   ("feeling   things"),   embedded   systems   ("thinking  
things")   and   nanotechnology   ("shrinking   things").   In   the   last   few   years   the  
phrase   has   been   used   extensively.   There   are   a   large   number   of   research  
proposals,   ongoing   projects,   and   standardization   efforts   around   the   IoT.   It   is  
important  to  emphasize  that  the  industry  and  consumers  have  started  deploying  
IoT  networks  and  products  as  well.  
 
If  we  just  look  at  what  is  already  being  deployed  in  real  life,  it  becomes  clear  that  
to   a   large   extent,   IoT   technology   is   already   in   place.   Cellular-­‐based   energy  
metering   has   been   a   standard   issue   for   new   subscribers   with   many   Finnish  
utility   companies   for   a   decade.   These   and   other   applications   of   existing  
technology  are  expected  to  bring  the  number  of  cellular  connections  to  ten  times  
larger   than   it   is,   essentially   without   any   technology   changes.   Going   beyond   the  
national  and  cellular  industry-­‐related  anecdotes,  the  industry  at  large  is  already  
deploying   this   technology.   In   the   current   market,   there   exists   tons   of   health  
monitoring   and   sports-­‐related   devices,   e-­‐book   readers,   tablets,   cameras,   traffic  
applications   employing   positioning   technology,   building   automation   and  
surveillance  solutions  that  run  on  top  of  IP,  just  to  name  a  few.  
 

Academic  Perspective  
 
Academia  has  a  relatively  long  history  of  IoT  research.  As  mentioned  above,  the  
phrase  “Internet  of  Things”  was  coined  in  MIT  Auto-­‐ID  Center.  In  October  2003,  
the   MIT   Auto-­‐ID   Center   was   rechristened   Cambridge   Auto-­‐ID   Lab   when   it   was  
closed  and  split  into  a  research  arm  –  the  Auto-­‐ID  Labs  –  and  a  commercial  arm  –  
EPCglobal.   Today,   the   Auto-­‐ID   Labs   comprise   seven   of   the   world's   most  
renowned   research   laboratories   located   on   four   different   continents,   including  
MIT  (US),  Cambridge  (UK),  St.  Gallen  (Switzerland),  Fudan  (China),  ICU  (Korea),  
Adelaide  (Australia),  Keio  (Japan).  The  target  of  the  Auto-­‐ID  Center  is  to  architect  
the  IoT  together  with  EPCglobal  (http://www.autoidlabs.org/).    
 
In   China,   the   academic   research   work   towards   IoT   was   initiated   later   than   in   the  
US.   But   it   has   caught   up   with   the   rest   of   the   world   quickly   in   recent   years,  
especially   with   the   strong   support   from   the   Chinese   government.     In   2011,   three  
“973”   projects   (focusing   on   basic   infrastructure   research)   were   funded   by   the  
Chinese  government,  the  leading  institutes  were  Beijing  University  of  Posts  and  
Telecommunications   (BUPT),   Tongji   University,   and   Wuxi   SensingNet  
Industrialisation   Research   Institute,   respectively.   Furthermore,   since   2006,  
several   other   research   institutes   have   been   involved   in   far-­‐reaching   projects,  
including   Shanghai   Institute   of   Microsystem   and   Information   Technology  
(SIMIT),   Chinese   Academy   of   Sciences   (CAS),   etc,   with   strong   backup   from   the  
government.  
 
In  Europe,  the  academic  research  work  in  IoT  was  mainly  performed  in  different  
EU-­‐funded  seventh  Programme  Framework  (FP7)  projects.  To  better  utilize  the  
research   achievements   and   to   provide   a   place   to   share   the   lessons   and  
experiences  from  different  projects,  in  2009,  European  Research  Cluster  on  the  
Internet  of  Things  (IERC)  was  founded  and  funded  under  FP7,  the  goal  of  which  
was   to   “bring   together   EU-­‐funded   projects   with   the   aim   of   defining   a   common  
vision   and   the   IoT   technology   and   development   research   challenges   at   the  
European   level   in   the   view   of   global   development”.   Currently,   IERC   comprises  
around   30   EU-­‐funded   projects,   including   AMI-­‐4-­‐SME,   ASPIRE,   BRIDGE,  
CASAGRAS,   DiYSE,   EPoSS,   IoT-­‐i,   IoT-­‐A,   etc.   (http://www.internet-­‐of-­‐things-­‐
research.eu/about_ierc.htm)  
 
Furthermore,   the   European   Union   realized   the   importance   of   sustainable   and  
continuous  research  work  in  IoT  domain.  The  first  version  of  the  Future  Internet  
research   roadmap   for   FP8   (v1.0   published   on   17   May   2011)   described   some  
topics   related   to   IoT   and   Real-­‐world   Internet.   For   IoT   technical   challenges,   the  
roadmap  is  still  open  for  new  ideas  and  updates.  The  main  topics  on  the  IoT  side  
considered   currently   are   integration   of   IoT   to   "generic"   Internet   architecture,  
energy-­‐awareness,  autonomic  and  distributed  control  and  management  issues.  
 
Industry  Perspective  
 
The  industrial  activities  in  IoT  started  at  around  the  same  time  as  the  academia,  
though  the  corresponding  products  were  very  sparse  in  the  first  several  years.  
 
The   first   industrial   product   of   IoT   can   be   traced   back   to   1998,   when   Presto  
network  embedded  RFID  tags  into  objects.  In  the  subsequent  several  years,  IoT  
was   more   a   concept   for   research   rather   than   for   industry.   In   the   year   2005,   Wal-­‐
Mart   and   the   U.S.   Department   of   Defense   demanded   that   their   major   contractors  
and  suppliers  mark  their  shipments  with  RFID  tags  for  inventory  control,  which  
signified  the  dawn  of  large-­‐scale  deployment  of  IoT  products  in  real  commercial  
environments.  
 
In  2008,  the  IPSO  Alliance  was  launched  to  act  as  a  global  non-­‐profit  organization  
serving  the  various  communities  seeking  to  establish  the  Internet  Protocol  (IP)  
as  the  network  protocol  for  connecting  smart  objects  by  providing  coordinated  
marketing   efforts   available   to   the   general   public.   Currently,   the   alliance   has  
around  50  member  companies,  including  BOSCH,  Cisco,  Ericsson,  Sensinode  etc.  
(http://ipso-­‐alliance.org/)  
 
In   Europe,   SAP   is   one   of   the   early   promoters   of   IoT.   It   combines   IoT   with   the  
concept   of   Internet   of   Services,   and   highlights   the   convergence   of   physical   world  
with  virtual  and  digital  world.  Other  well  known  examples  include  touchatag  and  
Pachube.   In   2008,   Alcatel-­‐Lucent   announced   touchatag,   which   enables   service  
providers  and  enterprises  to  leverage  ubiquitous  identity  —  in  contactless  RFID  
cards,   and   NFC   mobile   devices   —   for   wallet   services   such   as   mobile   payment,  
fidelity   and   interactive   advertising   (http://www.touchatag.com/about).   In   the  
same   year   (2008),   Pachube   was   published   as   an   open   real-­‐time   data  
infrastructure   platform   for   the   IoT,   which   manages   millions   of   data   points   per  
day   from   thousands   of   individuals,   organizations   &   companies   around   the   world  
(http://www.pachube.com/).  
 
Furthermore,  IBM  and  Cisco  have  provided  their  respective  solutions  for  smart  
cities,   which   covers   a   number   of   domains,   including   telecommunications,  
government  and  health,  banking,  utilities,  supply  chain  and  food  traceability  etc.  
 

Government  Perspective  
 
A   number   of   countries   and   districts   have   realized   the   importance   of   IoT   in   the  
recovery   of   economic   growth   and   sustainability.   Amongst   them,   the   European  
Union,   the   United   States,   and   China   are   prominent   examples.   The   European  
Union   adopted   the   concept   of   IoT   in   March   2007   in   its   Commission  
Communication  on  RFID  (EC  2007).  In  April  2008,  the  U.S.  National  Intelligence  
Council  (NIC)  published  a  conference  report  on  “Disruptive  Civil  Technologies  –  
Six  Technologies  with  Potential  Impacts  on  U.S.  Interests  out  to  2025”,  and  one  of  
the   technologies   was   IoT.   In   November   2009,   in   a   speech   on   the   topic  
“Technology   leads   China   for   sustainable   development”,   Chinese   Premier   Wen  
Jiabao   took   IoT   as   one   of   the   five   emerging   national   strategic   industries,   and  
emphasized  putting  focus  on  breakthrough  core  technology  of  sensor  networks  
and  IoT.  
 

Standardization  
 
Standardization   bodies   also   play   an   essential   role   in   promoting   the   prosperity   of  
the   current   IoT   domain,   especially   from   the   interoperability   perspective.  
Relevant   standardization   forums   for   IoT   include   IETF,   IEEE,   ETSI,   NFC   Forum,  
W3C,   and   ZigBee   Alliance,   etc.     IETF   is   responsible   for   the   network-­‐related  
standards,   IEEE,   NFC   Forum,   and   ZigBee   Alliance   standardize   the   lower-­‐layer  
protocols,  ETSI  is  defining  the  IoT  concept  and  architecture,  and  W3C  is  starting  
to   standardize   semantic   access   to   IoT   data.   Key   IETF   working   groups   include  
6LowPAN   (IPv6   over   Low   power   WPAN),   CoRE   (Constrained   RESTful  
Environments),   Routing   Over   Low   power   and   Lossy   Networks   (ROLL).     ETSI   has  
established  the  Machine-­‐to-­‐Machine  (M2M)  Technical  Committee  that  is  defining  
an  end-­‐to-­‐end  architecture  for  IoT.  
 

3.  The  Finnish  View  


 
Finland   is   in   an   excellent   position   to   become   a   leader   in   IoT   technology   given   its  
leadership  in  wireless  communications  technologies  and  the  active  role  in  many  
standards   bodies   pertaining   to   Internet   technologies.   IoT   essentially   combines  
the   two   domains,   namely   low-­‐power   wireless   networking   and   Internet-­‐based  
resources,  in  which  Finland  is  a  pioneer.  The  rationale  for  Finland  to  focus  on  IoT  
technology  and  applications  includes  the  following  points:  
 
• The   Finnish   ICT   companies   and   research   organizations   are   very   strong   in  
standardization,   with   a   remarkable   contribution   to   standardization  
bodies  such  as  IETF  and  3GPP.  Finland  holds  the  3rd  place  when  counting  
the   absolute   number   of   contributions   to   IETF.   This   presence   in  
standardization  bodies  will  be  required  to  drive  the  adoption  of  protocols  
and  solutions  enabling  IoT.  
• Finnish  universities  and  research  organizations  have  a  strong  background  
in   sensor   technology,   Internet   technology,   HCI,   security   and   device  
technology,  which  forms  a  strong  base  to  tackle  the  research  challenges  of  
making  IoT  a  global  success.  
• Finland  is  a  forerunner  in  many  areas  of  security,  privacy  and  trust  issues.  
This   competence   is   available   for   overcoming   the   security-­‐related  
challenges  in  IoT.  
• Finnish   companies   have   a   very   strong   position   in   wireless   technology,  
especially   in   cellular   technology.   Many   IoT   devices   are   expected   to  
require   wireless   wide   area   connectivity   and   will   in   many   cases   use   the  
cellular  technologies.  Novel  enhancements  to  cellular  technologies  will  be  
an   important   enabler   for   IoT   globally   and   the   Finnish   industry   is   well  
suited  to  play  a  leading  role  in  that  development.      
• Finland   has   vertical   industries   that   are   advanced   in   their   use   of  
technology   (Energy,   Forest,   Retail,   Education,   etc).   By   combining   the  
expertise   of   the   ICT   companies   with   strong   players   in   the   vertical  
industries,  solutions  can  be  created  that  can  bring  the  vertical  industries  
to  an  international  top  level.  
• The   Finnish   population   is   advanced   in   the   use   of   ICT   solutions,   for  
example   with   a   very   high   penetration   of   computers   and   smartphones.  
This   makes   Finland   a   suitable   area   for   trials   with   consumer   devices   and  
services   in   the   IoT   domain.   Furthermore,   the   availability   of   town-­‐wide  
wireless  access  infra-­‐structures,  both  for  web  usage  and  wireless  sensors,  
offers  great  possibilities  for  wide  trials.  
• The   national   regulation   can   give   significant   advantage   for   companies,   cf.  
the  NMT  and  mobile  sector,  when  applied  in  the  right  way  and  at  the  right  
moment.   For   example,   regulation   concerning   smart   electricity   metering  
and   demand-­‐response-­‐based   utility   pricing,   eCall   and   other   security   and  
safety  regulations  can  also  benefit  the  IoT  industry.  
• Environmentally   conscious   citizens   (cf.   eagerness   for   recycling)   are   an  
advantage   which   can   be   used   in   initiating   new   applications   in   fields   like  
smart  energy,  environmental  monitoring.  
 
