Cisco today announced plans to acquire Ubiquisys, a privately held British company that creates public-access small-cells — miniature base stations that let wireless service providers expand connectivity to locations that are otherwise hard to reach, particularly indoors.
According to Padmasree Warrior, the company’s Chief Technology and Strategy officer, the acquisition fits into Cisco’s vision of the “Internet of Everything,” where billions of connected devices provide a continuous stream of real-time data that can power all kinds of decisions.
For that to work, devices must be connected all the time, no matter where they are. “If you look at traditional cellular technology, 3G or 4G, having it inside the building is always a challenge. Whereas Wi-Fi works very well in local buildings.” Ubiquisys technology will help “bring those two together,” Warrior told CITEworld.
The Internet of Everything — or Internet of things, as it’s more commonly called — has been a big theme for Cisco lately. Warrior told us that Cisco sees it as the third major era of the Internet.
The first era of the 1990s was mostly about moving commercial transactions online, with big e-commerce giants like Amazon and eBay and Google search advertising replacing many less efficient forms of offline advertising. The second era added immersive collaboration — social sharing through sites like Facebook and LinkedIn, and collaboration through services such as Skype and Cisco’s own WebEx.
“This next decade will be about the digitization of society,” says Warrior. “It’s not going to replace other two, it’s an additive thing. The internet of things is about sensor networks, machines communicating with other machines, and lots of data being created by this usage.”
She says that the trend is being driven by three main factors:
- The mainstreaming of sensors. “We always had sensors, it kind of started in the 90s with RFID tags for tagging things and tracking things.” But the technology has become more prevalent as the sensors and related processors have gotten smaller, more power efficient, and cheaper. “We can put more compute power, more memory into the edge as well as back in the cloud, into the data center. All of this driving the capability of machines to communicate with other.”
- Cloud computing. Distributed computing makes it possible for companies to store and analyze the massive amounts of data being tracked by all these sensors.
- The migration of everything to IP networks. The switch to IPv6, which increases the number of IP addresses so that every device in the world can theoretically have its own, is key here. “We expect to have 50 billion things connecting to network by 2020, going up from 10 billion now…. so IPv6 becoming extremely critical.”
Cisco has an interest in promoting the Internet of things, and IPv6 specifically, as it will encourage businesses and service providers to make infrastructure upgrades — including, perhaps, new Cisco equipment. But Warrior gave us a good real-world example as to why businesses might want to invest in this change.
“The biggest challenge for most retailers is how to get customers to physically come into store as more online shopping is becoming prevalent,” she explained. But if retailers can push electronic coupons to users based on their interests, then know when those users come into the store, that can have a direct effect on sales.
“I know if I pushed a coupon to you, I give you an alert to your mobile device, you can go straight to that product and pick it up, and pay from your phone if you don’t want to wait in line. To do that, you need all those things I described” — a way to collect data about who your customers are, detect when they walk into the store, and take specific actions.
As businesses seek out these kinds of scenarios, the role of IT will continue the shift that started a few years ago with consumerization, says Warrior.
“The world of IT thus far has been about providing connectivity tech, allowing apps to run securely in client-server model…. Now it’s much more of this broker kind of role for IT. There will be lots of devices, deployed from the cloud — not just smartphones, when I say devices I also mean sensors. If you’re a retail business and you have wireless access points and sensors keeping track of which customer came where, there’s a lot of data, a lot of analytics that you as a businessperson now need. IT becomes a broker of technology.”
Eventually, she speculates, IT could even provide a catalog of various different services for business units to choose from, and let each business unit pay only for what they consume.
Cisco defined the IoE as bringing together people, process, data, and things to make networked connections more relevant and valuable than ever before—turning information into actions that create new capabilities, richer experiences, and unprecedented economic opportunity for individuals, businesses, and countries.
The company predicts that as we move into a “fundamental mobile and video” world, the Internet of Everything, which combines the internet of things with the internet used by people and their mobile devices, will create $14.4 trillion in value and boost the overall corporate profits by 21% all by 2022. Cloud computing, mobile computing, big data, the increasing processing powers and many other technology trends and business economics are ushering the age of IoE, and creating an unprecedented opportunity to connect the unconnected; people, process, data and things. Currently 99.4% of physical objects that may one day be part of the Internet of Everything are still unconnected.
“Business leaders in the Middle East today are seeking technology partners who can guide them through this unprecedented change and shape their organizations for the future. They’re asking: how can all this connectivity help me grow my business, deliver better services and experiences, and open up new possibilities? The Internet of Everything will transform the way we work, live, learn, and play. Cisco has been right at the heart of it all,” commented Rabih Dabboussi, Managing Director, Cisco, UAE.
“Cisco remains focused on helping businesses and governments drive sustainable growth in the Middle East by providing expertise to the region, including network-based technologies to help organizations innovate, drive new business models, increase productivity and create new opportunities. The Internet has already transformed nations by improving education, healthcare and citizen services through the use of information technologies, allowing for economic growth through improved communications, e-commerce, and accelerating innovation by enabling greater collaboration,” Dabboussi concluded.