When you add artificial intelligence capabilities to Internet of Things-enabled devices, amazing things happen. Let’s find out more.
AI (artificial intelligence) and IoT (Internet of Things) are two of the hottest topics in tech, helping businesses solve problems, increase efficiency and work smarter. Both have game-changing potential for companies in all industries, but when you combine the two, you can gain even more significant benefits.
In this article, we’ll look at the combination of AI and IoT in more detail. Which use cases are most relevant to the way you work?
Defining AI and IoT
But first, let’s define these two technologies so that we can differentiate between the two.
Artificial intelligence technology was developed to replicate human intelligence in speech recognition, problem-solving and decision-making. One of the advantages of AI is that it can take care of repetitive tasks that people used to do, so those people can focus on work requiring more skill.
The Internet of Things, on the other hand, is a network of physical devices that can collect and exchange data through software, sensors and internet connectivity.
AI and IoT working together
Let’s look at three real-world examples of AI and IoT combining to deliver tangible gains for companies and consumers:
- Smart thermostats - AI and IoT combine to improve smart thermostat functionality by adapting to user preferences and external conditions, balancing user comfort with efficient energy consumption
- Retail analytics - With AI and IoT, retailers can process customer data from multiple sources faster, helping them improve customer experiences, optimise inventory and deliver personalised recommendations
- Manufacturing robots - Integrating AI and IoT helps robots work quicker and more efficiently. Algorithms help them learn and adapt to new scenarios. And of course, they don’t take breaks
Benefits of AI and IoT integration
Here are four significant benefits of using AI and IoT together.
1 - Enhanced efficiency
AI and IoT can help companies improve operational efficiency through predictive maintenance. When sensors tell you when a machine is showing wear and tear, you can fix the issue before it results in downtime. AI and IoT can also help with supply chain management by tracking goods and transport modes for real-time visibility.
2 - Reducing risk
AI and IoT help companies better manage risk by providing insights into potential risks and threats, whether in the physical or virtual world. From camera networks with AI-powered analytics to cybersecurity software that detects unusual patterns in user behaviour, these technologies help keep your company safe and running smoothly.
3 - Product innovation
Combining AI and IoT helps companies create new products (or adapt existing ones) that delight their customers and solidify market share. For example, smart home systems and smart speakers (e.g. Alexa) all incorporate AI and IoT concepts.
4 - Increased scalability
AI algorithms help companies analyse IoT-generated data, improving system scalability and allowing them to anticipate and respond to changes. By identifying patterns, trends and anomalies in data faster and more effectively than humans ever could, businesses can take a proactive approach to change.
Looking to the future
The future is looking bright for businesses that combine AI and IoT. Naturally, there will be challenges, such as privacy concerns, cybersecurity, and the ethics of AI. Perhaps in the future, there will be more regulation around how companies can harness technologies like AI and IoT. As the technology grows more sophisticated, safeguards may become essential.
However, provided you use these technologies responsibly, the opportunities to gain a competitive edge through AI and IoT are almost endless. Investigate the technology, experiment and iterate, then reap the rewards.