Given  this  background,  Finnish  companies,  universities  and  research  institutions  
take  an  active  part  in  IoT-­‐related  research  projects  in  FP7,  FP8,  ARTEMIS,  ITEA,  
CELTIC,   etc.   programs.   To   give   some   examples,   projects   based   on   the   IoT-­‐SRA  
can   benefit   from   the   eventual   Finnish   participation   in   the   European   IoT   Forum  
currently   being   formed.     In   addition,   EU   FP7   projects   in   the   same   area   having  
strong   Finnish   participation,   e.g.   the   three-­‐year   integrated   project   iCORE,   can  
support   the   goals   of   this   SRA.   This   SRA   aims   at   contributing  to   the   EU   policies  
and   RD&I   goals   by   including   topics   and   goals   considered   important   for   the  
partners   and   Finnish   industry   and   society   in   general   into   future   EU   research  
programmes,   specifically   into   FP8   (CSF)   and   ARTEMIS.    Also,   ongoing   national  
activities   in   Tivit's   Devices   and   Interoperability   Ecosystem   and   Cloud   Software  
programs,   as   well   as   the   Tekes   Ubicom   program,   contribute   various   solutions  
and  technologies  that  lay  a  basis  for  the  development  of  IoT.  
 

4.  Our  Vision  and  Mission  for  2017  


 
Our  vision  for  2017:  
By   2017   the   Finnish   ICT   industry   is   a   recognized   leader   in   the   IoT   domain   due   to   its  
expertise   in   standards,   software,   devices,   and   business   models   integrating   and  
combining   various   IoT   verticals   for   diverse   industry   segments.   We   live   in   a   world  
surrounded  by  tens  of  billions  of  devices  that  interoperate  and  integrate  smoothly  with  
the   conventional   Internet,   provide   secure   and   reliable   services,   enhance   the   life   of  
people  in  healthcare,  smart  homes,  industry  automation,  and  environmental  monitoring.  
The  IoT  is  self-­‐organizing,  easy  to  use,  harvests  energy  from  the  environment  and  is  able  
to  operate  even  in  disaster  scenarios  where  the  network  is  partitioned.  
 
 
 
In  order  to  work  towards  and  reach  the  vision,  our  mission  is  the  following:  
The   Finnish   industry   will   pioneer   the   development   of   new   products,   services,   and  
standards  for  IoT  and  will  have  a  global  competitive  advantage  due  to  its  know-­‐how  and  
active   cross-­‐industrial   co-­‐operation.   Finnish   industry   is   a   key   contributor   to   IoT  
standards   at   IETF   and   other   relevant   forums,   demonstrator   of   cutting-­‐edge   IoT  
technology,  and  generator  of  IoT  products  and  profits  in  the  global  competitive  market.  
The   industry   IPR   portfolio   covers   the   critical   areas   of   IoT   technology.   The   academic  
partners  are  recognized  as  top-­‐level  institutions  in  IoT  research.  The  SHOK  is  improving  
the  competitiveness  of  Finland  when  facing  the  challenges  of  an  aging  population,  high  
labor  costs,  environmental  issues  and  increasing  globalization.  
 

5.  Breakthrough  Targets  
 
The  future  potential  for  IoT  is  enormous.  A  large  number  of  innovative  services  
and   applications   are   enabled   by   the   interconnection   of   billion   of   devices.   The  
potential   can,   however,   only   be   realized   if   the   cost   for   deploying   various  
solutions  is  low  enough  and  if  various  devices  are  interoperable  with  each  other.  
An   interoperable   mass   deployment   of   devices   or   connected   things   requires  
extensive   use   of   open,   standardized   interfaces,   protocols   and   APIs.   Moreover,  
sufficient   support   needs   to   be   provided   for   service   and   application   developers  
and  providers  in  the  form  of  infrastructure,  tools,  and  guidelines.  
 
Near-­‐term   commercialization   of   IoT   technology   is   expected   to   happen   in   specific  
domain  areas,  such  as  medical  ICT  and  various  monitoring  tasks,  as  well  as  in  the  
interoperability  enablers  such  as  gateway  and  bridge  solutions.  A  key  challenge  
for  the  breakthrough  of  IoT  is,  therefore,  to  facilitate  generic  solutions  that  can  
be   used   across   verticals,   i.e.   as   far   as   possible   avoid   industry-­‐specific  
technologies  –  and  at  the  same  time  consider  the  specific  requirements  that  exist  
in  different  industry  use  cases.  
 
Based  on  this,  the  following  main  breakthrough  targets  are  identified:  
 
• Formation   of   a   sustainable   IoT   ecosystem   in   Finland   and   connecting   it  
with  the  global  ecosystem.  
o Development  of  generic  solutions  that  can  be  used  across  verticals.  
o Applying  those  solutions  in  cases  relevant  to  Finnish  industry.  
 
• Impact  to  standards  
o Finnish   industry   is   a   key   contributor   to   IoT   standards   at   IETF,    
IEEE,  W3C,  and  other  relevant  forums.  
   
• Producing  IoT  enablers  
o Finnish   industry   is   a   generator   of   IoT   products   and   profits   in   the  
global  competitive  market.  
o Finnish   industry   supplies   important   IoT   enablers,   such   as   a  
gateway/border  router  to  connect  IoT  with  the  Internet.  
o Finnish   industry   uses   its   internationally   recognized   strong  
competence  in  security  to  develop  novel  security,  privacy  and  trust  
solutions  and  business  for  IoT.  
 
• Breakthrough  in  Finland’s  IoT  research  visibility  on  a  global  level  
o Finnish  industry  is  a  demonstrator  of  cutting-­‐edge  IoT  technology.  
o The   academic   partners   are   recognized   as   top-­‐level   institutions   in  
IoT  research.  
o International  prototypes,  showcases.  
o Testbed  facilities,  both  national  and  international.  

6.    Challenges  
 
We   address   the   key   challenges   for   IoT   from   several   viewpoints,   namely:  
technical,   security,   privacy,   and   trust,   societal,   business   challenges,   and  
challenges  specifically  important  for  Finland.    

Technical  Challenges  
 
We   present   four   groups   of   technical   challenges   for   IoT.   The   first   group   relates   to  
scalability  and  energy  constraints.  Scalability  refers  to  the  ability  of  networks  to  
sustain  a  very  large  number  of  devices.  We  believe  that  one  order  of  magnitude  
increase   in   the   size   of   the   current   networks   is   easily   achieved,   but   there   are  
issues  for  going  beyond  this.  These  issues  relate  to  the  sheer  number  of  devices  
to   address   and   hold   the   state   for,   but   also   for   simultaneous   events   such   as  
devices   coming   online   simultaneously   after   a   large   power   or   network   outage.  
The   sheer   number   of   objects   present   and   the   kinds   of   active/passive   wireless  
technologies   used   would   create   substantial   challenges   for   routing/signaling,  
naming,   collaboration,   information/data   processing   and   networking.   Therefore  
traditional   methods   based   on   L2/L3   technologies   (addressing   and   discovery)  
may  simply  not  be  feasible  for  information  retrieval  and  complex  computations,  
and  become  structurally  too  inflexible  in  terms  of  scalability.  
 
In   contrast,   from   the   point   of   view   of   an   individual   device   it   is   important   to   scale  
down,   to   limit   the   complexity   of   a   device   and   its   power   usage.   Often   such   scaling  
down  is  not  merely  important  to  keep  the  cost  of  the  device  down,  they  can  be  
crucial  for  enabling  the  entire  application.  For  instance,  sufficient  battery  lifetime  
for   an   application   with   hundreds   of   devices   can   be   surprisingly   large.   A   home  
with   a   hundred   devices   with   ten-­‐year   battery   lifetimes   will   result   in   a   battery  
change  operation  every  month.  Or  the  size  of  the  sensor  may  be  very  important,  
for   instance   to   make   devices   embedded   in   our   clothing   practical.   The   practical  
challenge   is   to   increase   battery   lifetimes   of   small   devices   by   several   orders   of  
magnitude.  
 
Another  class  of  challenges  relate  to  interoperability.  As  the  Internet  has  evolved,  
interoperability   has   always   been   a   major   concern,   in   terms   of   protocol   design  
and   extensibility,   building   products   that   in   practice   work   well   together   with  
other   devices,   and   setting   standards.   Some   of   the   requirements   and   expected  
usage  patterns  in  the  IoT  will  cause  interoperability  challenges.      Moreover,  like  
the   present   day   Internet   has   evolved   significantly   over   the   past   decades,   we  
expect  an  IoT  to  evolve  over  time,  with  new  uses  and  new  requirements  coming  
up.     Evolution   incurs   another   interoperability   challenge:   of   different   versions  
over   time.     One   further   element   of   interoperability   is   testing:   it   is   well-­‐known  
today  that  Internet-­‐scale  testing  is  hard,  if  not  impossible;  the  increase  in  scale  
toward  IoT  and  the  expected  limited  capabilities  of  IoT  devices  are  going  to  push  
the  demands  on  testing  even  further.    
 
Much   of   the   current   focus   in   the   IoT   is   also   on   the   lower   parts   of   the   stack:  
designing   the   wireless   networks   and   running   IP   and   transport   protocols   over  
them.   While   tremendously   useful,   an   IoT   transport   network   is   not   enough   for  
true  interoperability.  For  instance,  it  would  not  be  enough  for  a  light  switch  from  
one   vendor   to   control   lights   from   another.   For   true   interoperability   we   need  
semantic  interoperability,  the  ability  of  the  devices  to  unambiguously  convey  the  
meaning  of  data  they  communicate.  
 
The  third  group  of  challenges  relates  to  shared  infrastructure.  The  success  of  the  
IoT   and   the   feasibility   of   many   business   models   will   depend   heavily   on  
architectures  that  utilize  horizontal  service  components  that  are  generic  across  
different   vertical   industries.   High   efficiency   can   only   be   reached   if   multiple  
vertical  applications  can  share  common  infrastructure,  data,  and  resources.  One  
challenge   is   identifying   the   parts   of   the   IoT   middleware   platform   that   are  
common  across  the  vertical  industries.  A  further  challenge  is  systems  integration  
-­‐  how  to  build  a  coherent  vertical  application  out  of  a  large  collection  of  software  
modules   and   horizontal   components.   Yet   another   challenge   is   defining   generic  
interfaces  that  are  attractive  to  application  developers,  meet  the  needs  of  diverse  
vertical   applications,   and   abstract   away   the   specifics   of   heterogeneous   things,  
resources,  and  networks.  
 
The   fourth   group   of   challenges   relates   to   managing   large   numbers   of   devices.  
Many   of   the   potential   applications   are   in   environments   where   active  
management   or   even   substantial   installation   expertise   cannot   be   assumed,   for  
instance,   homes.   In   addition,   in   many   applications   active,   human-­‐run  
management   or   any   per-­‐device   manual   work   is   economically   infeasible.   This  
calls  for  self-­‐management  solutions.  While  this  has  been  an  active  research  area  
for   some   time,   there   is   little   to   show   in   terms   of   solutions   that   have   actually  
become  adopted  by  consumers  or  the  industry.  Self-­‐management  is  particularly  
challenging   with   regards   to   setting   up   security   and   application-­‐relevant   data  
such  as  locations  of  indoor  sensors  or  their  real-­‐world  relevance.  
 

Security,  Privacy  and  Trust  Challenges  


 
Security,  privacy  and  trust  challenges  have  an  impact  on  all  other  topics  of  IoT.  
Moreover,   smart   solutions   for   these   challenges   are   clearly   strong   business  
enablers.  The  IoT  will  create  a  dynamic  network  of  a  large  number  of  identifiable  
things   communicating   with   each   other.   Although   the   IoT   will   provide   help   in  
many   areas,   it   will   create   its   own   set   of   security,   privacy   and   trust   challenges.   At  
the   heart   of   the   IoT   vision   lays   a   contradiction:   On   the   one   hand,   the  
environment   must   be   highly   knowledgeable   about   a   user   to   match   his   or   her  
needs   without   explicit   interaction.   On   the   other   hand,   a   system   that   is   truly  
ubiquitous   will   encompass   numerous   users,   and   systems.   However,   perfect   trust  
among  all  parties  is  unattainable.  The  security,  privacy  and  trust  solutions  for  the  
IoT  need  to  consider  devices  with  huge  variation  in  their  capabilities  as  well  as  
applications   with   different   needs.   For   example,   when   utilizing   sensors   for  
medical   applications,   security   solutions   must   be   triple-­‐checked   against   the  
stringent   requirements;   potential   privacy   issues   must   be   addressed;   protocol  
messages   and   cryptographic   mechanisms   must   be   adopted   to   wireless   sensor  
standards.   Although   bearing   high   risks   of   provable   security   and   patient   faith,  
remote   monitoring   of   health   appliances   could   create   breakthroughs   in  
healthcare  cost  reduction  and  bring  great  benefits  for  individuals  and  society.  A  
further  complication  relevant  to  large  networks  such  as  IoT  is  that  security  and  
privacy  risks  are  often  very  dynamic  in  their  nature.  Obviously,  there  is  plenty  of  
room   for   adequate   effective,   adaptive,   risk-­‐driven   and   evidence-­‐based   security,  
privacy  and  trust  solutions  mitigating  these  challenges.    
 
In   IoT,   sensors   and   small   devices   are   embedded   all   around   our   environment;  
inside  buildings,  under  our  skin,  in  wide-­‐area  environments,  and  even  in  highly  
critical   environments   such   as   industrial   automation.   During   an   attack,  
unplugging   them   from   the   network   is   often   not   an   option.   Shutting   down   the  
network   infrastructure   might   not   be   sufficient   either,   as   many   of   these   devices  
will   be   able   to   form   their   own   autonomous   networks   and   via   multihop   routing  
still   be   reachable   from   the   Internet.   In   addition,   one   basic   security   problem   is  
that   it   is   very   hard   to   design   systems   that   can   be   deployed   securely   without  
requiring   a   manual   action   for   setting   up   a   key   for   the   device.   However,   critical  
applications   must   be   secure   enough.   Examples   are   medical   applications   or  
applications   that   control   potentially   dangerous   processes.   Existing   problems   of  
the   current   Internet,   such   as   unwanted   traffic   and   different   kinds   of   denial   of  
service   attacks,   are   also   amplified   in   the   IoT.   For   instance,   battery-­‐powered  
devices  should  avoid  having  to  receive  any  unwanted  messages  for  power  saving  
and   also   minimize   the   overhead   created   by   overplaying   security.   Overplaying  
security   can   be   minimized   by   systematical   trade-­‐off   analysis   of   security  
effectiveness,   usability,   and   performance   dimensions.   Feasible   design  
methodologies  and  tools  for  this  are  needed.  Another  basic  problem  is  that  by  its  
nature,   the   IoT   produces   information   that   can   identify   persons   through   the  
devices  that  they  carry,  and  collect  sensitive  information.  The  privacy  problems  
of   the   IoT   are   largely   unsolved   today   in   the   general   case,   even   if   specific  
solutions   exist   for   applications   that   handle   sensitive   data.   Better   solutions   are  
needed  in  order  to  preserve  the  basic  human  right  to  privacy  and  to  comply  with  
relevant  legislation.  
 
Security,   privacy   and   trust   considerations   are   crosscutting   in   IoT:   they   have   an  
impact  on  IoT  at  all  levels  from  technical  details  to  human  behavior.  For  example,  
IoT   concepts   might   redefine   the   traditional   view   of   end-­‐to-­‐end   security   as  
intermediate   devices   play   increasingly   important   roles   for   the   essential  
functioning   of   an   application.     They   should   be   considered   as   early   as   possible  
during   the   IoT   architecture   design,   business   analysis   and   should   be   adequately  
managed   and   built-­‐in   in   all   activities.   This   horizontality   is   a   remarkable  
challenge   in   itself,   and   postulates   contribution   from   security   professionals   as  
well   as   security-­‐oriented   thinking   from   all   developers,   service   providers   and  
end-­‐users.  
 
 

Societal  Challenges  
 
It  is  important  to  note  that  the  IoT  is  not  just  about  networking  technology.  All  
systems   involve   user   interaction,   and   finding   good   ways   to   deal   with   large  
amount   of   possibly   conflicting   data   is   not   trivial.   Good   user   interfaces   for  
managing   different   types   of   IoT   networks   are   still   being   researched.   Moreover,  
IoT   enables   interacting   with   physical   objects   directly   (i.e.   tangible   user  
interfaces)   in   addition   to   interacting   through   the   conventional   user   interface  
devices  (i.e.  graphical  user  interfaces).  What  are  the  right  abstractions  to  present  
information   to   human   users?   How   to   advertise   the   tangible   interaction  
possibilities  to  users?  What  is  a  good  user  interaction  model  to  begin  with?  Much  
of   our   current   interaction   with   technology   revolves   around   the   limitations   of  
older   designs.   For   instance,   light   switches   were   born   out   of   the   way   electrical  
wiring  needed  to  be  done.  If  there  were  no  wiring  limitations,  what  would  be  a  
good   user   interface   from   the   user's   perspective?   Development   tools   should   be  
revised  as  well  –  with  the  right  kind  of  tools  users  could  build  IoT  applications  
themselves.   One   view   on   this   set   of   challenges   is   how   to   fully   exploit   new  
physical  interaction  options   between  the  digital  and  physical  world  that  become  
possible  with  IoT  technology?      
 
What   is   more,   the   future   will   bring   a   Social   Internet   of   Things.   This   requires   a  
new   perspective   of   device   and   system   interoperability.   Starting   from   User  
interface  Designs  of  Social  Internet  to  Social  Internet  of  Things,  designs  must  be  
interoperable  on  the  application  and  service  level  with  the  devices  that  provide  
IoT   data.   When   the   research   work   is   ongoing   the   crossroads   of   both   of   these  
aspects  provide  an  intriguing  new  field  of  study.  
 

Business  Challenges  
 
While   there   are   many   technical   challenges,   the   challenges   at   the   business   level  
seem  even  bigger.  In  most  cases,  the  (businesses  and)  business  models  are  still  
being  developed.  For  some  cases,  such  as  delivering  general-­‐purpose  networking  
solutions  the  IoT  is  just  additional  business  within  the  same  business  framework.  
In   many   other   cases,   it   is   still   unclear   what   customers   are   being   targeted,   with  
what   partners,   and   with   what   kind   of   economic   parameters.   There   is   a   large  
number  of  perceived  and  real  obstacles  for  starting  an  IoT  business.  For  instance,  
utility   companies   complain   about   undesirable   long-­‐term   lock-­‐ins   to   operators  
providing   a   service,   enterprise   customers   complain   about   the   lack   of  
interoperable   solutions   where   vendors   can   be   put   in   competition   against   each  
other,   and   application   vendors   complain   about   the   lack   of   infrastructure   and  
communications   solutions   that   can   be   readily   used.   Many   products   still   have   a  
very  small  number  of  units  sold,  which  keeps  the  prices  high.  
 
It   is   clear   that   today's   solutions   for   the   IoT   are   fragmented.   They   are   in   many  
cases   running   in   silos   of   legacy   networks.   Even   if   some   applications   may   run  
over   general-­‐purpose   Internet   networks,   there's   little   or   no   interoperability  
between   applications.   Middleware   solutions   exist,   but   no   appreciable   business  
on   top   of   them.   Today's   applications   are   different   depending   on   the   specific  
vertical   industry,   enterprise,   and   geographical   location,   among   other   things.  
Existing   solutions   are   typically   dedicated   to   single   applications   such   as   fleet  
management,   remote   meter   reading,   or   vending   machines.   In   the   future,  
economies   of   scale   will   make   the   reduction   of   the   fragmentation   a   key   success  
factor.   Similarly,   consumer   adoption   requires   standardization   in   many   cases.  
Traditional   electrical   installations   in   homes   allowed   any   light   control   to   work  
with  any  light  switch,  for  instance.  This  has  yet  to  be  replicated  for  the  IoT-­‐based  
lighting  controls.  
 
Today   the   M2M   market   is   very   fragmented   with   different   protocols,   lots   of  
device   vendors   and   products.     Interoperability   between   M2M   products   from  
different   vendors   and   also   between   M2M   networks   is   a   challenge.   It   is   also   a  
challenge   to   define   the   level   of   generalization   of   M2M   solutions   so   that   they  
support  use  cases  from  various  industries  but  are  still  useful.  
 

Challenges  in  Finland  


 
The  above  issues  are  global.  There  are,  however,  specific  local  challenges  within  
our  industry  and  society.  As  a  country,  Finland  has  some  challenges  that  are  not  
unique  in  the  Western  world  but  are  perhaps  a  bit  more  pronounced  here  than  
elsewhere.   An   aging   population   and   high   labor   costs   are   two   examples.   On   the  
other  hand,  there  is  also  a  high  desire  to  invest  in  the  school  system,  high  quality  
health   care,   and   environmentally   friendly   solutions.   Carbon   emission  
agreements   are   particularly   difficult   for   a   country   with   a   cold   climate,   and  
energy-­‐saving   applications   are   clearly   a   priority.   All   of   these   areas   would   benefit  
from   IoT   applications,   and   in   some   cases   technology   developed   elsewhere   in   the  
world  is  not  readily  applicable  for  the  specific  Finnish  setting  in  these  areas.  
 

7.  Research  Strategy  
 
The   IoT-­‐SRA   outlines   a   framework   for   projects   that   research,   design,   implement,  
and  deploy  IoT  solutions  in  various  industry  segments  and  across  the  segments.  
The   focus   of   the   SRA   is   in   the   key   enablers   and   business   models   that   are   needed  
for   a   sustainable   IoT   ecosystem.   Projects   based   on   IoT-­‐SRA   develop   the   enablers  
and  models  toward  the  2017  vision.  
 
The   research   and   development   will   consider   various   aspects   pertaining   to   IoT,  
including   standardization,   protocols,   network   design,   non-­‐functional  
requirements,   applications,   service   enablement,   business   models,   and  
deployment.   Standards,   enablers,   and   the   formation   of   the   ecosystem   are   crucial  
parts  of  the  SRA.  
 
The   research   in   IoT-­‐SRA   is   driven   by   the   requirements   of   the   application  
domains   and   industrial   needs,   and   characterized   by   significant   industry  
involvement.  The  research  strives  for  solid  results  based  on  both  empirical  and  
theoretical  work,  standardization  of  the  solutions,  and  deploying  these  solutions.  
 
The   IoT-­‐SRA   has   synergies   with   the   other   SHOK   activities   and   ICT-­‐SHOK   SRAs,  
and  it  can  be  seen  to  have  an  enabling  role  for  the  IoT.    
 
The  recently  published  Future  Internet  research  roadmap  for  FP8  includes  topics  
pertaining   to   IoT.   The   expectation   is   that   the   Finnish   IoT   research   and  
development   links   with   new   FP8   projects   in   Europe   as   well   as   ongoing   FP7  
projects.   The   European   Institute   of   Innovation   &   Technology   (EIT)   ICT   Labs  
(http://eit.ictlabs.eu/)   unifies   research   and   innovation   activities   in   Europe   in  
many   thematic   areas   including   smart   spaces   and   embedded   systems.   The   IoT-­‐
SRA  projects  are  expected  to  establish  co-­‐operation  with  the  EIT  ICT  Labs.  

8.  Research  Themes  
 
The  five  crucial  research  themes  defined  by  the  IoT-­‐SRA  are:  
1. Network,  communications  
2. Management  infrastructure  
3. Services  and  applications  development    
4. Human  interaction  
5. IoT  ecosystem      
 
Figure  1  presents  the  five  key  research  themes.  The  first  four  are  depicted  by  the  
lower   part   of   the   diagram.   They   support   the   requirements   and   various  
application   domains   that   are   vertical   components   in   the   figure.   The   research  
themes   target   generic   interfaces   and   enablers   that   support   various   application  
domains   as   well   as   the   formation   of   a   sustainable   IoT   ecosystem.     In   the  
following,  we  will  present  each  of  the  themes  in  more  detail.    
 
Figure  1  Overview  of  the  research  themes,  requirements,  and  application  domains.  

 
Theme  1:  Network,  communications  
This   research   theme   focuses   on   the   networking   and   communication   solutions  
needed  to  enable  the  global  connectivity  among  hundreds  of  billions  of  physical  
objects  on  IoT.  
 
The   communication   possibilities   enabled   by   connecting   different   things   lay   the  
foundation   for   IoT.   However,   the   amount   of   connected   things,   their   varying  
capabilities,   and   amount   of   generated   data   create   new   challenges   for   the  
networks.   While   the   current   Internet   has   been   able   to   scale   to   some   billions   of  
connected   devices,   IoT   will   push   the   scalability   requirements   orders   of  
magnitude  higher.  Different  kinds  of  network  architectures  and  adapting  them  to  
match   the   requirements   of   IoT   are   needed   and   all   this   needs   to   work   in   a   secure  
way.  While  security,  privacy  and  trust  are  discussed  under  a  focus  area  of  Theme  
1,   they   need   to   be   addressed   in   all   other   themes:   they   have   impact   at   all   levels  
from  technical  details  to  human  behavior  and  business  analysis.  
 
The   focus   areas   include   scalability,   networks   integration   and   network  
architecture,   security,   privacy,   and   trust,   and   large-­‐scale   simulation   and   testing  
methodologies.  

Scalability
 
One   of   the   defining   factors   of   IoT   is   the   unprecedented   scale   of   the   amount   of  
devices,  or  Things,  connected  to  the  Internet.  Current  networks  and  technologies  
are   often   designed   for   much   smaller   amounts   and   more   or   less   homogeneous  
devices  and,  hence,  scaling  the  network  and  communication  for  a  large  amount  
of  heterogeneous  things  needs  to  be  addressed  for  successful  IoT  deployments.    
 
The   networks   need   to   scale   to   handle   the   connections,   data,   and   events   the  
things   generate.   Connections   require   scalable   naming,   addressing,   and   routing  
that   take   into   account   the   limitations   of   the   things.   The   things   can   also  
potentially   generate   vast   amounts   of   data.   Since   they   usually   have   limited  
storage  space,  if  the  data  is  needed  later,  it  needs  to  be  sent  over  the  network  for  
storage   and   processing.   However,   when   and   what   data   to   send   is   always   a  
tradeoff   and   when   (and   how)   it   is   appropriate   to   offload   work   needs   research.  
Large   amounts   of   independent   things   can   also   cause   storms   of   simultaneous  
events   in   a   network   when   power   is   restored   after   power   outage,   for   example,   or  
if  a  sensor  network  detects  large-­‐scale   events   in   the   observed   area.   The   rest  of  
the   infrastructure   needs   to   be   able   to   handle   this   kind   of   storms   but   also   the  
things   need   to   be   designed   in   a   way   that   such   events   do   not   burden   the  
infrastructure  excessively.  
 
The   majority   of   the   devices   will   be   connected   wirelessly   due   to   simple  
deployment   and   the   wireless   medium   and   access   networks   need   to   scale   to  
accommodate   this.   Short-­‐range   radios   and   different   radio   technologies   can   be  
used   for   communication   between   things   but   long-­‐range   communication   using  
cellular   networks   is   often   the   best   solution   for   connecting   the   (networks   of)  
things  to  the  Internet.  3G/4G  wireless  technologies  will  become  a  key  player  in  
M2M   services   and   3GPP   LTE   and   UMTS   already   have   several   work   items   defined  
for   M2M   communications.   So   far   the   focus   has   been   on   the   overload   control   of  
the  radio  and  core  network  when  a  huge  amount  of  devices  accesses  the  network  
in   a   synchronized   manner.   Recently   additional   aspects   such   as   very   low   power  
consumption  when  transmitting  a  small  amount  of  data,  as  well  as  adequacy  of  
the   device   identifiers   have   been   studied.   Yet,   work   remains   to   be   done   for  
seamless  integration  of  the  IoT  and  cellular  worlds.  

Networks integration and network architecture


 
As   it   consists   of   functionally   and   non-­‐functionally   significantly   diverse   objects,  
IoT  calls  for  an  open  architecture  to  facilitate  and  maximize  the  interoperability  
among   the   heterogeneous   systems   and   distributed   resources.   The   architecture  
should  consist  of  well-­‐defined  and  granular  elements  –  in  traditional  networking,  
those  elements  were  layers,  but  it  is  to  be  investigated  if  different  compositions  
could  be  more  appropriate  –  to  foster  the  competition  among  different  vendors  
and   service   providers   and   allow   for   modular   system   composition,   without   the  
end   users   being   locked   in   a   monolithic   solution   from   a   single   source.   Meanwhile,  
the  architecture  should  take  into  account  different  network  environments,  bear  
in   mind   intermittent   connectivity   and   diverse   communication   protocols,   and  
take   into   consideration   the   macro-­‐   and   micro-­‐mobility   of   objects.   The  
architecture   should   also   support   autonomous   and   peer   networks   formation   by  
the  various  things  in  a  decentralized  and  distributed  manner.  
 
Autonomous   and   peer   networks   and   a   greater   degree   of   decentralization   are  
likely  to  be  beneficial  for  a  number  of  reasons.  First,  the  IoT  is  expected  to  host  a  
vast   number   of   data   objects.   Therefore,   managing/processing   all   of   this   data   in  
the   center   of   the   network   (in   central   application   servers   or   in   the   data   centers  
(i.e.,   the   cloud))   may   not   always   be   feasible,   especially   if   the   context   of   the  
interaction   between   the   things   is   local   in   nature.   Therefore,   there   is   a   need   to  
study   mechanisms   that   allow   moving   intelligence   and   data-­‐processing  
capabilities  to  the  edges  of  the  networks.  This  distribution  of  intelligence  across  
the   IoT   will   make   the   things   and   networks   of   things   more   autonomous,   that   is,  
less   dependent   on   central   points   of   control   and   intelligence.   Second,  
decentralization   will   also   result   in   improved   scalability.   There   is   also   a   need   to  
understand   the   tradeoff   between   having   all   the   processing   capability   in   the  
center  of  the  network  (i.e.,  data  centers)  and  having  all  or  part  of  it  at  the  edges,  
that  is,  in  the  things  themselves.  
 
Given   the   massive   number   of   data   objects   and   information   introduced   by   the  
interconnected  things,  the  architecture  should  provide  for  ways  of  instantiating  
mechanisms   to   support   information   retrieval,   filtering,   aggregation,   etc.   This   can  
be   achieved   by   pushing   the   intelligence   towards   the   edge   of   the   network,   i.e.,  
near   the   things,   or   by   pushing   the   processing   to   some   remotely   located   cloud  
data  center.  Again,  it  should  be  possible  to  make  the  decision  of  where  to  move  
the  intelligence  automatically  without  needing  human  intervention.  
 
The  requirements  with  the  IoT  network  architecture  include:  
 
• Open,   interoperable   and   distributed   architecture   with   a   clear  
composition;  
• Communication   support   for   one-­‐to-­‐one,   one-­‐to-­‐many,   many-­‐to-­‐one,   and  
many-­‐to-­‐many  communication;  
• Flexible  intelligence  offloading;  
• Wake-­‐up  mechanisms  and  interfaces,  suitable  network  diagnostics;  
• Protocol   support   for   end-­‐to-­‐end   and   end-­‐to-­‐middle   interaction   as  
appropriate  (e.g.,  reliability,  congestion  control,  robustness,  security);  
• Resiliency   to   intermittent   connectivity,   macro-­‐   and   micro-­‐mobility,   long  
off-­‐times,  etc.;  
• Appropriate   routing   models   for   multi-­‐hop   and   intermittently   connected  
networks.  
 
There   will   be   a   plethora   of   wireless   communication   options.   Because   of   the  
limited   resources   (radio   spectrum,   energy,   etc.),   many   of   the   Things   will   have  
their   networking   communication   capabilities   in   a   turned-­‐off-­‐state   most   of   the  
time.   During   a   turned-­‐on-­‐state,   the   operation   will   commonly   be   opportunistic  
(communication   piggybacking/batching,   cognitive   radio   operation,   etc.)   to   save  
resources.   The   basis   of   the   current   Internet   is   designed   for   wired  
communication;  assuming  more  or  less  homogeneous  zero-­‐cost  access.  Similarly,  
many   of   the   current   wireless   systems   are   based   on   assumptions   that   are   not  
compatible  with  the  IoT  concepts.  Existing  technologies  often  need  optimizations  
to  allow  ultra-­‐low  energy  efficiency,  a  massive  number  of  connections,  and  ease  
of   deployment.   While   a   common   communication   substrate   is   desired   to   avoid  
overlapping,   per-­‐application   networks   and   to   obtain   economies   of   scale,   also  
different  forms  of  gateways  will  sometimes  be  desired  to  interconnect  different  
access  networks.  

Security, privacy and trust


 
As   the   IoT   creates   a   dynamic   network   of   a   large   number   of   identifiable   things  
communicating   with   each   other   in   a   ubiquitous   and   trusted   way,   they   effectively  
create   a   challenging   ubiquitous   accessibility   vs.   a   security   trade-­‐off   problem,  
where  balanced,  systematic  and  practical  countermeasures  for  security,  privacy  
and  trust  threats  are  highly  needed.  The  security,  privacy  and  trust  solutions  for  
the  IoT  need  to  consider  devices  with  huge  variation  in  their  capabilities  as  well  
as   applications   with   different   needs.   Moreover,   risk,   and   eventually   security,  
privacy   and   trust   requirements   of   devices,   applications,   service   providers   and  
end-­‐users   can   change   dynamically.   The   availability   of   localized   power   sources,  
e.g.,  fuel  cells,  mini  solar  panels,  wind  turbines,  is  increasing,  allowing  increased  
processing   capabilities   for   small   devices.   Another   trend   is   the   continuous  
miniaturization   of   devices,   which   sacrifice   performance   for   size.   These   devices  
need  lightweight  security  protocols  that  are  able  to  maintain  confidentiality  and  
integrity  at  a  sufficient  level  regardless  of  device  capabilities,  which  are  chosen  
in  a  risk-­‐driven  and  adaptive  manner.  Meanwhile,  considering  the  large  variety  
of  IoT  applications  and  wide  deployment,  scalability  and  interoperability  are  two  
important  concerns  of  adopting  standardized  communication  protocols.    
 
Managing  access  to  a  plethora  of  devices  is  an  impossible  task  unless  the  devices  
can   be   grouped   in   networks   and   trusted   domains.   Most   of   these   devices   work  
under   no   real   supervision.   By   cooperating,   the   devices   can   monitor   each   other  
for   invalid   behavior,   communicate   only   with   benign,   trusted   nodes,   adapt   to  
external  threats  and  quickly  exclude  misbehaving  or  malicious  devices  from  the  
network.   Instead   of   traditional,   hierarchical,   rigid   solutions,   trust   should   be  
based   by   weighing   the   risks,   vulnerabilities   and   their   economical   and   other  
impacts.   Adaptive   security,   privacy   and   trust   management   algorithms   and  
associated   metrics   offer   a   promising   direction   for   the   implementation   of  
adequate  security  controls  for  IoT.  Monitoring  based  on  suitable  metrics  can  be  
used  in  building  a  trusted  environment  for  IoT  applications.  Security  assurance  
and   provisioning   of   the   management   functions   in   multi-­‐actor   environments   is  
important.   For   instance,   the   traffic   characteristics   of   the   different   applications  
have   unique   features   that   can   be   utilized   to   monitor   the   behavior   of   the   network  
and  detect  faulty  nodes  and  attacks.    Secure  naming  has  to  be  flexible  enough  to  
allow   both   delegation   and   the   possibility   to   offer   adequate   privacy   protection.  
However,  complete  anonymity  is  not  desirable,  but  one  should  be  able  to  point  
out   the   party   that   is   liable   for   actions   (even   though   this   might   not   be   the   edge  
device).    
 
The   IoT   will   not   be   made   from   scratch,   but   will   involve   a   number   of   legacy  
systems  that  were  never  intended  to  be  connected  to  the  internet.  Strong  socio-­‐
economical   drivers   are   making   that   a   reality,   as   in   the   area   of   industrial  
automation,  e.g.,  SCADA.  Recent  events  have  shown  that  this  has  been  a  painful  
process  for  both  security  and  safety.  
 
Internet  users,  network  equipment  manufacturers,  software  vendors  and  service  
providers  have  learned  to  live  in  a  hostile  environment  and  have  gone  through  
an   iterative   process   of   "lessons   learned"   over   the   past   twenty   years.   These  
lessons   should   be   considered   and   applied   proactively   as   legacy   systems   are  
migrated  to  be  full  members  of  the  IoT.  

Large-scale simulation and testing methodologies


 
Deployment   of   large-­‐scale   IoT   networks   is   not   only   time-­‐consuming,   but   also  
costly.   Simulations   come   into   use   in   such   scenarios   because   of   its   relative  
simplicity,  cost-­‐saving,  etc,  characteristics.  Computer  simulations  can  be  used  to  
conduct   scalability   research   for   IoT   networks.   In   the   state-­‐of-­‐the-­‐art   literature,  
large   scale   simulations   of   sensor   networks   range   from   a   thousand   to   ten  
thousand   nodes,   with   some   claims   of   up   to   a   million   nodes.   Existing   generic  
simulators  include  NS2,  NS3,  JavaSim,  GlomoSIM,  OMNeT++  and  sensor-­‐specific  
simulators   include   SensorSIM,   SENSE,   ATEMU   and   TOSSIM.   However,  
experiments   with   these   tools   with   node   populations   beyond   a   million   are   not  
reported.  One  problem  is  to  raise  the  bar  and  simulate  larger  networks.  
 
The   traffic   generated   by   the   things   plays   a   critical   role   in   the   performance  
evaluation.  Traffic  depends  on  the  network  topology  as  well  as  the  utilized  local  
data   processing   algorithms.   Hence,   co-­‐simulation   of   the   sensed   phenomena,   data  
fusion,   communication   networks   and   control   is   important.   There   is   a   need   for  
tools  that  allow  co-­‐simulation,  and  hardware  in  the  loop  emulation  of  the  overall  
system.   The   tools   can   also   support   automatic   code   generation   for   sensor   and  
actuator  nodes.  
 
Meanwhile,   the   fundamental   research   in   networking   and   services   in   the   IoT  
domain  has  to  be  tested,  at  least  as  a  proof-­‐of-­‐concept,  in  realistic  environments  
of   sufficient   scale,   to   assess   the   feasibility   and   usability   of   these   new   concepts.  
There  is  need,  therefore,  for  proof-­‐of-­‐concept  testbed  methodologies.  
 

Theme  2:  Management  infrastructure  


 
This  research  theme  focuses  on  the  dynamic  operation  principles  of  IoT.    
 
The   management   of   IoT   is   much   more   complex   than   the   management   of   the  
Internet   or   the   management   of   its   other   precursors,   e.g.,   the   current   M2M  
cellular  systems.  Much  of  this  complexity  is  due  to  the  expected  high  number  of  
things  and  its  continuous  growth,  their  heterogeneity,  and  the  limited  resources  
availability.   Resource-­‐wise,   energy   management   is   the   most   critical   issue.  
Because   of   the   number   of   things   in   IoT,   most   of   the   management   must   be  
autonomous.  However,  interfaces  and  mechanisms  are  required  for  configuring  
the   IoT   and   its   numerous   subsystems   according   to   user   and   application   needs.  
Finding   the   proper   interplay   between   the   automated   mechanisms   and   the  
mechanisms  of  human  intervention  is  essential.  
 
The   focus   areas   include   energy   management,   self-­‐*   properties,   configuration  
interfaces  and  mechanisms,  and  identification  and  discovery.  
 

Energy management
 
Energy   management   of   IoT   should   be   viewed   both   from   the   on-­‐device  
perspective   and   from   the   systems   perspective   (including   all   the   participants   in  
the   system,   e.g.,   sensors,   gateways,   and   servers).   For   small   battery-­‐powered  
devices,  it  is  crucial  to  find  ways  to  implement  ultra-­‐low  energy  consumption  to  
reduce   maintenance   (replacing   batteries).   Operation   times   of   several   years   or  
even   decades   without   external   power   supplies   are   needed.   In   some   cases,  
alternative   power   supplies   can   be   considered   as   a   solution   (e.g.,   mechanical  
energy   harvesting   or   solar   cells).   On   the   devices   with   direct   power   connection,  
energy   efficiency   might   not   be   as   crucial   from   the   single-­‐node   perspective,   but   it  
affects  the  efficiency  of  the  whole  system.  
 
Energy-­‐efficient   operation   of   IoT   devices   can   typically   be   achieved   by   efficient  
sleeping  modes  of  the  devices  as  well  as  sleeping  modes  of  the  network  to  which  
they  are  connected.  In  addition  to  sleeping  modes,  low  energy  consumption  can  
be   achieved   by   using   efficient   communication   models   and   short   wireless  
transmission  distances.  However,  the  devices  should  still  be  reachable  and  they  
should   satisfy   many   other   requirements.   In   many   cases   energy   minimization   is  
constrained   by   the   application   requirements   (real-­‐time   sensing,   constrained  
response  time,  etc.).  
 
Considering   the   on-­‐device   perspective,   the   current   energy   and   power  
management   (EPM)   methods   are   inadequate.   The   current   EPM   technology   is  
very  much  bound  to  a  pure  hardware  view,  while  we  presume  that  IoT  is  driven  
by   services   and   controlled   by   software.   Further,   current   EPM   technology   is  
geared   towards   managing   energy   and   power   of   sustained   operation,   while  
managing   operation   mode   changes   is   important   for   IoT.   Proper   operation   both  
functionally  and  non-­‐functionally  must  be  ensured.  
 
Considering   the   systems   perspective,   concepts   supporting   layer   structures   and  
subsystems  are  needed.  The  overall  goal  is  to  reduce  the  power  consumption  by  
taking  a  holistic  view  of  IoT  systems.  In  practice,  it  important  that  the  different  
protocol   layers   respect,   and   support,   the   power   saving   features   found   in   other  
layers   (e.g.,   the   application   layer   supports   the   medium   access   layer   on   cellular  
networks).  
 
Self-* properties
 
Managing  up  to  billions  of  devices  requires  basic  management  operations  to  be  
automated  and  devices  and  networks  self-­‐monitored.  Human  intervention  must  
be  minimized  to  lower  the  cost  of  operating  the  devices.  Self-­‐*  properties  (self-­‐
configuring,   self-­‐protecting,   self-­‐organizing,   self-­‐optimizing,   self-­‐reliant,   self-­‐
healing,   self-­‐aware,   self-­‐learning,   self-­‐adjusting,   etc.)   will   be   required.   This   also  
applies   to   the   various   situations   where   the   subsystems   of   the   IoT   or   the   nodes  
are   broken,   malfunctioning,   or   just   need   to   set   up   communication   paths   to   other  
nodes.  
 
Self-­‐healing   systems   can   automatically   identify   failures,   diagnose   and   heal   faults.  
More   specifically,   self-­‐healing   systems   are   able   to   perceive   if   they   are   not  
operating  correctly,  find  out  the  reason,  and  make  adjustments  to  their  operation  
without   human   intervention.   Self-­‐adaptive   software   is   a   closed-­‐loop   system   with  
a  feedback  loop  aiming  to  adjust  itself  to  changes  during  its  operation.  Semantic  
service   descriptions   are   useful   in   open   pervasive   environments,   as   it   is  
unreasonable   to   assume   that   service   developers   will   use   identical   terms   when  
describing  services.  
 
Self-­‐management  requires  dynamic  and  adaptive  creation  of  sub-­‐systems,  rather  
than   fixed   hierarchies.   Sub-­‐systems   can   be   formed   by   objects   based   on   various  
properties,   for   instance   based   on   the   utilized   wireless   technology   (e.g.,   an  
operator   reaching   mobile   phones   based   on   cell   tower   IDs),   based   on  
spatial/terrestrial   proximity   (e.g.,   building   inspection   reaching   motion   sensors  
on   each   floor),   based   on   roles   (e.g.,   all   objects   belonging   to   a   specific   human   that  
partake   in   home   automation),   or   based   on   ownership   (e.g.,   discover   objects  
currently  owned  by  me  and  in  my  vicinity).  

Configuration interfaces and mechanisms


 
Even  though  minimization  of  human  intervention  is  a  fundamental  enabler  of  IoT,  
interfaces   and   mechanisms   for   operators   and   users   are   needed.   The   IoT   must   be  
configured  according  to  the  multitude  of  tasks  realized  by  it.  This  goes  down  to  
various  levels  of  subsystems  and  ultimately  to  the  single  devices.  
 
Currently,   most   architectures   use   centralized   elements   for   managements.   The  
goal   is   to   reduce   (or   sometimes   completely   remove)   the   need   for   centralized  
elements.   The   need   for   centralized   elements   is   reduces   by   moving   intelligence  
from   the   centralized   elements   to   sensors   and   actuators   (i.e.,   to   edge   devices).  
Another   option   is   to   distribute   the   management   to   the   Cloud   and   use   cloud-­‐
based   mass-­‐device   management.   Independent   of   the   actual   mechanisms,   the  
systems  must  ultimately  be  controlled  by  the  operators  and  users.  
 
For  the  configuring  of  IoT,  we  need  effective  management  interfaces  helping  to  
cope   with   complexity.   In   addition   to   hardware,   there   will   be   software   that   also  
needs   to   be   configured.   As   IoT   is   inherently   heterogeneous,   a   high   level   of  
abstraction   and   flexibility   is   needed.   Also,   we   need   interfaces   for   configuring  
both  single  nodes  and  collections  of  nodes.  
 
In  many  current  systems,  the  approach  is  a  procedural  one,  where  the  system  is  
manually   configured   down   to   the   smallest   detail.   In   contrast,   a   declarative  
approach   to   configuration   is   needed   in   IoT.   In   such   an   approach,   the   operator  
expresses   the   configuration   in   a   high-­‐level   declarative   language.   Then,   the  
network  processes  this  description  and  configures  itself  accordingly,  deciding  on  
low-­‐level   details   using   its   self-­‐management   capabilities.   The   declarative  
approach   to   configuration   will   also   facilitate   dealing   with   legacy   and   the  
expected  long  lifecycle  of  IoT  systems.  
 
In  addition,  security  issues  should  be  part  of  the  configuration  solution.  There  is  
a   need   for   interfaces   for   both   private   users   operating   a   home   network   as   well   as  
for  operators  of  networks  with  billions  of  nodes.  The  security  and  access  rights  
to   these   management   interfaces   must   be   built   from   the   beginning.   It   should   be  
possible  to  delegate  configuration  tasks  securely.  
 

Identification and discovery


 
IoT   will   be   a   dynamic   and   evolving   system.   Discovery   and   search   mechanisms  
will   be   needed   for   small   devices,   their   resources,   servers,   services,   etc.   The  
search   technologies   will   be   used   both   by   humans   but   also   by   the   things  
themselves.   The   search   will   need   to   be   performed   locally   in   smart   environments  
and  globally  over  the  Internet,  e.g.  to  find  URI  of  a  temperature  sensor  serving  a  
certain  room.  The  things  will  need  to  discover  each  other  to  form  collaborative  
groups.   They   should   be   able   to   negotiate   about   common   goals.   Thus,   the  
discovery  technologies  should  support  discovery  based  on  capabilities,  location,  
context,  etc.  
 
Current  Smart  Homes  and  regular  homes  have  devices  that  discover  each  other  
using  uPnP,  Zeroconf,  Bonjour,  etc.  After  discovery,  the  protocol  that  they  use  for  
communication   may   be   proprietary   or   based   on   web-­‐services.   Full-­‐blown   web  
services   are   too   heavy   for   resource-­‐constrained   small   devices,   but   there   are  
many  options  available.  The  development  is  towards  abstraction,  intermediaries,  
and  declarative  models.  
 
Network  topologies,  technologies  and  spatial  coverage  would  significantly  affect  
how   service   discovery   can   be   performed   (active   broadcast   vs.   passive   lookup).  
Discovery   of   objects   and   services,   both   static   properties   (i.e.,   capabilities,  
location,   etc.)   and   dynamic   properties   (i.e.,   state,   intent,   etc.)   need   to   be  
efficiently  realized.  Services  to  be  discovered  may  not  reside  on  just  one  object,  
but   may   be   a   composite   service   based   on   aggregated   or   fragmented   data   from  
several   smaller   objects.   Automated   discovery   is   important   to   network  
management   and   interaction,   considering   various   degrees   of   object   autonomy  
(movement  as  well  as  additions  and  removals).    
 
Challenges  in  discovering  things  and  resources  create  a  need  for  efficient  search  
and  discovery  technologies  that  discover  data  and  things  from  the  edges  of  IoT.  
Thus,  technologies  like  a  distributed  search  engine  for  things  will  be  needed.  The  
research  challenge  is  to  find  out  what  kind  of  search  and  discovery  mechanisms  
are  needed  for  the  trillions  of  devices  on  the  edge  of  the  network.  

Theme  3:  Services  and  applications  development    


 
This   research   theme   focuses   on   solutions   enabling   and   facilitating   service   and  
application  development  in  IoT.    
 
The  success  of  the  IoT  and  the  feasibility  of  many  business  models  will  depend  
heavily   on   architectures   that   utilize   horizontal   service   components   that   are  
generic  across  different  vertical  industries.  High  efficiency  can  only  be  reached  if  
multiple  vertical  applications  can  share  common  infrastructures  and  resources.  
The  services  and  application  development  support  can  be  provided  in  a  variety  
of   ways:   by   IoT   infrastructure   elements,   by   stand-­‐alone   platforms,   or   by  
programming   libraries   and   Application   Programming   Interfaces   (APIs).  
Regardless   of   the   placement,   the   goals   are   to   help   with   building   a   coherent  
vertical  application  out  of  a  large  collection  of  software  modules  and  horizontal  
components,   provide   generic   interfaces   that   are   attractive   to   application  
developers,   to   meet   the   needs   of   diverse   vertical   applications,   and   to   abstract  
away  the  specifics  of  heterogeneous  things,  resources,  and  networks.  
 
The  focus  areas  include  integration  with  the  Web,  service  enablement  platforms  
and  APIs,  data  processing  infrastructure,  and  interoperability.    

Integration with Web


 
Instead  of  using  the  Internet  as  just  a  transport  infrastructure,  IoT  has  to  make  
things   an   integral   part   of   the   Internet’s   dominant   information-­‐level  
infrastructure,   i.e.   the   Web.   The   data,   events,   and   functionalities   of   things   should  
be  exposed  to  Web  software  to  make  the  IoT  accessible  through  a  huge  number  
of   existing   Web   development   tools   and   to   easily   combine   things   with   services  
existing  in  the  Web.  
 
On  the  protocol  level,  mapping  mechanisms  between  intra-­‐domain  protocols  (e.g.  
CoAP)  and  the  dominant  inter-­‐domain  protocol,  i.e.  HTTP,  has  to  be  studied  from  
both  the  functionality  and  performance  perspective.  According  to  the  concept  of  
Web   of   Things,   IoT   devices   will   offer   their   functionality,   directly   or   through  
gateways  (in  the  latter  case,  connection  between  things  and  gateways  does  not  
have   to   be   based   on   Web   technologies),   as   Web   services,   with   REST  
(Representational  State  Transfer)  interfaces  appearing  as  most  natural  solutions.  
The  things  will  be  queried  (through  HTTP  Get)  or  controlled  (through  HTTP  Post  
and  Put)  using  standard  Web  tools.  For  instance  the  CoRE  working  group  of  the  
IETF   is   currently   looking   into   developing   a   RESTful   protocol   for   constrained  
networks  of  things.  There  is  also  the  need  to  study  the  mapping  between  RESTful  
protocols  for  constrained  things  and  protocols  used  in  the  Web.  Also  the  trade-­‐
off   between   developing   new   customized   solutions   for   constrained   environments  
and   utilizing   existing   standards   directly   in   the   constrained   networks   needs   to   be  
studied.  
 
For   data   describing   things,   there   are   different   Web-­‐friendly   formats   available:  
JSON,  XML,  or  RDF.  Of  these,  RDF  (Resource  Description  Framework)  is  the  most  
powerful  one  as  it  provides  possibilities  to  merge  data  from  different  sources,  it  
is  extensible  with  new  vocabularies,  and  it  is  easy  to  represent  relations  between  
objects.   Also   the   Linked   Data   initiative   provides   conventions   for   representing  
links  between  RDF  data  provided  by  different  parties.    
 

Service Enablement Platforms and APIs


 
IoT   requires   software   platforms   that   can   act   as   enablers   for   various   applications  
and  services  across  the  vertical  areas.  They  need  to  be  able  to  abstract  away  the  
details  of  underlying  heterogeneous  hardware,  sensor  networking  technologies,  
and   data   formats.   A   further   challenge   is   to   allow   software   from   different  
environments   to   be   combined   to   function   as   a   composite   system.   Such  
middleware   platforms   (or   service   enablement   architectures,   service   delivery  
platforms,   or   IoT   service   capabilities,   as   they   are   also   known)   will   be   a   key  
success   factor   for   the   IoT,   especially   in   making   it   attractive   to   end   users   and  
enterprises.   The   data   from   various   applications   and   things   will   go   through   the  
middleware  layer,  which  can  be  used,  among  other  things,  by  specific  business-­‐
processing  engines.  Operators,  systems  integrators,  and  equipment  vendors  have  
expressed  strong  interest  in  standardized  end-­‐to-­‐end  IoT  service  platforms.  
 
IoT  service  platforms  provide  a  common  interface  to  the  vertical  IoT  applications  
towards   the   IoT   network   domain.   As   an   example,   a   smart   metering   application  
(and   any   other   vertical   application)   can   utilize   the   common   interface   provided  
by  the  IoT  service  middleware  to  access  the  resources  hosted  by  a  smart  meter  
in  the  IoT  device  domain  through  the  IoT  network  domain.  The  service  platforms  
will  also  provide  additional  support  services  such  as  high-­‐level  actuation,  control  
loops,  data  processing,  event  processing,  scheduling,  resource  directories,  etc.  
 
Platforms   and   APIs   solutions   will   have   to   support   the   developers   with   respect   to  
a   variety   of   issues,   including   scalability,   connectivity,   heterogeneity,  
interoperability   of   data   and   protocols,   security   and   privacy,   and   deployment.  
They  will  have  to  provide  answers  to  a  set  of  questions  including:  
 
• How   do   we   make   the   applications   scale   transparently   with   growing  
number  of  things?  
• How   do   we   make   a   lack   of   continuous   connectivity   transparent   to  
programmer?  
• How  do  we  partition  and  deploy  the  application  into  the  IoT?  
• How   do   we   support   the   application   developer   to   ensure   security   and  
privacy?  
 
In   particular,   resource-­‐aware   application   development   support   is   needed.   The  
current  development  tools  for  web  applications  are  not  fit  for  the  purpose.  
 
Data processing infrastructure
 
IoT  is  essentially  about  real-­‐world  data  supply  and  demand,  and  one  of  the  key  
goals   is   to   ensure   that   relevant   data   is   delivered   in   an   efficient   and   timely  
manner  while  meeting  various  requirements.  Therefore,  one  of  the  specific  and  
central  areas  in  which  service  enablement  platforms  should  support  application  
developers  is  data  processing.  
 
One   specific   problem   is   complex   event   detection.   The   world   of   things   is  
characterized   by   a   flood   of   independent,   concurrent   events.   Any   applications  
interacting  with  this  world  or  existing  inside  the  world,  needs  to  be  able  to  detect  
the   events   relevant   to   its   functions.   The   interesting   events   are   seldom   individual  
state  changes  of  single  things,  but  rather  complex  patterns  consisting  of  context  
information  and  possibly  multiple  closely  related  changes.  There  is  thus  a  need  
to   detect   complex   events,   such   as   a   simple   event   taking   place   in   a   complex  
situation,   the   absence   of   a   predicted   event   (non-­‐event),   aggregate   events   with  
count  limits  or  thresholds,  events  having  location  relations  or  exhibiting  complex  
temporal   patterns,   and   so   on.   In   the   IoT   context,   a   scalable   event   detection  
solution  cannot  be  centralized  but  must  be  distributed  to  smart  things,  gateways,  
and   other   intermediaries   in   the   network.   To   provide   timely   notifications   of  
events,   the   event   detection   needs   to   be   carried   out   in   an   incremental   fashion.  
Data  processing  in  the  Cloud  can  also  be  part  of  events  recognition  support.  For  
example:   a   coffee   mug   moved   and   now   stopped,   a   neighboring   table's  
microphone  recorded  a  noise  like  placing  a  mug  at  the  table,  so  if  both  events  are  
posted   to   the   cloud,   a   rule   engine   can   conclude   that   mug   X   was   placed   on   the  
table.    
 
Another   problem   is   distributed   processing   of   IoT   data   in   the   Cloud.   Different  
kinds   of   data-­‐processing   algorithms   can   be   applied   to   things’   events   and   data,  
and   the   infrastructure   can   facilitate   appropriate   algorithms   discovery   and   data  
adaptation.   Another   challenge   is   efficient   integration   of   relatively   static   data  
found  on  the  Web  with  highly  dynamic  data  coming  from  IoT  devices.  One  more  
challenge  is  posed  by  connecting  events  from  the  IoT  world  with  the  events  from  
the  digital  world,  for  example  in  social  networks.  
 
 

Interoperability
 
The   IoT   will   require   interoperability   in   multiple   layers.   On   the   hardware   side,  
such  problems  have  to  be  addressed  as  handling  a  capability  mismatch  between  
traditional  Internet  hosts  and  small  devices,  as  well  as  handling  widely  differing  
communication  and  processing  capabilities  in  different  devices.  
 
In   the   interface   between   the   device   and   network   domains,   IoT   gateways   will  
provide  a  common  interface  towards  many  heterogeneous  devices  (e.g.,  sensors  
and   actuators,   RFIDs)   and   networks   (e.g.,   different   Wireless   Sensor   Network  
technologies).  Some  IoT  devices,  e.g.  home  electronic  appliances,  will,  however,  
be   connected   directly   to   the   Internet   without   such   middle-­‐boxes.   Supporting  
both  scenarios  uniformly  is  another  important  interoperability  problem.  
 
For   true   interoperability   we   need   semantic   interoperability,   the   ability   of   the  
devices   to   unambiguously   convey   the   meaning   of   data   they   communicate.   The  
semantic   approach   to   interoperability   supports   distribution   of   data   and  
functionality  in  a  similar  manner  to  the  Web  of  Data  –  also  known  as  Semantic  
Web   and   Linked   Data.   The   goal   is   rather   loosely-­‐coupled   interoperability   than  
any   form   of   tighter   integration   such   as   standardization.   There   is   a   trade-­‐off,  
however,   between   shared   information   models   and   the   need   for   translation   at  
each  player’s  end  systems  that  needs  to  be  investigated.    
 
Another  important  aspect  of  interoperability  is  canonization  of  the  APIs  related  
to  IoT.   Common   APIs   should   be   unified   to   facilitate   IoT   application   development  
and   deployment.   Also,   offloading   of   sensory   data   for   Cloud   processing   requires  
harmonized  APIs  instead  of  the  vendor-­‐specific  ones  offered  today.  
 

Theme  4:  Human  interaction  


 
This   research   theme   focuses   on   end-­‐user   aspects.   IoT   enables   tangible   and  
ubiquitous  interaction  between  people,  objects,  locations  and  services.  The  focus  
is  transferring  from  graphical  user  interfaces  to  direct  interaction  with  the  real  
physical   environment   and   its   everyday   objects.   This   kind   of   interaction   has   a  
significant   potential   in   enabling   easy-­‐to-­‐use   services   that   intertwine   into   our  
everyday   life.   To   fully   exploit   this   potential,   we   need   to   study   the   implications   of  
IoT   for   user   activities.   Understanding   user   needs   and   behavior   and   the   factors  
affecting  user  experience  is  a  prerequisite  for  successful  business  as  well.  
 
We  have  identified  two  focus  areas  for  advancing  fluent  human  interaction  with  
IoT.  The  first  focus  area,  Interaction  tools  for  IoT,  concentrates  on  studying  and  
developing   such   ways   to   interact   with   IoT   services   that   are   accepted   by   users  
and   provide   pleasant   user   experiences.   The   second   focus   area,   End-­‐user  
adaptation,   studies   solutions   for   harnessing   end-­‐users   to   create   and   adapt   IoT  
applications.  

Interaction tools for IoT


 
When   users   start   to   interact   with   services   through   handling   everyday   objects,  
user  interfaces  are  no  longer  designed  for  a  display,  a  mouse  and  keyboard,  but  
directly   to   the   environment   –   for   different   interaction   tools   embedded   in   the  
environment.   This   kind   of   interaction   has   potential   to   fulfill   Weiser's   vision   of  
calm   computing   (Weiser   1999):   computers   disappear   in   the   background   and  
support   us   in   our   everyday   activities   without   demanding   too   much   focus   or  
disrupting   our   activities.   However,   designing   such   interaction   is   a   challenging  
task,   as   the   user   interface   is   not   in   a   clearly   constrained   region   of   the  
environment   (i.e.   on   a   display)   any   more,   and   user   actions   for   interacting   with  
services   change   as   well.   Furthermore,   components   of   the   user   interface   are   no  
longer   used   only   as   user   interface   but   they   are   also   part   of   the   everyday  
environment  and  can  also  have  other  functionalities.  
 
This   new   interaction   approach   raises   many   research   questions.   Research   is  
needed   on   the   basic   interaction:   How   to   communicate   clearly   what  
functionalities   the   objects   provide   and   how   to   utilize   those   functions?   What  
actions   are   easy   to   perform   and   associate   to   the   corresponding   commands?  
What   feedback   is   easy   to   understand   and   associate   to   the   intended   message?  
Generally,  IoT  requires  considering  the  affordances  in  the  environment.  We  need  
to  consider  human  literacy  of  IoT;  people  need  to  be  supported  in  learning  little  
by   little   to   "read"   IoT   cues   in   the   environment,   and   in   learning   to   understand  
how   to   utilize   the   provided   affordances.   Research   is   needed   on   the   general  
interaction   conventions   that   users   can   use   in   several   application   domains.   The  
requirements,   which   this   new   type   of   interaction   imposes   on   the   IoT  
infrastructure,   need   to   be   studied   as   well.   Finally,   long-­‐term   user   experience,  
technology   acceptance,   and   adoption   are   important   topics   when   aiming   for  
commercial  success.    
 

End-user adaptation
 
IoT   ecosystems   cannot   be   designed   wholly   at   once,   but   they   have   to   support  
service   creation,   configuration,   and   adaptation   by   their   users   and   during   use.   An  
object  can  be  used  by  many  services  and  when  users  are  given  the  tools,  they  can  
design  services  using  innovative  sets  of  objects.  Even  then,  configuring  services  a  
priori   is   too   constraining   and   adapting   services   during   usage   is   hence   needed.  
Some   configuration   and   adaptation   can   be   done   based   on   the   situation  
automatically   by   the   system   as   well.   In   IoT   service   creation   and   adaptation,   end-­‐
user   participation   and   good   interaction   tools   are   the   keys   to   services   matching  
the  real  needs  and  to  exploiting  the  potential  of  IoT  fully.    
 
The  current  tools,  such  as  web  interfaces  or   separate  computer  applications,  are  
usually   conventional   graphical   applications,   separate   from   the   actual  
environment,  and  somewhat  clumsy  to  use.  Research  is  needed  to  develop  more  
natural   ways,   better   interaction   tools,   to   configure   and   adapt   the   system   while   it  
is   in   use.   Also   the   balance   between   interaction   and   autonomous   situational  
adaptation  needs  to  be  considered.  More  specific  questions  (as  in  the  first  focus  
area)  are  related  to  user  experience,  acceptance,  adoption,  and  IoT  infrastructure.  
 

Theme  5:  IoT  ecosystem  


 
This   research   theme   focuses   on   the   ecosystem   and   business   model   creation   of  
IoT.   There   is   a   clearly   indicated   business   potential   in   the   area   of   IoT.   The  
challenge   of   enhancing   an   IoT   ecosystem   depends   on   numerous   vertical  
businesses.  The  development  of  a  vertical  business  area  will  create  economy  of  
scale  and  critical  mass  on  the  markets,  allow  consumer  choice  of  providers,  and  
lead   to   a   virtual   cycle   of   adoption   in   the   IoT   ecosystem.   Research   has   already  
been   conducted   in   business   models   and   ecosystems   in   the   area   of   IoT   (e.g.   in  
Banniza  et  al.  2010,  Nashira  et.  al  2010).  
 
The   success   of   IoT   depends   on   the   right   technology,   business   models,   and  
acceptability  to  users.  This  justifies  techno-­‐economic  and  human  centric  studies  
of   adoption,   value   networks   and   ecosystems   creation.   IoT   is   about   a   large  
number   of   ever   smaller   and   more   specialized   things,   i.e.   devices   and   sensors  
connected   (often   wirelessly)   to   each   other   and   to   the   Internet.   These   things  
expand   existing   Internet   applications   and   services   and   enable   new   ones.   This  
new  functionality  creates  and  requires  new  roles  and  technical  components  and  
enables   the   configuration   of   new   business   models   in   ecosystems.   IoT   increases  
the   complexity   of   communications   and   encourages   designers   to   prepare   for  
increasingly   adaptive   technical   solutions.   Successful   IoT   services   provide   clear  
value   to   users   and   create   meaningful   business   for   the   actors   in   the   ecosystem.  
User  adoption  of  the  first  services  will  ease  the  adoption  path  for  other  services  
as  user  “literacy”  of  IoT  services  improves,  i.e.  users  learn  to  know  where  to  look  
for  these  services  and  what  to  expect  from  them.  
 
Talvitie   (2011)   defines   that   a   business   ecosystem   “is   a   collection   of   business   and  
companies   collaborating   or   competing   by   utilizing   a   common   shared   set   of  
assets”.    The  central  elements  of  an  IoT  ecosystem  are  an  ecosystem  concept,  an  
ecosystem   core   and   business   concept.   In   other   words,   platforms,   technologies,  
processes,   and   standards   form   the   ecosystem   core,   while   members   of   an  
ecosystem   utilize   business   models   and   value   networks   in   their   businesses.  
Members   of   the   ecosystem   are   companies   and   public   institutions,   and  
individuals.  There  are  several  benefits  for  companies  to  join  business  ecosystems.  
(Talvitie  2011)  
• Market  creation  
• Market  expansion  
• Market  access  
• Access  to  complementary  competences  and  business  models  
 
More  comprehensive  description  of  digital  business  ecosystems  can  be  found  e.g.  
in   Nachira   et   al.   (2010).   Despite   the   wide   use   of   the   term   business   model,   no  
widely  accepted  definition  has  emerged  (e.g.  in  Magretta  2002;  Osterwalder  et  al.  
2005,   Leminen   et   al.   2006).   Basically   a   business   model   defines   how   the  
organization   operates   in   the   market   and   the   basis   of   its   value   creation.  
Osterwalder   et   al.   (2005)   depicts   the   evolution   of   the   business   model   concept  
and  suggest  that  business  model  studies  are  in  the  path  of  applying  these  models  
in   practice.   In   their   latest   study,   Westerlund   et   al.   (2011)   stress   that  
management   issues   of   business   models   are   especially   important,   aiming   for  
more  robust  and  profitable  business  models.  
 
The   platforms   are   the   basis   of   the   leading   global   businesses.   To   simplify   this,  
there   are   one-­‐sided   platforms   and   two-­‐sided   platforms,   in   which   the  
competitions   take   place,   i.e.   how   to   substitute   and   charge   parties   on   different  
sides   of   the   platforms.     (Rochet   and   Tirole   2003).     It   is   possible   to   reduce   the  
complexity  and  to  increase  the  flexibility  of  a  system  with  modules  (Schilling  and  
Steensma  2000).  A  complex  product  or  service  from  smaller  subsystems  can  he  
designed   and   built   independently.   Emerging   research   applies   modularity  
principles  in  the  service  context.  Combining  the  approaches  of  business  models  
and  modularity  will  lead  to  useful  insights  into  the  IoT  ecosystem.  
 
Large   commercial   players   drive   the   development   of   the   IoT.   However,   user-­‐
centered   or   even   user-­‐driven   approaches,   which   are   open   for   innovation  
ecosystems,  should  be  combined  when  creating  business  models  and  ecosystems  
for   IoT.   This   means   that   users   share   their   own   expertise   and   knowhow   and  
become   producing   actors   in   the   emerging   ecosystem.   (Kortuem   and   Kawsar  
2010)  
 
The   IoT   ecosystems   and   business   model   analysis   can   be   divided   into   two  
research   themes:   (1)   ecosystem,   and   (2)   business   models.   Theme   (1)   supports  
the  horizontal  or  generic  technical  capabilities  by  describing  industry  structure  
and   interactions   between   industries   in   IoT.   Theme   (2),   the   parallel   business  
model   research   avenue   is   based   on   case   studies   in   application   areas,   which  
supports  the  development  of  the  chosen  application  areas  and  testing  the  generic  
component  on  it.  
 
IoT  ecosystem:  research  questions  
• What   is   an   IoT   ecosystem,   and   who   are   the   relevant   players   of   it,   and  
what  are  the  roles  of  the  players  in  the  IoT  ecosystems?  
• How  do  we  enhance  the  development  of  a  broader  IoT  ecosystem?  
• How   do   we   identify,   describe   and   evaluate   the   alternative   technical  
architectures  and  corresponding  value  networks  of  the  IoT  services?  
• How  do  we  describe  and  quantify  the  forces  affecting  the  adoption  of  new  
IoT  applications,  services  and  protocols?  
• How  do  we  measure  and  analyze  the  initial  usage  of  early  IoT  services  in  
order  to  provide  feedback  to  designers?  
 
                     
IoT  business  models:  research  questions  
• What  are  business  models  for  an  IoT  ecosystem?  
• How  do  we  design  business  models  for  an  IoT  ecosystem?  
• What  are  the  roles  of  platforms  in  an  IoT  ecosystem?  
• How  will  an  IoT  ecosystem  emerge?  
• How  do  we  depict  modularity  of  business  models  in  an  IoT  ecosystem?  
 
IoT  ecosystem  and  business  models:  research  methods  
• IoT  value  network  configurations  can  be  used  as  one  method  and  notation  
for  a  combined  analysis  of  technical  and  market  architectures.  
• IoT   service   adoption   can   be   studied   using   system   dynamics,   both  
qualitatively  and  quantitatively.  
• IoT  service  usage  can  be  analyzed  via  network  traffic  measurements,  for  
example,  and  server-­‐based  measurements.  
• IoT   business   model   development   can   be   facilitated   using   the   existing  
business  model  frameworks                                
 
 
Creation  of  IoT  ecosystems  and  business  models  
 
The   results   of   ecosystem   and   business   model   research   can   support   the  
bootstrapping   of   new   IoT   services.   The   emerging   ecosystem   creation  
instruments   of   Tivit   are   assumed   to   be   the   main   vehicles   of   an   IoT   ecosystem  
creation.   The   IoT   research   program   should   include   projects   where   the   core  
business   partners   of   the   forthcoming   IoT   ecosystem,   are   simultaneously  
developed   from   the   perspective   of   business,   technology,   and   users,   thus  
increasing  the  trust  necessary  for  creating  a  collaborative  IoT  ecosystem.  
 
 

9.  Integrating  Applications  and  Verticals  


 
The   CERPT-­‐IoT   (Sundmaeker   et   al.,   2010)   classifies   the   application   domains   of  
the   IoT   into   three   classes:   Industrial,   Environment   and   Society   domains.   The  
table  below  describes  the  application  domains  and  gives  indicative  examples.  
 
Domain   Description   Indicative  examples  
Industry   Activities  involving  financial   Activities  regarding  to  
or  commercial  transactions   development  and  inclusion  of  
between  companies,   societies,  cities,  and  people.  
organizations  and  other  
entities.  
Environment   Activities  regarding  the   Agriculture  &  breeding,  
protection,  monitoring  and   recycling,  environmental  
development  of  all  natural   management  services,  energy  
resources.   management  etc.  
Society   Activities  regarding  to   Governmental  services  toward  
development  and  inclusion  of   citizens  and  other  society  
societies,  cities,  and  people.   structures.  
 
 
In  practice,  the  IoT  applications  seldom  belong  to  single  application  domains  but  
rather   span   many   at   the   same   time.   An   alternative   classification   for   IoT  
applications  could  be  “intranet  of  things”  (ioT)    –  a  network  of  things  belonging  
to  a  single  entity  or  close  set  of  users  versus  “Internet  of  Things”  (IoT)  where  the  
Things  or  at  least  the  data  produced  by  them  is  shared  by  multiple  entities.  Even  
this   classification   is   not   very   clear,   since   there   exist   many   applications   where  
some  of  the  data  related  to  the  things  can  be  publicly  available  while  the  rest  is  
available   only   for   specific   user   groups.   In   what   follows,   we   briefly   describe   some  
of  the  application  domains  in  more  detail.  

Automation  Systems  
 
Industrial   automation   applications   include   various   monitoring   and   control  
applications  that  are  typically  related  to  single  industrial  plant  or  wider  logistic  
demand-­‐delivery   chains.   The   things   in   this   application   area   refer   to   various  
sensors,   actuators   and   other   machinery.   In   manufacturing   plants   and   logistics  
the  things  could  also  refer  to  various  digitally  identifiable  components  or  items  
related  to  the  product  or  the  end  product  itself.    There  are  several  field-­‐specific  
standards   (ISO,   ISA,   IEC,   IEEE)   and   de   facto   standards   that   specify   the  
communication   requirements   in   terms   of   latency   and   reliability,   data   formats,  
and   security   requirements.       A   general   presentation   on   wireless   networked  
automation  systems  can  be  found  e.g.  in  (Elmusrati  et  al.  2007)  and  (Björkbom  et  
al.  2010).    

Maintenance  Systems  
 
In   order   to   maximize   the   lifetime   of   the   equipment   and   to   minimize   the  
maintenance  breaks,  it  is  necessary  to  have  access  to  detailed  sensor  information  
describing  the  current  state  of  the  equipment.    The  same  sensor  data  may  also  be  
utilized  by  automation  systems.    
 
One  practical  example  of  a  monitoring  system  is  the  structural  health  monitoring  
system   for   bridges   and   cranes   being   developed   in   the   Aalto   MIDE   program  
project  ISMO  http://mide.aalto.fi/ISMO).    
 

Environmental  Monitoring  Systems  


A   good   example   of   an   IoT   environmental   monitoring   system   is   the   Helsinki  
Testbed     (http://testbed.fmi.fi/).   It   consists   of   a   dense   grid   of   weather   stations  
that  are  connected  to  the  Internet  through  a  cellular  radio  network.  The  testbed  
demonstrates   integration   of   modern   technologies   with   complete   weather  
observation   systems,   end-­‐user   product   development   and   data   distribution   for  
the  public  and  research  community.  
Environmental  monitoring  systems  could  be  combined  with  warning  systems  for  
safety  applications.    

Smart  Grids  
 
A   smart   grid   consists   of   distributed   and   diverse   energy   production   systems,  
transmission  systems  and  energy  consumers.  IoT  enables  efficient  coordination  
and  control  of  all  these  elements.  It  is  noteworthy  that  the  different  stakeholders  
have   very   different   access   requirements   to   the   things   of   the   smart   grid.     The  
transmission  system  is  concerned  with  the  real-­‐time  control  and  stabilization  of  
the  grid.  Naturally  the  communication,  security  and  usability  requirements  of  the  
various  stakeholders  in  a  smart  grid  are  very  different.  They  still  need  to  share  
some  of  the  data  with  each  other  in  order  to  optimize  their  behavior.    

Agricultural  Systems  
 
Agricultural   IoT   applications   include   environmental   monitoring   as   well   as  
automation   aspects.   One   example   is   greenhouse   automation   where   the   things  
are   the   plants   and   humidity,   Co2   and   temperature   sensors   as   well   as   control  
systems  for  ventilation  and  heating.  Another  example  is  monitoring  the  behavior  
of  livestock  and  controlling  their  feeding.    
 
Security  Systems  
 
IoT   enables   many   safety   and   security-­‐related   applications.   The   things   can   be  
various   sensors,   cameras   and   microphones   that   provide   good   situation  
awareness   in   case   of   emergency.   The   information   needs   to   be   shared   among  
various   governmental   organizations   and   possibly   with   private   security  
companies.   Situation-­‐awareness   solutions   for   police   and   military   applications  
have   been   developed   e.g.   in   the   TEKES   Security   program   project   WISM  
(http://teg.uwasa.fi/projects/wism).  
 

Wellbeing  Solutions  
 
Wellbeing   is   a   large   application   domain.   The   simplest   case   is   sporting  
applications  that  allow  the  sportsman  to  share  sensor  information  such  as  time,  
speed,  and  heart  rate  with  some  Internet  community.  More  complex  applications  
are   the   assisted-­‐living   and   homecare   applications   where   multiple   sensors   and  
possibly   medical   devices   are   needed   to   support   the   patient’s   everyday   life   at  
home.   For   elderly   and   disabled   this   can   provide   increased   quality   of   life   for  
persons   who   might   otherwise   require   caregivers   or   institutional   care.  
Information   needs   to   be   shared   with   various   healthcare   organizations   and  
possibly  also  with  relatives  or  security  companies.  Examples  of  such  applications  
are   sensors   utilized   to   track   persons   suffering   of   dementia.   Many   commercial  
applications  exist  for  these  applications  and  they  mainly  rely  on  DSL  or  cellular  
access   for   connecting   the   things   to   the   various   intranets.   This   also   includes  
health-­‐related  applications  such  as  electronic  health  records,  health  information  
systems,  e.g.,  for  patient  data  management.    
 

Automotive,  Transport  and  Logistics  Applications  


 
This   is   a   wide   area   of   applications   dealing   with   transport   of   cargo   and  
individuals.   It   spans   several   industries   including   automotive   and   logistics.  
Particular   applications   include   efficient   traffic   management,   safety   and   driver  
assistance,  sustainable  driving,  monitoring  of  a  fleet  of  vehicles  (airplanes,  taxis,  
buses,  trucks),  car  infotainment,  and  similar  applications.  

Building  and  Home  Automation  


 
A   building   or   home   automation   system   integrates   electrical   devices   in   a   building  
or   a   house   with   each   other.   The   techniques   employed   in   home   automation  
include  those  in  building  automation  as  well  as  the  control  of  domestic  activities,  
such  as  home  entertainment  systems,  houseplant  and  yard  watering,  pet  feeding,  
changing   the   ambiance   scenes   for   different   events   (such   as   dinners   or   parties),  
and  the  use  of  domestic  robots.  Devices  may  be  connected  through  a  computer  
network  to  allow  control  by  a  personal  computer,  and  may  allow  remote  access  
from  the  Internet.    
 
SRA  Focus  and  Approach  
 
In   IoT   SRA,   vertical   applications   are   considered   from   two   different   points   of  
view:   analysis   of   existing   vertical   applications   to   develop   horizontal   service  
enablement   architecture   and   investigation   of   potential   novel   applications  
enabled  by  this  architecture:  
 
• Even   though   there   is   overwhelming   diversity   in   IoT   applications,   the  
various   applications   are   still   likely   to   have   some   significant  
commonalities.   Common   functionality   could   include   areas   such   as  
security,   data   storage,   data   processing,   event   processing,   and   resource  
directories.   What   exactly   is   common   in   existing   vertical   applications   from  
different   industries   and   how   to   manage   the   common   part   needs   further  
investigation.  For  this  investigation,  a  set  of  vertical  application  areas  are  
selected   as   use   scenarios/use   cases   that   are   studied   in   detail   to  
understand   the   commonalities   in   different   vertical   applications   and   to  
identify   horizontal   components   for   the   architecture.   The   selected  
application   areas   include   Smart   Grid,   eHealth   and   Intelligent   Transport  
Systems.  
• In   addition,   the   SRA   will   also   look   into   new   services   and   applications  
enabled  by  IoT.  These  new  services  and  applications  will  be  supported  by  
underlying   horizontal   components.   Novel   services   and   applications  
should   be   investigated   in   collaboration   with   multiple   partners   in   the  
value   chain   including   equipment   vendors,   providers   of   software,   system  
integrators,  and  players  in  selected  vertical  industry  segments.    
 
Vertical   applications   also   play   a   key   role   in   demonstrators.   It   is   expected   that  
some  application  areas  will  be  selected  to  demonstrate  the  solution  in  horizontal  
architecture.  Finally,  vertical  applications  can  also  provide  a  connection  to  other  
SHOK  thus  potentially  enabling  fruitful  cross-­‐SHOK  co-­‐operation.  
 

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